Data and Code for "The Impact of Benefit Generosity on Workers' Compensation Claims: Evidence and Implications"
Principal Investigator(s): View help for Principal Investigator(s) Marika Cabral, University of Texas-Austin; Marcus Dillender, Vanderbilt University
Version: View help for Version V1
| Name | File Type | Size | Last Modified |
|---|---|---|---|
| cleaned | 05/19/2023 04:58:PM | ||
| data_public | 09/20/2023 10:09:AM | ||
| data_restricted | 05/19/2023 04:58:PM | ||
| interim | 05/19/2023 04:58:PM |
Project Description
Summary:
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Leveraging unique administrative data and a sharp increase in benefit generosity in a difference-in-differences research design, we estimate the impact of workers' compensation wage replacement benefits on individual behavior and program costs. We find that increased benefit generosity leads to longer income benefit durations and increased medical spending. Responses along these two margins are equally important drivers of increased program costs, collectively increasing program costs 1.4 times the mechanical increase in costs. Using these estimates and an estimate of the consumption drop among injured workers, our welfare calibrations suggest that a marginal increase in benefit generosity would not improve welfare.
Scope of Project
JEL Classification:
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H00 Public Economics: General
I10 Health: General
H00 Public Economics: General
I10 Health: General
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