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Author: Cao, Jian

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1.	Cao, Jian
1.	Welfare Recipiency and Welfare Recidivism: An Analysis of the NLSY Data Discussion Paper No. 1081-96, Institute for Research on Poverty, University of Wisconsin - Madison, March 1996. Also: http://www.irp.wisc.edu/publications/dps/pdfs/dp108196.pdf Cohort(s): NLSY79 Publisher: Institute for Research on Poverty (IRP), University of Wisconsin - Madison Keyword(s): Aid for Families with Dependent Children (AFDC); Armed Forces Qualifications Test (AFQT); Ethnic Groups/Ethnicity; Fertility; Marital Status; Regions; Welfare Permission to reprint the abstract has not been received from the publisher. This paper analyzes welfare recipiency and recidivism of first-time AFDC recipients over the 168-month (14-year) period from January 1978 to December 1991 using the National Longitudinal Survey of Youth (NLSY) database. Duration of a single AFDC spell is short, but repeated welfare dependency is common. On average, 57 percent of former AFDC recipients return to the rolls after an exit and most of them come back within two years. Having a newborn is the most important direct cause for going on the AFDC rolls and for recidivism. The results from bivariate duration models suggest a negative correlation due to unobserved heterogeneity between the previous welfare recipiency and recidivism. An inverted U-shaped hazard function is found for both the first and second spells on AFDC and the intervening off-AFDC spell. Age, years of education or AFQT score, martial status, ethnic origin, and region are the significant correlates with a recipient's initial welfare dependency and recidivism. However, few variables have significant effects on the duration of the second AFDC spell and off-AFDC spell at the conventional statistical level.
	Bibliography Citation Cao, Jian. "Welfare Recipiency and Welfare Recidivism: An Analysis of the NLSY Data." Discussion Paper No. 1081-96, Institute for Research on Poverty, University of Wisconsin - Madison, March 1996.

2.	Cao, Jian Stromsdorfer, Ernst W. Weeks, Gregory
2.	Human Capital Effect of the GED on Low Income Women Working Paper, Department of Economics and Social and Economical Sciences Research Center, Washington State University, 1995 Cohort(s): Children of the NLSY79, NLSY79 Publisher: Department of Economics, Washington State University Keyword(s): Armed Forces Qualifications Test (AFQT); Dropouts; Endogeneity; Family Income; GED/General Educational Diploma/General Equivalency Degree/General Educational Development; Labor Market Outcomes; Wage Gap; Welfare Earlier versions of this paper were presented at the 1992 American Public Policy and Management Association annual meetings and the 68th Western Economic Association annual meetings in 1993. This study examines the impacts of the GED and other secondary and post-secondary credentials on labor market outcomes for women using data from the NLSY Mother and Children file and the Washington State Family Income Study. Correcting for sample selection and endogeneity bias of welfare recipiency, we find that one cannot distinguish between secondary dropouts, GED recipients, and secondary graduates in hours of work. Results on hourly wage rates are mixed. For the FIS sample, GED recipients, secondary graduates and secondary dropouts earn the same wage. For the NLSY, GED recipients fare better than dropouts, but worse than secondary graduates. Job experience explains the wage gap between GED recipients and graduates, but its explanatory power is dominated by controlling for years of education or AFQT. Differences in years of education and AFQT scores are responsible for the observed wage differences among the GED recipients, secondary graduates and secondary dropouts.
	Bibliography Citation Cao, Jian, Ernst W. Stromsdorfer and Gregory Weeks. "Human Capital Effect of the GED on Low Income Women." Working Paper, Department of Economics and Social and Economical Sciences Research Center, Washington State University, 1995.

3.	Cao, Jian Stromsdorfer, Ernst W. Weeks, Gregory
3.	Is the GED a Viable Human Capital Treatment for Poor and Welfare Dependent Women? Working Paper, Department of Economics, Washington State University, October 1993 Cohort(s): Children of the NLSY79 Publisher: Department of Economics, Washington State University Keyword(s): Armed Forces Qualifications Test (AFQT); Dropouts; Endogeneity; GED/General Educational Diploma/General Equivalency Degree/General Educational Development; High School Completion/Graduates; Labor Market Outcomes; Wage Rates; Welfare This study compares labor market outcomes among high school dropouts, GED recipients, and conventional high school graduates using two longitudinal databases, the National Longitudinal Survey of Youth (NLSY) Merged Child-Mother File and the Washington State Family Income Study (FIS) File. Correcting for sample selection bias and endogeneity bias of welfare recipiency, the study found that (1) for both the FIS and the NLSY, in terms of total annual hours of work the three groups are not statistically distinguishable and there is also no evidence of effect of GED on post-secondary education; and (2) any differences in before-tax average hourly wage rates among the three groups are accounted for by years of education completed for the FIS or by AFQT score the NLSY.
	Bibliography Citation Cao, Jian, Ernst W. Stromsdorfer and Gregory Weeks. "Is the GED a Viable Human Capital Treatment for Poor and Welfare Dependent Women?" Working Paper, Department of Economics, Washington State University, October 1993.

4.	Stromsdorfer, Ernst W. Wang, Boqing Cao, Jian
4.	Maternal Labor Supply and Children's Cognitive and Affective Development Presented: San Francisco, CA, Western Economic Association Meetings, July 10, 1992. (Second Draft) Cohort(s): Children of the NLSY79, NLSY79 Publisher: Western Economic Association International Keyword(s): Armed Forces Qualifications Test (AFQT); Grandmothers; Maternal Employment; Memory for Digit Span (WISC) - also see Digit Span; Methods/Methodology; Mothers, Education; Peabody Individual Achievement Test (PIAT- Math); Peabody Individual Achievement Test (PIAT- Reading); Peabody Picture Vocabulary Test (PPVT); Self-Esteem; Self-Perception Profile for Children (SPPC); Verbal Memory (McCarthy Scale); Wages; Welfare; Work Hours/Schedule This paper addresses the general problem of the effect of mother's labor supply on her child or children's cognitive and affective development. This issue is of considerable policy significance in view of the recent refocus of welfare policy toward requiring single mothers who are welfare dependent to work or attend some form of schooling or training. Clearly, as this new policy focus is pursued, a child receives less nurturing from his or her natural mother. There is either less care provided overall or care is provided by a surrogate. The potential social and private costs of such a policy that may reduce direct nurturing of a child by its biological mother therefore ought to be investigated. Previous studies of this social issue have typically concentrated on a particular measure of a child's cognitive or affective development and have also tended to focus on children in a narrow age range in an effort to get more precise results and screen out the effects of such factors as schooling. Our study deals with children who have been administered the various objective cognitive (and one of the affective) measures of child development and their mothers in the NLSY Mother/Child database for 1986.
	Bibliography Citation Stromsdorfer, Ernst W., Boqing Wang and Jian Cao. "Maternal Labor Supply and Children's Cognitive and Affective Development." Presented: San Francisco, CA, Western Economic Association Meetings, July 10, 1992. (Second Draft).

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