Our Disabled Economy – 3 Million More Americans on Disability

An unexplained mystery in the economy is: where are the millions of young men missing from the labor force?

The number of workers classified as “not in the labor force” understandably spiked during the covid lockdowns, but never returned to pre-pandemic levels after the economy reopened.

How are these workers surviving without an income?

The number of people not in the labor force with a disability was flat from the end of 2014 through the end of 2020, then also began rising in 2021.

Even if those on disability ARE in the labor force, the data show that these people are much less likely to be employed, they work fewer hours, they’re less productive, and they earn less.

Three Million More Workers Claim to Be Disabled

In many parts of the country, disability pays handsomely. For a family of four in Washington, D.C., total government assistance (both cash and in-kind) is the equivalent of a job paying $120,000. In many other states, the cash and in-kind benefits from not working reach $80,000.

The program discourage employees from getting back on the job, because working too many hours or earning too much disqualifies the worker and his family for most handouts.

How can it be that as the work we do is less onerous and back-breaking all the time (thanks to reduced manual labor), more people are claiming to be disabled?

Fraud is also rampant. The Washington Post reports that fraud in the veterans disability program has been steadily rising.

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