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Migration and Income Redistribution Responsibilities


  • Edward M. Gramlich
  • Deborah S. Laren


The importance of migration of AFDC beneficiaries as a determinant of state benefit levels is examined in this paper. A pooled cross-section time-series model fit to state data over the seventies indicates that benefit levels in other states have a positive influence on own-state benefits and a negative influence on recipients. This evidence is supported by that from a transition matrix, which shows that while very few AFDC households make an interstate move in a year, when they do move they are much more likely to go to a high-benefit state than to a low-benefit state. Both pieces of evidence argue for more centralization of income redistribution responsibilities in the United States.

Suggested Citation

  • Edward M. Gramlich & Deborah S. Laren, 1984. "Migration and Income Redistribution Responsibilities," Journal of Human Resources, University of Wisconsin Press, vol. 19(4), pages 489-511.
  • Handle: RePEc:uwp:jhriss:v:19:y:1984:i:4:p:489-511

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    References listed on IDEAS

    1. Kenneth A. Couch & Thomas A. Dunn, 1997. "Intergenerational Correlations in Labor Market Status: A Comparison of the United States and Germany," Journal of Human Resources, University of Wisconsin Press, vol. 32(1), pages 210-232.
    2. Nancy A. Jianakoplos & Paul L. Menchik, 1997. "Wealth Mobility," The Review of Economics and Statistics, MIT Press, vol. 79(1), pages 18-31, February.
    3. Gottschalk, Peter, 1996. "Is the correlation in welfare participation across generations spurious?," Journal of Public Economics, Elsevier, vol. 63(1), pages 1-25, December.
    4. Mary Corcoran & Roger Gordon & Deborah Laren & Gary Solon, 1992. "The Association between Men's Economic Status and Their Family and Community Origins," Journal of Human Resources, University of Wisconsin Press, vol. 27(4), pages 575-601.
    5. Menchik, Paul L, 1979. "Inter-generational Transmission of Inequality: An Empirical Study of Wealth Mobility," Economica, London School of Economics and Political Science, vol. 46(184), pages 349-362, November.
    6. Solon, Gary, 1992. "Intergenerational Income Mobility in the United States," American Economic Review, American Economic Association, vol. 82(3), pages 393-408, June.
    7. Colin Cameron, A. & Windmeijer, Frank A. G., 1997. "An R-squared measure of goodness of fit for some common nonlinear regression models," Journal of Econometrics, Elsevier, vol. 77(2), pages 329-342, April.
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