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State dependence in Swedish social assistance in the 1990s: What happened to those who were single before the recession?

Author

Listed:
  • Andrén, Daniela

    (Örebro University School of Business)

  • Andrén, Thomas

    (Swedish Confederation of Professional Associations (Saco))

Abstract

Using a dynamic discrete choice model that controls for unobserved heterogeneity and the initial conditions problem, we estimate the state dependence in Swedish social assistance for Swedish-born and foreign-born who were single in 1990 before the recession period started. The estimates of the structural state dependence for Swedish-born singles indicate that it is unaffected by the event of living together with a partner, and the effect is significantly lower for women than for men. For the foreign-born singles, the state dependence for those who stay single the whole decade is equally strong for men and women, and almost not affected when the foreign-born single started to live together with a foreign-born partner.

Suggested Citation

  • Andrén, Daniela & Andrén, Thomas, 2013. "State dependence in Swedish social assistance in the 1990s: What happened to those who were single before the recession?," Working Papers 2013:10, Örebro University, School of Business.
    • Handle: RePEc:hhs:oruesi:2013_010
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    References listed on IDEAS

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    More about this item

    Keywords

    social assistance; state dependence; country of birth; singles; married/cohabitated; unobserved heterogeneity; initial conditions; dynamic random effects probit model; GHK simulator;
    All these keywords.

    JEL classification:

    • I30 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy

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