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Welfare Activation and Youth Crime

Author

Listed:
  • Bernt Bratsberg

    (Ragnar Frisch Centre for Economic Research)

  • Øystein Hernæs

    (Ragnar Frisch Centre for Economic Research)

  • Simen Markussen

    (Ragnar Frisch Centre for Economic Research)

  • Oddbjørn Raaum

    (Ragnar Frisch Centre for Economic Research)

  • Knut Røed

    (Ragnar Frisch Centre for Economic Research)

Abstract

We evaluate the impact on youth crime of a welfare reform that tightened activation requirements for social assistance clients. The evaluation strategy exploits administrative individual data in combination with geographically differentiated implementation of the reform. We find that the reform reduced crime among teenage boys from economically disadvantaged families. Stronger reform effects on weekday versus weekend crime, reduced school dropout, and favorable long-run outcomes in terms of crime and educational attainment point to both incapacitation and human capital accumulation as key mechanisms. Despite lowered social assistance take-up, we uncover no indication that loss of income support pushed youth into crime.

Suggested Citation

  • Bernt Bratsberg & Øystein Hernæs & Simen Markussen & Oddbjørn Raaum & Knut Røed, 2019. "Welfare Activation and Youth Crime," The Review of Economics and Statistics, MIT Press, vol. 101(4), pages 561-574, October.
    • Handle: RePEc:tpr:restat:v:101:y:2019:i:4:p:561-574
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    Cited by:

    1. Hernæs, Øystein M., 2020. "Distributional effects of welfare reform for young adults: An unconditional quantile regression approach," Labour Economics, Elsevier, vol. 65(C).
    2. Espen S. Dahl & Øystein Hernaes, 2023. "Making activation for young welfare recipients mandatory," LABOUR, CEIS, vol. 37(1), pages 96-121, March.

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    More about this item

    JEL classification:

    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • I29 - Health, Education, and Welfare - - Education - - - Other
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy

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