Channels of Labour Supply responses of lone parents to changed work incentives
Survey
HILDA
Author(s)
Date Issued
2014-07
Pages
916–939
Keywords
Welfare
Single Parents
Employment
Motherhood
Abstract
In this article, we investigate the response of female lone parents to two reforms to the welfare system in Australia. Using childless single women as a control group, we find the first set of reforms increased hours worked substantially through job changes. The second set had much more modest effects on hours, which included a decrease in hours worked for those with children younger than six, but did effect an increase in participation. Our results highlight the heterogeneity of response of lone parents to welfare interventions and provide support for the importance of accounting for fixed costs and for within-job rigidities.
DSS Main category
DSS Sub-category
Type
Journal Articles
