This study investigates the consequences of poor implementation in public workfare programs, focusing on the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) in India. Using nationally representative data, we test empirically for a discouraged worker effect arising from either of two mechanisms: administrative rationing of jobs among those who seek work and delays in wage payments. We find strong evidence at the household and district levels that administrative rationing discourages subsequent demand for work. Delayed wage payments seem to matter significantly during rainfall shocks. We find further that rationing is strongly associated with indicators of implementation ability such as staff capacity. Politics appears to play only a limited role. The findings suggest that assessments of the relevance of public programs over their lifecycle need to factor in implementation quality.
{"title":"The 'Discouraged Worker Effect' in Public Works Programs: Evidence from the MGNREGA in India","authors":"S. Narayanan, Upasak Das, Yanyan Liu, C. Barrett","doi":"10.2139/ssrn.2882149","DOIUrl":"https://doi.org/10.2139/ssrn.2882149","url":null,"abstract":"This study investigates the consequences of poor implementation in public workfare programs, focusing on the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) in India. Using nationally representative data, we test empirically for a discouraged worker effect arising from either of two mechanisms: administrative rationing of jobs among those who seek work and delays in wage payments. We find strong evidence at the household and district levels that administrative rationing discourages subsequent demand for work. Delayed wage payments seem to matter significantly during rainfall shocks. We find further that rationing is strongly associated with indicators of implementation ability such as staff capacity. Politics appears to play only a limited role. The findings suggest that assessments of the relevance of public programs over their lifecycle need to factor in implementation quality.","PeriodicalId":196905,"journal":{"name":"ERN: Government Expenditures & Welfare Programs (Topic)","volume":"34 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2016-12-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"129051933","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This article examines whether expanding Supplemental Nutrition Assistance Program (SNAP) eligibility reduces material hardships of low-income households. During the Great Recession, many states expanded the income threshold of eligibility for SNAP. I show that expansions ineligibility increased the SNAP participation rate by 3–5 percentage points. I also find that the expansion leads to a modest decrease in nonfood hardships, such as rent and utility delinquencies. However, the increase in SNAP enrollment does not lead to greater food spending or a reduction in food insecurity except for households with children.
{"title":"The Impact of SNAP on Material Hardships: Evidence from Broad-Based Categorical Eligibility Expansions","authors":"Jeehoon Han","doi":"10.1002/SOEJ.12171","DOIUrl":"https://doi.org/10.1002/SOEJ.12171","url":null,"abstract":"This article examines whether expanding Supplemental Nutrition Assistance Program (SNAP) eligibility reduces material hardships of low-income households. During the Great Recession, many states expanded the income threshold of eligibility for SNAP. I show that expansions ineligibility increased the SNAP participation rate by 3–5 percentage points. I also find that the expansion leads to a modest decrease in nonfood hardships, such as rent and utility delinquencies. However, the increase in SNAP enrollment does not lead to greater food spending or a reduction in food insecurity except for households with children.","PeriodicalId":196905,"journal":{"name":"ERN: Government Expenditures & Welfare Programs (Topic)","volume":"4 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2016-10-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"128107960","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
The largest food assistance program in the U.S. and an important part of the U.S. safety net, the Supplemental Nutrition Assistance Program (SNAP) provides cash-like benefits to low-income individuals and families to use only for purchasing food. Understanding how SNAP benefit receipt affects children and families is crucial to both research and policy efforts aimed at supporting the healthy development of low-income children. This paper links the timing of SNAP benefit receipt to children’s end-of-grade (EOG) achievement test scores in North Carolina (NC). Using administrative data from the NC Departments of Public Instruction and Health and Human Services, we analyze the recency of SNAP benefit transfer and children’s test scores for over 148,000 SNAP-receiving public school students. Results indicate differences in students’ EOG performance in both reading and math based on the recency of SNAP benefit transfer. Although the relationship is stronger for reading than for math, the relationship between students’ test scores and SNAP receipt appears to be roughly curvilinear. Test scores peak in the third week following benefit transfer.
