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Rural/Urban Welfare Program and Labor Force Participation

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  • Maureen Kilkenny
  • Sonya Kostova Huffman

Abstract

Nonmetro poor in the Midwest participate more in the labor force and less in welfare programs than metro poor. We formalize how household composition, capital, labor market conditions, and state-specific regulations define opportunity sets, then estimate a bivariate binomial probit model of work and program participation choices. An Oaxaca decomposition analysis is conducted to compare differences in characteristics to differences in behavior in explaining the two groups' choices. We find no behavioral basis for the difference in labor market participation. And while most of the lower Midwestern nonmetro welfare program participation is due to demographics, some is due to different life-cycle behavior. Copyright 2003, Oxford University Press.

Suggested Citation

  • Maureen Kilkenny & Sonya Kostova Huffman, 2003. "Rural/Urban Welfare Program and Labor Force Participation," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(4), pages 914-927.
  • Handle: RePEc:oup:ajagec:v:85:y:2003:i:4:p:914-927
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    File URL: http://hdl.handle.net/10.1111/1467-8276.00497
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    Cited by:

    1. Fisher, Monica G. & Foster, Kenneth A., 2004. "Measuring The Effect Of Rural Residence On Individual Employment Outcomes: Is Rural Residence Endogenous?," 2004 Annual meeting, August 1-4, Denver, CO 19928, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Gorton, Matthew & Sauer, Johannes & Supatpongkul, Pajaree, 2009. "Investigating Thai Shopping Behaviour: Wet-Markets, Supermarkets and Food Quality," 83rd Annual Conference, March 30-April 1, 2009, Dublin, Ireland 51054, Agricultural Economics Society.
    3. Maureen Kilkenny, 2010. "Urban/Regional Economics And Rural Development," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 449-470.
    4. Elena G. Irwin & Andrew M. Isserman & Maureen Kilkenny & Mark D. Partridge, 2010. "A Century of Research on Rural Development and Regional Issues," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 92(2), pages 522-553.
    5. Bruce Weber & Leif Jensen & Kathleen Miller & Jane Mosley & Monica Fisher, 2005. "A Critical Review of Rural Poverty Literature: Is There Truly a Rural Effect?," International Regional Science Review, , vol. 28(4), pages 381-414, October.
    6. Leigh Simmons & Bonnie Braun & David Wright & Scott Miller, 2007. "Human Capital, Social Support, and Economic Well-being among Rural, Low-income Mothers: A Latent Growth Curve Analysis," Journal of Family and Economic Issues, Springer, vol. 28(4), pages 635-652, December.
    7. Wu, Ximing & Perloff, Jeffrey M. & Golan, Amos, 2004. "Government Policy Effects on Urban and Rural Income Inequality," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt863448h5, Department of Agricultural & Resource Economics, UC Berkeley.
    8. Leigh Simmons & Elizabeth Dolan & Bonnie Braun, 2007. "Rhetoric and Reality of Economic Self-sufficiency Among Rural, Low-Income Mothers: A Longitudinal Study," Journal of Family and Economic Issues, Springer, vol. 28(3), pages 489-505, September.

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