Income Support, (Un-)Employment and Well-Being
Tobias Wolf (),
Clemens Hetschko () and
Authors registered in the RePEc Author Service: Ronnie Schoeb ()
Annual Conference 2016 (Augsburg): Demographic Change from Verein für Socialpolitik / German Economic Association
Using specific panel data of German welfare benefit recipients, we investigate the nonpecuniary life satisfaction effects of in-work benefits. Our empirical strategy combines difference-in-difference designs with synthetic control groups to analyze transitions of workers between unemployment, regular employment and employment accompanied by welfare receipt. Working makes people generally better off than being unemployed, but employed welfare recipients do not reach the life satisfaction level of regular employees. This implies that welfare receipt entails non-compliance with the norm to make one’s own living. Our findings allow us to draw cautious conclusions on employment subsidies paid as welfare benefits.
JEL-codes: I31 I38 J68 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-eur and nep-hap
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Working Paper: Income Support, (Un-)Employment and Well-Being (2016)
Working Paper: Income support, (un-)employment and well-being (2016)
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Persistent link: https://EconPapers.repec.org/RePEc:zbw:vfsc16:145860
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