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The Effect of Safety Net Generosity on Maternal Mental Health and Risky Health Behaviors

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  • Lucie Schmidt
  • Lara Shore-Sheppard
  • Tara Watson

Abstract

Single mothers are more likely to experience mental health problems and stress-related negative health behaviors, but a more generous safety net may improve these outcomes. We use a simulated safety net eligibility approach that accounts for interactions across safety net programs and relies on changing policies across states and time to identify causal effects of safety net generosity on psychological distress and risky behaviors of single mothers. Results suggest that a more generous safety net is protective of maternal mental health: a $1000 increase to the simulated potential combined cash and food benefit package reduces severe psychological distress by 8.4 percent. Breaking out effects by individual programs while still controlling for potential benefits from other programs, we find protective effects of tax credits, cash benefits provided by Temporary Assistance for Needy Families, and food benefits provided by Supplemental Nutritional Assistance, but no effects of Medicaid eligibility. The effects are primarily driven by single mothers with the lowest levels of education. We find no significant effects of generosity on daily smoking, but we find evidence that benefits reduce the likelihood of heavy drinking. Results suggest that government investments in resources available to low-income families are effective at improving well-being.

Suggested Citation

  • Lucie Schmidt & Lara Shore-Sheppard & Tara Watson, 2021. "The Effect of Safety Net Generosity on Maternal Mental Health and Risky Health Behaviors," NBER Working Papers 29258, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:29258
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    1. Collyer, Sophie & Gandhi, Jill & Garfinkel, Irwin & Ross, Schuyler & Waldfogel, Jane & Wimer, Christopher, 2022. "The Effects of the 2021 Monthly Child Tax Credit on Child and Family Well-being: Evidence from New York City," SocArXiv rnmfv, Center for Open Science.
    2. Cha, Eunho & Lee, Jiwan & Tao, Stacie, 2023. "Impact of the expanded child tax credit and its expiration on adult psychological well-being," Social Science & Medicine, Elsevier, vol. 332(C).

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    More about this item

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs

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