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Employment effects of job counseling for disability insurance recipients

Author

Listed:
  • Barbara Broadway

    (Melbourne Institute: Applied Economic & Social Research, The University of Melbourne)

  • Sonja C. Kassenboehmer

    (Centre for Health Economics, Monash Business School, Monash University, Institute for the Study of Labor (IZA), RWI Research Network)

Abstract

Many countries implement policies to promote labor market inclusion of disability support recipients. It is unclear whether such measures work. We exploit a quasi-experimental setting in Australia where compulsory job counseling was introduced in 2012 affecting only those social security disability insurance (DI) recipients below age 35. Using longitudinal administrative data on all DI recipients and applying a difference-in difference estimator, we find that the policy was largely ineffective and neither improved employment nor earnings.

Suggested Citation

  • Barbara Broadway & Sonja C. Kassenboehmer, 2019. "Employment effects of job counseling for disability insurance recipients," Melbourne Institute Working Paper Series wp2019n18, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
  • Handle: RePEc:iae:iaewps:wp2019n18
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    disability insurance; welfare reform; job counseling;
    All these keywords.

    JEL classification:

    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination

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