Effects of Welfare Reform on Vocational Education and Training |
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| Authors: | Dave Dhaval M Reichman Nancy E Corman Hope Das Dhiman |
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| Institution: | aBentley University and NBER, 175 Forest Street, AAC 195, Waltham, MA 02452, United States;bRobert Wood Johnson Medical School, University of Medicine and Dentistry of New Jersey, Child Health Institute of New Jersey, 89 French St., Room 1348, New Brunswick, NJ 08903, United States;cRider University and NBER, Department of Economics, Rider University, Lawrenceville, NJ 08648-3099, United States;dRobert Wood Johnson Medical School, University of Medicine and Dentistry of New Jersey, Child Health Institute of New Jersey, 89 French St., Room 1350, New Brunswick, NJ 08903, United States |
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| Abstract: | Exploiting variation in welfare reform across states and over time and using relevant comparison groups, this study estimates the effects of welfare reform on an important source of human capital acquisition among women at risk for relying on welfare: vocational education and training. The results suggest that welfare reform reduced enrollment in full-time vocational education and had no significant effects on part-time vocational education or participation in other types of work-related courses, though there appears to be considerable heterogeneity across states with respect to the strictness of educational policy and the strength of work incentives under welfare reform. In addition, we find evidence of heterogeneous effects by prior educational attainment. We find no evidence that the previously observed negative effects of welfare reform on formal education (including college enrollment), which we replicated in this study, have been offset by increases in vocational education and training. |
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| Keywords: | JEL classification: I0 I21 I24 I28 I38 J1 |
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