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Análise do impacto da alteração normativa na aposentadoria por invalidez no Brasil [An analysis of the impact of the normative change in disability retirement in Brazil]

Author

Listed:
  • Helvio Antonio Pereira Marinho

    (PREVIC)

  • Moises de Andrade Resende Filho

    (UnB)

  • Vander Mendes Lucas

    (UnB)

Abstract

We investigate the response of federal civil servants to more stringent rules for disability retirement introduced by the Constitutional Amendment 41/2003 (EC 41/2003). First, we look for changes in the health conditions of Brazilians so to speculate on their effects on the use of disability benefit in Brazil. Then, we use those results in setting the control variables of econometric models we use to compare the behavior of civil servants (treatment group) and private sector workers (control group) in terms of the number and incidence of retirement disability. Based on difference in differences (DID) estimates, we conclude that civil servants responded to the incentive created with the new rules by preventing disability retirements and, thus, mitigating the moral hazard problem of social security.

Suggested Citation

  • Helvio Antonio Pereira Marinho & Moises de Andrade Resende Filho & Vander Mendes Lucas, 2017. "Análise do impacto da alteração normativa na aposentadoria por invalidez no Brasil [An analysis of the impact of the normative change in disability retirement in Brazil]," Nova Economia, Economics Department, Universidade Federal de Minas Gerais (Brazil), vol. 27(3), pages 551-576, September.
    • Handle: RePEc:nov:artigo:v:27:y:2017:i:3:p:551-576
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    More about this item

    Keywords

    social security; disability retirement; difference-in-differences; incentives; moral hazard;
    All these keywords.

    JEL classification:

    • A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions

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