THE EFFECTS OF VOCATIONAL REHABILITATION FOR PEOPLE WITH COGNITIVE IMPAIRMENTS

Abstract

This article utilizes administrative data to examine both short‐ and long‐term employment impacts for people with cognitive impairments who applied for vocational rehabilitation services in Virginia in 2000. These data provide long‐term quarterly information on services and employment outcomes. We model behavior, allow for multiple service choices, use long‐run labor market data, and use valid instruments. Results imply that services generally have positive long‐run labor market outcome effects that appear to substantially exceed the cost of providing services.