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Disability and social security reforms: The French case

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  • Luc Behaghel

    (PSE - Paris-Jourdan Sciences Economiques - CNRS : UMR8545 - École des Hautes Études en Sciences Sociales (EHESS) - École des Ponts ParisTech (ENPC) - École normale supérieure [ENS] - Paris - Institut national de la recherche agronomique (INRA), EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris)

  • Didier Blanchet

    (INSEE-D3E - Département des études économiques d'ensemble - INSEE)

  • Thierry Debrand

    (IRDES - Institut de recherche et documentation en économie de la santé - IRDES)

  • Muriel Roger

    (PSE - Paris-Jourdan Sciences Economiques - CNRS : UMR8545 - École des Hautes Études en Sciences Sociales (EHESS) - École des Ponts ParisTech (ENPC) - École normale supérieure [ENS] - Paris - Institut national de la recherche agronomique (INRA), EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris, INSEE-D3E - Département des études économiques d'ensemble - INSEE)

Abstract

The French pattern of early transitions out of employment is basically explained by the low age at “normal” retirement and by the importance of transitions through unemployment insurance and early-retirement schemes before access to normal retirement. These routes have exempted French workers from massively relying on disability motives for early exits, contrarily to the situation that prevails in some other countries where normal ages are high, unemployment benefits low and early-retirement schemes almost non-existent. Yet the role of disability remains interesting to examine in the French case, at least for prospective reasons in a context of decreasing generosity of other programs. The study of the past reforms of the pension system underlines that disability routes have often acted as a substitute to other retirement routes. Changes in the claiming of invalidity benefits seem to match changes in pension schemes or controls more than changes in such health indicators as the mortality rates. However, our results suggest that increases in average health levels over the past two decades have come along with increased disparities. In that context, less generous pensions may induce an increase in the claiming of invalidity benefits partly because of substitution effects, but also because the share of people with poor health increases.

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Bibliographic Info

Paper provided by HAL in its series PSE Working Papers with number halshs-00556722.

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Date of creation: Jan 2011
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Handle: RePEc:hal:psewpa:halshs-00556722

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Keywords: pensions ; social security ; disability ; early retirement ; unemployment ; senior;

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References

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  1. Mélika Ben Salem & Didier Blanchet & Antoine Bozio & Muriel Roger, 2008. "Labor force participation by the elderly and employment of the young: The case of France," Working Papers halshs-00586064, HAL.
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Citations

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Cited by:
  1. Emmanuel Duguet & Christine Le Clainche, 2014. "Chronic Illnesses and Injuries: An Evaluation of their Impact on Occupation and Revenues / Maladies chroniques et accidents : une évaluation de leur impact sur le parcours professionnel et les revenu," Working Papers halshs-00966970, HAL.
  2. Catherine Pollak & Nicolas Sirven, 2012. "Active Ageing Beyond the Labour Market: Evidence on Work Environment Motivations," Working Papers DT48, IRDES institut for research and information in health economics, revised May 2012.
  3. Catherine Pollak, 2012. "Employed and Happy despite Weak Health? Labour Market Participation and Job Quality of Older Workers with Disabilities," Working Papers DT45, IRDES institut for research and information in health economics, revised Mar 2012.
  4. Emmanuel Duguet & Christine Le Clainche, 2014. "The Impact of Health Events on Individual Labor Market Histories: the Message from Difference in Differences with Exact Matching / L'impact des événements de santé sur la carrière professionnelle ," Working Papers halshs-00966963, HAL.
  5. Emmanuel Duguet & Christine le Clainche, 2012. "Chronic Illnesses and Injuries: An Evaluation of their Impact on Occupation and Revenues," Working Papers 12-02, LAMETA, Universtiy of Montpellier, revised Jan 2012.
  6. Luc Behaghel & Didier Blanchet & Muriel Roger, 2014. "Retirement, Early Retirement and Disability: Explaining Labor Force Participation after 55 in France," NBER Chapters, in: Social Security Programs and Retirement Around the World: Disability Insurance Programs and Retirement National Bureau of Economic Research, Inc.
  7. Emmanuelle Duguet & Christine Le Clainche, 2012. "The impact of health events on individual labor market histories : the message from difference in differences with exact matching," Working Papers 12-08, LAMETA, Universtiy of Montpellier, revised Mar 2012.
  8. Rob Euwals & Daniel van Vuuren & Annemiek van Vuren, 2011. "The impact of reforms on labour market exit probabilities," CPB Discussion Paper 179, CPB Netherlands Bureau for Economic Policy Analysis.
  9. Emmanuel Duguet & Chr. Le Clainche, 2014. "The Effect of Non-Work Related Health Events on Career Outcomes: An Evaluation in the French Labor Market," Working Papers halshs-00674553, HAL.
  10. Mohamed Ali Ben Halima & Thierry Debrand & Camille Regaert, 2012. "Sick Leaves: Understanding Disparities Between French Departments," Working Papers DT50, IRDES institut for research and information in health economics, revised Oct 2012.
  11. Euwals, Rob & van Vuren, Annemiek & van Vuuren, Daniel, 2011. "The Decline of Early Retirement Pathways in the Netherlands: An Empirical Analysis for the Health Care Sector," IZA Discussion Papers 5810, Institute for the Study of Labor (IZA).

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