CHILD SUPPORT, CHILD CARE AND CHILD WELL-BEING

Goals / Objectives
This project explores the relationships between child support awards, the non-custodial parent's willingness to pay child support, state enforcement efforts, and compliance with the awards. The research tests the hypotheses that compliance with child support awards will be a function of the parent-parent relationship, the parent-child relationship, the minimum awards level specified by the law, and government enforcement efforts. This project investigates the effect of the Child Care Tax Credit (CCTC) in the U.S. income tax system on the labor supply decisions of mothers with young children and on the choice of child care. We also examine the distributional impact of the subsidy. Is there a differential impact of the subsidy by the age of the children, the education of the mother, or the socio-economic status of the family. Finally we incorporate several child care programs that are targeted at the low income population.

Project Methods
The project develops a gene theoretic bargaining model of child support awards and payments. We use data from the Stanford Child Custody Study and Adolescent Followup and from the National Longitudinal Surveys of Labor Market Behavior of Youth (NLSY) to provide estimates of the level of parental altruism towards their children and the degree to which greater child support payments are due to self-enforcing agreements, higher child support guidelines or greater government enforcement effort. Maximum likelihood techniques are used for the analysis. We utilize a household production framework to develop a static model of labor supply and child care choice. The CCTC subsidizes both the number of hours of child care purchased and the per hour cost or price of child care. The subsidy rate differs by the income level of the family. We exploit the price variation caused by this structure to estimate maximum likelihood models that incorporate non-linear budget sets. We use data from the 1986, 1988, and 1989 waves of the NLSY.

Progress 09/01/94 to 09/30/04

Outputs
The Cornell group focused its efforts on analyzing the impact of family policies and welfare reform on three broad topics: (a) child support, paternity, and child well-being, (b) child care, and (c) non-marital childbearing. Several conclusions can be drawn from this body of work. 1. Efforts at collecting child support measured by dollars spent per case and dollars collected per dollar spent increase child support awards, child support receipt, and father-child contact for children from disrupted families and for those who were born outside of marriage. However, other than more generous child support guidelines, it is difficult to identify the specific policies that lead to these results. 2. Higher family income produces better child outcomes. However, the form of that income matters, with income such as child support that is directly targeted for the child, leading to more beneficial outcomes. 3. Welfare reform policies such as the family cap that eliminates or reduces welfare benefits for women who have an additional child while on welfare may reduce non-marital childbearing. However, it is unclear whether this effect works through economic incentives or through increased social stigma that accompanies the adoption of such policies. 4. Policies can affect the type of child care children from low-income families receive through a number of channels: (a) work requirements; (b) policies that affect the supply of childcare; and (c) child care subsidies. The first two avenues appear to have larger effects than the last. In addition, the Cornell group participated in the collaborative activities of the network that involved consulting with federal statistical agencies and other government agencies to develop better data on family demographics, family functioning, and the well-being of children and to inform policy makers about the impact of policies on family and child well-being. Dissemination of research results occurred through a number of high profile conferences attended by prominent academics and influential policy makers. These include 1. Conference on Father Involvement 2. From Welfare to Child Care 3. Measurement Issues in Family Demography 4. Growing Up Poor: Consequences for Children and Youth 5. Welfare Reform and the Well-Being of Children and Families 6. Workshop on Research Ideas and Data Needs for Studying the Well-being of Children and Families. Papers from these conferences have also been published in various edited volumes and journal articles.

Impacts
This work has the potential to inform policy makers about the consequences of welfare reform for child well-being.

Publications

Argys, Laura; H. Elizabeth Peters; Steven Cook; Steven Garasky; Lenna Nepomnyaschy; and Elaine Sorensen. 2005. Measuring Contact between Children and Nonresident Fathers, in Handbook of Measurement Issues in Family Research edited by Sandra Hofferth, and Lynne Casper, Mahwah, N.J.: Lawrence Erlbaum & Associates, Accepted for Publication.
Garasky, Steven; H. Elizabeth Peters; Laura Argys; Steven Cook; Lenna Nepomnyaschy; and Elaine Sorensen. 2005. Measuring Support to Children by Nonresident Fathers, in Handbook of Measurement Issues in Family Research edited by Sandra Hofferth, and Lynne Casper, Mahwah, N.J.: Lawrence Erlbaum & Associates, Accepted for Publication.
Cabrera, Natasha; Robert Hutchens, & H. Elizabeth Peters, eds. 2005. From Welfare to Childcare: What happens to Infants and Toddlers when Single Mothers Exchange Welfare for Work, Mahwah, N.J.: Lawrence Erlbaum & Associates, Accepted for Publication.
Cochi-Ficano, Carli; and H. Elizabeth Peters. 2005. Work and Welfare Choices among Low Income Women: Does Policy Matter? in From Welfare to Childcare: What happens to Infants and Toddlers when Single Mothers Exchange Welfare for Work, edited by Natasha Cabrera, Robert Hutchens, & H. Elizabeth Peters, Mahwah, N.J.: Lawrence Erlbaum & Associates, Accepted for Publication.
Peters, H. Elizabeth; Laura M. Argys; Heather Wynder; and J.S. Butler 2005. Legislating Love: The Effect of Child Support and Welfare Policies on Father-Child Contact, Review of Economics of the Household, In Press.
Averett, Susan; Lisa Gennetian; and H. Elizabeth Peters. 2005. Fathers as Providers of Child Care, Journal of Population Economics, In Press.

