Welfare Reform in Agricultural California

When welfare reforms were enacted in 1996, a higher than average percentage of residents in the agricultural heartland of California, the San Joaquin Valley, received cash assistance. Average annual unemployment rates during the 1990s ranged from 12% to 20%, and 15% to 20% of residents in major farm...

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Bibliographic Details
Published in:Journal of agricultural and resource economics 2003-04, Vol.28 (1), p.169-183
Main Authors: Green, Richard, Martin, Philip, Taylor, J. Edward
Format: Article
Language:English
Subjects:
Adults
Agriculture
Cash
Censuses
Coefficients
cross-sectionally correlated and timewise autoregressive model
Earnings
Economic conditions
Employment
Employment rates
Employment statistics
Families & family life
Farm economics
farm workers
Farmworkers
Hypotheses
Immigrants
immigration
Labor market
Noncitizens
Public assistance programs
Rural areas
Unemployment
Urban areas
Wages & salaries
Welfare reform
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Summary:When welfare reforms were enacted in 1996, a higher than average percentage of residents in the agricultural heartland of California, the San Joaquin Valley, received cash assistance. Average annual unemployment rates during the 1990s ranged from 12% to 20%, and 15% to 20% of residents in major farming counties received cash benefits. This analysis develops and estimates a two-equation crosssectionally correlated and timewise autoregressive model to test the hypothesis that in agricultural areas, seasonal work, low earnings, and high unemployment, as well as few entry-level jobs that offer wages and benefits equivalent to welfare benefits, promote welfare use and limit the potential of local labor markets to absorb exwelfare recipients.
ISSN:1068-5502
2327-8285
DOI:10.22004/ag.econ.30715