Berg, Nathan and Gabel, Todd (2010): New Reform Strategies and Welfare Participation in Canada.
Download (292kB) | Preview
Heterogeneous welfare reform policies and timing of those policies among Canadian provinces reveal new information about the roles of different policy tools in accounting for declines in welfare participation. Work requirements, diversion, earnings exemptions, and time limits—referred to as new reform strategies—appear to explain at least 16 percent of observed welfare participation declines from 1994 to 2005, more than eligibility requirements and benefit levels explain. Conservative estimates imply that welfare participation falls by 1.9 percentage points (21 percent relative to mean welfare participation) in provinces and years with stringent combinations of new reform strategies in place.
|Item Type:||MPRA Paper|
|Original Title:||New Reform Strategies and Welfare Participation in Canada|
|Keywords:||Social Assistance, PRWORA, TANF, Work Requirements, Diversion, Earnings, Exemptions, Time Limits, Natural Experiments|
|Subjects:||D - Microeconomics > D0 - General > D03 - Behavioral Economics; Underlying Principles|
|Depositing User:||Nathan Berg|
|Date Deposited:||10. Nov 2010 14:09|
|Last Modified:||13. Feb 2013 18:58|
AB [Government of Alberta] (2009). Alberta Works policy manual.
Acs, G., Phillips, K.R., and Nelson, S. (2005). The road not taken? Changes in welfare entry during the 1990s. Social Science Quarterly 86, 5, 1060-1079.
Allen, Douglas W. (1993). Welfare and the family: The Canadian experience. Journal of Labor Economics 11,1, S201-S223.
Arellano, M. (1987). Computing robust standard errors for within-groups estimators. Oxford Bulletin of Economics and Statistics 49, 4, 431-434.
Arnau, P., Fortin, P., and Cremieux, P. (2005). The determinants of social assistance rates: evidence from a panel of Canadian provinces, 1976-2001. Working Paper. Montreal, QC: Departement des Sciences Economiques, Universite du Quebec a Montreal.
Baker, M. and Benjamin, D. (1995). The receipt of transfer payments by immigrants in Canada. Journal of Human Resources 30, 650-676.
Barrett, G. and Cragg, M. (1998). An untold story: The characteristics of welfare use in British Columbia. Canadian Journal of Economics 31, 1, 165-188.
BC [Government of British Columbia] (1999). Ministry of Human Resources annual report, 1997/98.
______ (2002). Employment and assistance regulation.
Bertrand, M., Duflo, E., and Mullainathan, S. (2004). How much should we trust differences-indifferences estimates? Quarterly Journal of Economics 119, 249-275.
Blank, Rebecca M. (2001). What causes public assistance caseloads to grow? Journal of Human Resources 36, 1, 85-118.
Blank, Rebecca M. (2002). Evaluating welfare reform in the United States. Journal of Economic Literature 40, 4, 1105-1166.
Boessenkool, Kenneth J. (1997). Back to work: Learning from the Alberta welfare experiment. Toronto, ON: C.D. Howe Institute.
Card, D. and Hyslop, D. (2005). Estimating the effects of a time-limited earnings subsidy for welfare-leavers. Econometrica 73, 6, 1723-1770.
Card, D. and Robins, P. (2005). How important are “entry effects” in financial incentive programs for welfare recipients? Experimental evidence from the Self-Sufficiency Project. Journal of Econometrics 125, 113-139.
Charette, M. and Meng, R. (1994). The determinants of welfare participation of female heads of household in Canada. Canadian Journal of Economics 27,2, 290-306.
Christofides, L.N. (2000). Social assistance and labour supply. Canadian Journal of Economics 33, 3, 715-741.
Christofides, L.N., Stengos, T. and Swidinsky, R. (1997). Welfare participation and labour market behavior in Canada. Canadian Journal of Economics 3, 3, 595-621.
Coelli, M., Green, D., and Warburton, W. (2007). Breaking the cycle? The effect of education on welfare receipt among children of welfare recipients. Journal of Public Economics 91, 1369-1398.
Council of Economic Advisors [CEA] (1999). The effects of welfare policy and the economic expansion on welfare caseloads: An update. Washington, DC: Council of Economic Advisors.
Danielson, C. and Klerman, J.A. (2008). Did welfare reform cause the caseload decline? Social Service Review 82, 4, 703-730.
Dooley, Martin D. (1999). The evolution of welfare participation among Canadian lone mothers, 1973-1991. Canadian Journal of Economics 32, 3, 589-612.
Finnie, R., Irvine, I., and Sceviour, R. (2004). Welfare dynamics in Canada: The role of individual attributes and economic-policy variables. No. 231. Ottawa, ON: Statistics Canada.
