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Displaying results 1 to 3 of 3.

  1. The effect of paying parents to adopt: evidence from Minnesota's foster-care system
    Author: Bishop, Kelly C.; Mac Donald, Diana E.
    Published: January 2022
    Publisher:  [Banco de México], [Ciudad de México, México]

    Aimed at increasing the adoption rate of older children, Minnesota's 2015 Northstar Care Program eliminated the adoption penalty (the decrease in fostering-based financial transfers associated with adoption) for children aged six and older, while... more

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    Location:
    ZBW - Leibniz-Informationszentrum Wirtschaft, Standort Kiel
    Signature:
    DS 192
    Inter-library loan:
    No inter-library loan

     

    Aimed at increasing the adoption rate of older children, Minnesota's 2015 Northstar Care Program eliminated the adoption penalty (the decrease in fostering-based financial transfers associated with adoption) for children aged six and older, while maintaining it for children under age six. Using a difference-in-differences estimation strategy that controls for a rich set of covariates, we find that parents responded positively to this change in direct financial payments; the annual adoption rate of older foster children aged six to eleven increased by approximately 7 percentage points (22% at the mean) as a result of the program. We additionally find evidence of strategic adoption behavior as the adoption rate of younger children temporarily increased by 11 percentage points (26% at the mean) in the year prior to the program's implementation.

     
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    Source: Union catalogues
    Language: English
    Media type: Book
    Format: Online
    Other identifier:
    hdl: 10419/251298
    Series: Working papers / Banco de México ; no 2022, 01
    Subjects: Family Policy; Government Transfers; Adoption; Foster Care
    Scope: 1 Online-Ressource (circa 27 Seiten), Illustrationen
  2. Foster care
    a dynamic matching approach
    Author: Mac Donald, Diana E.
    Published: March 2023
    Publisher:  [Banco de México], [Ciudad de México, México]

    This paper studies the two-sided dynamic matching problem that occurs in the US foster care system. In this market, foster parents and foster children can form reversible matches, which may separate, continue in their reversible state, or transition... more

    Access:
    Verlag (kostenfrei)
    Resolving-System (kostenfrei)

    Location:
    ZBW - Leibniz-Informationszentrum Wirtschaft, Standort Kiel
    Signature:
    DS 192
    Inter-library loan:
    No inter-library loan

     

    This paper studies the two-sided dynamic matching problem that occurs in the US foster care system. In this market, foster parents and foster children can form reversible matches, which may separate, continue in their reversible state, or transition to permanency via adoption. I first present an empirical analysis that yields four new facts. Thereafter, I develop a two-sided search and matching model used to rationalize the empirical facts and carry out predictions regarding match quality. Interestingly, I find that match separation plays a crucial role in adoption by influencing the incentives of foster parents to adopt. Due to the presence of a financial penalty on adoption, parents accept the penalty in exchange for eliminating the likelihood that the child separates from the match in the future. Moreover, I show that the adoption penalty not only exacerbates the intrinsic disadvantage (being less preferred by foster parents) faced by children with a disability, but it also creates incentives for highquality matches to not transit to adoption.

     
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    Source: Union catalogues
    Language: English
    Media type: Book
    Format: Online
    Other identifier:
    hdl: 10419/296957
    Series: Working papers / Banco de México ; no 2023, 01
    Subjects: Search; Matching; Foster Care; Adoption
    Scope: 1 Online-Ressource (circa 69 Seiten), Illustrationen
  3. Designing the menu of licenses for foster care
    Author: Altinok, Ahmet; Mac Donald, Diana E.
    Published: December 2023
    Publisher:  [Banco de México], [Ciudad de México, México]

    In the United States, prospective foster parents must become licensed by a child welfare agency before a foster child can be placed in their care. This paper contributes by developing a theoretical matching model to study the optimal menu of licenses... more

    Access:
    Verlag (kostenfrei)
    Resolving-System (kostenfrei)

    Location:
    ZBW - Leibniz-Informationszentrum Wirtschaft, Standort Kiel
    Signature:
    DS 192
    Inter-library loan:
    No inter-library loan

     

    In the United States, prospective foster parents must become licensed by a child welfare agency before a foster child can be placed in their care. This paper contributes by developing a theoretical matching model to study the optimal menu of licenses designed to screen foster parents. We construct a two-sided matching model with heterogeneous agents, adverse selection, search frictions, and a designer who coordinates match formation through a menu of contracts. We focus on incentive compatible contracts, examine optimal allocations and transfers, and analyze equilibrium sorting patterns. There are three main results: (i) optimal allocation calls for a segregation of the market, (ii) a simple transfer schedule does the job, (iii) complementarities do not ensure that Positive Assortative Matching (PAM) will arise in equilibrium, thus we provide an additional condition that guarantees it. Our results suggests that the menu of licenses used in practice, exhibits some of the properties of the optimal solution. However, the menu might not be reaching its screening objective.

     
    Export to reference management software   RIS file
      BibTeX file
    Source: Union catalogues
    Language: English
    Media type: Book
    Format: Online
    Other identifier:
    hdl: 10419/297021
    Series: Working papers / Banco de México ; no 2023, 19
    Subjects: Adverse Selection; Matching; Sorting; Search; Foster Care
    Scope: 1 Online-Ressource (circa 64 Seiten), