Income Distribution Commons^™

The Role Of Cps Nonresponse On The Level And Trend In Poverty, Charles Hokayem, Christopher R. Bollinger, James P. Ziliak

University of Kentucky Center for Poverty Research Discussion Paper Series

The Current Population Survey Annual Social and Economic Supplement (ASEC) serves as the data source for official income, poverty, and inequality statistics in the United States. There is a concern that the rise in nonresponse to earnings questions could deteriorate data quality and distort estimates of these important metrics. We use a dataset of internal ASEC records matched to Social Security Detailed Earnings Records (DER) to study the impact of earnings nonresponse on estimates of poverty from 1997-2008. Our analysis does not treat the administrative data as the “truth”; instead, we rely on information from both administrative and survey data. …

Beyond Income: What Else Predicts Very Low Food Security Among Children?, Patricia M. Anderson, Kristin F. Butcher, Hilary W. Hoynes, Diane Whitmore Schanzenbach

University of Kentucky Center for Poverty Research Discussion Paper Series

We examine characteristics and correlates of households in the United States that are most likely to have children at risk of inadequate nutrition – those that report very low food security (VLFS) among their children. Using 11 years of the Current Population Survey, plus data from the National Health and Nutrition Examination Survey and American Time Use Survey, we describe these households in great detail with the goal of trying to understand how these households differ from households without such severe food insecurity. While household income certainly plays an important role in determining VLFS among children, we find that even …

Snap And Food Consumption, Hilary W. Hoynes, Leslie Mcgranahan, Diane W. Schanzenbach

University of Kentucky Center for Poverty Research Discussion Paper Series

In this paper we describe the relationship between SNAP and food consumption. We first present the neoclassical framework for analyzing in-kind transfers, which unambiguously predicts that SNAP will increase food consumption, and then describe the SNAP benefit formula. We then present new evidence from the Consumer Expenditure Survey on food spending patterns among households overall, SNAP recipients, and other subgroups of interest. We find that a substantial fraction of SNAP-eligible households spend an amount that is above the program’s needs standard. We also show that the relationship between family size and food spending is steeper than the slope of the …

Multiple Program Participation And The Snap Program, Robert A. Moffitt

University of Kentucky Center for Poverty Research Discussion Paper Series

Receipt of benefits from other traditional transfer programs by SNAP families is common, with 76 percent of those families receiving at least one other major benefit of that type, excluding Medicaid, in 2008. However, over half of these only received one other benefit and only a very small fraction received more than two others. Over the long-term, multiple benefit receipt among SNAP families has been falling, a result of declines in the TANF caseload offsetting rises in the SSI, SSDI, and WIC caseloads. Finally, the analysis shows that high marginal tax rates generated by multiple program receipt are relevant for …

New Evidence On Why Children's Food Security Varies Across Households With Similar Incomes, Diane Whitmore Schanzenbach, Patricia M. Anderson, Kristin F. Butcher, Hilary W. Hoynes

University of Kentucky Center for Poverty Research Discussion Paper Series

This project examines why very low food security status among children is different across households with very similar measured resources. Controlling for measures of income-to-needs, we examine whether elements in the!environment, household characteristics, or behaviors are systematically correlated with VLFS among children. We use different measures of income-to-needs, including those averaged across years to capture “permanent” income (or to average out measurement error) and measures that include income after taxes and transfers. Our analysis uses the Current Population Survey (across many years, matched December to March), the American Time Use Survey (matched to the December CPS), the National Health and …

Food Imports Under Foreign Exchange Constraints In The Cfa’S Franc Zone Of Sub-Saharan Africa (Ssa), Seydina Ousmane Sene

Theses and Dissertations--Agricultural Economics

To respond to the high imported food prices in their domestic markets, net food importing countries in the Communauté Financière Africaine (CFA) zone^[1] are adjusting their import tariffs and homologate domestic prices of imported commodities such as rice, wheat, maize, and sugar. This research uses a multivariate specification of error correction model (VECM) of estimation to investigate the link between food imports, world price index of rice, wheat, maize and sugar, real effective exchange rates, domestic food production, GDP, and trade openness in the short and long run. The data are on each homogenous commodity from 1969 to 2012. …

Macroeconomic Effects And Microeconomic Determinants Of Fertility, Maria R. Apostolova-Mihaylova

Theses and Dissertations--Economics

This dissertation focuses on the relationship between the education-based fertility gap and economic growth and on policy as a determinant of fertility.

In the first essay I evaluate the impact of differential fertility (the difference between fertility rates of women with high educational attainment and women with low educational attainment) on economic growth by accounting for critical marginal effects and the general level of educational attainment in a given country. I also examine the possibility that this effect varies based on level of inequality and income levels. I find that for a less developed country with high income inequality, higher …

The Health And Nutrition Effects Of Snap: Selection Into The Program And A Review Of The Literature On Its Effects, Marianne Bitler

University of Kentucky Center for Poverty Research Discussion Paper Series

The goal of this paper is to assess the existing state of knowledge about whether SNAP improves health and nutrition outcomes, and if so, which ones and by how much.

In an era of fiscal crisis, knowing whether SNAP has any significant causal effect on health and nutrition is crucial for informing policy decisions and policy makers. In this review, I pay particular attention to the challenges researchers face in overcoming selection bias and identifying causal effects of the program, and I will assess the literature through that lens. The fundamental challenge in program evaluation in general and in assessing …

The Supplemental Nutrition Assistance Program And Food Insecurity, Christian Gregory, Matthew P. Rabbitt, David C. Ribar

University of Kentucky Center for Poverty Research Discussion Paper Series

This chapter reviews recent theory and empirical evidence regarding the effect of SNAP on food insecurity and replicates the modelling strategies used in the empirical literature. The authors find that recent evidence suggesting an ameliorative effect of SNAP on food insecurity may not be robust to specification choice or data. Most specifications mirror the existing literature in finding a positive association of food insecurity with SNAP participation. Two-stage least squares and control function methods do show that SNAP reduces food insecurity, but effects are not consistent across sub-populations and are not always statistically significant.

Snap And The School Meal Programs, Judith Bartfeld

University of Kentucky Center for Poverty Research Discussion Paper Series

The Great Recession and its immediate aftermath have brought increasing attention both to food insecurity among children and to the associated food safety net. After a decade of largely stable food insecurity rates, the share of children living in food insecure households jumped by one-third between 2007 and 2008, and has remained stubbornly high since then. As of 2012, 21.6% of all children lived in food insecure households (Coleman-Jensen et al. 2013). The scope and reach of the food safety net for children has likewise grown – a response to rising need, efforts to reduce administrative and logistical barriers to …

The Effect Of Snap On Poverty, Laura Tiehen, Dean Jolliffe, Timothy Smeeding

University of Kentucky Center for Poverty Research Discussion Paper Series

On signing the Food Stamp Act of 1964, President Johnson noted that “as a permanent program, the food stamp plan will be one of our most valuable weapons for the war on poverty” (Johnson, 1964). From a humble beginning of 2.9 million recipients per month and $228 million in benefits in 1969 (earliest national figures), the program has grown to serve 47 million persons with benefits of over $74.6 Billion in 2012 (USDA, 2013a). In the late 60’s and early 70’s, when the average monthly benefit was under $20 per month per month, we did not record the effects of …

Why Are So Many Americans On Food Stamps? The Role Of The Economy, Policy, And Demographics, James P. Ziliak

University of Kentucky Center for Poverty Research Discussion Paper Series

1 in 7 Americans received assistance from SNAP in FY2012, which is a rate 141 percent higher than in FY2000, but only 59 percent higher than in FY1980. In this chapter I describe the socioeconomic and policy climate in recent decades that had bearing on SNAP participation, along with a formal empirical analysis of those determinants and detailed simulations of the relative contributions of the economy, policy, and demographics to changes in SNAP participation over time. The results suggest that SNAP is operating effectively as an automatic fiscal stabilizer—nearly 50 percent of the increase in participation from 2007-2011 is due …

The Influence Of Parental Aspirations, Attitudes, And Engagement On Children's Very Low Food Security, Elizabeth T. Powers

