This article develops a model of the relationships among functional impairments, work disability, employment participation, and wage offers. The model is estimated separately for males and females with data from the 1984 Survey of Income and Program Participation. Using estimates of disability...

This article considers the impact of mandatory worksite modifications for handi-Abstract capped workers on optimal employment at the competitive firm. The authors argue that worker impairments introduce production uncertainty, and they demonstrate that for firms with decreasing absolute risk...