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Single Mothers, Welfare, and Incentives to Work

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  • Libertad González

Abstract

. This paper analyses the effect of a reform in the French single parents allowance on the labor supply of single mothers with very young children. The reform aimed at encouraging participation by allowing eligible single parents to accumulate welfare benefits and labor earnings for a limited period of time. The analysis shows that eligible single mothers were significantly more likely to work after the reform. During the same period, the employment rate of married mothers with young children did not experience a significant change, suggesting that at least part of the increase among single mothers was a consequence of the reform.

Suggested Citation

  • Libertad González, 2008. "Single Mothers, Welfare, and Incentives to Work," LABOUR, CEIS, vol. 22(3), pages 447-468, September.
    • Handle: RePEc:bla:labour:v:22:y:2008:i:3:p:447-468
    DOI: 10.1111/j.1467-9914.2008.00417.x
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    References listed on IDEAS

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    1. Bruce D. Meyer & Dan T. Rosenbaum, 2001. "Welfare, the Earned Income Tax Credit, and the Labor Supply of Single Mothers," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 116(3), pages 1063-1114.
    2. Marc Gurgand & David Margolis, 2005. "Does work pay in France? Monetary incentives and the guaranteed minimum income," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00193282, HAL.
    3. Christopher J. Ruhm, 2004. "Parental Employment and Child Cognitive Development," Journal of Human Resources, University of Wisconsin Press, vol. 39(1).
    4. Marc Gurgand & David Margolis, 2001. "RMI et revenus du travail : une évaluation des gains financiers à l'emploi," Économie et Statistique, Programme National Persée, vol. 346(1), pages 103-122.
    5. Paul Gregg & Elizabeth Washbrook & Carol Propper & Simon Burgess, 2005. "The Effects of a Mother's Return to Work Decision on Child Development in the UK," Economic Journal, Royal Economic Society, vol. 115(501), pages 48-80, February.
    6. Eissa, Nada & Kleven, Henrik Jacobsen & Kreiner, Claus Thustrup, 2008. "Evaluation of four tax reforms in the United States: Labor supply and welfare effects for single mothers," Journal of Public Economics, Elsevier, vol. 92(3-4), pages 795-816, April.
    7. repec:bla:revinw:v:48:y:2002:i:1:p:127-40 is not listed on IDEAS
    8. González, Libertad, 2004. "Single Mothers and Work," IZA Discussion Papers 1097, Institute of Labor Economics (IZA).
    9. Meyer, Bruce D. & Rosenbaum, Dan T., 2000. "Making Single Mothers Work: Recent Tax and Welfare Policy and Its Effects," National Tax Journal, National Tax Association;National Tax Journal, vol. 53(4), pages 1027-1062, December.
    10. Thomas Piketty, 1998. "L'impact des incitations financières au travail sur les comportements individuels : une estimation pour le cas français," Économie et Prévision, Programme National Persée, vol. 132(1), pages 1-35.
    11. John F. Ermisch & Robert E. Wright, 1991. "Welfare Benefits and Lone Parents' Employment in Great Britain," Journal of Human Resources, University of Wisconsin Press, vol. 26(3), pages 424-456.
    12. Jenkins, Stephen P, 1992. "Lone Mothers' Employment and Full-Time Work Probabilities," Economic Journal, Royal Economic Society, vol. 102(411), pages 310-320, March.
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    Cited by:

    1. Hartley, Robert Paul & Lamarche, Carlos, 2018. "Behavioral responses and welfare reform: Evidence from a randomized experiment," Labour Economics, Elsevier, vol. 54(C), pages 135-151.
    2. Lane Destro & David Brady, 2010. "Does European-Style Welfare Generosity Discourage Single Mother Employment?," LIS Working papers 548, LIS Cross-National Data Center in Luxembourg.

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