Female labour force participation and South Africa's Child Support Grant

Type Conference Paper - CSAE 25th Anniversary Conference 2011: Economic Development in Africa
Title Female labour force participation and South Africa's Child Support Grant
Author(s)
Publication (Day/Month/Year) 2011
URL http://www.csae.ox.ac.uk/conferences/2011-EdiA/papers/467-Eyal.pdf
Abstract
The effect of the child support grant on mothers' labour force participation is identified using a regression discontinuity sample, and difference in difference estimates. A sample of black mothers aged 20 to 45 whose youngest child is aged within 2 years of the age eligibility cut-o is used. Balancing tests reveal no significant differences between mothers of eligible and ineligible children in this sample. We exploit unanticipated variation in the cut-off age. The effect of having an age eligible child is large. Mothers who become recipients in their twenties see an average increase in employment probability of 15%, and in labour force participation of 9%. Placebo regressions are employed to ensure the results are not due to the age effect of having a younger eligible child.

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