The Effects of Housing Assistance on Labor Supply: Evidence from a Voucher Lottery
This study estimates the effects of means-tested housing programs on labor supply using data from a randomized housing voucher wait-list lottery in Chicago. Economic theory is ambiguous about the expected sign of any labor supply response. We find that among working-age, able-bodied adults, housing voucher use reduces labor force participation by around 4 percentage points (6 percent) and quarterly earnings by $329 (10 percent), and increases Temporary Assistance for Needy Families program participation by around 2 percentage points (15 percent). We find no evidence that the housing-specific mechanisms hypothesized to promote work, such as neighborhood quality or residential stability, are important empirically. (JEL I38, J22, R23, R38)
Year of publication: |
2012
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Authors: | Jacob, Brian A. ; Ludwig, Jens |
Published in: |
American Economic Review. - American Economic Association - AEA. - Vol. 102.2012, 1, p. 272-304
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Publisher: |
American Economic Association - AEA |
Saved in:
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