Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/305686 
Year of Publication: 
2024
Series/Report no.: 
IZA Discussion Papers No. 17244
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
This paper studies the effects of a large welfare benefit reduction on the children in the affected families. The welfare cut targeted adult refugees who received residency in Denmark, and it reduced their disposable income by 30 percent on average over the first five years. We show that children exposed to the welfare cut during preschool and school-age obtained lower GPAs, experienced reduced well-being and overall education levels, and suffered lower employment and earnings as adults. Children in their teens at exposure faced large increases in conviction probabilities for violent and property crimes.
Subjects: 
crime
welfare state
social assistance
education
inequality
JEL: 
I24
I30
J10
K14
Document Type: 
Working Paper

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