{"title":"SNAP Recency and Educational Outcomes","authors":"Anna Gassman‐Pines, Laura Bellows","doi":"10.2139/SSRN.2701380","DOIUrl":"https://doi.org/10.2139/SSRN.2701380","url":null,"abstract":"The largest food assistance program in the U.S. and an important part of the U.S. safety net, the Supplemental Nutrition Assistance Program (SNAP) provides cash-like benefits to low-income individuals and families to use only for purchasing food. Understanding how SNAP benefit receipt affects children and families is crucial to both research and policy efforts aimed at supporting the healthy development of low-income children. This paper links the timing of SNAP benefit receipt to children’s end-of-grade (EOG) achievement test scores in North Carolina (NC). Using administrative data from the NC Departments of Public Instruction and Health and Human Services, we analyze the recency of SNAP benefit transfer and children’s test scores for over 148,000 SNAP-receiving public school students. Results indicate differences in students’ EOG performance in both reading and math based on the recency of SNAP benefit transfer. Although the relationship is stronger for reading than for math, the relationship between students’ test scores and SNAP receipt appears to be roughly curvilinear. Test scores peak in the third week following benefit transfer.","PeriodicalId":196905,"journal":{"name":"ERN: Government Expenditures & Welfare Programs (Topic)","volume":"71 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2015-11-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"121885496","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
We use experimental data of a training program in 2005 in Colombia. We find that even up to ten years ahead, the JeA program had a positive and significant effect on the probability to work in the formal sector, and to work for a large firm. Applicants in the treatment group also contributed more months to social security during the analyzed period. Earnings of treated applicants were 11.8% higher in the whole sample, and they made larger contributions to social security. We also present non parametric bounds showing that for some percentiles of the sample of women, there are positive and nearly significant effects of the program. Thus, the effects of the program would have been capitalized both in increases in the likelihood of being formal, and increases in productivity. We also present evidence that the estimated program effects on the likelihood of working for the formal sector, the likelihood of working for a large firm, and the earnings in the formal sector, are not an artifact of analyzing multiple outcomes. We also find those in the treatment group have 0.315 more years of education, and have a probability of graduating from high school 10 percent higher than the control group. We find no significant effect on the probability of attending college or any school program, nor on fertility decisions, marital status or some dimensions of assortative mating. Among applicants matching to the census of the poorest population, we find that beneficiaries are more likely to participate in the labor market, to be employed, and to be enrolled in a private health insurance at the time of the survey. Finally, we find that the benefits of the JeA program are higher than it costs, leading to an internal rate of return of at least 22.1 percent.
{"title":"Long Term Impacts of Vouchers for Vocational Training: Experimental Evidence for Colombia","authors":"O. Attanasio, Arlen Guarín, C. Medina, C. Meghir","doi":"10.32468/BE.896","DOIUrl":"https://doi.org/10.32468/BE.896","url":null,"abstract":"We use experimental data of a training program in 2005 in Colombia. We find that even up to ten years ahead, the JeA program had a positive and significant effect on the probability to work in the formal sector, and to work for a large firm. Applicants in the treatment group also contributed more months to social security during the analyzed period. Earnings of treated applicants were 11.8% higher in the whole sample, and they made larger contributions to social security. We also present non parametric bounds showing that for some percentiles of the sample of women, there are positive and nearly significant effects of the program. Thus, the effects of the program would have been capitalized both in increases in the likelihood of being formal, and increases in productivity. We also present evidence that the estimated program effects on the likelihood of working for the formal sector, the likelihood of working for a large firm, and the earnings in the formal sector, are not an artifact of analyzing multiple outcomes. We also find those in the treatment group have 0.315 more years of education, and have a probability of graduating from high school 10 percent higher than the control group. We find no significant effect on the probability of attending college or any school program, nor on fertility decisions, marital status or some dimensions of assortative mating. Among applicants matching to the census of the poorest population, we find that beneficiaries are more likely to participate in the labor market, to be employed, and to be enrolled in a private health insurance at the time of the survey. Finally, we find that the benefits of the JeA program are higher than it costs, leading to an internal rate of return of at least 22.1 percent.","PeriodicalId":196905,"journal":{"name":"ERN: Government Expenditures & Welfare Programs (Topic)","volume":"28 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2015-07-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"125373455","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
New research debunks the myth that high taxes and a large welfare state are responsible for the success of the Nordic region. Summary: Left-leaning pop stars, politicians, journalists, political commentators and academics have long praised Scandinavian countries for their high levels of welfare provision and for their economic and social outcomes. It is, indeed, true that they are successful by most reasonable measures. However, Scandinavia’s success story predated the welfare state. Furthermore, Sweden began to fall behind as the state grew rapidly from the 1960s. Between 1870 and 1936, Sweden enjoyed the highest growth rate in the industrialised world. However, between 1936 and 2008, the growth rate was only 13th out of 28 industrialised nations. Between 1975 and the mid-1990s, Sweden dropped from being the 4th richest nation in the world to the 13th richest nation in the world. As late as 1960, tax revenues in the Nordic nations ranged between 25 per cent of GDP in Denmark to 32 per cent in Norway – similar to other developed countries. At the current time, Scandinavian countries are again no longer outliers when it comes to levels of government spending and taxation. The third-way radical social democratic era in Scandinavia, much admired by the