IN-KIND TRANSFERS, CASH GRANTS AND LABOR SUPPLY

• 成果类型: Article
• 署名作者: GAHVARI, F
• 署名单位: Virginia Polytechnic Institute & State University
• 刊物名称: JOURNAL OF PUBLIC ECONOMICS
• ISSN/ISSBN: 0047-2727
• DOI: 10.1016/0047-2727(93)01412-4
• 发表日期: 1994
• 页码: 495-504
• 关键词: IN-KIND TRANSFERS; CASH GRANTS; labor supply

摘要

In-kind and cash transfer programs are compared in their impacts on labor supply. It is demonstrated that labor supply is higher under an in-kind transfer program, if in-kind transfers and leisure are Hicks substitutes, leisure is normal, and in-kind transfers are 'over-provided'. It is further shown that under these conditions a one dollar increase in in-kind coupled with a one dollar cut in cash transfers increases tax revenues. Finally, the paper proves that weak separability of preferences between leisure and other goods, in addition to normality of leisure and normality and over-provision of in-kind transfers, is also sufficient to ensure a higher level of labor supply under in-kind transfers.