Expenditure Patterns Post-Welfare Reform in the UK: Are low-income families starting to catch up?
In this paper we provide evidence on how the UK government's welfare reforms since 1998 have affected the material well-being of children in low-income families. We examine changes in expenditure patterns and ownership of durable goods for low- and higher-income families between the pre-reform period (1995-1998) and the post-reform period (2000-2003), using data from the Family Expenditure Survey. The methodological approach is a difference-in-difference-in-difference analysis that exploits the fact that age variation in the reforms favoured low-income families over higher-income ones and families with children age under 11 over those with older children. We find that low-income families with children are catching up to more affluent families, in their expenditures and their possession of durable goods. Moreover, expenditures on child-related items are increasing faster than expenditures on other items.
|Date of creation:||May 2005|
|Date of revision:|
|Contact details of provider:|| Web page: http://sticerd.lse.ac.uk/case/_new/publications/default.asp|
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Case, A. & Deaton, A., 1996.
"Large Cash Transfers to the Elderly in South Africa,"
176, Princeton, Woodrow Wilson School - Development Studies.
- Case, Anne & Deaton, Angus, 1998. "Large Cash Transfers to the Elderly in South Africa," Economic Journal, Royal Economic Society, vol. 108(450), pages 1330-61, September.
- Anne Case & Angus Deaton, 1996. "Large Cash Transfers to the Elderly in South Africa," NBER Working Papers 5572, National Bureau of Economic Research, Inc.
- Laura Blow & Ian Walker & Yu Zhu, 2007.
"Who Benefits from Child Benefit?,"
200716, Geary Institute, University College Dublin.
- Blow, Laura & Walker, Ian & Zhu, Yu, 2006. "Who benefits from Child Benefit?," The Warwick Economics Research Paper Series (TWERPS) 749, University of Warwick, Department of Economics.
- Richard Dickens & David T Ellwood, 2003. "Child Poverty in Britain and the United States," Economic Journal, Royal Economic Society, vol. 113(488), pages F219-F239, 06.
- Paul Gregg & Susan Harkness, 2003. "Welfare Reform and Lone Parents Employment in the UK," The Centre for Market and Public Organisation 03/072, Department of Economics, University of Bristol, UK.
- Rebecca M. Blank, 2002.
"Evaluating Welfare Reform in the United States,"
Journal of Economic Literature,
American Economic Association, vol. 40(4), pages 1105-1166, December.
- Shelly J. Lundberg & Robert A. Pollak & Terence J. Wales, 1997. "Do Husbands and Wives Pool Their Resources? Evidence from the United Kingdom Child Benefit," Journal of Human Resources, University of Wisconsin Press, vol. 32(3), pages 463-480.
- Mike Brewer & Tom Clark & Matthew Wakefield, 2002. "Social security in the UK under New Labour: what did the Third Way mean for welfare reform?," Fiscal Studies, Institute for Fiscal Studies, vol. 23(4), pages 505-537, December.
- Hills, John, 2004. "Inequality and the State," OUP Catalogue, Oxford University Press, number 9780199276646, July.
- Brewer, Mike & Duncan, Alan & Shephard, Andrew & Suarez, Maria Jose, 2006. "Did working families' tax credit work? The impact of in-work support on labour supply in Great Britain," Labour Economics, Elsevier, vol. 13(6), pages 699-720, December.
When requesting a correction, please mention this item's handle: RePEc:cep:sticas:099. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()
If references are entirely missing, you can add them using this form.