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Project Citation: 

Autor, David H., Duggan, Mark, Greenberg, Kyle, and Lyle, David S. Replication data for: The Impact of Disability Benefits on Labor Supply: Evidence from the VA’s Disability Compensation Program. Nashville, TN: American Economic Association [publisher], 2016. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E113644V1

Project Description

Summary:  View help for Summary Combining administrative data from the US Army, Department of Veterans Affairs, and Social Security Administration, we analyze the effect of the VA's Disability Compensation (DC) program on veterans' labor force participation and earnings. We study the 2001 Agent Orange decision, a unique policy change that expanded DC eligibility for Vietnam veterans who served in theater but did not expand eligibility to other veterans of this era, to assess the causal effects of DC enrollment. We estimate that benefits receipt reduced veterans' labor force participation by 18 percentage points, though measured income net of transfer income rose on average.

Scope of Project

JEL Classification:  View help for JEL Classification
      H51 National Government Expenditures and Health
      I12 Health Behavior
      I18 Health: Government Policy; Regulation; Public Health
      J14 Economics of the Elderly; Economics of the Handicapped; Non-labor Market Discrimination
      J22 Time Allocation and Labor Supply
      J28 Safety; Job Satisfaction; Related Public Policy
      J31 Wage Level and Structure; Wage Differentials


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