American Economic Review Vol. 84 No. 5 1994
Parental and Public Transfers to Young Women and Their Children
Abstract
This paper presents estimates of how an increase in welfare benefits for the welfare-eligible affects the provision of parental support in the form of both financial transfers and shared residence based on an overlapping-generations framework incorporating game-theoretic interactions among parents, their adult children, and the government. The empirical results, obtained from two longitudinal data sets, indicate that the parents view a dollar of income earned by their daughters as equivalent to a dollar increase in welfare benefits. However, there exists only a small trade-off between the generosity of government aid and the incidence of parental aid.
- Volume
- 84
- Issue
- 5
- Pages
- 1195-1212
- Sources
- bibtex:phds-export.bib