Marriage, Labor Supply and the Dynamics of the Social Safety Net

Hamish Low, Costas Meghir, Luigi Pistaferri and Alessandra Voena

No 24356, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: The 1996 US welfare reform introduced time limits on welfare receipt. We use quasi-experimental evidence and a lifecycle model of marriage, divorce, program participation, labor supply and savings to understand the impact of time limits on behavior and well-being. Time limits cause women to defer claiming in anticipation of future needs, an effect that depends on the probabilities of marriage and divorce. Time limits cost women 0.5% of life-time consumption, net of revenue savings redistributed by reduced taxation, with some groups affected much more. Expectations over future marital status are important determinants of the value of the social safety net.

JEL-codes: H2 H31 H53 J08 J12 J18 J22 (search for similar items in EconPapers)
Date: 2018-02
New Economics Papers: this item is included in nep-ias and nep-ltv
Note: LS PE
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Citations: View citations in EconPapers (62)

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Related works:
Working Paper: Marriage, Labor Supply and the Dynamics of the Social Safety Net (2022)
Working Paper: Marriage, Labor Supply and the Dynamics of the Social Safety Net (2018)
Working Paper: Marriage, Labor Supply and the Dynamics of the Social Safety Net (2018)
Working Paper: Marriage, Labor Supply and the Dynamics of the Social Safety Net (2018)
Working Paper: Marriage, labour supply and the dynamics of the social safety net (2018)
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