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Edgar Allan Poe/Sullivan's Island Library
Closed for renovations
Phone: (843) 883-3914
West Ashley Library
9 a.m. - 7 p.m.
Phone: (843) 766-6635
Wando Mount Pleasant Library
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Phone: (843) 805-6888
Village Library
9 a.m. - 6 p.m.
Phone: (843) 884-9741
St. Paul's/Hollywood Library
9 a.m. - 8 p.m.
Phone: (843) 889-3300
Otranto Road Library
9 a.m. - 8 p.m.
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McClellanville Library
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Keith Summey North Charleston Library
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John's Island Library
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Hurd/St. Andrews Library
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Folly Beach Library
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Fostering Household Formation: Evidence from a Spanish Rental Subsidy.
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- Author(s): Aparicio-Fenoll, Ainhoa; Oppedisano, Veruska
- Source:
B.E. Journal of Economic Analysis & Policy; Jan2015, Vol. 15 Issue 1, p53-84, 32p, 11 Charts, 2 Graphs- Subject Terms:
- Source:
- Additional Information
- Subject Terms:
- Abstract: In Southern Europe youngsters leave their parental home significantly later than in Northern Europe and the United States. In this paper, we study the effect of a monthly cash subsidy on the probability that young adults live apart from parents and childbearing. The subsidy, introduced in Spain in 2008, is conditional on young adults renting accommodation, and it amounts to almost 20% of the average youngsters' wage. Our identification strategy exploits the subsidy eligibility age threshold to assess the causal impact of the cash transfer. Difference-in-Differences estimates show positive effects of the policy on the probability of living apart from parents, living with a romantic partner, and childbearing for 22 year-olds compared to 21 year-olds. Results persist when the sample is expanded to include wider age ranges. The effect is larger among young adults earning lower incomes and living in high rental price areas. This is consistent with the hypothesis that youngsters delay household formation because the cost is too high relative to their income. [ABSTRACT FROM AUTHOR]
- Abstract: Copyright of B.E. Journal of Economic Analysis & Policy is the property of De Gruyter and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)
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