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Disability in Italian Households: Income, Poverty and Labour Market Participation
[journal article]
Abstract This paper studies the economic effects of disabled members on Italian households, with the aim of identifying a suitable target group for welfare policies. SHIW data for the year 2000 is used. Preliminary results show significant differences in levels of income and poverty diffusion to the detrimen... view more
This paper studies the economic effects of disabled members on Italian households, with the aim of identifying a suitable target group for welfare policies. SHIW data for the year 2000 is used. Preliminary results show significant differences in levels of income and poverty diffusion to the detriment of households with disabled members. We propose an exogenous explanation: the replacement ratio between disability benefits and expected labour income shows that disability benefits do not compensate the potential incomes of the disabled person and of the possible carer, except in households with severe socio economic disadvantages. We also propose an endogenous explanation: applying a logit model we show that the labour market participation of the possible carer is reduced in households with disabled persons. In order to increase the income of the households with disabled members, policy recommendations include the provision of care services and structural policies to improve employment, income, and educational opportunities for households at greatest disadvantage.... view less
Document language
English
Publication Year
2008
Page/Pages
p. 2615-2630
Journal
Applied Economics, 40 (2008) 20
DOI
https://doi.org/10.1080/00036840600970211
Status
Postprint; peer reviewed
Licence
PEER Licence Agreement (applicable only to documents from PEER project)