left, only lasted from the early 1970s to the early 1990s. The rate of business formation during the third-way era was dreadful. In 2004, 38 of the 100 businesses with the highest revenues in Sweden had started as privately owned businesses within the country. Of these firms, just two had been formed after 1970. None of the 100 largest firms ranked by employment were founded within Sweden after 1970. Furthermore, between 1950 and 2000, although the Swedish population grew from 7 million to almost 9 million, net job creation in the private sector was close to zero. Scandinavia is often cited as having high life expectancy and good health outcomes in areas such as infant mortality. Again, this predates the expansion of the welfare state. In 1960, Norway had the highest life expectancy in the OECD, followed by Sweden, Iceland and Denmark in third, fourth and fifth positions. By 2005, the gap in life expectancy between Scandinavian countries and both the UK and the US had shrunk considerably. Iceland, with a moderately sized welfare sector, has over time outpaced the four major Scandinavian countries in terms of life expectancy and infant mortality. Scandinavia’s more equal societies also developed well before the welfare states expanded. Income inequality reduced dramatically during the last three decades of the 19th century and during the first half of the 20th century. Indeed, most of the shift towards greater equality happened before the introduction of a large public sector and high taxes. The development of Scandinavian welfare states has led to a deterioration in social capital. Despite the fact that Nordic nations are characterised by good health, only the Netherlands spends more on incapacity rel
{"title":"Scandinavian Unexceptionalism: Culture, Markets and the Failure of Third-Way Socialism","authors":"Nima Sanandaji","doi":"10.2139/ssrn.3895124","DOIUrl":"https://doi.org/10.2139/ssrn.3895124","url":null,"abstract":"New research debunks the myth that high taxes and a large welfare state are responsible for the success of the Nordic region. Summary: Left-leaning pop stars, politicians, journalists, political commentators and academics have long praised Scandinavian countries for their high levels of welfare provision and for their economic and social outcomes. It is, indeed, true that they are successful by most reasonable measures. However, Scandinavia’s success story predated the welfare state. Furthermore, Sweden began to fall behind as the state grew rapidly from the 1960s. Between 1870 and 1936, Sweden enjoyed the highest growth rate in the industrialised world. However, between 1936 and 2008, the growth rate was only 13th out of 28 industrialised nations. Between 1975 and the mid-1990s, Sweden dropped from being the 4th richest nation in the world to the 13th richest nation in the world. As late as 1960, tax revenues in the Nordic nations ranged between 25 per cent of GDP in Denmark to 32 per cent in Norway – similar to other developed countries. At the current time, Scandinavian countries are again no longer outliers when it comes to levels of government spending and taxation. The third-way radical social democratic era in Scandinavia, much admired by the left, only lasted from the early 1970s to the early 1990s. The rate of business formation during the third-way era was dreadful. In 2004, 38 of the 100 businesses with the highest revenues in Sweden had started as privately owned businesses within the country. Of these firms, just two had been formed after 1970. None of the 100 largest firms ranked by employment were founded within Sweden after 1970. Furthermore, between 1950 and 2000, although the Swedish population grew from 7 million to almost 9 million, net job creation in the private sector was close to zero. Scandinavia is often cited as having high life expectancy and good health outcomes in areas such as infant mortality. Again, this predates the expansion of the welfare state. In 1960, Norway had the highest life expectancy in the OECD, followed by Sweden, Iceland and Denmark in third, fourth and fifth positions. By 2005, the gap in life expectancy between Scandinavian countries and both the UK and the US had shrunk considerably. Iceland, with a moderately sized welfare sector, has over time outpaced the four major Scandinavian countries in terms of life expectancy and infant mortality. Scandinavia’s more equal societies also developed well before the welfare states expanded. Income inequality reduced dramatically during the last three decades of the 19th century and during the first half of the 20th century. Indeed, most of the shift towards greater equality happened before the introduction of a large public sector and high taxes. The development of Scandinavian welfare states has led to a deterioration in social capital. Despite the fact that Nordic nations are characterised by good health, only the Netherlands spends more on incapacity rel","PeriodicalId":196905,"journal":{"name":"ERN: Government Expenditures & Welfare Programs (Topic)","volume":"37 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2015-06-23","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130724255","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
The SSI program provides cash assistance to some of the nation’s most vulnerable elderly, blind, and disabled residents. In this paper, we briefly summarize the history of the SSI program and present descriptive evidence on caseload composition and trends. We discuss relevant conceptual issues and empirical evidence focused on four key issues. First, we describe the advantages and disadvantages of categorical eligibility requirements and we show that the SSI caseload has become increasingly comprised of difficult-to-verify conditions, namely pain and mental disabilities. Second, we describe systematic disincentives to accumulate earnings and assets inherent in the SSI program design, but emphasize that the more relevant set of questions for the SSI population are related to the full disability requirement for eligibility. Third, we describe the questions and research about long-term benefits and costs to program participants, in terms of whether the program adequately and appropriately serves the needs of disabled individuals and their family members. And fourth, we present information and evidence about program spillovers, both across programs and across federal and state levels of government. Throughout the paper we make numerous explicit references to areas where further study is warranted and open research questions remain. SSI is an important part of the U.S. safety net, but particular features of the program raise questions about whether there is a more effective way to provide income support for individuals with work-limiting disabilities and families with disabled the children. Our goal for this paper is to systematically present the issues for scholars and policy-makers to consider and explore.
