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Public Housing and Labor Supply

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  • Janet Currie
  • Aaron S. Yelowitz

Abstract

The federal government spent more than $19 billion on subsidized housing programs for the poor in Fiscal Year 1992. Of this amount, roughly two-thirds was spent on Section 8 housing vouchers and one-third on public housing projects. Although spending on these programs is nearly equal to Aid to Families with Dependent Children (AFDC), Supplemental Security Income, or Food Stamp expenditure, there is comparatively little empirical evidence on how housing programs affect economic behavior. The goal of this study is to answer two sets of questions: How do the income eligibility rules, marginal tax rates, and subsidies from the housing program affect the work behavior of recipients? We consider whether the fact that some housing benefits are lost in their entirety when income goes beyond the eligibility level (known as the public housing notch) distorts work behavior. How does public housing interact with other welfare programs such as AFDC, Medicaid, SSI, and Food Stamps? The STATA programs and data used in this study may be obtained from the authors; email requests to: yelowitz@ucla.edu.

Suggested Citation

  • Janet Currie & Aaron S. Yelowitz, 1998. "Public Housing and Labor Supply," JCPR Working Papers 52, Northwestern University/University of Chicago Joint Center for Poverty Research.
    • Handle: RePEc:wop:jopovw:52
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    References listed on IDEAS

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    6. A. S. Yelowitz, "undated". "Did recent medicaid reforms cause the caseload explosion in the food stamp program?," Institute for Research on Poverty Discussion Papers 1109-96, University of Wisconsin Institute for Research on Poverty.
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    13. Aaron S. Yelowitz, 1995. "The Medicaid Notch, Labor Supply, and Welfare Participation: Evidence from Eligibility Expansions," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 110(4), pages 909-939.
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    Cited by:

    1. Florence Goffette-Nagot & Modibo Sidibé, 2011. "Housing Wealth Accumulation: The Role of Public Housing," Post-Print halshs-00673746, HAL.
    2. Goffette-Nagot, Florence & Sidibé, Modibo, 2016. "Housing wealth accumulation: The role of public housing," Regional Science and Urban Economics, Elsevier, vol. 57(C), pages 12-22.
    3. Deirdre Oakley & Erin Ruel & Lesley Reid, 2013. "Atlanta's Last Demolitions and Relocations: The Relationship Between Neighborhood Characteristics and Resident Satisfaction," Housing Studies, Taylor & Francis Journals, vol. 28(2), pages 205-234, March.
    4. David A. Reingold & Gregg G. Van Ryzin & Michelle Ronda, 2001. "Does Urban Public Housing Diminish the Social Capital and Labor Force Activity of Its Tenants?," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 20(3), pages 485-504.
    5. Harkness, Joseph & Newman, Sandra, 2003. "The interactive effects of housing assistance and food stamps on food spending," Journal of Housing Economics, Elsevier, vol. 12(3), pages 224-249, September.
    6. Joseph Harkness & Sandra J. Newman, 2002. "The Interactive Effects of Housing Assistance and Food Stamps," JCPR Working Papers 272, Northwestern University/University of Chicago Joint Center for Poverty Research.

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