Migration and Income Redistribution Responsibilities

Edward Gramlich and Deborah S. Laren

Journal of Human Resources, 1984, vol. 19, issue 4, 489-511

Abstract: The importance of migration of AFDC beneficiaries as a determinant of state benefit levels is examined in this paper. A pooled cross-section time-series model fit to state data over the seventies indicates that benefit levels in other states have a positive influence on own-state benefits and a negative influence on recipients. This evidence is supported by that from a transition matrix, which shows that while very few AFDC households make an interstate move in a year, when they do move they are much more likely to go to a high-benefit state than to a low-benefit state. Both pieces of evidence argue for more centralization of income redistribution responsibilities in the United States.

Date: 1984
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Persistent link: https://EconPapers.repec.org/RePEc:uwp:jhriss:v:19:y:1984:i:4:p:489-511

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