How to Stimulate Single Mothers on Welfare to Find a Job

Evidence from a Natural Experiment

M.G. Knoef, J.C. van Ours

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Abstract

We present the results from a natural experiment in which single mothers on welfare were stimulated to find a job. Two policy instruments were introduced: an earnings disregard and job creation. The experiment was performed at the level of municipalities in The Netherlands, a country with relatively high benefits and low incentives for single mothers to leave welfare for work. In our analysis, we make a distinction between native and immigrant welfare recipients. For immigrant single mothers and some groups of native single mothers we find a positive employment effect of an earnings disregard. Job creation in addition to
the earnings disregard increased working hours for some groups of single mothers. Although the outflow from welfare was not affected, welfare expenditures were reduced.
Original languageEnglish
Place of PublicationTilburg
PublisherEconomics
Number of pages39
Volume2014-030
Publication statusPublished - 7 May 2014

Publication series

NameCentER Discussion Paper
Volume2014-030

Fingerprint

Natural experiment
Single mothers
Immigrants
Job creation
Employment effects
Policy instruments
Experiment
Incentives
Expenditure
Municipalities
Working hours
The Netherlands

Keywords

  • welfare
  • single mothers
  • natural experiment

Cite this

Knoef, M. G., & van Ours, J. C. (2014). How to Stimulate Single Mothers on Welfare to Find a Job: Evidence from a Natural Experiment. (CentER Discussion Paper; Vol. 2014-030). Tilburg: Economics.
Knoef, M.G. ; van Ours, J.C. / How to Stimulate Single Mothers on Welfare to Find a Job : Evidence from a Natural Experiment. Tilburg : Economics, 2014. (CentER Discussion Paper).
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Knoef, MG & van Ours, JC 2014 'How to Stimulate Single Mothers on Welfare to Find a Job: Evidence from a Natural Experiment' CentER Discussion Paper, vol. 2014-030, Economics, Tilburg.

How to Stimulate Single Mothers on Welfare to Find a Job : Evidence from a Natural Experiment. / Knoef, M.G.; van Ours, J.C.

Tilburg : Economics, 2014. (CentER Discussion Paper; Vol. 2014-030).

Research output: Working paperDiscussion paperOther research output

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Knoef MG, van Ours JC. How to Stimulate Single Mothers on Welfare to Find a Job: Evidence from a Natural Experiment. Tilburg: Economics. 2014 May 7. (CentER Discussion Paper).