Labor participation and disability: the case of the Andalusian Community

The main objective of this work is to analyse the effects of having a disability on the probability of being active in the Andalusian Community. Taken the data from the "Encuesta sobre Discapacidades, Deficiencias y Estado de Salud" of 1999, we estimate different specifications of a logit model of labour participation, which includes variables related to person's socio-economics characteristics and several variant of the disability and deficiency variables (number, type and level). The results show that being disabled jointly with receiving subsidies or benefits has an negative generic influence on the probability of being active. Moreover, the interaction between disability and perception of public transfers potentially related to the disability status have a very negative effect on such a probability.