Research and Analysis by Paul S. Davies

Access Restrictions and Confidentiality Protections in the Health and Retirement Study
Research and Statistics Note No. 2009-01 (released July 2009)
by Lionel P. Deang and Paul S. Davies

Organizations involved in statistical surveys of human subjects face two important and competing challenges: protecting data confidentiality while maximizing data accessibility to potential researchers. This note examines how the Health and Retirement Study (HRS), conducted by the Institute for Social Research of the University of Michigan, attempts to balance data confidentiality with the desire to broaden the pool of potential data users. Current HRS procedures are summarized and compared with those of organizations with similar programs, and potential ways to expand HRS use without compromising confidentiality are discussed.

Benefit Adequacy Among Elderly Social Security Retired-Worker Beneficiaries and the SSI Federal Benefit Rate
from Social Security Bulletin, Vol. 67 No. 3 (released April 2008)
by Kalman Rupp, Alexander Strand, Paul S. Davies, and James Sears

The federal benefit rate (FBR) of the Supplemental Security Income program provides an inflation-indexed income guarantee for aged and disabled people with low assets. Some consider the FBR as an attractive measure of Social Security benefit adequacy. Others propose the FBR as an administratively simple, well-targeted minimum Social Security benefit. However, these claims have not been empirically tested. Using microdata from the Survey of Income and Program Participation, this article finds that the FBR is an imprecise measure of benefit adequacy; it incorrectly identifies as economically vulnerable many who are not poor, and disregards some who are poor. The reason for this is that the FBR-level benefit threshold of adequacy considers the Social Security benefit in isolation and ignores the family consumption unit. The FBR would provide an administratively simple but poorly targeted foundation for a minimum Social Security benefit. The empirical estimates quantify the substantial tradeoffs between administrative simplicity and target effectiveness.

Changes in the Demographic and Economic Characteristics of SSI and DI Beneficiaries Between 1984 and 1999
from Social Security Bulletin, Vol. 65 No. 2 (released August 2004)
by Teran Martin and Paul S. Davies

During the past 20 years, legislative and judicial actions have affected Supplemental Security Income and Disability Insurance beneficiaries. This article compares important changes in demographics, income sources and amounts, and poverty status of beneficiaries of both programs between 1984 and 1999, using data from the Survey of Income and Program Participation matched to administrative data from the Social Security Administration. The average age of both groups has decreased, while their education levels increased. In 1999, Disability Insurance beneficiaries and their families relied less on Social Security, while their poverty rate remained fairly constant. The Supplemental Security Income population had a lower poverty rate, while beneficiaries were slightly more reliant on Social Security for personal income.

Disability Benefit Coverage and Program Interactions in the Working-Age Population
from Social Security Bulletin, Vol. 68 No. 1 (released August 2008)
by Kalman Rupp, Paul S. Davies, and Alexander Strand

It is widely known that about three-fourths of the working-age population is insured for Disability Insurance (DI), but the substantial role played by the Supplemental Security Income (SSI) program in providing disability benefit coverage is not well understood. Using data from the 1996 panel of the Survey of Income and Program Participation (SIPP) we find that over one-third (36 percent) of the working-age population is covered by SSI in the event of a severe disability. Three important implications follow: (1) SSI increases the overall coverage of the working-age population; (2) SSI enhances the bundle of cash benefits available to disabled individuals; and (3) interactions with other public programs—most notably the SSI path to Medicaid coverage—also enhance the safety net. Ignoring these implications could lead to inaccurate inferences in analytic studies.

The Effect of Welfare Reform on SSA's Disability Programs: Design of Policy Evaluation and Early Evidence
from Social Security Bulletin, Vol. 63 No. 1 (released July 2000)
by Paul S. Davies, Howard M. Iams, and Kalman Rupp

Recent legislation has affected the populations served by the Social Security Administration's (SSA's) disability programs. The Contract with America Advancement Act of 1996 mandated that persons whose disability determination was based on drug addiction or alcoholism be removed from the Supplemental Security Income and Social Security Disability Insurance rolls. The Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (later amended by the Balanced Budget Act of 1997) tightened the SSI eligibility criteria for children and converted the Aid to Families with Dependent Children program into a block grant, Temporary Assistance for Needy Families. This article describes the design of three related studies evaluating the direct and indirect effects of these policy changes on SSA's disability populations. It describes the methodological challenges of the studies and the strategies used to overcome them. It also presents early evidence from the three studies and discusses future directions.

