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Disability in Italian households: income, poverty and labour market participation

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  • Giuliana Parodi
  • Dario Sciulli

Abstract

This article studies the economic effects of disabled members on Italian households, with the aim of identifying a suitable target group for welfare policies. Survey of Households Income and Wealth data for the year 2000 is used. Preliminary results show significant differences in levels of income and poverty diffusion to the detriment of households with disabled members. We propose an exogenous explanation: the replacement ratio between disability benefits and expected labour income shows that disability benefits do not compensate the potential incomes of the disabled person and of the possible carer, except in households with severe socioeconomic disadvantages. We also propose an endogenous explanation: applying a logit model we show that the labour market participation of the possible carer is reduced in households with disabled persons. In order to increase the income of the households with disabled members, policy recommendations include the provision of care services and structural policies to improve employment, income and educational opportunities for households at greatest disadvantage.

Suggested Citation

  • Giuliana Parodi & Dario Sciulli, 2008. "Disability in Italian households: income, poverty and labour market participation," Applied Economics, Taylor & Francis Journals, vol. 40(20), pages 2615-2630.
  • Handle: RePEc:taf:applec:v:40:y:2008:i:20:p:2615-2630
    DOI: 10.1080/00036840600970211
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    Citations

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    Cited by:

    1. Dario Sciulli & Antonio Menezes & José Vieira, 2012. "Unemployment Duration and Disability: Evidence from Portugal," Journal of Labor Research, Springer, vol. 33(1), pages 21-48, March.
    2. M. Agovino & A. Rapposelli, 2017. "Speculation on a Flexicurity Index for Disabled People: The Italian Case," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 130(1), pages 389-414, January.
    3. Salvioni, Cristina & Sciulli, Dario & Parodi, Giuliana, 2008. "Do Caring Services Affect Off-Farm Work? Evidence from Italy," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 9(2), June.
    4. Agovino, Massimiliano & Ferrara, Maria, 2015. "Disabilità e povertà: il ruolo delle pensioni di invalidità civile. Un'analisi DSGE per i dati italiani
      [Disability and poverty: the role of civilian disability pensions. A DSGE analysis for Italia
      ," MPRA Paper 65616, University Library of Munich, Germany.
    5. Giuliana Parodi & Dario Sciulli, 2012. "Disability and low income persistence in Italian households," International Journal of Manpower, Emerald Group Publishing, vol. 33(1), pages 9-26, March.
    6. Parodi, Giuliana & Sciulli, Dario, 2012. "Disability and Social Exclusion Dynamics in Italian Households," MPRA Paper 42445, University Library of Munich, Germany.
    7. Chiara Mussida & Dario Sciulli, 2015. "Direct and indirect effects of disability on employment probabilities: a comparative analysis," DISCE - Quaderni del Dipartimento di Scienze Economiche e Sociali dises1507, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    8. Danacica, Daniela Emanuela & Cirnu, Doru, 2014. "Unemployment Duration and Exit States of Disabled People in Romania," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(1), pages 35-52, March.
    9. Tindara Addabbo & Elena Sarti & Dario Sciulli, 2016. "Disability and Life Satisfaction in Italy," Applied Research in Quality of Life, Springer;International Society for Quality-of-Life Studies, vol. 11(3), pages 925-954, September.
    10. M. Agovino & A. Rapposelli, 2017. "Regional Performance Trends in Providing Employment for Persons with Disabilities: Evidence from Italy," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 130(2), pages 593-615, January.
    11. Mitra, Sophie & Posarac, Aleksandra & Vick, Brandon, 2013. "Disability and Poverty in Developing Countries: A Multidimensional Study," World Development, Elsevier, vol. 41(C), pages 1-18.
    12. repec:spr:qualqt:v:51:y:2017:i:4:d:10.1007_s11135-016-0347-9 is not listed on IDEAS
    13. Mitra, Sophie & Posarac, Aleksandra & Vick, Brandon, 2011. "Disability and poverty in developing countries : a snapshot from the world health survey," Social Protection and Labor Policy and Technical Notes 62564, The World Bank.
    14. Massimiliano Agovino & Maria Ferrara, 2017. "Can civilian disability pensions overcome the poverty issue? A DSGE analysis for Italian data," Quality & Quantity: International Journal of Methodology, Springer, vol. 51(4), pages 1469-1491, July.
    15. Massimiliano Agovino & Agnese Rapposelli, 2017. "Macroeconomic impact of flexicurity on the integration of people with disabilities into the labour market. A two-regime spatial autoregressive analysis," Quality & Quantity: International Journal of Methodology, Springer, vol. 51(1), pages 307-334, January.

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