The number of workers receiving SSDI (disability insurance) has jumped a remarkable 22 percent to 8.7 million in April from 7.1 million in December 2007. This accounts for as much as one quarter of the decline in the U.S. labor-force participation rate during the period, according to economists at JPMorgan Chase & Co. and Morgan Stanley.
“Workers on SSDI rarely return to the labor force...," according to report written by the National Economic Council, Domestic Policy Council, Labor Department and President’s Council of Economic Advisers.
More than 99 percent of all SSDI beneficiaries remain in the program until retirement age, David Greenlaw, a managing director in New York at Morgan Stanley, wrote in a March research note.
One suspects that a large part of this group are the aggressive seekers of government handouts. What's alarming is how fast this group is growing. Greece and other parts of the eurozone are ahead of us, as far those who seek to live off the state, but the notion that living off the state is some kind of "natural right" is obviously growing in the U.S. This means that the burdens on the U.S Treasury continue to grow and ultimately means more printing by the Fed and more deterioration of the value of the dollar. Not good.