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An Econometric Analysis of Intergenerational Reliance on Social Assistance

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Author Info
Beaulieu, Nicolas
Duclos, Jean-Yves
Fortin, Bernard
Rouleau, Manon

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Abstract

This paper examines the intergenerational transmission of participation in Québec's social assistance program. The analysis takes into account two sources of intergenerational transmission: one that is due to a causal link between parents' and children's participation and one that is due to a correlation between individual or environment-specific characteristics across generations. Our data come from the records of Québec's Ministère de la Solidarité Sociale and cover 17,203 young people who were 18 years old in 1990 and whose parents were recipients of social assistance during at least one month between 1979 and 1990. Our results reveal that, on average, a one-month increase in the parental participation during the youth's pre-adult years (age 7-17) raises the youth's participation by about 0.15 month during early adulthood (age 18-21). Moreover, this impact is stronger during the early stages of childhood (age 7-9) and late adolescence (age 16-17).

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File URL: http://www.ecn.ulaval.ca/w3/recherche/cahiers/2001/0116.pdf
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Paper provided by Université Laval - Département d'économique in its series Cahiers de recherche with number 0116.

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Date of creation: 2001
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Handle: RePEc:lvl:laeccr:0116

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Related research
Keywords: Dynamics of social assistance participation; Intergenerational correlation; Canadian welfare programmes;

Find related papers by JEL classification:
C34 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Truncated and Censored Models
C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models
H53 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Welfare Programs
I38 - Health, Education, and Welfare - - Welfare and Poverty - - - Government Programs; Provision and Effects of Welfare Programs

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  1. Michael B. Coelli & David A. Green & William P. Warburton, 2004. "Breaking the cycle? The effect of education on welfare receipt among children of welfare recipients," IFS Working Papers W04/14, Institute for Fiscal Studies. [Downloadable!]
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