Do Partial Disability Pensions Close the Earnings Gap?

  1. Begoña Cueto 2
  2. Miguel A. Malo 1
  1. 1 Universidad de Salamanca
    info

    Universidad de Salamanca

    Salamanca, España

    ROR https://ror.org/02f40zc51

  2. 2 Universidad de Oviedo
    info

    Universidad de Oviedo

    Oviedo, España

    ROR https://ror.org/006gksa02

Revista:
Hacienda Pública Española / Review of Public Economics

ISSN: 0210-1173

Año de publicación: 2016

Número: 216

Páginas: 103-126

Tipo: Artículo

DOI: 10.7866/HPE-RPE.16.1.5 DIALNET GOOGLE SCHOLAR lock_openAcceso abierto editor

Otras publicaciones en: Hacienda Pública Española / Review of Public Economics

Resumen

In this article, we estimate the total earnings losses of male workers with a partial disability, i.e., they are able to work at a different occupation after the disability’s onset. We use a Spanish administrative dataset (Muestra Continua de Vidas Laborales) from a specific partial disability pension scheme (Incapacidad Permanente Total). Using propensity score estimators combined with difference-in-differences, the estimation of the causal effect of the disability onset shows earnings losses to be approximately €400 per month for the first two years. For male workers over 54, total earnings losses are greater although they receive greater benefits.

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