DP1471 Incapacity Benefits versus Benefit Transfers
|Author(s):||Mike Orszag, Dennis J. Snower|
|Publication Date:||September 1996|
|Keyword(s):||Employment Policy, Incapacity Benefits, Labour Force Participation|
|JEL(s):||J23, J24, J31, J32, J64|
|Programme Areas:||Human Resources|
|Link to this Page:||cepr.org/active/publications/discussion_papers/dp.php?dpno=1471|
The paper explores the employment implications of allowing people the opportunity of using a portion of their incapacity benefits to provide employment vouchers for employers that hire them. The analysis indicates that introducing this policy could increase employment, raise the incomes of incapacity benefit recipients, and reduce employers? labour costs.