The impact of parental benefits on disadvantaged households

Nathalie Havet (), Guy Lacroix and Morgane Plantier ()
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Nathalie Havet: LAET - Laboratoire Aménagement Économie Transports - UL2 - Université Lumière - Lyon 2 - ENTPE - École Nationale des Travaux Publics de l'État - CNRS - Centre National de la Recherche Scientifique, LSAF - Laboratoire de Sciences Actuarielle et Financière - UCBL - Université Claude Bernard Lyon 1 - Université de Lyon
Morgane Plantier: LSAF - Laboratoire de Sciences Actuarielle et Financière - UCBL - Université Claude Bernard Lyon 1 - Université de Lyon, CEREGE [Poitiers] - Centre de recherche en gestion - UP - Université de Poitiers = University of Poitiers

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Abstract: Over the past 25 years, the Government of Quebec (Canada) has introduced a number of relatively novel policies aimed at fighting poverty such as the Universal Child Care Program (UCCP) in 1997 and the Quebec Parental Insurance Program (QPIP) in 2006. Since its inception, the QPIP has provided a means‐tested supplementary benefits scheme for disadvantaged households. The scheme yields a well‐defined kink in the benefits schedule with respect to two entirely exogenous criteria. Using the QPIP administrative data files from 2006 to 2017, we estimate the causal impact of the supplemental benefits on leave duration and participation of poor households within a sharp Regression Kink Design (RKD) approach. Our results indicate that single mothers are relatively responsive to additional benefits. Conversely, partnered mothers are not found to respond to the supplemental benefits, irrespective of fathers' own participation in the parental leave. The Canadian government is currently considering introducing a similar parental leave program. Our results may prove useful for the design of the program.

Date: 2024-02-19
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Published in Journal of Policy Analysis and Management, 2024, 43 (3), pp.761-779. ⟨10.1002/pam.22583⟩

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Working Paper: The Impact of Parental Benefits on Disadvantaged Households (2022)
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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-04476446

DOI: 10.1002/pam.22583

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