The Means Testing of Benefits and the Labour Supply of the wives of Unemployed Men: Results from a Fixed Effects Model
AbstractWomen married to unemployed men in Britain have lower participation rates than those married to employed men. Possible reasons include unfavourable local labour market conditions affecting both, their both having poor labour market characteristics, and the means testing of benefits, which creates a disincentive for the wife to work. Using a British panel survey of unemployed men and their families, the means testing effect is estimated; unobservable characteristics are accounted for by using a fixed effects model. The results show no effect of means testing on the labour supply of the wives.
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Bibliographic InfoPaper provided by Department of Economics, Finance and Accounting, National University of Ireland - Maynooth in its series Economics, Finance and Accounting Department Working Paper Series with number n930999.
Length: 44 pages
Date of creation: Sep 1999
Date of revision:
Labour Supply; Disincentives; Benefit System;
Find related papers by JEL classification:
- J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
- J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings
- H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
- I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
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