Dorsett, Richard and Oswald, Andrew J. (2014) Human well-being and in-work benefits : a randomized controlled trial. Working Paper. Coventry, UK: Department of Economics, University of Warwick. Warwick economics research papers series (TWERPS), Volume 2014 (Number 1038).

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Abstract

Many politicians believe they can intervene in the economy to improve people’s lives. But can
they? In a social experiment carried out in the United Kingdom, extensive in-work support was
randomly assigned among 16,000 disadvantaged people. We follow a sub-sample of 3,500
single parents for 5 ensuing years. The results reveal a remarkable, and troubling, finding. Long
after eligibility had ceased, the treated individuals had substantially lower psychological well-
being, worried more about money, and were increasingly prone to debt. Thus helping people
apparently hurt them. We discuss a behavioral framework consistent with our findings and
reflect on implications for policy.

Item Type:	Working or Discussion Paper (Working Paper)
Subjects:	H Social Sciences > HB Economic Theory H Social Sciences > HQ The family. Marriage. Woman
Divisions:	Faculty of Social Sciences > Economics
Library of Congress Subject Headings (LCSH):	Well-being , Happiness -- Testing, Single parents -- Great Britain, Poor -- Great Britain, Public welfare
Series Name:	Warwick economics research papers series (TWERPS)
Publisher:	Department of Economics, University of Warwick
Place of Publication:	Coventry, UK
Official Date:	February 2014
Volume:	Volume 2014
Number:	Number 1038
Number of Pages:	58
Status:	Not Peer Reviewed
Publication Status:	Published
Funder:	Economic and Social Research Council (Great Britain) (ESRC), University of Warwick

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