Hiu Man Chan
Charles River Associates
NBER Working Papers and Publications
|February 2000||How Large is the Bias is Self-Reported Disability?|
with Hugo Benitez-Silva, Moshe Buchinsky, Sofia Cheidvasser, John Rust: w7526
A pervasive concern with the use of self-reported health and disability measures in behavioral models is that they are biased and endogenous. A commonly suggested explanation is that survey respondents exaggerate the severity of health problems and incidence of disabilities in order to rationalize labor force non-participation, application for disability benefits and/or receipt of those benefits. This paper re-examines this issue using a self-reported indicator of disability status from the Health and Retirement Survey. Using a bivariate probit model we test and are unable to reject the hypothesis that the self-reported disability measure is an exogenous explanatory variable in a model of individual's decision to apply for DI benefits or Social Security Administration's decision to awar...
Published: Benitez-Silva, Hugo, Moshe Buchinsky, Hiu Man Chan, Sofia Cheidvasser, and John P. Rust. "How Large is the Bias is Self-Reported Disability?" Journal of Applied Econometrics 19 (2004): 649-670. citation courtesy of