Structural state dependence in Swedish social assistance during the 1990s economic crisis
We examine structural state dependence in social assistance in Sweden using register-based panel data from the 1990s, a period of severe economic stress, and document heterogeneity by partnership composition and migration background, with implications for contemporary integration policy and household economic mobility. Tracking a cohort of individuals who were single in 1990 and estimating dynamic discrete-choice models with unobserved heterogeneity and initial conditions, we find substantial persistence that varies systematically by gender, country of birth and partnership composition. A novel finding is that structural state dependence is highest among Swedish-born single individuals, particularly men. For both Swedish-born and foreign-born men, partnering with a Swedish-born woman is associated with lower structural state dependence, whereas partnering with a foreign-born woman is associated with higher structural state dependence only among foreign-born men. Because eligibility is assessed at the household level, these patterns should be interpreted as reduced-form persistence in household-level receipt that may combine behavioural state dependence with mechanical eligibility changes triggered by partnership formation and reassessment of joint resources.
Authors
- Daniela Andrén (ORCID: https://orcid.org/0000-0003-4570-7504)
- Thomas Andrén (ORCID: https://orcid.org/0000-0001-5615-6088)
- Martin Kahanec
Institutions
- Swedish National Bank (SE)
- Central European University (AT)
- Örebro University (SE)
- Texas General Land Office (US)
- Council of Educators in Landscape Architecture (US)
- Bratislava University of Economics and Business (SK)
Publication Details
- Journal
- Applied Economics
- Published
- 2026-04-10
- DOI
- https://doi.org/10.1080/00036846.2026.2648789
- Primary Topic
- Social Policy and Reform Studies
- Type
- article
- Field-Weighted Citation Impact
- 0.00