Fortin, B., Lacroix, G. and Drolet, S. (2004). Welfare benefits and the duration of welfare spells: Evidence from a natural experiment in Canada. Journal of Public Economics 88, 1495-1520.
Gorlick, C.A. and Brethour, G. (1998). Welfare to work. London, ON: University of Western Ontario.
Green, D. and Warburton, W. (2004). Tightening a welfare system: The effects of benefit denial on future welfare receipt. Journal of Public Economics 88, 1471-1493.
Grogger, Jeffrey (2004). Time limits and welfare use. Journal of Human Resources 39, 2, 405-424.
Grogger , J., Haider, S., and Klerman, J. (2003). Why did the welfare rolls fall during the 1990’s? The importance of entry. AEA Papers and Proceedings 93, 2, 288-292.
Hansen, Christian B. (2007). Asymptotic properties of a robust variance matrix estimator for panel data when T is large. Journal of Econometrics 141, 597-620.
Hodrick, R. and Prescott, E. (1997). Postwar U.S. business cycles: An empirical investigation. Journal of Money, Credit and Banking 29, 1, 1-16.
Holden, Alfred (1987, October 27). ‘Spouse in house’ change aids 9,000 single parents. The Toronto Star.
Hughes, C. and McCuaig, K. (2000). When mom must work: Family day care as a welfare-to work option. Toronto, ON: Ontario Coalition for Better Child Care.
HRSDC [Human Resources and Skills Development Canada] (2006). Social assistance statistical report: 2005. Ottawa, ON: Human Resources and Skills Development Canada.
______ (2009). Minimum Wage Database. Ottawa, ON: Human Resources and Skills Development Canada.
Jeffs, Allyson (1993, March 27). Alberta gets tough on welfare. Calgary Herald.
Lemieux, T. and Milligan, K. (2008). Incentive effects of social assistance: A regression discontinuity approach. Journal of Econometrics 142, 807-828.
Klassen, T. and Buchanan, D. (1997). Getting it backward? Economy and welfare in Ontario 1985—1995. Canadian Public Policy 23, 3, 333-338.
Maxwell, Glynis (2009). Poverty reduction policies and programs. Poverty in Ontario – Failed promise and the renewal of hope: Ontario. Ottawa, ON: Canadian Council on Social Development.
Morel, Sylvie (2002). The insertion model or the workfare model? The transformation of social assistance within Quebec and Canada. Ottawa, ON: Status of Women Canada.
NB [Government of New Brunswick] (1995). Family Income Security Act. Regulations.
______ (2008). Social assistance policy manual.
NCW [National Council of Welfare] (1987). Welfare in Canada: The tangled safety net. Ottawa, ON: National Council of Welfare.
______ (1990-2008). Welfare Incomes 1989-Welfare Incomes, 2006 and 2007. Ottawa, ON: National Council of Welfare.
______ (1997). Another look at welfare reform. Ottawa, ON: National Council of Welfare.
NS [Government of Nova Scotia] (2008). Policy manual. Employment Support and Income Assistance.
ONCSS [Ministry of Community and Social Services, Government of Ontario] (2008). Ontario Works policy directives.
PEIHSS [Department of Health and Social Services, Government of Prince Edward Island] (2003). P.E.I. social assistance policy manual.
Ribar, David (2005). Transitions from welfare and the employment prospects of low-skill workers. Southern Economic Journal 71, 3: 514-533.
Saulnier, Christine (2009). Poverty reduction policies and programs. The causes and consequences of poverty: Understanding divisions and disparities in social and economic development in Nova Scotia: Nova Scotia. Ottawa, ON: Canadian Council on Social Development.
Shannon, Michael (2009). Canadian lone mother employment rates, policy change and the US welfare reform literature. Applied Economics 41, 2463-2481.
SK [Government of Saskatchewan] (2002, May 9). Helping low-income people find jobs. News Release.
Statistics Canada (2007). Provincial Economic Accounts.
______ (2009) Income Trends in Canada 1976 to 2007.
______ (2010a). CANSIM in E-STAT.
______ (2010b). Labour Force Survey.
Swann, Christopher (2005). Welfare reform when recipients are forward looking. Journal of Human Resources 40, 1, 31-56.
Wallace, B., Klein, S. and Reitsma-Street, M. (2006). Denied assistance: Closing the front door on welfare in B.C. Vancouver, BC: Canadian Centre for Policy Alternatives.
Ziliak, J., Figlio, D., Davis, E., and Connolly, L. (2000). Accounting for the decline in AFDC caseloads. Journal of Human Resources 35, 3, 570-586.