The Effects on the Labor Supply of Young Nonheads

Richard W. West

Journal of Human Resources, 1980, vol. 15, issue 4, 574-590

Abstract: This study examines the effects of the Seattle and Denver Income Maintenance Experiments (SIME/DIME) on the work effort of persons whose age is over 16 and under 21 at enrollment in the experiment and who are children, stepchildren, and grandchildren of heads of their families at enrollment. The results indicate that the experimental negative income tax (NIT) plans in SIME/DIME induce a reduction in work effort among non-heads. There is no evidence that the work-effort reduction is accompanied by an increase in school attendance. However, somewhat less than half the response appears to occur among persons who, in the absence of the experiment, would have worked while attending school, but attend school and do not work under the influence of the experiment.

Date: 1980
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Persistent link: https://EconPapers.repec.org/RePEc:uwp:jhriss:v:15:y:1980:i:4:p:574-590

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