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Subsidized Vehicle Acquisition and Earned Income in the Transition from Welfare to Work

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  • Lucas, Marilyn T.
  • Nicholson, Charles F.

Abstract

Successful transition from welfare to work depends on the availability of supporting services such as reliable transportation and affordable childcare. Despite this recognition, few empirical studies analyze the impacts of reliable personal transportation programs on individuals in transition. This study examines the impacts on earned income of the ìGood News Garage,î a small-scale vehicle donation-and-sales program in Vermont. Using reduced-form random effects and censored regression models to account for the simultaneity of decisions to work and participate in welfare programs, we examine the impacts of this vehicle acquisition program for a small group of individuals. Our analyses indicate that the program results in a statistically significant increase in both earned income and the probability of employment.

Suggested Citation

  • Lucas, Marilyn T. & Nicholson, Charles F., 2002. "Subsidized Vehicle Acquisition and Earned Income in the Transition from Welfare to Work," Working Papers 127307, Cornell University, Department of Applied Economics and Management.
    • Handle: RePEc:ags:cudawp:127307
    DOI: 10.22004/ag.econ.127307
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    1. Steven Garasky & Burt S. Barnow, 1992. "Demonstration evaluations and cost neutrality: Using caseload models to determine the federal cost neutrality of New Jersey's reach demonstration," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 11(4), pages 624-636.
    2. Heckman, J.J. & Hotz, V.J., 1988. "Choosing Among Alternative Nonexperimental Methods For Estimating The Impact Of Social Programs: The Case Of Manpower Training," University of Chicago - Economics Research Center 88-12, Chicago - Economics Research Center.
    3. Jeffrey Grogger, 2001. "The Effects of Time Limits and Other Policy Changes on Welfare Use, Work, and Income Among Female-Headed Families," NBER Working Papers 8153, National Bureau of Economic Research, Inc.
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    1. repec:mpr:mprres:4589 is not listed on IDEAS
    2. Debra A. Strong & Patricia Del Grosso & Andrew Burwick & Vinita Jethwani & Michael Ponza, "undated". "Rural Research Needs and Data Sources for Selected Human Services Topics, Volume 1: Research Needs," Mathematica Policy Research Reports a194fdd8e178411cb2a5c4c40, Mathematica Policy Research.

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    Labor and Human Capital;

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