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The Effects of Negative Income Tax Programs on Marital Dissolution

  • Lyle P. Groeneveld
  • Nancy Brandon Tuma
  • Michael T. Hannan
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    We review the reasons for expecting a negative income tax (NIT) to affect marital dissolution rates and present a stochastic model of marital dissolution. The analysis reveals that the experimental NIT programs increased the martial dissolution rates for blacks and whites but not Chicanos. The differences in the magnitude of the responses by NIT guarantee level suggest that there are nonpecuniary differences between the experimental programs and existing income-support programs. We compare the Seattle and Denver Income Maintenance Experiments findings with the findings from the other income maintenance experiments and discuss implications for welfare reform.

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    File URL: http://www.jstor.org/stable/pdfplus/145406
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    Article provided by University of Wisconsin Press in its journal Journal of Human Resources.

    Volume (Year): 15 (1980)
    Issue (Month): 4 ()
    Pages: 654-674

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    Handle: RePEc:uwp:jhriss:v:15:y:1980:i:4:p:654-674
    Contact details of provider: Web page: http://jhr.uwpress.org/

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