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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

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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Bibliographic Info

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;

References

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  1. Jonathan S. Skinner, 1996. "Is Housing Wealth a Sideshow?," NBER Chapters, in: Advances in the Economics of Aging, pages 241-272 National Bureau of Economic Research, Inc.
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Cited by:
  1. David Neumark & Elizabeth Powers, 1996. "Consequences of means testing Social Security: evidence from the SSI program," Working Paper 9618, Federal Reserve Bank of Cleveland.
  2. J. Gruber & A. Yelowitz, . "Public Health Insurance and Private Savings," Institute for Research on Poverty Discussion Papers 1135-97, University of Wisconsin Institute for Research on Poverty.
  3. Jonathan Gruber, 1999. "The Wealth of the Unemployed: Adequacy and Implications for Unemployment Insurance," NBER Working Papers 7348, National Bureau of Economic Research, Inc.
  4. Glenn R. Hubbard & Jonathan Skinner & Stephen P. Zeldes, . "Precautionary Saving and Social Insurance," Rodney L. White Center for Financial Research Working Papers 03-95, Wharton School Rodney L. White Center for Financial Research.
  5. Susan Dynarski & Jonathan Gruber, 1997. "Can Families Smooth Variable Earnings?," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 28(1), pages 229-303.

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