Why Do Past Disabilities Still Haunt the Newly Healthy?

Authors

  • Umut Oguzoglu University of Manitoba and IZA

DOI:

https://doi.org/10.15353/rea.v12i3.1768

Keywords:

dynamic panel data, disability, labour force participation

Abstract

 A dynamic labour force participation model is used to estimate the impact of disability shocks on labour force participation using a longitudinal sample drawn from the National Population Health Survey. Findings suggest that state dependence play a crucial role in how temporary disabilities can have long lasting employment effects. A disability shock that last only one period is shown to lower labour force participation up to 3 additional periods. Findings are in support of policies that promote greater labour force attachment for individuals with disabilities.

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Published

2020-10-27

Issue

Section

Articles