%0 Report %A Riphahn, Regina T. %A Wunder, Christoph %T State Dependence in Welfare Receipt: Transitions Before and After a Reform %D 2015 %8 2015 May %I Institute of Labor Economics (IZA) %C Bonn %7 IZA Discussion Paper %N 9035 %U https://www.iza.org/index.php/publications/dp9035 %X We study state dependence in welfare receipt and investigate whether welfare transitions changed after a welfare reform. Using data from the German Socio-Economic Panel, we apply dynamic multinomial logit estimators and find that state dependence in welfare receipt is not a central feature of the German welfare system. We find that welfare transitions changed after the reform: transitions from welfare to employment became more likely and persistence in welfare and inactivity declined. We observe a large relative increase in transitions from employment to welfare. Immigrants' responsiveness to the labor market situation increased after the reform. %K unemployment benefit II %K state dependence %K social assistance %K immigration %K dynamic multinomial logit