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The Effects of Work-Conditioned Transfers on Marriage and Child Well-Being: A Review

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  • Jeffrey Grogger
  • LynnA. Karoly

Abstract

Transfer payments to poor families are increasingly conditioned on work. Although the effects of such programmes on employment are fairly well understood, relatively little is known about their effects on marriage or child well-being. We review a few studies that provide such information here. We sketch a theoretical model that draws from the efficient-household literature. The model is consistent with the wide range of effects that we observe and suggests an explanation for some of the observed differences. Our theoretical framework likewise explains the observed variation in the effects of such programmes on children. Copyright � The Author(s). Journal compilation � Royal Economic Society 2009.

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Bibliographic Info

Article provided by Royal Economic Society in its journal The Economic Journal.

Volume (Year): 119 (2009)
Issue (Month): 535 (02)
Pages: F15-F37

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Handle: RePEc:ecj:econjl:v:119:y:2009:i:535:p:f15-f37

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  1. Becker, Gary S & Tomes, Nigel, 1976. "Child Endowments and the Quantity and Quality of Children," Journal of Political Economy, University of Chicago Press, vol. 84(4), pages S143-62, August.
  2. V. Joseph Hotz & John Karl Scholz, 2001. "The Earned Income Tax Credit," NBER Working Papers 8078, National Bureau of Economic Research, Inc.
  3. T. Paul Schultz, 1994. "Marital Status and Fertility in the United States: Welfare and Labor Market Effects," Journal of Human Resources, University of Wisconsin Press, vol. 29(2), pages 637-669.
  4. Hoynes, Hilary Williamson, 1996. "Welfare Transfers in Two-Parent Families: Labor Supply and Welfare Participation under AFDC-UP," Econometrica, Econometric Society, vol. 64(2), pages 295-332, March.
  5. Chiappori, Pierre-Andre, 1992. "Collective Labor Supply and Welfare," Journal of Political Economy, University of Chicago Press, vol. 100(3), pages 437-67, June.
  6. Kristen Harknett & Lisa Gennetian, 2003. "How an earnings supplement can affect union formation among low-income single mothers," Demography, Springer, vol. 40(3), pages 451-478, August.
  7. Marco Francesconi & Helmut Rainer & Wilbert van der Klaauw, 2007. "The Effects of In-Work Benefit Reform in Britain on Couples: Theory and Evidence," CRIEFF Discussion Papers 0709, Centre for Research into Industry, Enterprise, Finance and the Firm.
  8. Robert A. Moffitt, 2003. "Means-Tested Transfer Programs in the United States," NBER Books, National Bureau of Economic Research, Inc, number moff03-1, May.
  9. Gary S. Becker, 1981. "A Treatise on the Family," NBER Books, National Bureau of Economic Research, Inc, number beck81-1, May.
  10. Elizabeth Clark-Kauffman & Greg J. Duncan & Pamela Morris, 2003. "How Welfare Policies Affect Child and Adolescent Achievement," American Economic Review, American Economic Association, vol. 93(2), pages 299-303, May.
  11. Marianne Bitler & Jonah Gelbach & Hilary Hoynes & Madeline Zavodny, 2004. "The impact of welfare reform on marriage and divorce," Demography, Springer, vol. 41(2), pages 213-236, May.
  12. Moffitt, Robert, 1990. "The effect of the U.S. welfare system on marital status," Journal of Public Economics, Elsevier, vol. 41(1), pages 101-124, February.
  13. Marco Francesconi & Wilbert van der Klaauw, 2007. "The Socioeconomic Consequences of "In-Work" Benefit Reform for British Lone Mothers," Journal of Human Resources, University of Wisconsin Press, vol. 42(1).
  14. Robert A. Moffitt, 2003. "Introduction to "Means-Tested Transfer Programs in the United States"," NBER Chapters, in: Means-Tested Transfer Programs in the United States, pages 1-14 National Bureau of Economic Research, Inc.
  15. Williamson Hoyne, Hilary, 1997. "Does welfare play any role in female headship decisions?," Journal of Public Economics, Elsevier, vol. 65(2), pages 89-117, August.
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Cited by:
  1. Francesconi, Marco & Rainer, Helmut & Klaauw,, 2013. "Unintended consequences of welfare reform for children with single parents: a theoretical analysis," Munich Reprints in Economics 20333, University of Munich, Department of Economics.
  2. Marco Francesconi & Helmut Rainer & Wilbert vanderKlaauw, 2009. "The Effects of In-Work Benefit Reform in Britain on Couples: Theory and Evidence," Economic Journal, Royal Economic Society, vol. 119(535), pages F66-F100, 02.
  3. Francesconi, Marco & Rainer, Helmut & Van Der Klaauw, Wilbert, 2008. "Unintended Consequences of Welfare Reform: The Case of Divorced Parents," CEPR Discussion Papers 7107, C.E.P.R. Discussion Papers.

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