Recent Trends in Resource Sharing Among the Poor

45 Pages Posted: 16 Nov 2005 Last revised: 25 Sep 2010

See all articles by Steven J. Haider

Steven J. Haider

Michigan State University - Department of Economics; IZA Institute of Labor Economics

Kathleen M. McGarry

University of California, Los Angeles (UCLA) - Department of Economics; National Bureau of Economic Research (NBER)

Date Written: September 2005

Abstract

Motivated in part by the dramatic changes in the United States economy and public assistance policies, many researchers have examined the changes in the resources of the low-income population over the last two decades, with particular attention paid to income from earnings and public assistance programs. One source of income that has received comparatively little attention is income from private transfers. However, private transfers may be a key source of support for low-income individuals, especially for those who have had little attachment to the labor force or who have experienced reductions in public assistance. In this paper, we provide a conceptual discussion of private transfers drawing on several related literatures and provide new empirical evidence regarding the significance of private of transfers as a source income. We find that private transfers are an important source of income for many less-skilled households, the contribution of private transfers to total income has increased over time, and shared living arrangements are a common mechanism for providing assistance.

Suggested Citation

Haider, Steven J. and McGarry, Kathleen M., Recent Trends in Resource Sharing Among the Poor (September 2005). NBER Working Paper No. w11612. Available at SSRN: https://ssrn.com/abstract=804258

Steven J. Haider

Michigan State University - Department of Economics ( email )

East Lansing, MI 48824
United States

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Kathleen M. McGarry (Contact Author)

University of California, Los Angeles (UCLA) - Department of Economics ( email )

Box 951477
405 Hilgard Avenue
Los Angeles, CA 90095-1477
United States
310-206-2833 (Phone)
310-825-9528 (Fax)

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

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