WELFARE POLICY AND THE EMPLOYMENT RATE OF AFDC MOTHERS

1 June 1974

journal article
Published by University of Chicago Press in National Tax Journal

Vol. 27 (2) , 275-284
https://doi.org/10.1086/ntj41861948

Abstract

The paper analyzes the effect of economic incentives in the AFDC program on the employment of AFDC mothers. Multiple regression analysis is applied to cross-sectional aggregate state program data for 1967. Our estimates indicate that the level of guarantees, tax rates and set-asides affect AFDC employment rates in the direction predicted by economic theory. Short of a drastic reduction in guarantees, however, manipulation of any of these program parameters is not likely to induce most AFDC mothers to work.

Keywords

MANIPULATION
AGGREGATE
AFDC
MOTHERS
TAX
DRASTIC
INCENTIVES
WELFARE
ASIDES
EMPLOYMENT RATES

This publication has 1 reference indexed in Scilit:

Welfare Payments and Work Incentive: Some Determinants of the Rates of General Assistance Payments
The Journal of Human Resources, 1968