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Estimating participation responses using transfer program reform
Linnaeus University, School of Business and Economics, Department of Economics and Statistics. (Linnaeus University Centre for Labour Market and Discrimination Studies)
Uppsala Center for Fiscal Studies; Uppsala Center for Labor Studies at the Department of Economics, Uppsala University.
Institute for Evaluation of Labour Market and Education Policy (IFAU) SE-751 20 Uppsala; Uppsala Center for Fiscal Studies; Uppsala Center for Labor Studies at the Department of Economics, Uppsala University, Sweden; CESifo, Germany.
2016 (English)Report (Other academic)
Abstract [en]

n this paper we estimate labor force participation responses for married womenin Sweden using population-wide register data and detailed information about in-dividuals’ budget sets. For identification we exploit a reform in the system forhousing allowances in 1997 which affected participation tax rates for householdswith/without children differently. Using a simple theoretical framework we pro-vide a structural interpretation of our estimates and highlight how the employ-ment response depends on the employment level. Our central estimate of the par-ticipation elasticity is 0.13. When splitting the treated sample into four quartilesbased on the wife’s skill level we find that the participation elasticity is more thantwice as large for the lowest-skill sample than for the highest-skill sample

Place, publisher, year, edition, pages
2016. , 50 p.
Series
Working paper series / Linnaeus University Centre for Labour Market and Discrimination Studies, 2016:2
Keyword [en]
abor supply; social assistance; housing allowance; in-work tax cred- its; take up of transfer programs
National Category
Economics
Research subject
Economy, Economics
Identifiers
URN: urn:nbn:se:lnu:diva-50631OAI: oai:DiVA.org:lnu-50631DiVA: diva2:911408
Available from: 2016-03-11 Created: 2016-03-11 Last updated: 2016-03-11

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CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf