Why Do Past Disabilities Still Haunt the Newly Healthy?
DOI:
https://doi.org/10.15353/rea.v12i3.1768Keywords:
dynamic panel data, disability, labour force participationAbstract
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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