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Title:Labour supply disincentives of income support: An analysis of single mothers with no qualifications in the UK PDF Logo
Authors:Soobedar, Zeenat
Issue Date:2009
Series/Report no.:Working Paper // School of Economics and Finance, Queen Mary, University of London 656
Abstract:This paper examines the labour supply disincentives of the Income Support system among single mothers with no qualifications in the UK. It uses a regression discontinuity approach that exploits the age-eligibility rule establishing automatic withdrawal of Income Support for single mothers whose youngest child turns 16. At this cut-off age, barely ineligible mothers experience an 8.5% increase in their probability of working and an increase in hours of work of about 3. This is consistent with pronounced labour supply disincentives of the income support policy.
Subjects:single mothers
Income Support
labour supply
regression discontinuity
JEL:C21
I38
J12
Document Type:Working Paper
Appears in Collections:Working Paper Series, School of Economics and Finance, Queen Mary, University of London

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