OECD Social, Employment and Migration Working Papers

1815-199X (online)
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This series is designed to make available to a wider readership selected labour market, social policy and migration studies prepared for use within the OECD. Authorship is usually collective, but principal writers are named. The papers are generally available only in their original language - English or French - with a summary in the other.

The Dynamics of Social Assistance Receipt

Measurement and Modelling Issues, with an Application to Britain You or your institution have access to this content

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Lorenzo Cappellari1, Stephen P. Jenkins2
Author Affiliations
  • 1: Università Cattolica di Milano, Italy

  • 2: University of Essex, United Kingdom

01 Oct 2008
Bibliographic information

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We model the dynamics of social assistance benefit receipt in Britain using data from the British Household Panel Survey, waves 1–15. First, we discuss definitions of social assistance benefit receipt, and present information about the trends between 1991 and 2005 in the receipt of social assistance benefits, and in annual rates of transition into and out of receipt. Second, we review potential multivariate modelling approaches especially the dynamic random effects probit models that are used in our empirical analysis and, third, discuss sample selection criteria and explanatory variables. Fourth, we present our regression estimation estimates and interpret them. The final section contains a summary of the substantive results, and highlights some lessons concerning application of the analysis for other countries and some methodological issues.
JEL Classification:
  • C33: Mathematical and Quantitative Methods / Multiple or Simultaneous Equation Models ; Multiple Variables / Panel Data Models ; Spatio-temporal Models
  • C35: Mathematical and Quantitative Methods / Multiple or Simultaneous Equation Models ; Multiple Variables / Discrete Regression and Qualitative Choice Models ; Discrete Regressors ; Proportions
  • I38: Health, Education, and Welfare / Welfare, Well-Being, and Poverty / Government Policy ; Provision and Effects of Welfare Programs
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