Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/161037
Authors: 
Brewer, Mike
Cribb, Jonathan
Year of Publication: 
2016
Series/Report no.: 
IZA Discussion Papers 10414
Abstract: 
Time-limited in-work credits are cheaper, and more targeted, than conventional in-work credits, but are thought to have small to zero long-term impacts. We study two time-limited in-work credits introduced in the mid-2000s in the UK and find they reduced welfare participation and increased employment. Both policies increased job retention once recipients were in work and boosted employment even after the payments were stopped. Conditioning on hours of work was important. Paying a credit to those working 16+ hours a week only increased part-time work, while conditioning on full-time work reduced part-time work and increased full-time work.
Subjects: 
in-work credits
time-limits
duration model
lone parents
JEL: 
H21
I38
Document Type: 
Working Paper

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