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Unemployment insurance and disability insurance in the Great Recession

Author: Andreas Mueller; Jesse Rothstein; Till von Wachter; National Bureau of Economic Research.
Publisher: Cambridge, Mass. : National Bureau of Economic Research, 2013.
Series: Working paper series (National Bureau of Economic Research), no. 19672.
Edition/Format:   eBook : Document : EnglishView all editions and formats
Database:WorldCat
Summary:
Disability insurance (DI) applications and awards are countercyclical. One potential explanation is that unemployed individuals who exhaust their Unemployment Insurance (UI) benefits use DI as a form of extended benefits. We exploit the haphazard pattern of UI benefit extensions in the Great Recession to identify the effect of UI exhaustion on DI application, using both aggregate data at the state-month and  Read more...
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Material Type: Document, Internet resource
Document Type: Internet Resource, Computer File
All Authors / Contributors: Andreas Mueller; Jesse Rothstein; Till von Wachter; National Bureau of Economic Research.
OCLC Number: 865004346
Notes: Title from http://www.nber.org/papers/19672 viewed December 11, 2013.
"November 2013."
Description: 1 online resource (36, [13], iii, [4] pages) : illustrations.
Series Title: Working paper series (National Bureau of Economic Research), no. 19672.
Responsibility: Andreas I. Mueller, Jesse Rothstein, Till M. von Wachter.

Abstract:

Disability insurance (DI) applications and awards are countercyclical. One potential explanation is that unemployed individuals who exhaust their Unemployment Insurance (UI) benefits use DI as a form of extended benefits. We exploit the haphazard pattern of UI benefit extensions in the Great Recession to identify the effect of UI exhaustion on DI application, using both aggregate data at the state-month and state-week levels and microdata on unemployed individuals in the Current Population Survey. We find no indication that expiration of UI benefits causes DI applications. Our estimates are sufficiently precise to rule out effects of meaningful magnitude.

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