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Car ownership and welfare-to-work

  • Paul M. Ong
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    This study examines the role of car ownership in facilitating employment among recipients under the current welfare-to-work law. Because of a potential problem with simultaneity, the analysis uses predicted car ownership constructed from two instrumental variables, insurance premiums and population density for car ownership. The data come from a 1999-2000 survey of TANF recipients in the Los Angeles metropolitan area. The empirical results show a significant independent contribution of car ownership on employment. The presence of an predicted ownership is associated with a 9 percentage point increase in the odds of being employed. Moreover, the results indicate that lowering insurance premiums by $100 can increase the odds of employment by 4 percentage points. © 2002 by the Association for Public Policy Analysis and Management.

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    File URL: http://hdl.handle.net/10.1002/pam.10025
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    Article provided by John Wiley & Sons, Ltd. in its journal Journal of Policy Analysis and Management.

    Volume (Year): 21 (2002)
    Issue (Month): 2 ()
    Pages: 239-252

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    Handle: RePEc:wly:jpamgt:v:21:y:2002:i:2:p:239-252
    Contact details of provider: Web page: http://www3.interscience.wiley.com/journal/34787/home

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    1. Evelyn Blumenberg & Paul Ong, 1998. "Job accessibility and welfare usage: Evidence from Los Angeles," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 17(4), pages 639-657.
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