Group Living Decisions as Youths Transition to Adulthood

Posted: 13 Nov 2001

See all articles by Steven Garasky

Steven Garasky

Iowa State University - Department of Human Development and Family Studies

Ruth J. Haurin

affiliation not provided to SSRN

Donald R. Haurin

Ohio State University (OSU) - Economics

Abstract

This study follows teens through young adulthood as they transition to independent living. We focus on a little-studied issue: why some youths live in groups rather than alone or with parents. This choice is important because the size of the group has a substantial impact on the demand for dwelling units; the more youths per dwelling the lower is aggregate demand and the greater is population density. Our study also adds to the knowledge of which factors influence youths' choice of destination as they leave the parental home. The empirical testing uses a discrete hazard model within a multinomial logit framework to allow for more than one possible state transition. We find that economic variables have little impact on the decision of whether to exit to a large versus a small group, while socio-demographic variables matter. We also test a new push-pull hypothesis and find that the pull of economic variables on the probability of exiting the parental home increases as youths reach their mid to late twenties.

Keywords: group living, household formation, home-leaving

JEL Classification: D1, J12, R20

Suggested Citation

Garasky, Steven and Haurin, Ruth J. and Haurin, Donald R., Group Living Decisions as Youths Transition to Adulthood. Journal of Population Economics, Vol. 14, 2001. Available at SSRN: https://ssrn.com/abstract=282450

Steven Garasky

Iowa State University - Department of Human Development and Family Studies ( email )

Ames, IA 50011-2063
United States
515-294-2502 (Fax)

Ruth J. Haurin

affiliation not provided to SSRN

No Address Available

Donald R. Haurin (Contact Author)

Ohio State University (OSU) - Economics ( email )

154 N. Oval Mall
1010G Derby Hall
Columbus, OH 43210-1172
United States
614-292-0482 (Phone)
614-292-9530 (Fax)

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