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Empirical Findings

This section describes the estimation results for our empirical model of the SSI and SSDI application and award process. Figure 4.1 summarizes the ``game tree'' estimated here. The branches below each decision node indicate the possible outcomes at each stage and include the marginal probabilities computed from our sample. Thus, 4% of the ``person-period'' observations in our sample submitted an application, and of the 4% who submitted applications, 72% were ultimately accepted--50% were accepted at the first stage by the DDS, while an additional 22% were accepted after one or more stages of appeal.





John Rust's HRS account
Tue Jun 30 12:41:32 EDT 1998