Measurement Issues Associated with Using Survey Data Matched with Administrative Data from the Social Security Administration
from Social Security Bulletin, Vol. 69 No. 2 (released July 2009)
by Paul S. Davies and T. Lynn Fisher

Researchers using survey data matched with administrative data benefit from the rich demographic and economic detail available from survey data combined with detailed programmatic data from administrative records. This article focuses on survey data matched with administrative data from the Social Security Administration and addresses the strengths and weaknesses of each in four specific areas: program participation and benefits, disability and health information, earnings, and deferred compensation The article discusses the implications of these strengths and weaknesses for decisions that researchers must make regarding the appropriate data source and definition for the concepts in question.

Modeling SSI Financial Eligibility and Simulating the Effect of Policy Options
from Social Security Bulletin, Vol. 64 No. 2 (released September 2002)
by Paul S. Davies, Minh Huynh, Chad Newcomb, Paul O'Leary, Kalman Rupp, and James Sears

This article presents the Supplemental Security Income (SSI) Financial Eligibility Model developed in the Division of Policy Evaluation of the Office of Research, Evaluation, and Statistics. Focusing on the elderly, the article simulates five potential changes to the SSI eligibility criteria and presents the effects of those simulations on SSI participation, federal benefits, and poverty among the elderly. Finally, the article discusses future directions for research and potential improvements to the model.

An Overview of the National Survey of SSI Children and Families and Related Products
from Social Security Bulletin, Vol. 66 No. 2 (released May 2006)
by Paul S. Davies and Kalman Rupp

During the first three decades of the Supplemental Security Income (SSI) program, the number of children receiving SSI because of a disability increased from 70,000 in 1974 to about 1 million at the end of 2005. With over 8,500 interviews completed between July 2001 and June 2002, the National Survey of SSI Children and Families (NSCF) is the first nationally representative survey since 1978 of noninstitutionalized children and young adults who were receiving SSI during the survey period or had formerly received SSI. The article discusses the objectives of the survey, its methodology and implementation, content of the questionnaire, a randomized response-incentive experiment, and related products including the release of a public-use data file.

A Profile of Children with Disabilities Receiving SSI: Highlights from the National Survey of SSI Children and Families
from Social Security Bulletin, Vol. 66 No. 2 (released May 2006)
by Kalman Rupp, Paul S. Davies, Chad Newcomb, Howard M. Iams, Carrie Becker, Shanti Mulpuru, Stephen Ressler, Kathleen Romig, and Baylor Miller

This article, based on interviews from the National Survey of SSI Children and Families conducted between July 2001 and June 2002, presents a profile of children under the age of 18 who were receiving support from the Supplemental Security Income program. The topics highlighted provide information of SSI children with disabilities and their families not available from administrative records, including demographic characteristics, income and assets, perceived health and disabilities, and health care utilization. While virtually every child in the SSI program is covered by some form of health insurance, primarily Medicaid, the data indicate substantial heterogeneity on other variables. This is true on many different dimensions, such as the perceived severity of the child's disabling conditions, health care utilization and service needs, the presence of other family members with disabilities, family demographics, and access to non-SSI sources of incomes.

The Retirement Research Consortium: Past, Present, and Future
from Social Security Bulletin, Vol. 69 No. 4 (released December 2009)
by Paul S. Davies and T. Lynn Fisher

This article provides an overview of the Retirement Research Consortium (RRC) from the Social Security Administration's perspective, including a brief history of the development of the RRC, a discussion of the aims of the RRC, and some thoughts on its future. The mission of the RRC is to plan and conduct a broad research program to develop Social Security and retirement policy information to assist policymakers, the public, and the media in understanding the issues. The RRC has been a remarkably successful extramural research venture that has advanced the knowledge base on Social Security and retirement issues, trained new scholars to become the next generation of Social Security and retirement policy experts, and provided objective, research-based input to the policymaking process.

SSI Eligibility and Participation Among the Oldest Old: Evidence from the AHEAD
from Social Security Bulletin, Vol. 64 No. 3 (released January 2003)
by Paul S. Davies

This article models Supplemental Security Income (SSI) eligibility and participation among persons aged 70 or older using data from the Study of Assets and Health Dynamics Among the Oldest Old. An econometric model estimates the influence of socioeconomic characteristics on the probability of SSI participation among eligible units. Finally, a policy simulation is conducted by increasing the unearned income disregard from $20 to $125.