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Does means-testing welfare discourage saving? Evidence from the National Longitudinal Survey of Women

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Elizabeth T. Powers

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Abstract

An empirical test of AFDC's asset limit, finding that after correcting for the potential endogeneity of policy, a $1 difference in limits implies a difference in potential AFDC recipients' wealth of 30 cents. ; This paper uses a stochastic cost frontier to examine the scale economies, cost efficiencies, and technological change of three payments instruments--check, automated clearinghouse (ACH) transfers, and Fedwire processing--provided by the Federal Reserve over the period 1990-94.

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File URL: http://www.clevelandfed.org/Research/Workpaper/1995/wp9519.pdf
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Paper provided by Federal Reserve Bank of Cleveland in its series Working Paper with number 9519.

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Date of creation: 1995
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Handle: RePEc:fip:fedcwp:9519

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Keywords: Saving and investment ; Welfare;

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References listed on IDEAS
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  1. Jonathan Skinner, 1993. "Is Housing Wealth a Sideshow?," NBER Working Papers 4552, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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Cited by:
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  1. Jonathan Gruber & Aaron Yelowitz, 1997. "Public Health Insurance and Private Savings," NBER Working Papers 6041, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  2. Jonathan Gruber, 1999. "The Wealth of the Unemployed: Adequacy and Implications for Unemployment Insurance," NBER Working Papers 7348, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  3. David Neumark & Elizabeth Powers, 1996. "Consequences of means testing Social Security: evidence from the SSI program," Working Paper 9618, Federal Reserve Bank of Cleveland. [Downloadable!]
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This page was last updated on 2009-11-12.


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