Progress 01/01/03 to 12/31/03

Outputs
The Cornell group (Peters, Argys, Butler, Sabia, and Wynder) has focused its efforts on analyzing the impact of welfare reform on three broad topics: (a) child support/paternity, (b) child care, and (c) non-marital childbearing. A paper on paternity, child support, and father involvement was presented at the American Economic Association meeting in January 2003 and at the APPAM meetings in November 2003. This paper found that state efforts to increase paternity and child support resulted in increases in both child support payments and the probability of continued father contact with young children. A paper examining the impact of the family cap on non-marital childbearing has been submitted to JPPAM. This paper finds a statistically and substantively significant impact of the family cap on non-marital childbearing.

Impacts
This work has the potential to inform policy makers about the consequences of welfare reform for child well-being.

Publications

Argys, Laura & H. Elizabeth Peters. 2003. Can Adequate Child Support Be Legislated?: A Model of Responses to Child Support Guidelines and Enforcement Efforts. Economic Inquiry.
Peters, H. Elizabeth; Robert Plotnick & Seook Jeong. 2003. Welfare Reform, Family Structure, and Childbearing Decisions of Men and Women. In Changing Welfare. Gordon, Rachel A. and Herbert J. Walberg (Eds). New York: Kluwer Academic/Plenum Publishers.

Progress 01/01/02 to 12/31/02

Outputs
The Cornell group (Peters, Argys, Butler, Sabia, and Wynder) has focused its efforts on analyzing the impact of welfare reform on three broad topics: (a) child support/paternity, (b) child care, and (c) non-marital childbearing. A paper on paternity, child support, and father involvement was presented at the American Economic Association meeting in January 2003. This paper found that state efforts to increase paternity and child support resulted in increases in both child support payments and the probability of continued father contact with young children. A paper on child care and welfare was presented at the Annual Research Meeting of the Association of Public Policy and Management in November 2002. That paper used data from the Survey of Income and Program Participation to examine the child care choices of current and past welfare recipients and non-welfare working poor families. A paper examining the impact of the family cap on non-marital childbearing was presented both at the annual meetings of the Society for Government Economists in January 2002 and at the annual meetings of Population Association of America in May 2002. This paper finds a statistically and substantively significant impact of the family cap on non-marital childbearing.

Impacts
This work has the potential to inform policy makers about the consequences of welfare reform for child well-being.

Publications

Cabrera, N., Hutchens, R., and Peters, H.E. 2002. From Welfare to Childcare, Poverty Research News, Joint Center for Poverty Research, 6(2).
Argys, L. and Peters, H.E. 2003. Can Adequate Child Support Be Legislated?: A Model of Responses to Child Support Guidelines and Enforcement Efforts. Economic Inquiry.
Peters, H. E., Plotnick, R. and Jeong, S. 2003. Welfare Reform, Family Structure, and Childbearing Decisions of Men and Women, in Changing Welfare. Gordon, Rachel A. and Herbert J. Walberg (Eds). New York: Kluwer Academic/Plenum Publishers

Progress 01/01/01 to 12/31/01

Outputs
The Cornell group (Peters, Avery, Eckenrode, Argys, and Venohr) has focused its efforts on the impact of welfare reform on three broad topics: (a) child support/paternity, (b) child care, and (c) non-marital childbearing. A paper on paternity and father involvement was presented at the Annual Meetings of the Population Association of America in March 2001. This paper found that state efforts to increase paternity resulted in increases in both child support payments and the probability of continued father contact with young children. A paper on welfare reform and non-marital childbearing was presented at the Allied Social Science Meetings in January 2002. This paper showed that non-marital childbearing rates and ratios are lower in states that have implemented a family cap policy. Work on child care involved organizing a conference entitled "From Welfare to Child Care: What happens to infants and toddlers when single mothers exchange welfare for work?" The conference was held in Washington D.C on May 17-18, 2001. In addition, data from the Survey of Income and Program Participation was used to examine the child care choices of current and past welfare recipients and non-welfare working poor families. As part of the child welfare group we have begun to analyze aggregate state-time data on child abuse and neglect rates and foster care placements. We are examining the effect of state welfare reform policies on both the prevalence of abuse and neglect and child fostering as well as on the composition of the caseload (e.g., abuse versus neglect, type of perpetrator, socio-economic characteristics).

