IDEAS home Printed from https://ideas.repec.org/a/eej/eeconj/v30y2004i3p411-425.html
   My bibliography  Save this article

Using Matched Border Counties for Policy Analysis: The Effects of Entitlement Programs on Female-Headed Households and Female Labor-Force Participation

Author

Listed:
  • Randall G. Holcombe

    () (Department of Economics, Florida State University)

  • Donald J. Lacombe

    (Ohio University)

Abstract

The literature on the impact of welfare programs consistently shows that the incentives implied by these programs have effects on potential recipients. This paper supports that conclusion by showing that an increase in the generosity of Aid to Families with Dependent Children (AFDC) increased the incidence of female-headed households and reduced female labor-force participation in 1990, but the magnitude of the estimates here are smaller than is generally found in the literature. The elasticity estimates of the employment rate with respect to the income guarantee ranges from -0.7 to -0.76, while the elasticity of hours worked with respect to the income guarantee ranges from -0.9 to -1.11. Although elasticity estimates are not directly comparable across studies where the dependent variable differs, these elasticity estimates do indicate that the income guarantee increases the incidence of female-headed households and also increases female labor force non-participation, which is consistent with the observations made by Danziger, Haveman and Plotnick (1981), but with magnitudes of -0.3 to -0.04.

Suggested Citation

  • Randall G. Holcombe & Donald J. Lacombe, 2004. "Using Matched Border Counties for Policy Analysis: The Effects of Entitlement Programs on Female-Headed Households and Female Labor-Force Participation," Eastern Economic Journal, Eastern Economic Association, vol. 30(3), pages 411-425, Summer.
  • Handle: RePEc:eej:eeconj:v:30:y:2004:i:3:p:411-425
    as

    Download full text from publisher

    File URL: http://web.holycross.edu/RePEc/eej/Archive/Volume30/V30N3P411_425.pdf
    Download Restriction: no

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Georgeanne M. Artz & Kevin D. Duncan & Arthur P. Hall & Peter F. Orazem, 2016. "Do State Business Climate Indicators Explain Relative Economic Growth At State Borders?," Journal of Regional Science, Wiley Blackwell, vol. 56(3), pages 395-419, June.
    2. Edward Feser, 2013. "Isserman’s Impact," International Regional Science Review, , vol. 36(1), pages 44-68, January.

    More about this item

    Keywords

    Entitlements; Female; Participation; Policy;

    JEL classification:

    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eej:eeconj:v:30:y:2004:i:3:p:411-425. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Victor Matheson, College of the Holy Cross). General contact details of provider: http://edirc.repec.org/data/eeaa1ea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.