Welfare Reform When Recipients Are Forward-Looking

A-Tier
Journal: Journal of Human Resources
Year: 2005
Volume: 40
Issue: 1

Score contribution per author:

4.022 = (α=2.01 / 1 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

In 1996 the Aid to Families with Dependent Children program was replaced with the Temporary Assistance for Needy Families (TANF) program. This paper considers the effects of two specific components of TANF, time limits and work requirements, on employment, marriage, and welfare participation. I use a discrete-choice dynamic programming model and obtain parameter estimates using data from the Panel Study of Income Dynamics. Policy simulations show that a five-year lifetime time limit results in a 60 percent reduction in welfare use and that a substantial part of this reduction occurs because recipients are forward-looking.

Technical Details

RePEc Handle
repec:uwp:jhriss:v:40:y:2005:i:1:p31-56
Journal Field
Labor
Author Count
1
Added to Database
2026-01-29