{"title":"The Supplemental Security Income (Ssi) Program","authors":"M. Duggan, M. Kearney, Stephanie Rennane","doi":"10.3386/w21209","DOIUrl":"https://doi.org/10.3386/w21209","url":null,"abstract":"The SSI program provides cash assistance to some of the nation’s most vulnerable elderly, blind, and disabled residents. In this paper, we briefly summarize the history of the SSI program and present descriptive evidence on caseload composition and trends. We discuss relevant conceptual issues and empirical evidence focused on four key issues. First, we describe the advantages and disadvantages of categorical eligibility requirements and we show that the SSI caseload has become increasingly comprised of difficult-to-verify conditions, namely pain and mental disabilities. Second, we describe systematic disincentives to accumulate earnings and assets inherent in the SSI program design, but emphasize that the more relevant set of questions for the SSI population are related to the full disability requirement for eligibility. Third, we describe the questions and research about long-term benefits and costs to program participants, in terms of whether the program adequately and appropriately serves the needs of disabled individuals and their family members. And fourth, we present information and evidence about program spillovers, both across programs and across federal and state levels of government. Throughout the paper we make numerous explicit references to areas where further study is warranted and open research questions remain. SSI is an important part of the U.S. safety net, but particular features of the program raise questions about whether there is a more effective way to provide income support for individuals with work-limiting disabilities and families with disabled the children. Our goal for this paper is to systematically present the issues for scholars and policy-makers to consider and explore.","PeriodicalId":196905,"journal":{"name":"ERN: Government Expenditures & Welfare Programs (Topic)","volume":"62 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2015-05-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"132945433","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
We propose an analysis of the persistent at-risk-of-poverty (PARP) rate in Italy at the onset of the Great Recession. Italy represents an interesting case study because it has one of the highest PARP rates in Europe, together with a flexible labour market and an inadequate social security system. A territorial dualism characterises the country, with the South witnessing worse off standards of living.Our main result is that male employees, the category most protected by the welfare system, are more likely to prevent their households from experiencing persistent poverty. Women, traditionally playing a secondary economic role, let their households more likely to be persistently poor, whatever their source income. The South disadvantage slightly decreases at the beginning of the crisis. This is due to the worsening economic conditions in the North-Centre, whose production was affected to a wider extent by the economic downturn. Analysing poverty and its underlying process may be useful in designing social policies aimed at reducing poverty and contrasting inequalities. The study of poverty studies and of related policy issues for targeted population would benefit from longer datasets. These would allow to analyse poverty transitions and their determinants, by taking explicitly into account poverty duration.
