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Expenditure patterns post-welfare reform in the UK: are low-income families starting to catch up?

Gregg, Paul, Waldfogel, Jane and Washbrook, Elizabeth (2005) Expenditure patterns post-welfare reform in the UK: are low-income families starting to catch up? CASEpaper, 99. Centre for Analysis of Social Exclusion , London School of Economics and Political Science, London, UK.

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Abstract

In this paper we provide evidence on how the UK government’s welfare reforms since 1998 have affected the material well-being of children in low-income families. We examine changes in expenditure patterns and ownership of durable goods for low- and higher-income families between the pre-reform period (1995-1998) and the post-reform period (2000-2003), using data from the Family Expenditure Survey. The methodological approach is a difference-in-difference-in-difference analysis that exploits the fact that age variation in the reforms favoured low-income families over higher-income ones and families with children age under 11 over those with older children. We find that low-income families with children are catching up to more affluent families, in their expenditures and their possession of durable goods. Moreover, expenditures on child-related items are increasing faster than expenditures on other items.

Item Type: Monograph (Discussion Paper)
Official URL: http://sticerd.lse.ac.uk/case
Additional Information: © 2005 Paul Gregg, Jane Waldfogel and Elizabeth Washbrook
Library of Congress subject classification: H Social Sciences > HV Social pathology. Social and public welfare. Criminology
Journal of Economic Literature Classification System: I - Health, Education, and Welfare > I3 - Welfare and Poverty
J - Labor and Demographic Economics > J1 - Demographic Economics > J18 - Public Policy
Sets: Collections > Economists Online
Research centres and groups > Centre for Analysis of Social Exclusion (CASE)
Rights: http://www.lse.ac.uk/library/usingTheLibrary/academicSupport/OA/depositYourResearch.aspx
Identification Number: 99
Date Deposited: 01 Jul 2008 11:11
URL: http://eprints.lse.ac.uk/6259/

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