Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/244496 
Year of Publication: 
2013
Series/Report no.: 
Working Paper No. 10/2013
Publisher: 
Örebro University School of Business, Örebro
Abstract: 
Using a dynamic discrete choice model that controls for unobserved heterogeneity and the initial conditions problem, we estimate the state dependence in Swedish social assistance for Swedish-born and foreign-born who were single in 1990 before the recession period started. The estimates of the structural state dependence for Swedish-born singles indicate that it is unaffected by the event of living together with a partner, and the effect is significantly lower for women than for men. For the foreign-born singles, the state dependence for those who stay single the whole decade is equally strong for men and women, and almost not affected when the foreign-born single started to live together with a foreign-born partner.
Subjects: 
social assistance
state dependence
country of birth
singles
married/cohabitated
unobserved heterogeneity
initial conditions
dynamic random effects probit model
GHK simulator
JEL: 
I30
I38
J18
Document Type: 
Working Paper

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