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How Does Public Assistance Affect Family Expenditures? The Case of Urban China

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  • Gao, Qin
  • Zhai, Fuhua
  • Garfinkel, Irwin

Abstract

Summary Using recent national household survey data and a propensity score matching method, this study examines the effects of urban China's primary public assistance program--Minimum Living Standard Assistance (MLSA)--on family expenditures, an important yet understudied indicator of family material well-being. We find that families receiving MLSA prioritized human capital investment (i.e., paying for education and health) rather than making the ends meet (e.g., paying for food, clothing, rent, and utilities). The policy implications of these findings are discussed.

Suggested Citation

  • Gao, Qin & Zhai, Fuhua & Garfinkel, Irwin, 2010. "How Does Public Assistance Affect Family Expenditures? The Case of Urban China," World Development, Elsevier, vol. 38(7), pages 989-1000, July.
    • Handle: RePEc:eee:wdevel:v:38:y:2010:i:7:p:989-1000
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    Cited by:

    1. Valerio Mendoza, Octasiano Miguel & Borsi, Mihály Tamás & Comim, Flavio, 2022. "Human capital dynamics in China: Evidence from a club convergence approach," Journal of Asian Economics, Elsevier, vol. 79(C).
    2. Yingfeng Fang & Fen Zhang, 2021. "The Future Path To China’s Poverty Reduction—Dynamic Decomposition Analysis With The Evolution Of China’s Poverty Reduction Policies," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 158(2), pages 507-538, December.
    3. Jiandong Chen & Ping Wang & Jixian Zhou & Malin Song & Xinyue Zhang, 2022. "Influencing factors and efficiency of funds in humanitarian supply chains: the case of Chinese rural minimum living security funds," Annals of Operations Research, Springer, vol. 319(1), pages 413-438, December.
    4. Huang, Xian & Wu, Bingxiao, 2020. "Impact of urban-rural health insurance integration on health care: Evidence from rural China," China Economic Review, Elsevier, vol. 64(C).
    5. Qin Gao & Fuhua Zhai, 2017. "Public Assistance, Economic Prospect, and Happiness in Urban China," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 132(1), pages 451-473, May.
    6. Golan, Jennifer & Sicular, Terry & Umapathi, Nithin, 2017. "Unconditional Cash Transfers in China: Who Benefits from the Rural Minimum Living Standard Guarantee (Dibao) Program?," World Development, Elsevier, vol. 93(C), pages 316-336.
    7. Gao, Qin & Zhai, Fuhua & Yang, Sui & Li, Shi, 2014. "Does Welfare Enable Family Expenditures on Human Capital? Evidence from China," World Development, Elsevier, vol. 64(C), pages 219-231.
    8. Zhao, Xi & Wang, Julia Shu-Huah, 2021. "The effects of multiple welfare program participatifon on educational expenditures and time use: Evidence from the social safety net in China," Children and Youth Services Review, Elsevier, vol. 131(C).
    9. Qin Gao & Shiyou Wu & Fuhua Zhai, 2015. "Welfare Participation and Time Use in China," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 124(3), pages 863-887, December.
    10. Zhonghao Zhang & Shimeng Sun & Wanzhen Chen & Xuesong He, 2023. "Spatiotemporal patterns in China's Minimal Living allowances: The urban‐rural gap and regional differences revealed through a national poverty alleviation program," Growth and Change, Wiley Blackwell, vol. 54(1), pages 214-233, March.
    11. Adachi, Yoshimi & Kitamura, Tomoki, 2021. "Impact of the Financial Support Program for High School Students in Japan," MPRA Paper 106769, University Library of Munich, Germany.

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