This paper analyses the economic disadvantage experienced by disabled persons of working-age using data from the British Household Panel Survey. We argue that there are three sources of disadvantage among disabled persons: pre-existing disadvantage among those who become disabled (a 'selection' effect), the effect of disability onset itself, and the effects associated with remaining disabled post-onset. We show that employment rates fall with disability onset, and continue to fall the longer a disability spell lasts, whereas average income falls sharply with onset but then recovers subsequently (though not to pre-onset levels).
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Paper provided by Institute for Social and Economic Research in its series ISER working papers with number
2003-18.
Length: 29 Date of creation: Aug 2003 Date of revision: Handle: RePEc:ese:iserwp:2003-18
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