The Intergenerational Transmission Of Welfare Receipt: A Nonparametric Bounds Analysis

John Pepper

The Review of Economics and Statistics, 2000, vol. 82, issue 3, 472-488

Abstract: Using a nonparametric bounding method and data from the Panel Study of Income Dynamics, I examine the effect that growing up in a household that receives Aid to Families with Dependent Children (AFDC) has on welfare participation as a young adult. In light of the ambiguities created by the selection problem, a number of alternative assumptions and estimates are presented. While the data alone cannot be conclusive, the results generally strengthen the evidence that being exposed to AFDC as a child increases both the probability and the expected duration of future welfare participation. © 2000 by the President and Fellows of Harvard College and the Massachusetts Institute of Technology

Date: 2000
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