Disability Insurance in the Great Recession: Ease of Access, Program Enrollment, and Local Hysteresis

2021 ◽  
Vol 111 ◽  
pp. 486-490
Author(s):  
Melissa S. Kearney ◽  
Brendan M. Price ◽  
Riley Wilson

We examine the interaction between Social Security Disability Insurance (SSDI) access and economic shocks during the Great Recession by exploiting exogenous variation in SSDI appeals processing time–a measure of hassle or access–between neighboring zip codes assigned to different hearing offices. During the Great Recession, longer processing times led to lower SSDI enrollment in places that experienced more severe labor market downturns. In the full sample, processing time has no clear effect on the pace of employment recovery. However, among severely shocked places with high baseline SSDI enrollment, those with longer processing times saw faster recovery in employment rates.

2015 ◽  
Vol 105 (5) ◽  
pp. 177-182 ◽  
Author(s):  
Nicole Maestas ◽  
Kathleen J. Mullen ◽  
Alexander Strand

The US Social Security Disability Insurance (SSDI) program is designed to provide income support to workers who become unable to work because of a severe, long-lasting disability. In this study, we use administrative data to estimate the effect of labor market conditions, as measured by the unemployment rate, on the number of SSDI applications, the number and composition of initial allowances and denials, and the timing of applications relative to disability onset. We analyze the period of the Great Recession, and compare this period with business cycle effects over the past two decades, from 1992 through 2012.


2016 ◽  
Vol 47 (4) ◽  
pp. 3-9 ◽  
Author(s):  
Scott H. Yamamoto ◽  
Deborah L. Olson

People with disabilities (PWD) in the U.S. experience lower employment rates and wages than people without disabilities, and unfortunately this historical trend has had negative consequences for our society. A major federal initiative to address this problem was in creating State-Federal Vocational Rehabilitation (VR) services to assist PWD to obtain and retain employment. This study analyzed and described VR employment outcomes across several consecutive recent years and across states and client characteristics. From 2008 to 2012, which included the years of the ‘Great Recession’, the upper Northeast and the South had the highest VR employment closure rates; rates among white males were the highest. Results of this study have important implications for researchers, VR services, and policymakers in a larger context of an economy that continues to evolve and technological advancements that will create new opportunities but also challenges.


2011 ◽  
Vol 101 (7) ◽  
pp. 3308-3329 ◽  
Author(s):  
Till von Wachter ◽  
Jae Song ◽  
Joyce Manchester

Longitudinal administrative data show that rejected male applicants to the Disability Insurance (DI) program who are younger or have low-mortality impairments such as back pain and mental health problems exhibit substantial labor force attachment. While we confirm that employment rates of older rejected applicants are low, continued high numbers of younger and low-mortality beneficiaries have raised the potential employment of DI beneficiaries. Three findings support economic inducement to apply. Mean preapplication earnings have fallen, rejected applicants experience preapplication declines in earnings, and beneficiaries whose first applications were rejected at the DDS level but who ultimately received benefits exhibit substantial employment. JEL: H55, J14, J28, J31


2018 ◽  
Vol 10 (4) ◽  
pp. 153-176 ◽  
Author(s):  
Peter Ganong ◽  
Jeffrey B. Liebman

One-in-seven Americans received benefits from the Supplemental Nutrition Assistance Program in 2011, an all-time high. We analyze changes in program enrollment over the past two decades, quantifying the contributions of unemployment and state policy changes. Using instrumental variables to address measurement error, we estimate that a 1 percentage point increase in unemployment raises enrollment by 15 percent. Unemployment explains most of the decrease in enrollment in the late 1990s, state policy changes explain more of the increase in enrollment in the early 2000s, and unemployment explains most of the increase in enrollment in the aftermath of the Great Recession. (JEL E24, E32, H53, H75, I12, I18, I58)


2015 ◽  
Author(s):  
Nicole Maestas ◽  
Kathleen Mullen ◽  
Alexander Strand

2020 ◽  
Vol 44 (1) ◽  
pp. 113-141
Author(s):  
Fabian Geelhoedt ◽  
Vicente Royuela ◽  
David Castells-Quintana

In this paper we study an association almost neglected in the literature, that between income inequality and resilience. In particular, we explore the response of employment rates in the face of the crisis of 2008 and how income inequality levels may have affected this response. To do so, we construct two measures of employment resilience—resistance and recoverability—using data on total employment and self-employment for 995 Spanish municipalities during the Great Recession. Our results provide evidence of the threats that high levels of inequality pose for employment resilience, showing that average income is the most important mediating factor of this association.


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