Income differences between disabled and non-disabled; Age-, cohort- or period effects?

Abstract

This article compares the income distribution among disabled and non-disabled persons in Norway. Based on the level of living surveys covering the period from 1980 to 1995, the analysis shows a large and increasing income gap between the two groups. The disabled are losing ground to the non-disabled part of the population, however this is most pronounced over the age of 40, while there are only minor differences between disabled and non-disabled people under 40. Three different explanations for this pattern are discussed; one pointing at differences in ageing processes within the two groups, one at cohort characteristics and the third relating the increasing differences to period characteristics. We argue that the observed income differences are mostly due to period characteristics, indicating strong and increasing exclusion prosesses of disabled persons from the labour market We also argue that focus should be on structural characteristics rather than on individual properties to understand and improve the living conditions of persons with disabilities.