A Monetary Approach to Capability Measurement of the Disabled - Evidence from the UK
AbstractIn this paper we attempt to assess empirically the capability set of the disabled. We formulate the assumptions under which capability can be interpreted as needs-adjusted disposable household income, and use equivalence scales methodology to estimate it for households in the UK. We identify a positive cost of disability to the households and state, to what extent a disability can reduce an individual's capability set. The use of the derived capability measure instead of traditional income in poverty measures leads to a dramatic increase of poverty among the families with disabled members.
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Bibliographic InfoPaper provided by Max Planck Institute of Economics, Strategic Interaction Group in its series Papers on Strategic Interaction with number 2004-08.
Length: 30 pages
Date of creation: Feb 2004
Date of revision:
Find related papers by JEL classification:
- D1 - Microeconomics - - Household Behavior
- I12 - Health, Education, and Welfare - - Health - - - Health Production
This paper has been announced in the following NEP Reports:
- NEP-ALL-2004-02-15 (All new papers)
- NEP-EDU-2004-02-15 (Education)
- NEP-HEA-2004-02-15 (Health Economics)
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