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Welfare recipiency, job separation outcomes, and postseparation earnings: insight from linked personnel and state administrative data

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  • Jill Marie Gunderson
  • Julie L. Hotchkiss

Abstract

This paper uses a unique personnel data set and state administrative data to follow welfare and nonwelfare hires who separate from similar jobs with the same firm. Welfare hires are more likely to separate from their job and are more likely to be on welfare after separation compared with similarly low-skilled nonwelfare hires. Those not returning to welfare, however, are no more or less likely to have moved on to a lower- or higher-paying job than nonwelfare hires.

Suggested Citation

  • Jill Marie Gunderson & Julie L. Hotchkiss, 2006. "Welfare recipiency, job separation outcomes, and postseparation earnings: insight from linked personnel and state administrative data," FRB Atlanta Working Paper 2006-07, Federal Reserve Bank of Atlanta.
  • Handle: RePEc:fip:fedawp:2006-07
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    File URL: http://www.frbatlanta.org/filelegacydocs/wp0607.pdf
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    References listed on IDEAS

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    1. Jovanovic, Boyan, 1984. "Matching, Turnover, and Unemployment," Journal of Political Economy, University of Chicago Press, vol. 92(1), pages 108-122, February.
    2. Jeffrey Grogger, 2009. "Welfare Reform, Returns to Experience, and Wages: Using Reservation Wages to Account for Sample Selection Bias," The Review of Economics and Statistics, MIT Press, vol. 91(3), pages 490-502, August.
    3. Hilary Williamson Hoynes, 2000. "Local Labor Markets And Welfare Spells: Do Demand Conditions Matter?," The Review of Economics and Statistics, MIT Press, vol. 82(3), pages 351-368, August.
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    5. Peter R. Mueser & Kenneth Troske & William J. Carrington, 2002. "The Impact of Welfare Reform on Leaver Characteristics, Employment and Recidivism," Working Papers 0205, Department of Economics, University of Missouri, revised 26 Aug 2002.
    6. Jill Marie Gunderson & Julie L. Hotchkiss, 2004. "Job separation behavior of welfare recipients: results from a unique case study," FRB Atlanta Working Paper 2004-12, Federal Reserve Bank of Atlanta.
    7. Carolyn J. Heinrich & Peter R. Mueser & Kenneth R. Troske, 2005. "Welfare to Temporary Work: Implications for Labor Market Outcomes," The Review of Economics and Statistics, MIT Press, vol. 87(1), pages 154-173, February.
    8. Rucker C. Johnson & Mary E. Corcoran, 2003. "The road to economic self-sufficiency: Job quality and job transition patterns after welfare reform," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 22(4), pages 615-639.
    9. Peter Gottschalk, 2005. "Can work alter welfare recipients' beliefs?," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 24(3), pages 485-498.
    10. Harry J. Holzer & Michael A. Stoll & Douglas Wissoker, 2001. "Job Performance and Retention Among Welfare Recipients," JCPR Working Papers 231, Northwestern University/University of Chicago Joint Center for Poverty Research.
    11. Lee, Lung-Fei, 1978. "Unionism and Wage Rates: A Simultaneous Equations Model with Qualitative and Limited Dependent Variables," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 19(2), pages 415-433, June.
    12. Pamela Loprest, 2001. "How are families who left welfare doing over time? a comparison of two cohorts of welfare leavers," Economic Policy Review, Federal Reserve Bank of New York, issue Sep, pages 9-19.
    13. Small, Kenneth A & Hsiao, Cheng, 1985. "Multinomial Logit Specification Tests," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 26(3), pages 619-627, October.
    14. Jovanovic, Boyan, 1979. "Job Matching and the Theory of Turnover," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 972-990, October.
    15. Krueger, Alan & Rouse, Cecilia, 1998. "The Effect of Workplace Education on Earnings, Turnover, and Job Performance," Journal of Labor Economics, University of Chicago Press, vol. 16(1), pages 61-94, January.
    16. Lane, Julia & Stevens, David, 1995. "Family, Work, and Welfare History: Work and Welfare Outcomes," American Economic Review, American Economic Association, vol. 85(2), pages 266-270, May.
    17. Jovanovic, Boyan, 1979. "Firm-specific Capital and Turnover," Journal of Political Economy, University of Chicago Press, vol. 87(6), pages 1246-1260, December.
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    Cited by:

    1. Gunderson, Jill Marie & Hotchkiss, Julie L., 2007. "Job Separation Behavior of WOTC Workers: Results from a Unique Case Study," MPRA Paper 44801, University Library of Munich, Germany.

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