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Applications to the US Disability Program: A Semiparametric Approach

  • Kreider, Brent
  • Riphahn, Regina

This study investigates the determinants of applications for US disability benefits between 1986 and 1993 using a semiparametric discrete factor procedure. Approximating a dynamic optimization model, the estimation carefully accounts for a variety of potential biases that weren’t addressed in previous studies. Our results indicate vast differences in the responses of men and women to variations in policy measures. Past labour earnings and fringe benefits as well as benefit eligibility and benefit amounts clearly affect application behaviour.

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File URL: http://www.cepr.org/active/publications/discussion_papers/dp.php?dpno=1559
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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 1559.

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Date of creation: Jan 1997
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Handle: RePEc:cpr:ceprdp:1559
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