Table 8.

Policy Simulations - All Health Combined

	Baseline	Policy 1 Remove SS ERB	Policy 2 SS NRA to 67	Policy 3 Eliminate DI	Policy 4 25% Decrease DI Benefits	Policy 5 25% Decrease SS Benefits	Policy 6 25% Decrease DI & SS Benefits
Pooled Ages
LF Exit (N+A)	0.152	0.148	0.151	0.144	0.150	0.150	0.148
Non-Work (N)	0.134	0.128	0.130	0.144	0.135	0.130	0.132
Apply DI (A)	0.019	0.020	0.021	0**	0.015	0.020	0.017
AGE=55
LF Exit (N+A)	0.147	0.147	0.147	0.136	0.145	0.147	0.144
Non-Work (N)	0.123	0.121	0.122	0.136	0.125	0.122	0.123
Apply DI (A)	0.024	0.026	0.025	0**	0.020	0.025	0.021
AGE=60
LF Exit (N+A)	0.154	0.151	0.153	0.149	0.153	0.153	0.151
Non-Work (N)	0.142	0.137	0.140	0.149	0.143	0.140	0.140
Apply DI (A)	0.012	0.014	0.013	0**	0.010	0.013	0.011
AGE=62
LF Exit (N+A)	0.170	0.147	0.163	0.163	0.168	0.162	0.160
Non-Work (N)	0.155	0.132	0.146	0.163	0.156	0.145	0.146
Apply DI (A)	0.015	0.016	0.016	0**	0.012	0.017	0.014
AGE=64
LF Exit (N+A)	0.205	0.183	0.197	0.197	0.204	0.197	0.195
Non-Work (N)	0.176	0.158	0.166	0.197	0.180	0.164	0.167
Apply DI (A)	0.029	0.025	0.031	0**	0.024	0.033	0.028
AGE=65
LF Exit (N+A)	0.220	0.214	0.218	0.216	0.220	0.209	0.208
Non-Work (N)	0.220	0.214	0.181	0.216	0.220	0.209	0.208
Apply DI (A)	0*	0*	0.037	0*	0*	0*	0*

^*Person cannot apply for Disability Insurance at age 65 or older except in Policy 2.

^**Policy involves removing Disability Insurance program.

Policy 1 involves removing all SS benefits before age 65.

Policy 2 involves changing the normal retirement age from 65 to 67.

Policy 3 involves removing the DI program.

Policy 4 involves a 25% decrease in DI benefits without changing SS Retirement benefits.

Policy 5 involves a 25% decrease in SS Retirement benefits without changing DI benefits.

Policy 6 involves ad 25% reduction in both SS Retirement and DI benefits.