Disability benefit growth and disability reform in the U.S.: lessons from other OECD nations
AbstractUnsustainable growth in program costs and beneficiaries, together with a growing recognition that even people with severe impairments can work, led to fundamental disability policy reforms in the Netherlands, Sweden, and Great Britain. In Australia, rapid growth in disability recipiency led to more modest reforms. Here we describe the factors driving unsustainable DI program growth in the U.S., show their similarity to the factors that led to unsustainable growth in these other four OECD countries, and discuss the reforms each country implemented to regain control over their cash transfer disability program. Although each country took a unique path to making and implementing fundamental reforms, shared lessons emerge from their experiences.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Federal Reserve Bank of San Francisco in its series Working Paper Series with number 2013-40.
Length: 61 pages
Date of creation: 13 Dec 2013
Date of revision:
Other versions of this item:
- Richard Burkhauser & Mary Daly & Duncan McVicar & Roger Wilkins, 2014. "Disability benefit growth and disability reform in the US: lessons from other OECD nations," IZA Journal of Labor Policy, Springer, vol. 3(1), pages 1-30, December.
- H53 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Welfare Programs
This paper has been announced in the following NEP Reports:
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Nicole Maestas & Kathleen J. Mullen & Alexander Strand, 2010.
"Does Disability Insurance Receipt Discourage Work? Using Examiner Assignment to Estimate Causal Effects of SSDI Receipt,"
853, RAND Corporation Publications Department.
- Nicole Maestas & Kathleen Mullen & Alexander Strand, 2012. "Does Disability Insurance Receipt Discourage Work? Using Examiner Assignment to Estimate Causal Effects of SSDI Receipt," Working Papers wp241, University of Michigan, Michigan Retirement Research Center.
- Jönsson, Lisa & Palme, Mårten & Svensson, Ingemar, 2010.
"Disability Insurance, Population Health and Employment in Sweden,"
Research Papers in Economics
2010:25, Stockholm University, Department of Economics.
- Lisa Jönsson & Mårten Palme & Ingemar Svensson, 2012. "Disability Insurance, Population Health, and Employment in Sweden," NBER Chapters, in: Social Security Programs and Retirement around the World: Historical Trends in Mortality and Health, Employment, and Disability Insurance Participatio, pages 79-126 National Bureau of Economic Research, Inc.
- Lisa Jönsson & Mårten Palme & Ingemar Svensson, 2011. "Disability Insurance, Population Health and Employment in Sweden," NBER Working Papers 17054, National Bureau of Economic Research, Inc.
- Daniela Andrén, 2003. "Sickness-related Absenteeism and Economic Incentives in Sweden: A History of Reforms," CESifo DICE Report, Ifo Institute for Economic Research at the University of Munich, vol. 1(3), pages 54-60, 02.
- Duncan McVicar & Roger Wilkins, 2013. "Explaining the Growth in the Number of Recipients of the Disability Support Pension in Australia," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 46(3), pages 345-356, 09.
- David H. Autor & Mark G. Duggan, 2006.
"The Growth in the Social Security Disability Rolls: A Fiscal Crisis Unfolding,"
Journal of Economic Perspectives,
American Economic Association, vol. 20(3), pages 71-96, Summer.
- David Autor & Mark Duggan, 2006. "The Growth in the Social Security Disability Rolls: A Fiscal Crisis Unfolding," NBER Working Papers 12436, National Bureau of Economic Research, Inc.
- Richard V. Burkhauser & Mary C. Daly, 2012. "Social Security Disability Insurance: Time For Fundamental Change," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 31(2), pages 454-461, 03.
- Dan Black & Kermit Daniel & Seth Sanders, 2002. "The Impact of Economic Conditions on Participation in Disability Programs: Evidence from the Coal Boom and Bust," American Economic Review, American Economic Association, vol. 92(1), pages 27-50, March.
- Richard V. Burkhauser & Mary C. Daly & Brian T. Lucking, 2013. "Is Australia One Recession Away from a Disability Blowout? Lessons from Other Organisation for Economic Co-operation and Development Countries," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 46(3), pages 357-368, 09.
- Mark Duggan & Scott A. Imberman, 2009. "Why Are the Disability Rolls Skyrocketing? The Contribution of Population Characteristics, Economic Conditions, and Program Generosity," NBER Chapters, in: Health at Older Ages: The Causes and Consequences of Declining Disability among the Elderly, pages 337-379 National Bureau of Economic Research, Inc.
- Jan-Maarten van Sonsbeek & Raymond Gradus, 2011.
"Estimating the Effects of Recent Disability Reforms in The Netherlands,"
Tinbergen Institute Discussion Papers
11-121/3, Tinbergen Institute.
- Jan-Maarten van Sonsbeek & Raymond H. J. M. Gradus, 2013. "Estimating the effects of recent disability reforms in the Netherlands," Oxford Economic Papers, Oxford University Press, vol. 65(4), pages 832-855, October.
- Christina Beatty & Stephen Fothergill, 2005. "The diversion from 'unemployment' to 'sickness' across British regions and districts," Regional Studies, Taylor & Francis Journals, vol. 39(7), pages 837-854.
- Duncan McVicar, 2008. "Why Have Uk Disability Benefit Rolls Grown So Much?," Journal of Economic Surveys, Wiley Blackwell, vol. 22(1), pages 114-139, 02.
- Marcus E. Rebick, 1994. "Social Security and Older Workers' Labor Market Responsiveness: The United States, Japan, and Sweden," NBER Chapters, in: Social Protection versus Economic Flexibility: Is There a Trade-Off?, pages 189-222 National Bureau of Economic Research, Inc.
- Michael Anyadike-Danes & Duncan McVicar, 2008. "Has the Boom in Incapacity Benefit Claimant Numbers Passed Its Peak?," Fiscal Studies, Institute for Fiscal Studies, vol. 29(4), pages 415-434, December.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Diane Rosenberger).
If references are entirely missing, you can add them using this form.