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Working yet poor : A quantitative analysis for the United States

By: Contributor(s): Material type: ArticleLanguage: English Publication details: United Kingdom : Taylor & Francis, 2024.ISSN:
  • 1087-5549
  • 1540-7608 (Online)
Subject(s): In: Journal of Poverty United Kingdom : Taylor & Francis, 2024. v. 28, no. 3, p. 244–261Summary: This study uses Current Population Survey data and econometric techniques to examine whether working poor households improve their economic wellbeing by working more hours. For working households overall, full-time work puts them in a 49–78% better position than part-time work (as measured by resources-to-need and depending on methodology). For poor families, however, full-time work makes them 1.3–2.7% better off than part-time work. The latter finding reflects that the higher earnings of full-time work come at considerable cost: lower public assistance benefits and higher medical, work, and childcare expenditures. We discuss policies that may reduce these tradeoffs for poor working households.
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This study uses Current Population Survey data and econometric techniques to examine whether working poor households improve their economic wellbeing by working more hours. For working households overall, full-time work puts them in a 49–78% better position than part-time work (as measured by resources-to-need and depending on methodology). For poor families, however, full-time work makes them 1.3–2.7% better off than part-time work. The latter finding reflects that the higher earnings of full-time work come at considerable cost: lower public assistance benefits and higher medical, work, and childcare expenditures. We discuss policies that may reduce these tradeoffs for poor working households.

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Fisher, M. : Not CIMMYT Affiliation

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