Life-Expectancy Augmented Rational Addition: A Note.

The Becker-Murphy equality between the addictive commodity's full price and marginal utility is modified by discounting the market price and marginal utility of the addictive commodity by the probability of living at least until the time under consideration. the rate of change of the shadow price of addiction is lower than that obtained with models ignoring the effectof addiction on the probability of dying.RATIONAL EXPECTATIONS

Material Hardship, Poverty, and Disability among Working-Age Adults

We use longitudinal data from the Survey of Income and Program Participation (SIPP) spanning the 1996 to 1999 period to estimate the prevalence of several types of material hardships among working-age people with and without disabilities. The hardships studied relate to: the ability to meet expenses; ability to pay rent or mortgage and utility bills; ability to obtain needed medical and dental care; and food security. Several alternative measures of disability are used, including distinctions between short and long-term disability. We find that, regardless of the disability measure used, people with disabilities experience various kinds of material hardship at substantially higher rates than their counterparts without disabilities. Hardship experiences did not differ dramatically between those with short and long-term disabilities. We estimate logit models of the likelihood of reporting material hardships to assess the importance of disability after controlling for income and other sociodemographic characteristics. We find that disability is an important determinant of material hardship even after controlling for these factors. All else constant, the odds of reporting hardship are 70 to 280 percent greater among people with disabilities compared with people without disabilities, depending on the measure of disability and the specific hardship considered. To illustrate the differences between those with and without disabilities from another perspective, we use the logit estimates to calculate the household income individuals with disabilities would need to attain the same likelihood of reporting a given material hardship as those without disabilities with household income at the official poverty level. We find that people with disabilities living alone would need annual incomes on the order of $18,000 to$38,000 to experience the same level of hardship, on average, as those without disabilities with incomes at the poverty level (about $10,000), depending on the nature of the disability and the hardship considered. We also estimate disability prevalence among working-age people with incomes at or below 200 percent of the federal poverty level and reporting hardships. A large majority of the low-income respondents reporting a material hardship in 1998 also reported a disability of some sort between 1996 and 1999. Among the hardships studied, people with disabilities made up the largest shares of those not getting needed medical care (64 percent) and those reporting food insecurity with hunger (72 percent). The findings suggest that comparisons of conventional poverty rates for people with and without disabilities may understate the differences in the relative economic well-being of these two populations. At a given level of income, people with disabilities will not, on average, achieve the same level of material well-being as those without disabilities. The findings provide support for policies that account for disability-related expenditures and needs when determining eligibility for means-tested assistance programs. The findings also highlight an important limitation of the official poverty measure; it overstates the economic relative well-being of a group that represents a large share of the low-income population, people with disabilities

A Review of Recent Evaluation Efforts Associated with Programs and Policies Designed to Promote the Employment of Adults with Disabilities

The purpose of this report is to provide a review of the recent evaluation activities being conducted for a number of state and federal programs, policies, and initiatives designed to promote the employment of people with disabilities. The review is intended to provide a single source for information on the nature of the initiatives and the evaluation efforts that have been recently completed or are currently under way and the findings to date related to the effectiveness of these initiatives. This broad review is also intended to provide some evidence of the progress we are making. The report also suggests avenues where further efforts and progress might be warranted. We identified 27 initiatives or programs and their associated evaluations that represent a federally sponsored program, policy, or initiative designed specifically to improve employment of the working-age adult population with disabilities. Because of resource constraints, we did not review initiatives designed to improve the adult employment outcomes of youth with disabilities, such as the Social Security Administration (SSA) sponsored Youth Transition Demonstrations. We also did not review small-scale studies evaluating the effectiveness of specific clinical, supported employment, or vocational rehabilitation (VR) approaches. We only looked at information related to the major federal programs serving people with disabilities, general legislation and policies, and initiatives that were fairly large-scale in nature

Policies and Programs Affecting the Employment of People with Disabilities - Policy Brief

The purpose of this brief is to summarize the wide range of federal programs and government policies that influence the employment and program participation decisions of people with disabilities and current research initiatives related to these programs and policies. The brief is organized by the following types of programs, policies, and initiatives: • federal programs that provide cash assistance, in-kind transfers (e.g., health insurance) and education, training, and rehabilitation support based on disability status and/or other characteristics (e.g., family structure); • federal tax policies that provide credits either directly to individuals with disabilities or to employers as an incentive to hire a person with a disability; • other employment-related programs and public policies that provide accommodation support and work incentives for people with disabilities; • recent policy changes that affect people with disabilities; and • some of the current research initiatives related to federal programs, tax policies, other employment programs and policies, and recent policy changes. We conclude with a summary of our program, policy, and research scan. This publication is based on The Economics of Policies and Programs Affecting the Employment of People with Disabilities, which provides a more comprehensive review of the policies and programs discussed here (as well as others) and analyzes the employment effects of these policies and programs within an economic framework

If Donald Trump did win the presidency, as an outsider he would face huge challenges in pursuing a coherent policy agenda

While Donald Trump leads the current Republican primary field, most commentators believe that his likelihood of ascending to the presidency next January is fairly slim. But what if Trump did win? Would he be able to govern effectively? Michael A. Livermore argues that without his party’s backing, a President Trump would have enormous problems managing the executive branch. He writes that without a large and competent group of loyal party personnel to manage the executive bureaucracy, a Trump administration would be faced with one policy disaster after another

How Much Should We Teach the Enigma Machine?

Developing courses and programs in Information Assurance can feel like trying to force ten pounds of flour into a five pound sack. We want to pack more into our courses than we have time to teach. As new technologies develop, we often find it necessary to drop old technologies out of the curriculum and our students miss out on the historical impacts the old technologies had. The discipline is so broad and deep that we have to carefully choose what concepts and technologies we study in depth, what we mention in passing, and what we leave out. Leaving out important historical developments deprives our students of historical context and the evolution of technology into the profession. This paper presents an argument for including the Enigma Machine in our curriculum

Patience is an Economic Virtue: Real Options, Natural Resources, and Offshore Oil

The financial concept of real options has important consequences in areas of environmental and natural resources law where irreversible decisions are made in the face of uncertainty. This article argues that consideration of real options is necessary to maximize economic returns from nonrenewable natural resource extraction, using offshore oil drilling as a case study. Because decisions over drilling are often framed as a now-or-never choice, the option to wait (or the real option value) is improperly treated in administrative processes that determine whether, when, and how offshore oil resources will be tapped. The value associated with the option to delay can be large, especially when there is a high degree of uncertainty about price, extraction costs, or the social costs imposed by drilling. The value of the information generated during a period of delay can outweigh the value of immediate extraction. Failure to consider option value leads to over-early exploitation of nonrenewable resources, and socially undesirable environmental damage. In the case of offshore drilling, the governing statute requires the Department of Interior, the - administrative agency charged with overseeing the leasing of offshore lands, to consider the economic consequences of its choices, a charge it has implemented through detailed cost benefit analysis of its planning decisions and through a sophisticated bidding system for lease auctions. But because both the cost-benefit analysis and the bidding system fail to account for real option value, they are fundamentally incomplete, leaving leasing decisions open to litigation risks and failing to maximize the net benefits generated by this public resource