Impacts
This work has the potential to inform policy makers about the consequences of welfare reform for child well-being.

Publications

Horvath-Rose, A. and Peters, H.E. 2001. Welfare Waivers and Non-marital Childbearing, in Welfare Reform: For Better, For Worse, Edited by Greg Duncan and Lindsey Chase-Lansdale, New York: Russell Sage: 222-246.

Progress 01/01/00 to 12/31/00

Outputs
The Cornell group (Peters, Avery, Eckenrode, Jakubson, Unur, Horvath, Argys, and Venohr) has focused its efforts on four broad topics: (a) child support/paternity, (b) child care, (c) non-marital childbearing, and (d) altruism and family behavior. We also examine the first three topics in relationship to welfare reform. A paper on paternity and father involvement was presented at the American Economic Association Meetings in January 2001. This paper found that state efforts to increase paternity resulted in increases in both child support payments and the probability of continued contact with the child through adolescence. Work on child care involved organizing a conference entitled "From Welfare to Child Care: What happens to infants and toddlers when single mothers exchange welfare for work?" The conference will be held in Washington D.C on May 17-18, 2001. In addition, work is underway on a project using data from the Survey of Income and Program Participation to examine the child care choices of current and past welfare recipients and non-welfare working poor families. As part of the child welfare group we have begun to analyze aggregate state-time data on child abuse and neglect rates and foster care placements. We are examining the effect of state welfare reform policies on both the prevalence of abuse and neglect and child fostering as well as on the composition of the caseload (e.g., abuse versus neglect, type of perpetrator, socio-economic characteristics).

Impacts
This work has the potential to inform policy makers about the consequences of welfare reform for child well-being.

Publications

Argys, L. and Peters H.E. 2001. 'Interactions Between Unmarried Fathers and Their Children: The Role of Paternity Establishment and Child-Support Policies,' (with L. Argys), American Economic Review Papers and Proceedings, forthcoming, May 2001.
Argys, L.; Peters, H.E.; and Waldman, D. 2000. 'Can the Family Support Act Put Some Life Back Into Dead Beat Dads: An Analysis of Child Support Guidelines, Award Rates and Levels,' Journal of Human Resources (forthcoming).
Argys, L. and Peters, H.E. 1999. Patterns of Non-resident Father Involvement, in Social Awakenings: Adolescents' Behavior as Adulthood Approaches, Edited by Robert T. Michael, New York: Russell Sage, forthcoming, 2001.
Cabrera, N. and Peters H.E. 2000. Public Policies and Father Involvement, Marriage and Family Review 29(4), also reprinted in Fatherhood: Research, Interventions and Policies, H.E. Peters, G.W. Peterson, S. Steinmetz, and R.D.Day (eds.), Bingamton, NY: Haworth Press, Inc.
Scullin, M.; Peters, H.E.; Williams W.; and Ceci, S. 2000. 'The Role of IQ and Education in Predicting Later Labor Market Outcomes: Implications for Affirmative Action,' Psychology,Public Policy, and Law,6(1), March 2000.
Averett, S.L.; Gennetian, L.A.; and Peters, H.E. 2000. Patterns and Determinants of Paternal Child Care During a Child's First Three Years of Life, Marriage and Family Review 29(2/3), also reprinted in Fatherhood: Research,Interventions and Policies, H.E. Peters, G.W. Peterson, S. Steinmetz, and R.D. Day (eds.), Bingamton, NY: Haworth Press, Inc.
Horvath-Rose, A. and Peters, H.E. 2000. 'Welfare Waivers and Non-marital Fertility,' in Welfare Reform: for Better, for Worse, Edited by Greg Duncan and Lindsey Chase-Lansdale, New York: Russell Sage, forthcoming.
Peters, H.E. and Unur, A. S. 2000. 'Perspectives on Altruism and the Family,' in Family and Child Well-being: Research and Data Needs, ed. Arland Thornton, Ann Arbor, MI: University of Michigan Press, forthcoming.
Peters, H.E.; G.W. Peterson, S. Steinmetz, and R.D. Day. 2000. Fatherhood: Research Interventions and Policies, Bingamton, NY: Haworth Press, forthcoming.
Peters, H.E. 2000. 'Can Child Support Policies Support Better Father Involvement: The Role of Coercive versus Supportive Policies,' Poverty Research News, Joint Center for Poverty Research, 4(2), March/April 2000.

