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Essays On Effects Of Illness And Supplemental Security Income On Employment, Sarmistha Pal

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The first and second chapters examine the disincentive effects of the Supplemental Security Income (SSI) Program's generosity on the employment decisions of prime age blind and/or deaf individuals. Using an individual-level model with state and time-fixed effects and the Difference-in-Difference method, I find only small impacts of an increase in monthly SSI benefits. Grouping all blind and deaf individuals together, the estimated impact of a $100 increase in monthly maximum SSI benefits (about a 17% increase) is only a 0.4 percentage point reduction in labor force participation. The estimated effects from separate analysis by demographic groups, however, suggest larger reductions …