Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/91567
Authors: 
Brewer, Mike
Browne, James
Chowdry, Haroon
Crawford, Claire
Year of Publication: 
2011
Series/Report no.: 
IFS Working Papers W11/14
Abstract: 
Conventional in-work benefits or tax credits are now well established as a policy instrument for increasing labour supply and tackling poverty. A different sort of in-work credit is one where the payments are time-limited, conditional on previous receipt of welfare, and, perhaps, not means-tested. Such a design is cheaper, and perhaps better targeted, but potentially less effective. Using administrative data, this paper evaluates one such policy for lone parents in the UK which was piloted in around one third of the country. It finds that the policy did increase flows off welfare and into work, and that these positive effects did not diminish after recipients reached the 12 month time-limit for receiving the supplement. Most of the impact arose by speeding up welfare off-flows: the job retention of programme recipients was good, but this cannot be attributed to the programme itself.
Subjects: 
In-work benefits
labour supply
time-limits
welfare
lone parents
JEL: 
H21
I38
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

Files in This Item:
File
Size
755.31 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.