In my latest put up about Walter Block, I wrote:
I discover that Provost Singh thinks {that a} assertion that the Incapacity Act shouldn’t exist is racist and/or sexist. Critically? Is she conscious that one of many teams that has been most damage by that regulation is people who find themselves disabled? The reason being that the requirement for accommodating these with disabilities makes employers hesitant to rent disabled folks.
A commenter on my put up, Daniel B, in what he referred to as a rant however I considered a very good remark, acknowledged:
Now that my rant is over, I need to ask David to please put up some ADA readings for us within the feedback part 😀 I wish to study extra!
I replied that I used to be fairly certain I had learn an NBER working paper on it some years in the past. It seems that I did, however I had forgotten who the authors have been.
The paper is Daron Acemoglu and Joshua Angrist, “Penalties of Employment Safety? The Case of the American with Disabilities Act,” NBER Working Paper #6670, July 1998. Right here’s their summary:
The Individuals With Disabilities Act (ADA) requires employers to accommodate disabled staff and outlaws discrimination in opposition to the disabled in hiring, firing, and pay. Though the ADA was meant to extend employment of the disabled, it additionally will increase prices for employers. The online theoretical affect activates which provisions of the ADA are most vital and the way responsive agency entry and exit is to earnings. Empirical outcomes utilizing the CPS recommend that the ADA had a unfavorable impact on the employment of disabled males of all working ages and disabled ladies below age 40. The results look like bigger in medium measurement companies, presumably as a result of small companies have been exempt from the ADA. The results are additionally bigger in states the place there have been extra ADA-related discrimination fees. Estimates of results on hiring and firing recommend the ADA lowered hiring of the disabled however didn’t have an effect on separations. This weighs in opposition to a pure firing-costs interpretation of the ADA. Lastly, there’s little proof of an affect on the nondisabled, suggesting that the adversarial employment penalties of the ADA have been restricted to the protected group.
Angrist, by the best way, is without doubt one of the three co-winners of the 2021 Nobel Prize in economics.
The paper was in the end printed within the Journal of Political Economic system, 2001, Vol. 109, No. 5
