Effects of work requirements on welfare migration
Summary of Working paper 2007:29
This study tests for a migration response to the implementation of stricter rules for welfare bene fit receipt, in the form of mandatory participation in activation programs for welfare recipients, in Stockholm town districts. The hypothesis is that welfare benefi t prone individuals will choose to live in a town district that has no program if they dislike the loss of leisure due to program participation more than they value the contents of the program, and vice versa. The results give some indications of a negative effect of the program on the outmigration of welfare prone individuals. This is however not robust to changes in comparison group nor in the sample of town districts. The conclusion that can be drawn is that there are no indications that activation programs lead to outmigration of welfare prone individuals.
Keywords: welfare migration, welfare-to-work, difference-in-difference-in-differences
JEL: H53, H70, I38, R23
Download Working paperDownload Working paper 2007:29 (pdf,385kB)