The Costs of Disability in Turkey

Abstract

In this study, the additional economic cost of disability for households is calculated using a standard of living approach (SoL) for Turkey. Firstly, the Standard of Living (SoL) index is determined using principal components analysis through the Household Budget Survey data for the year 2014. The cost of disability is estimated using ordered logit method by dividing the index into three income groups such as low, middle and high. As a result of the analysis, it is estimated that households with disabilities need additional financial support of at least 9.1% of household income in order to reach the same standard of living as those without disabled individuals. In addition, two different levels of disability, which are working life disability and daily life disability, are considered in estimating the cost of disability. While the cost caused by individuals' disabilities in working life is 14.6% of their household's income, the ratio is 9.1% for the individuals' disabilities in daily life.