Assisted Housing and the Educational Attainment of Children

Abstract

This paper examines the long-term effects of assisted housing on the educational attainment of children. It is based on unique data, the Panel Study of Income Dynamics (PSID)-Assisted Housing Database, in which we have matched addresses of all PSID sample members to addresses of federal and state assisted housing. Using a two-stage instrumental variable approach, the inferior educational outcomes of children who live in public housing disappear when measured characteristics are taken into account, while unmeasured characteristics have insignificant effects. We also find neither positive nor negative effects of privately owned assisted housing. These findings are similar to those on the effects of other social welfare programs. © 2000 Academic Press.