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Female labour supply, human capital and welfare reform

Richard Blundell (), Monica Costa Dias (), Costas Meghir () and Jonathan Shaw

No W16/03, IFS Working Papers from Institute for Fiscal Studies

Abstract: We estimate a dynamic model of employment, human capital accumulation - including education, and savings for women in the UK, exploiting tax and benefit reforms, and use it to analyze the effects of welfare policy. We find substantial elasticities for labor supply and particularly for lone mothers. Returns to experience, which are important in determining the longer-term effects of policy, increase with education, but experience mainly accumulates when in full-time employment. Tax credits are welfare improving in the UK and increase lone-mother labor supply, but the employment effects do not extend beyond the period of eligibility. Marginal increases in tax credits improve welfare more than equally costly increases in income support or tax cuts.

New Economics Papers: this item is included in nep-dem, nep-eur, nep-ltv and nep-pbe
Date: 2016-02-19
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Related works:
Journal Article: Female Labor Supply, Human Capital, and Welfare Reform (2016) Downloads
Working Paper: Female Labor Supply, Human Capital and Welfare Reform (2016) Downloads
Working Paper: Female Labor Supply, Human Capital and Welfare Reform (2015) Downloads
Working Paper: Female Labour Supply, Human Capital and Welfare Reform (2013) Downloads
Working Paper: Female Labor Supply, Human Capital and Welfare Reform (2013) Downloads
Working Paper: Female labour supply, human capital and welfare reform (2013) Downloads
Working Paper: Female labour supply, human capital and welfare reform (2013) Downloads
Working Paper: Female Labour Supply, Human Capital and Welfare Reform (2013) Downloads
Working Paper: Female Labour Supply, Human Capital and Welfare Reform (2013) Downloads
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