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A Monetary Approach to Capability Measurement of the Disabled - Evidence from the UK

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  • Wiebke Kuklys

Abstract

In 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.

Suggested Citation

  • Wiebke Kuklys, 2004. "A Monetary Approach to Capability Measurement of the Disabled - Evidence from the UK," Papers on Strategic Interaction 2004-08, Max Planck Institute of Economics, Strategic Interaction Group.
    • Handle: RePEc:esi:discus:2004-08
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    Cited by:

    1. D.P. Doessel & Ruth F.G. Williams, 2011. "Disabled people's living standards: filling a policy vacuum," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 38(4), pages 341-357, March.

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    More about this item

    Keywords

    capability; disability; equivalence scale; psychometric; poverty;
    All these keywords.

    JEL classification:

    • D1 - Microeconomics - - Household Behavior
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior

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