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Post‐Divorce Transfers and the Welfare of Mothers and Children in the United States
Author(s) -
Boca Daniela
Publication year - 1994
Publication title -
labour
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.403
H-Index - 34
eISSN - 1467-9914
pISSN - 1121-7081
DOI - 10.1111/j.1467-9914.1994.tb00226.x
Subject(s) - alimony , child support , welfare , economics , externality , demographic economics , independence (probability theory) , economic independence , work (physics) , psychology , political science , development economics , law , mechanical engineering , statistics , mathematics , market economy , microeconomics , engineering
In this paper we analyze the relationship between post‐divorce private transfers (child support and alimony), mothers' economic independence and children's welfare using US data. Our empirical results show that mothers who receive child support and alimony from absent fathers are more likely to work and to spend a higher proportion of the income on child‐related goods. We argue that the pattern of empirical results is consistent with there being significant externalities between parents even after divorce.