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CEP discussion paper
Inactivity Among Prime Age Men in the UK
Giulia Faggio and Stephen Nickell
February 2005
Paper No' CEPDP0673:
Full Paper (pdf)

JEL Classification: J60

Tags: inactivity; disability

Inactivity rates among prime-age men in the UK have risen by at least five times since the early 1970s whereas unemployment rates are much the same. Furthermore, inactivity is strongly concentrated among the unskilled and those suffering from a limiting long-term illness or disability. In our analysis of inactivity rates by region and age group we find that male inactivity responds negatively to variations in the wages of low level occupations and positively to fluctuations in incapacity benefit.