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Estimating the Economic Cost of Disability in Ireland

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Author Info

  • John Cullinan

    ()
    (Department of Economics, National University of Ireland, Galway, Ireland)

  • Gannon, Brenda

    (Irish Centre for Social Gerontology/Department of Economics, National University of Ireland, Galway, Ireland)

  • Seán Lyons

    (Economic and Social Research Institute (ESRI))

Abstract

Addressing the extra economic costs of disability seems a logical step towards alleviating elements of social exclusion for people with disabilities. This paper estimates the economic cost of disability in Ireland in terms of the additional spending needs that arise due to disability. It defines and estimates models of the private costs borne by families with individuals who have a disability in Ireland when compared to the wider population, both in general and by severity of illness. Our modelling framework is based on the standard of living approach to estimating the cost of disability. We extend on previous research by applying an ordered logit modelling approach to Living in Ireland survey data 1995-2001 to quantify the extra costs of living associated with disability in Ireland. We also derive estimates of the cost of disability for ?pensioner? and ?non-pensioner? households, as well as over time. Our findings suggest that the economic cost of disability in Ireland is large, varies by severity of disability, and across household types. Overall our findings have important implications for measures of poverty in Ireland.

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File URL: http://www.esri.ie/UserFiles/publications/20080327085433/WP230.pdf
File Function: First version, 2008
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Bibliographic Info

Paper provided by Economic and Social Research Institute (ESRI) in its series Papers with number WP230.

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Length: 30 pages
Date of creation: Mar 2008
Date of revision:
Handle: RePEc:esr:wpaper:wp230

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  1. Gannon, Brenda & Nolan, Brian, 2007. "The impact of disability transitions on social inclusion," Social Science & Medicine, Elsevier, vol. 64(7), pages 1425-1437, April.
  2. Brenda Gannon & Brian Nolan, 2004. "Disability and Labour Force Participation in Ireland," The Economic and Social Review, Economic and Social Studies, vol. 35(2), pages 135–155.
  3. Christopher T. Whelan & Bertrand MaÎtre, 2006. "Levels and Patterns of Material Deprivation in Ireland: After the 'Celtic Tiger'," Papers WP171, Economic and Social Research Institute (ESRI).
  4. Asghar Zaidi & Tania Burchardt, 2005. "Comparing Incomes When Needs Differ: Equivalization For The Extra Costs Of Disability In The U.K," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 51(1), pages 89-114, 03.
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Cited by:
  1. John Cullinan & Brenda Gannon & Eamon O’Shea, 2013. "The welfare implications of disability for older people in Ireland," The European Journal of Health Economics, Springer, vol. 14(2), pages 171-183, April.

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