Progress 01/01/99 to 12/31/99

Outputs
The Cornell group (Peters, Avery, Eckenrode, Jakubson, Unur, Horvath, Argys, and Venohr) has focused its efforts on four broad topics: (a) child support/paternity, (b) child care, (c) non-marital childbearing, and (d) altruism and family behavior. We also examine the first three topics in relationship to welfare reform.

Impacts
(N/A)

Publications

Cabrera, N. and Peters H.E. 1999. Public Policies and Father Involvement, Marriage and Family Review 29, also reprinted in Fatherhood: Research, Interventions and Policies, H.E. Peters, G.W. Peterson, S. Steinmetz, and R.D. Day (eds.), Bingamton, NY: Haworth Press, Inc.
Averett, S.L.; Gennetian, L.A.; and Peters, H.E. 1999. Patterns and Determinants of Paternal Child Care During a Child's First Three Years of Life, Marriage and Family Review 29, also reprinted in Fatherhood: Research, Interventions and Policies, H.E. Peters, G.W. Peterson, S. Steinmetz, and R.D. Day (eds.), Bingamton, NY: Haworth Press, Inc.
Doyle, J. and Peters, H.E. 1999. The Market for Foster Care: An Empirical Study of the Impact of Foster Care Subsidies. mimeo, revised.
Doyle, J. and Peters, H.E. 1999. The Market for Foster Care: An Empirical Study of the Impact of Foster Care Subsidies. mimeo, revised.
Horvath-Rose, A. and Peters, H.E. 1999. Welfare Waivers and Non-marital Fertility, presented at the University of Chicago-Northwestern Joint Center for Poverty Research Conference For Better and For Worse: State Welfare Reform and the Well-being of Low-income Families and their Children, September 16-17, 1999, Washington, D.C.
Unur, A.S. and Peters, H.E. 1999. Incentive Effects of Parents' Transfers to Children, mimeo, Cornell University, October 1999.
Argys, L. and Peters, H.E. 1999. Patterns of Non-resident Father Involvement, presented at the NLSY97 Early Results Conference, Washington, D.C., November 18-19, 1999.
Rendall, M.S.; Clarke, L, ; Peters, H.E.; Ranjit, N; and Verropoulou, G. 1999). Incomplete Reporting of Men's Fertility in the United States and Britain: A Research Note, Demography, 36(1); 135-144.

Progress 01/01/98 to 12/31/98

Outputs
The Cornell group (Liz Peters, Laura Argys, Susan Averett, Lisa Gennetian, Michael Rendall, Sinan Unur, and Don Waldman) has focused its efforts primarily on two topics - fathers and altruism - but the work overlaps additional areas such as welfare, child care, intergenerational relations, indicators, and methodology. Various papers and projects were undertaken during the year.

Impacts
(N/A)

Publications

"Can the Family Support Act Put Some Life Back Into Dead Beat Dads: An Analysis of Child Support Guidelines, Award Rates and Levels" (L. Argys, E. Peters, and D. Waldman) (working paper). "Contributions of Absent Fathers to Child Well-Being: The Impact of Child Support Dollars and Father-Child Contact" (L. Argys, E. Peters, J. Brooks-Gunn, and J. Smith (Demography, May 1998). "Can Adequate Child Support Be Legislated?: A Theoretical Model of Responses to Child Support Guidelines and Enforcement Efforts" (L. Argys and E. Peters) (working paper). "Fathers as Providers of Child Care" (S. Averett, L. Gennetian, and E. Peters) (working paper). "Retrospective and Panel Underreporting of Male Fertility in the United States and Britain" (M. Rendall, L. Clarke, E. Peters, N. Ranjit, and G. Verropoulou) ( forthcoming Demography). "Free-Riding and the Provision of Public Goods in the Family: An Experimental Approach" (J. Clark, E. Peters, W. Schulze, and S. Unur) (working paper).

Progress 01/01/97 to 12/31/97

Outputs
The Cornell group (Liz Peters, Laura Argys, Susan Averett, Lisa Gennetian, Michael Rendall, Sinan #n#r, and Don Waldman) has focused its efforts primarily on two topics - fathers and altruism - but the work overlaps additional network areas of interest such as welfare, child care, intergenerational relations, indicators, and methodology. Various papers and projects were undertaken durng the year.

