CPR Working Paper Series No. 105
The Effects of Disability Insurance on Health Investment: Evidence from the VA Disability Compensation Program
Perry Singleton
May 2008
Abstract:
I examine whether individuals respond to monetary incentives to detect latent medical conditions. The effect is identified by an amendment to Title 38 that deemed diabetes associated with Agent Orange exposure a compensable disability under the VA's Disability Compensation program. Since a diagnosis is a requisite for benefit eligibility, and nearly one-third of diabetics remain undiagnosed, the advent of disability insurance may have encouraged the detection of diabetes among the previously undiagnosed population. Evidence from the National Health Interview Survey suggests that the policy increased the prevalence of diabetes by 2.7 percentage points among veterans.For more information on ordering a hard copy of this paper, please contact the Publications Officer, Center for Policy Research, 426 Eggers Hall, Syracuse University, Syracuse, New York 13244-1020 or e-mail our Publications Officer at puboff@maxwell.syr.edu. Each hard copy costs $5.00 (US) and payment should be included with mail order.
