The Effect of Reducing Welfare Access on Employment, Health, and Children’s Long-Run Outcomes

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ID: 337861
2026
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Abstract
Abstract Welfare caseloads in North America halved following reforms in the 1990s and 2000s. We study how this shift affected families by linking Canadian welfare records to tax returns, medical care, educational attainment, and criminal charges. We find substantial and heterogeneous employment responses that increased average income despite reduced transfers. We find zero effects on aggregate healthcare costs, but mothers saw reduced preventative care and increased mental health treatment, consistent with the transition to employment elevating time pressure and stress. We find no effect on teenagers’ education or criminal charges as young adults but find some evidence of intergenerational welfare transmission.
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openalex_W7225006251 Use this key to autocite in the manuscript while using SciMatic Manuscript Manager or Thesis Manager
Authors Jeffrey Hicks, Gaëlle Simard‐Duplain, David A. Green, William P. Warburton
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Journal the economic journal
Year 2026
DOI
10.1093/ej/ueag141
URL
https://doi.org/10.1093/ej/ueag141
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