Impacts
(N/A)

Publications

"Can the Family Support Act Put Some Life Back Into Dead Beat Dads: An Analysis of Child Support Guidelines, Award Rates and Levels" (L. Argys, E. Peters, and D. Waldman) (forthcoming).
"Contributions of Absent Fathers to Child Well-Being: The Impact of Child Support Dollars and Father-Child Contact." (L. Argys, E. Peters, J. Brooks-Gunn, and J. Smith) (forthcoming).
"Can Adequate Child Support be Legislated?: A Theoretical Model of Responses to Child Support Guidelines and Enforcement Efforts" (L. Argys and E. Peters) (forthcoming).
Fathers as Providers of Child Care (S. Averett, L. Gennetian, and E. Peters) (forthcoming).
"Retrospective and Panel Underreporting of Male Fertility in the United States and Britain (M. Rendall, L. Clarke, E. Peters, N. Ranjit, and G. Verropoulou) (forthcoming).
"Free-Riding and the Provision of Public Goods in the Family: An Experimental Approach" (J. Clark, E. Peters, W. Schulze, and S. nr)

Progress 01/01/96 to 12/30/96

Outputs
Work has continued on a number of projects related to original child support andchild care projects, and new work has begun work relating to various collaborative topics defined by the Family and Child Well-being Network. Peters has spent time planning and organizing the Conference on Father's Involvement that was held on October 10-11. Between 6/1/95 and 6/30/96 we completed the collection and coding of state guideline formulae in all fifty states (and Washington D.C.) from 1979 to 1992. Upon completion of this task we focused on three research projects. First, we refined the theoretical model that was the basis for this proposal and wrote a journal length article. The second project is a paper that we presented at the May 1996 Population Association of America meetings in New Orleans. This paper investigates some previous findings that suggest that child support payments enhance child well-being over and above their contribution to income. The third project involves revisions to our paper using a state fixed effects econometric model, we test the hypothesis that the variance of awards is smaller when states have guidelines in place. Next year we plan to complete the empirical analysis on the effect of child support dollars on child well-being, as well as the analysis of the effects of the guideline formulas on awards. With the completion of the theoretical model we will begin structural econometric modelling of child support awards, payments and use of guidelines.

Impacts
(N/A)

Publications

Argys, Laura and Peters, H. Elizabeth. "Can Adequate Child Support be Legislated A Theoretical Model of Responses to Child support Guidelines and Enforcement Efforts," mimeo, Cornell University, June 1996 (submitted to the Journal of Pol
Argys, Laura; Peters, H. Elizabeth; Smith, Judy; and Brooks-Gunn, Jeanne. "The Impact of Child Support Dollars on Child Well-being," presented at the annual meetings of the Population Association of America, New Orleans, May 1996. PB Argys, Laura; Peters, H. Elizabeth; and Waldman, Donald. "Can the Family Support Act Put Some Life Back Into Dead Beat Dads: An Analysis of Child Support Guidelines, Award Rates and Levels." presented at the annual meetings of the America
Averett, Susan; Peters, H. Elizabeth; and Waldman, Donald. "Tax Credits, Labor Supply and Child Care." The Review of Economics and Statistics, forthcoming.
Averett, Susan; Gennetian, Lisa; and Peters, H. Elizabeth. "Fathers as Providers of Child Care," to be presented at the Conference on Father's Involvement, Bethesda, MD, October 1996.
Doyle, Joseph and Peters, H. Elizabeth. "Supply Responses to Foster Care SubsidyRates: An Empirical Investigation." mimeo, Cornell University, May 1996. PB Peters, H. Elizabeth and Mullis, Natalie. "The Role of Family Income and Sources of Income in Adolescent Achievement." presented at the Poverty Conference, February 1995 (revised December 1995).

Progress 01/01/95 to 12/30/95

Outputs
We have continued to collect and code data on child support guidelines in all fifty states (and Washington, DC) from 1979 to 1992. We are still checking some discrepancies between various sources of information, but this task is near completion. We have also completed the cleaning and variable creation for our NLSY sample of women with children of absent fathers. Reconciling information from birth histories, marital histories, household rosters, and child support award and payment histories has been a long and complicated undertaking. We are also continuing our work using the 1986 wave of the NLSY to estimate the impact of the Child Care Tax Credit (CCTC) on the labor supply decisions married women with young children. The estimation method uses maximum likelihood techniques developed to account for the non-linear budget set imposed by the CCTC and incorporates the cost of child care into a structural model of labor supply. During the past year we have worked on two issues: 1) identification of the labor supply equation and 2) determining the most appropriate measure of child care costs.

Impacts
(N/A)

Publications