10 - ECON375 10/13/10 Evaluating - Welfare Reform Labor...

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ECON375 – 10/13/10 Evaluating Welfare Reform - Labor supply/employment - Income - Poverty Rates - Caseload (“dependency”) Evaluation Methods - Time Trends o Before and after, look for “break” after PRWORA o Other things going on at the same time - Compare groups o Changes in group more affected (single-mothers_ to group less affected by change (married mothers, single women) - Exploit variation in timing of changes in states o Many other factors vary across states and may be correlated with the choice of which program features to change - Use the findings from the “waiver” experiments before PRWORA Other Things Going On in 90s - EITC expansion o Compare minimum wage policy to EITC policy - Minimum wage increased to 5.15 - Medicaid SCHIP expansions for children - Child Care & Development Block Grant - Child Care Tax Credit - Major economic boom with decreased unemployment What effect would work reforms expect to have? - Work requirements? o More people should be working - Time Limits? o Push people to get off program or delay participating, caseload will go down - Earnings disregards and lower BRRs?
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o Increase labor supply - Family Caps? o
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This note was uploaded on 09/07/2011 for the course ECON 375 taught by Professor Staff during the Fall '10 term at Maryland.

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10 - ECON375 10/13/10 Evaluating - Welfare Reform Labor...

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