University of Kentucky Center for Poverty Research Discussion Paper Series

Survey of Income and Program Participation data are used to investigate the relationship between parenting and children’s very low food security. Parenting is characterized along five domains (emotional outlook, support, education desires, activities with the child excluding meals, and television viewing rules). Food security definitions are obtained from questions in a special SIPP module that are based on the USDA’s core food security module. Graphical evidence indicates that parenting patterns differ distinctly for households experiencing various levels of food insecurity. Descriptive regression evidence suggests that some of the parenting attributes are significantly associated with children’s food insecurity, even controlling for …

Food Insecurity During Childhood: Understanding Persistence And Change Using Linked Current Population Survey Data, Sheela Kennedy, Catherine A. Fitch, John Robert Warren, Julia A. Rivera Drew

University of Kentucky Center for Poverty Research Discussion Paper Series

Our paper examines the prevalence and determinants of children’s transitions into and out of food insecurity since 2001. We use longitudinally linked data from the Food Security Supplements to the Current Population Surveys to estimate one-year transition probabilities of entry and exit from food insecurity. Our results indicate that child hunger is typically short-lived, but children experiencing very low food security frequently experience multiple consecutive years of food insecurity. We demonstrate large demographic and socioeconomic differences in rates of entry into very low food security and persistence in children's food insecurity. Income and employment shocks are important predictors of child …

Use Of Alternative Financial Services And Childhood Food Insecurity, Katie Fitzpatrick

University of Kentucky Center for Poverty Research Discussion Paper Series

Low- and moderate-income (LMI) households with children often face considerable difficulties in ensuring enough financial resources for an adequate diet. This project investigates the use of financial services and other financial decisions parents make that may affect the risk of very low food security and food insecurity of children. With households in both the December 2008 Current Population Survey (CPS) Food Security Supplement and the January 2009 CPS Unbanked and Underbanked Supplement, the project studies the relationship between bank account ownership, use of alternative financial service (AFS) providers, the organization of household finances, and the food security of children. Both …

Risk And Protective Factors Associated With Prevalence Of Vlfs In Children Among Children Of Foreign-Born Mothers, John Cook

University of Kentucky Center for Poverty Research Discussion Paper Series

This research examined VLFS in children among households with foreign-born (FB) mothers compared to US-born mothers through three research questions: Is mother’s foreign-born status (FBS) associated with VLFS in children, and can association be explained by mothers’ socio-demographic characteristics? Are FB mothers more or less likely to receive nutrition or non-nutrition assistance benefits, or work for pay than US-born mothers? Do mothers’ FBS, or protective/risk factors associated with FBS, modify associations of negative economic shocks and hardships with VLFS in children? Data are on approximately 44,000 mother-child (ages<48 Mos.) dyads collected from household surveys administered under a "sentinel surveillance" system over 1998-2012 at teaching hospitals and clinics in seven US cities. Bivariate and multivariate logistic regression models tested study hypotheses. Mothers' FBS is strongly positively associated with VLFS in children after controlling for available risk and protective factors. FB mothers are less likely to receive SNAP and non-nutrition assistance (TANF, LIHEAP or housing subsidies), but more likely to receive WIC and to be employed than US-born mothers. FB mothers are no more likely to report negative reasons for not receiving SNAP or TANF, or losing jobs or decreasing work hours than US-born, and reported "immigration concerns" rarely. No need/chose not to participate are most frequently reported reasons for not receiving SNAP and TANF; pregnancy/maternity leave and "market conditions" for lost jobs and decreased work hours. Economic shocks and hardships are positively associated with VLFS in children, but Mothers' FBS does not interact with shocks and hardships to modify those associations.

The Effect Of Household Financial, Time And Environmental Constraints On Very Low Food Security Among Children, Helen H. Jensen, Oleksandr Zhylyevskyy

University of Kentucky Center for Poverty Research Discussion Paper Series

Food insecurity is detrimental to children’s well-being. A better understanding of factors contributing to low and very low food security among children in the United States can guide the design of food assistance programs. We analyze the effects of household characteristics and local food environment attributes, including food prices and availability of food stores and eating places, on children’s food insecurity. We also investigate the effects of these characteristics and attributes on food preparation time. Using Becker’s household production approach, we propose an economic model that formalizes the use of constrained financial and time resources in the household. The model …

Snap And Obesity, Craig Gundersen

University of Kentucky Center for Poverty Research Discussion Paper Series

No abstract.

