Vocational Considerations and Trends in Social Security Disability

1 Pages Posted: 27 Oct 2016 Last revised: 10 Jan 2020

See all articles by Amanda M. Michaud

Amanda M. Michaud

Indiana University

Jaeger Nelson

Indiana University

David G. Wiczer

SUNY Stony Brook - Department of Economics

Date Written: 2016-10-16

Abstract

Along with health, Social Security Disability Insurance (SSDI) evaluates work-limiting disability by considering vocational factors including age, education, and past work experience. As the number of SSDI applicants and awards has increased, these vocational criteria are increasingly important to acceptances and denials. A unique state-level dataset allows us to estimate how these factors relate to the SSDI award process. These estimates are used to asses how changes to the demographic and occupational composition have contributed to awards trends. In our results, the prevalence of workers in their 50s are especially important. Further, increasing educational attainment lowers applications and vocational awards.

Keywords: Disability Insurance, Vocational Criteria, Demographic Decomposition

JEL Classification: E62, I13

Suggested Citation

Michaud, Amanda M. and Nelson, Jaeger and Wiczer, David G., Vocational Considerations and Trends in Social Security Disability (2016-10-16). FRB St. Louis Working Paper No. 2016-18. Available at SSRN: https://ssrn.com/abstract=2859956 or http://dx.doi.org/10.20955/wp.2016.018

Amanda M. Michaud (Contact Author)

Indiana University ( email )

Jaeger Nelson

Indiana University ( email )

107 S Indiana Ave
100 South Woodlawn
Bloomington, IN 47405
United States

David G. Wiczer

SUNY Stony Brook - Department of Economics ( email )

NY 11733-4384
United States

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