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Title: An Empirical Analysis of the Effects of AFDC on Work, Childbearing, and Marital Status Decisions of Young Women
Resulting in 1 citation.
1. Gonul, Fusun Feride
An Empirical Analysis of the Effects of AFDC on Work, Childbearing, and Marital Status Decisions of Young Women
Paper, Graduate School of Industrial Administration, Carnegie-Mellon University, 1988
Cohort(s): NLSY79
Publisher: Carnegie-Mellon University
Keyword(s): Aid for Families with Dependent Children (AFDC); Childbearing; Hispanics; Labor Force Participation; Life Cycle Research; Marital Status; Simultaneity

Permission to reprint the abstract has not been received from the publisher.

This paper presents an empirical analysis of labor force participation, marital status and fertility patterns of young Hispanic, black and white women over the observed portion of their life cycle with special attention to the effect of Aid to Families with Dependent Children (AFDC) on their decisions. While prior literature has primarily considered effects of AFDC payments on these decision variables separately, there is no comparable evidence when these choices are considered simultaneously. In this study three choice variables, marital status, labor force participation, and fertility, are interacted with each other in a hazard function framework. Estimation is done using data from the NLSY. The main findings are such that a favorable change in the basic AFDC guarantee gives incentives to have a child, and incentives not to work. Impact of AFDC on changes in marital status is found to be insignificant. There is some evidence that the insignificant effect of AFDC on marriage probability is due to the interaction of work and childbearing decisions with the marriage decision.
Bibliography Citation
Gonul, Fusun Feride. "An Empirical Analysis of the Effects of AFDC on Work, Childbearing, and Marital Status Decisions of Young Women." Paper, Graduate School of Industrial Administration, Carnegie-Mellon University, 1988.