Welfare, Intergenerational Cohabitation Penalties, and Single Mothers’ Employment
The Personal Responsibility and Work Opportunity Reconciliation Act of 1996 changed welfare programs by increasing state income maintenance programs’ emphasis on employment. Following reform, several states paid reduced welfare benefits to single mothers who resided in their parents’ homes, compared to those single mothers who lived independently. This paper evaluates whether the benefit reductions lower the probability of intergenerational cohabitation or the employment of single mothers’ recognizing that family support might facilitate single mothers’ labor market attachment. The results suggest that family cohabitation penalties reduce the likelihood single mothers live in their parents’ households and work. Despite several empirical limitations, the results offer evidence that intergenerational living arrangements positively influence employment. Copyright Springer Science+Business Media, Inc. 2005
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- Gustavo Angeles & David K. Guilkey & Thomas A. Mroz, 2005. "The Impact of Community-Level Variables on Individual-Level Outcomes," Sociological Methods & Research, SAGE Publishing, vol. 34(1), pages 76-121, August.
- Schoeni, R-F, 1996. "Does Aid to Families with Dependent Children Displace Familial Assistance?," Papers 96-12, RAND - Labor and Population Program.
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