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

Melissa S. Kearney, Brendan M. Price and Riley Wilson

AEA Papers and Proceedings, 2021, vol. 111, 486-90

Abstract: 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.

JEL-codes: G01 H55 J32 R23 (search for similar items in EconPapers)
Date: 2021
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Citations: View citations in EconPapers (3)

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Working Paper: Disability Insurance in the Great Recession: Ease of Access, Program Enrollment, and Local Hysteresis (2021)
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DOI: 10.1257/pandp.20211092

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