Federal Financial Aid and Family Formation: Examining the Social Security Student Benefit Program

A broad empirical literature asks if social policies designed to provide benefits to low-income families also affect family formation patterns. While most of the evidence suggests that family formation effects are small at best, and often nonexistent, recent research argues that policies that alter budget constraints considerably should have greater family formation impacts. We tested this hypothesis by investigating the Social Security Student Benefit Program (SSSBP), a program designed to provide large higher education subsidies for the children of disabled, retired, or deceased parents. Conditions for receipt of SSSBP created strong incentives to delay marriage. Utilizing data from the National Longitudinal Survey of Youth, 1979, and a difference-in-differences model, we found that women potentially qualifying for the SSSBP were much less likely to marry before age 22 and were older when they had children, while the program did not influence the probability of women ever marrying or having children. Impacts on men, however, were negligible.     

Incarceration and the Formation and Stability of Marital Unions

Rising imprisonment rates and declining marriage rates among low‐education African Americans motivate an analysis of the effects of incarceration on marriage. An event history analysis of 2,041 unmarried men from the National Longitudinal Survey of Youth suggests that men are unlikely to marry in the years they serve in prison. A separate analysis of 2,762 married men shows that incarceration during marriage significantly increases the risk of divorce or separation. We simulate aggregate marriage rates using estimates from the National Longitudinal Survey of Youth and find that the prevalence of marriage would change little if incarceration rates were reduced.     

While the Cat's Away,Do the Mice Play? Maternal Employment and the After‐School Activities of Adolescents*

Objective. This study determines if a relationship exists between a mother's employment and the activities in which her adolescent children participate after school. Methods. The author uses panel data from the 1996 Survey of Income and Program Participation with logit and fixed‐effects logit models to estimate this relationship. Results. Fixed‐effects models suggest a positive relationship between maternal employment and participation in lessons after school for the adolescent children of married women and also for those with at least a high school education. Maternal employment is also positively related to sports participation for the adolescent children of unmarried mothers. Conclusions. First, this article shows the importance of accounting for unobserved heterogeneity in inquiries into the links between maternal employment and adolescent outcomes. Second, it suggests that high‐socioeconomic‐status mothers may use after‐school activities, particularly lessons, as a form of after‐school care, while unmarried mothers may use sports.     

Medicaid Expansions and Fertility in the United States

Beginning in the mid-1980s and extending through the early to mid-1990s, a substantial number of women and children in the United States gained eligibility for Medicaid through a series of income-based expansions. Using natality data from the National Center for Health Statistics, we estimate fertility responses to these eligibility expansions. We follow Currie and Gruber (2001) and measure changes in state Medicaid-eligibility policy by simulating the fraction of a standard population that would qualify for benefits in different states and different time periods. From 1985 to 1996, the fraction of women aged 15–44 who were eligible for Medicaid coverage for a pregnancy increased more than 20 percentage points. When we use a state and year fixed-effects model with a limited set of covariates, our estimates indicate that fertility increases in response to Medicaid expansions. However, after we include fixed effects for demographic characteristics, the estimated relationship diminishes substantially in size and is no longer statistically significant. We conclude that there is no robust relationship between Medicaid expansions and fertility.     

Maternal work hours and adolescents’ School outcomes among low-income families in four urban counties

We examine how changes in maternal work hours affect adolescent children's school participation and performance outcomes using data from interviews in 1998 and 2001 with approximately 1700 women who, in May 1995, were welfare-reliant, single mothers of adolescents living in neighborhoods of concentrated poverty in Cuyahoga (Cleveland), Los Angeles, Miami-Dade, and Philadelphia counties. Analyses control for a broad array of mothers' characteristics, including their psychological and physical health, experiences with domestic violence and substance abuse, as well as unobserved time-invariant characteristics. In fixed-effects models, we find unfavorable effects of increased maternal work hours on three of six outcomes: skipping school, performing above average, and parental contact about behavior problems. Adolescent-aged sons seem to be particularly sensitive to changes in mothers' hours of work.