Imperfect Tagging Revisited

Research output: Working paper


Revisiting Parsons' 1996 article about disability insurance with imperfect tagging in a two type-economy -- individuals are either able or disabled. Here Parsons' analysis is extended in several directions. The model is generalized to allow for different utility functions over work status. The analysis extends to three different cases of a two-type economy. Finally Parsons' model is extended to three types: able, partially disabled and disabled - adapting the model to disability insurances allowing for more than two degrees of disability. The results are consistent with Parsons', but a complete ranking of the consumption allocations cannot be achieved in the general case.


  • Eric Rehn
Research areas and keywords

Subject classification (UKÄ) – MANDATORY

  • Economics


  • social insurance, imperfect tagging, partial disab
Original languageEnglish
PublisherDepartment of Economics, Lund University
Publication statusUnpublished - 2007
Publication categoryResearch

Publication series

NameWorking Papers, Department of Economics, Lund University

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