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Labor Supply and Matching Rates for Welfare Recipients: An Analysis using Neighborhood Characteristics

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  • Bas van der Klaauw

    (Vrije Universiteit Amsterdam)

  • Jan C. van Ours

    (CentER, Tilburg University)

Abstract

This paper investigates how in addition to personal characteristicstheneighborhood affects the individual transition rate from welfare towork.We use a unique administrative database on welfare recipients inRotterdam,the second largest city of The Netherlands. We find that the exitrate towork of young Dutch welfare recipients is influenced by theneighborhoodunemployment rate. Other neighborhood characteristics such as theaveragehousing price are not important. From this we conclude that for youngDutchwelfare recipients a high local unemployment rate has a negativespillovereffect on the transition from welfare to work.

Suggested Citation

  • Bas van der Klaauw & Jan C. van Ours, 2000. "Labor Supply and Matching Rates for Welfare Recipients: An Analysis using Neighborhood Characteristics," Tinbergen Institute Discussion Papers 00-002/3, Tinbergen Institute.
    • Handle: RePEc:tin:wpaper:20000002
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    References listed on IDEAS

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    1. Gerard J. van den Berg & Bas van der Klaauw & Jan C. van Ours, 2004. "Punitive Sanctions and the Transition Rate from Welfare to Work," Journal of Labor Economics, University of Chicago Press, vol. 22(1), pages 211-241, January.
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    Cited by:

    1. Fertig, Michael & Schmidt, Christoph M., 2000. "Discretionary Measures of Active Labor Market Policy: The German Employment Promotion Reform in Perspective," IZA Discussion Papers 182, Institute of Labor Economics (IZA).
    2. Thomas J. Nechyba, 2001. "Social Approval, Values, and AFDC: A Reexamination of the Illegitimacy Debate," Journal of Political Economy, University of Chicago Press, vol. 109(3), pages 637-666, June.
    3. Bonin, Holger & Zimmermann, Klaus F., 2000. "The Post-Unification German Labor Market," IZA Discussion Papers 185, Institute of Labor Economics (IZA).

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    More about this item

    JEL classification:

    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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