Is There More To Food Insecurity Among Children Than Poverty? The Importance Of Measurement, Neeraj Kaushal, Jane Waldfogel, Irwin Garfinkel, Vanessa Wight

University of Kentucky Center for Poverty Research Discussion Paper Series

This paper examines the association between poverty and food insecurity among children using the official measure of poverty and the newsupplemental poverty measure of the Census Bureau based on a more inclusive definition of family resources and needs. Our objective is to study whether the association between food insecurity and poverty improves with a more comprehensive measure of income and needs. We find a strong and statistically significant association between income-to-needs ratio based on the official poverty metric and food insecurity among children—particularly very low food security among children. A more inclusive measure of income-to-needs-ratio, based on the supplemental poverty …

Does Economic Decline Contribute To A Decline In Children’S Food Security?, Kimberly Groover, Bradford Mills, George Davis

University of Kentucky Center for Poverty Research Discussion Paper Series

Most Americans believe that children should not experience persistent worry about the quality or quantity of food consumed due to low household resources. Since 1995, the USDA has tracked children’s food security based upon household responses to the annual Current Population Survey Food Security Supplement (CPS-FSS). During this time, a small, but recently growing, share of U.S. households report multiple indicators of reduced food intake and disrupted eating patterns among children due to inadequate resources to obtain food (Coleman- Jenson et al, 2012). The USDA classifies children as food secure, low food secure, or very low food secure based upon …

Multigenerational Families And Food Insecurity, James P. Ziliak, Craig Gundersen

University of Kentucky Center for Poverty Research Discussion Paper Series

The prevalence of multigenerational families is on the rise in the United States, as is food insecurity. We estimate the effect of resident grandchildren on the risk of and transitions in food insecurity using repeated cross sections and longitudinally linked two-year panels of the Current Population Survey from 2001-2010. We find that rates of food insecurity in families with a grandchild present are at least twice as high in a typical year compared to families without a resident grandchild, and the extent of very low food security increased substantially faster among these households over the past decade. The rise in …

Food Insecurity Across The First Five Years: Triggers Of Onset And Exit, Alison Jacknowitz, Taryn W. Morrissey

University of Kentucky Center for Poverty Research Discussion Paper Series

Very low food security among young children is associated with developmental deficiencies. However, little is known about the factors that predict entry into or exit from very low food security during early childhood. This study seeks to: (1) Understand the triggers that explain movements into or out of very low food security among children from birth to age five; (2) Examine the first aim using different definitions of food insecurity. The analysis relies on the Early Childhood Longitudinal Study-Birth Cohort (ECLS-B), a longitudinal, nationally representative dataset of approximately 10,700 children, to estimate linear probability models. Results suggest that residential moves …

The Impact Of Incarceration On Food Insecurity Among Households With Children, Sally Wallace, Robynn Cox

University of Kentucky Center for Poverty Research Discussion Paper Series

This study seeks to determine the role that parental incarceration plays on the probability of food insecurity among families with children and very low food security of children using micro-level data from the Fragile Families and Child Well Being Study (FFCWS). The data set contains the 18-question food security module which allows us to explore the link between incarceration and food insecurity and very low food security among children, families, and adults. The incidence of very low food security in our data is somewhat higher than the national average, but the incidence of other levels of food security is similar …

The Effect Of Safety Net Programs On Food Insecurity, Lucie Schmidt, Lara Shore-Sheppard, Tara Watson

University of Kentucky Center for Poverty Research Discussion Paper Series

Does the safety net reduce food insecurity in families? In this paper we investigate how the structure of benefits for five major safety net programs – TANF, SSI, EITC, SNAP, and Medicaid – affects low food security in families and very low food security among children. We build a calculator for the years 2001-2009 to impute eligibility and benefits for these programs in each state, taking into account cross-program eligibility rules. To identify a causal effect of the safety net, we instrument for imputed eligibility and benefits using simulated eligibility and benefits for a nationally representative sample. Focusing on non-immigrant, …

