Impact of SNAP and TANF on Self-Sufficiency in Virginia

• In Event: Work and stability in the Safety Net

Abstract

This project aims to investigate the short-term and long-term causal effect of three major public benefit programs on labor market outcomes of recipients: namely, the Supplemental Nutrition Assistance Program (SNAP), Temporary Assistance for Needy Families (TANF), and Medical Assistance (MA). We focus on the context of Virginia, using the administrative data from the Virginia Department of Social Services (VDSS). The agency administers SNAP and TANF, which are designed to serve as temporary relief for households living in unstable financial circumstances. VDSS also enrolls a wide range of low-income families into MA to enable affordable access to health care. However, it largely remains unknown if and how the households experience a stable upward economic mobility following the entry and exit of these programs.

We analyze the first-time applicants between 2018-2023 using the regression discontinuity design paired with difference-in-difference. Specifically, we compare those who were approved with their net income slightly below the eligibility limit to those denied with net income slightly above. This creates two comparable groups with a notable difference being the receipt of treatment (i.e., enrollment into SNAP, TANF, and/or MA). The outcome of interest is quarterly employment and earnings, which provides insight into how applicants’ earnings changed up to five years after their initial application to the public assistance program(s).

Authors

• Jiwoo A. Pierson, Virginia Department of Social Services
  Presenting Author

• Day Manoli
  Non-Presenting Co-Author