TY - RPRT AU - Dustmann, Christian AU - Landersø, Rasmus AU - Andersen, Lars Højsgaard TI - Unintended Consequences of Welfare Cuts on Children and Adolescents PY - 2024/Aug/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 17244 UR - https://www.iza.org/publications/dp17244 AB - This paper studies the effects of a large welfare benefit reduction on the children in the affected families. The welfare cut targeted adult refugees who received residency in Denmark, and it reduced their disposable income by 30 percent on average over the first five years. We show that children exposed to the welfare cut during preschool and school-age obtained lower GPAs, experienced reduced well-being and overall education levels, and suffered lower employment and earnings as adults. Children in their teens at exposure faced large increases in conviction probabilities for violent and property crimes. KW - social assistance KW - welfare state KW - crime KW - education KW - inequality ER -