Identifying The Effect Of Wic On Very Low Food Security Among Infants And Children, Brent Kreider, John V. Pepper, Manan Roy

University of Kentucky Center for Poverty Research Discussion Paper Series

The Women, Infants, and Children Program (WIC) is considered a crucial component of the social safety net in the United States, yet there is limited supporting evidence on the effects of WIC on the nutritional well-being and food security of infants and young children. Two key identification problems have been especially difficult to address. First, the decision to take up WIC is endogenous as households are not randomly assigned to the program; recipients are likely to differ from nonrecipients in unobserved ways (e.g., prior health) that are related to associated outcomes. Second, survey respondents often fail to report receiving public …

Family Structure, Work Patterns And Time Allocations: Potential Mechanisms Of Food Insecurity Among Children, Kelly Balistreri

University of Kentucky Center for Poverty Research Discussion Paper Series

Over 469 thousand households in the U.S. experienced very low food security among children, a severe condition characterized by reductions in food intake due to an inability to afford enough food. But food insecurity is not simply about economic resources. There exists a paradox in which some poor households with children are food secure while some non-poor households with children are food insecure. This study moves beyond a singular focus on income and considers how the family context may protect or generate risk of food insecurity for children. The goals of the proposed project were to: 1) to provide a …

Two Can Live As Cheaply As One...But Three’S A Crowd, Christopher Bollinger, Cheti Nicoletti, Stephen Pudney

University of Kentucky Center for Poverty Research Discussion Paper Series

To measure poverty, incomes must be equivalized across households with different structures. In this paper, we use a very flexible ordered response model to analyze the relationship between income, demographic structure and subjective assessments of financial wellbeing drawn from the 1991-2008 British Household Panel Survey. Our results suggest the existence of large scale economies within marital/cohabiting couples, but substantial diseconomies from the addition of children or further adults. This pattern contrasts sharply with commonly-used equivalence scales, and is consistent with explanations in terms of the capital requirements associated with additions to the core couple.

Was There A ‘Race To The Bottom’ After Welfare Reform?, Sarah K. Burns

University of Kentucky Center for Poverty Research Discussion Paper Series

Leading up to the passage of the 1996 welfare reform, there was much speculation and debate over the possibility that states would "race to the bottom" in setting welfare generosity if given more control over their individual programs. In the fifteen years after welfare reform, did such a race to the bottom ensue? Using a spatial dynamic econometric approach I investigate welfare competition across multiple policy instruments and across three distinct welfare periods - the AFDC regime, the experimental waiver period leading up to the reform, and the TANF era. Results suggest strategic policy setting occurs over multiple dimensions of …

Is Earnings Nonresponse Ignorable?, Christopher R. Bollinger, Barry T. Hirsch

University of Kentucky Center for Poverty Research Discussion Paper Series

Earnings nonresponse in the Current Population Survey is roughly 30% in the monthly surveys and 20% in the March survey. If nonresponse is ignorable, unbiased estimates can be achieved by omitting nonrespondents. Little is known about whether CPS nonresponse is ignorable. Using sample frame measures to identify selection, we find clear-cut evidence among men but limited evidence among women for negative selection into response. Wage equation slope coefficients are affected little by selection but because of intercept shifts, wages for men and to a lesser extent women are understated, as are gender gaps. Selection is least severe among household heads.

The Child And Adult Care Food Program And Food Insecurity, Colleen Heflin, Irma Arteaga, Sara Gable

University of Kentucky Center for Poverty Research Discussion Paper Series

High rates of food insecurity are a significant problem in the United States. It is currently estimated that more than 48.8 million people live in food insecure households, meaning that at some time during the previous year, they were unable to acquire or were uncertain of having enough food to meet basic needs due to inadequate household resources (Coleman-Jensen, Nord, Andrews, & Carlson, 2011). Rates of food insecurity are substantially higher among those in households with incomes below the poverty line (40.2%) and in households with children headed by a single woman (35.1%). Levels of food insecurity increased across U.S. …