Sibling and Intergenerational Correlations in Welfare Program Participation

Many previous studies have used sibling correlations to measure the effect of family background on earnings, income? and occupational status. This paper uses data on a sample of sisters to explore the importance of family background as a determinant of welfare program participation. The results show a strikingly high degree of sibling resemblance in welfare receipt. For example, a woman's estimated probability of having participated in welfare programs is .20 if her sister has not participated, but is -.66 if her sister has participated.