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A disturbing phenomenon in modern welfare states is the positive correlation in the probability of receiving disability benefits across generations. Understanding the intergenerational transmission mechanism is crucial, especially when the proportion of the working-age population receiving public benefits or support is increasing in most OECD countries. Using data from Norway, a country where around 10 of the working-age population rely on disability benefits, this article addresses whether childrens exposure to parents receiving disability benefits induces a higher probability of receiving such benefits themselves.
Oxford Economic Papers – Oxford University Press
Published: Apr 13, 2015
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