Economic Aspects of Disability Behavior

by Aarts, L.; De Jong, Philip R.

• ISBN13: 9780444894625
• ISBN10: 0444894624
• Format: Hardcover
• Copyright: 1992-09-01
• Publisher: Elsevier Science Ltd

Summary

One of the more striking aspects of the Dutch Welfare State is its apparent difficulty in controlling the number of transfer recipients. A prime example of this management problem is the Disability Insurance program. This monograph presents a thorough investigation of the behavioral responses of employees and firms to this generous disability scheme. The heart of the study is the empirical part based on a rich data set of persons who apply for benefits and those who do not. The data derive both from self-reports as well as medical and vocational expert evaluations. Combining facets of health economics, medical sociology and econometric technique, the authors are able to reveal the intricate causalities that underlie the disability process.

Table of Contents

Acknowledgement
List of Tables, Schemes, and Figures
Economic Aspects of Disability Behavior; Introduction	p. 1
Social Disability Insurance	p. 3
Efficiency and Equity Aspects of Social Disability Insurance	p. 6
The Dutch, Disability Program in National and International Perspective	p. 13
Dutch Social Security in International Perspective	p. 13
Outline of the Dutch Social Security System	p. 24
The DI-Program in National and International Perspective	p. 33
The 1987 System Reform	p. 46
The Disability Process	p. 53
The Medical-Sociological Approach to Disability Behavior	p. 56
The Micro-Economics of Disability Behavior	p. 65
History, Data and Design of the Study	p. 103
Previous History	p. 103
Sampling Procedures	p. 106
Nonresponse	p. 110
Limitations of the Database	p. 114
A Preliminary Picture of the Samples	p. 116
Design of the Study	p. 126
Appendix to 4	p. 129
Residual Work Capacity in the DI-Program	p. 131
Disability and Unemployment	p. 132
The Administrative Practice of Disability Determination	p. 135
The Determination of Work Capacity in the SB-Sample	p. 136
Expected Future Work Capacity	p. 140
Expected Future Work Capacity and Actual Work Resumption	p. 144
Work Capacity at DI-Entry	p. 146
Work Capacity of the Disabled after the 1987 System Reform	p. 152
Appendix to 5	p. 159
On the Problem of Endogenous Measurement Error	p. 167
Model and Estimation Procedure	p. 169
Empirical Specifications	p. 173
Further Estimation Results	p. 177
Appendix to 6	p. 186
Labor Market Opportunities	p. 189
Theoretical Modelling of Individual Labor Market Histories	p. 190
A Statistical Model of Individual Labor Market Histories	p. 200
Data and Further Specification of the Model Estimation Results	p. 203
Estimation Results	p. 210
Unemployment and Reemployment Probabilities; DI-Insured and DI-Entrants	p. 221
Firm Specific Disability Incidence Rates	p. 227
The DI-Program and the Firm	p. 228
A Model of the Firm Specific Disability Incidence	p. 233
Measuring the Firm Specific Disability Risk	p. 248
Appendix to 8	p. 251
Expected Earnings and DI-Benefit Streams	p. 255
Wages and Benefits; A Description	p. 257
The Wage Profiles	p. 259
Expected Earnings and DI-Benefit Streams	p. 266
Appendix to 9	p. 274
Determinants of Entering the DI-Program; Unconditional and Conditional Probability Models
Unconditional Probability Models	p. 279
The Conditional DI-Probability	p. 290
Simulation of the 1980-85 Changes	p. 299
Appendix to 10	p. 307
Forecasting the Size of the Disabled Population	p. 311
The Calculation Model	p. 313
Definitions and Input Data	p. 320
DIS-Population Forecasts	p. 326
Appendix to 11	p. 339
Economic Aspects of Disability Behavior; Summary and Conclusions	p. 343
Some Policy Implications	p. 354
References	p. 357
Author Index	p. 369
Subject Index	p. 371
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