Analysis of nonparticipation in the SSI program

Area of Science:

• Social Science Research
• Public Policy Analysis
• Economics

Background:

• The Supplemental Security Income (SSI) program experienced modest growth in its initial years.
• Understanding participation and nonparticipation is crucial for assessing program effectiveness.

Purpose of the Study:

• To investigate the reasons for low participation rates in the SSI program.
• To identify factors inhibiting program enrollment among eligible individuals.
• To analyze the implications of nonparticipation for current SSI policy.

Main Methods:

• Utilized data from the Survey of Low-Income Aged and Disabled (SLIAD) from 1973-1974.
• Employed microsimulation estimates to compare eligible population sizes.
• Applied the "alternative income hypothesis" to analyze nonparticipation factors.

Main Results:

• Initial SSI growth was primarily constrained by low participation rates, not overestimated eligibility.
• Identified key factors that inhibited program participation.
• Observed persistent factors influencing nonparticipation over time.

Conclusions:

• Persistent barriers to SSI participation necessitate policy review.
• Addressing nonparticipation is essential for maximizing program reach and impact.
• Outreach efforts and policy adjustments may be needed to increase program involvement.