{"title":"Persistent at-Risk-of-Poverty Rate in Italy (2007-2010)","authors":"L. Coppola, Davide Di Laurea","doi":"10.2139/ssrn.2494910","DOIUrl":"https://doi.org/10.2139/ssrn.2494910","url":null,"abstract":"We propose an analysis of the persistent at-risk-of-poverty (PARP) rate in Italy at the onset of the Great Recession. Italy represents an interesting case study because it has one of the highest PARP rates in Europe, together with a flexible labour market and an inadequate social security system. A territorial dualism characterises the country, with the South witnessing worse off standards of living.Our main result is that male employees, the category most protected by the welfare system, are more likely to prevent their households from experiencing persistent poverty. Women, traditionally playing a secondary economic role, let their households more likely to be persistently poor, whatever their source income. The South disadvantage slightly decreases at the beginning of the crisis. This is due to the worsening economic conditions in the North-Centre, whose production was affected to a wider extent by the economic downturn. Analysing poverty and its underlying process may be useful in designing social policies aimed at reducing poverty and contrasting inequalities. The study of poverty studies and of related policy issues for targeted population would benefit from longer datasets. These would allow to analyse poverty transitions and their determinants, by taking explicitly into account poverty duration.","PeriodicalId":196905,"journal":{"name":"ERN: Government Expenditures & Welfare Programs (Topic)","volume":"221 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2014-09-12","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"123279456","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This paper hopes to present the basic income as a viable alternative to the status quo in Europe, where many crisis-beset countries are experiencing record-high rates of unemployment. It does this by drawing a historical arc over policies, which it sees the BIG as a continuation and fruition of, and additionally makes some moral arguments for the introduction of the BIG. A survey of literature is presented on the topics of labor force effects of a BIG and the financing of a BIG.
{"title":"Can an EU-Wide Basic Income Be Part of the Solution to the Unemployment Crisis?","authors":"J. Warren","doi":"10.2139/ssrn.2432127","DOIUrl":"https://doi.org/10.2139/ssrn.2432127","url":null,"abstract":"This paper hopes to present the basic income as a viable alternative to the status quo in Europe, where many crisis-beset countries are experiencing record-high rates of unemployment. It does this by drawing a historical arc over policies, which it sees the BIG as a continuation and fruition of, and additionally makes some moral arguments for the introduction of the BIG. A survey of literature is presented on the topics of labor force effects of a BIG and the financing of a BIG.","PeriodicalId":196905,"journal":{"name":"ERN: Government Expenditures & Welfare Programs (Topic)","volume":"13 3 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2014-05-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"126706245","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Recent research shows that the merger of economies increases aggregate stress. This paper shows that there is no income distribution policy which will ensure that the wellbeing of the individuals belonging to merging economies does not fall below their pre-merger level.
{"title":"A Policy Response to a Downside of the Integration of Economies: An Impossibility Theorem","authors":"O. Stark","doi":"10.2139/ssrn.2445983","DOIUrl":"https://doi.org/10.2139/ssrn.2445983","url":null,"abstract":"Recent research shows that the merger of economies increases aggregate stress. This paper shows that there is no income distribution policy which will ensure that the wellbeing of the individuals belonging to merging economies does not fall below their pre-merger level.","PeriodicalId":196905,"journal":{"name":"ERN: Government Expenditures & Welfare Programs (Topic)","volume":"56 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2014-05-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130338422","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
In a standard median voter model, low-income immigration increases the size of the welfare state. Other research suggests evidence for a group-interested voter model, which predicts that welfare will shrink with an increase in low-income immigration. We contend that neither model accurately describes political reality after testing these theories with United States data from 1970 to 2010. We use a variety of measures for welfare and related public spending such as K-12 education, Medicaid, and unemployment insurance. Contrary to expectations from previous work focused on Europe, we find that the amount of immigrant-driven ethnic and racial diversity does not have a significant effect on these spending areas, whether considered in total expenditure or per capita. This could be due to countervailing pressures from these two models of voter motivation or due to factors unrelated to immigration, such as differences in institutions.
{"title":"The Political Externalities of Immigration: Evidence from the United States","authors":"Zachary Gochenour, Alex Nowrasteh","doi":"10.2139/ssrn.2500485","DOIUrl":"https://doi.org/10.2139/ssrn.2500485","url":null,"abstract":"In a standard median voter model, low-income immigration increases the size of the welfare state. Other research suggests evidence for a group-interested voter model, which predicts that welfare will shrink with an increase in low-income immigration. We contend that neither model accurately describes political reality after testing these theories with United States data from 1970 to 2010. We use a variety of measures for welfare and related public spending such as K-12 education, Medicaid, and unemployment insurance. Contrary to expectations from previous work focused on Europe, we find that the amount of immigrant-driven ethnic and racial diversity does not have a significant effect on these spending areas, whether considered in total expenditure or per capita. This could be due to countervailing pressures from these two models of voter motivation or due to factors unrelated to immigration, such as differences in institutions.","PeriodicalId":196905,"journal":{"name":"ERN: Government Expenditures & Welfare Programs (Topic)","volume":"5 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2014-01-15","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130066735","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}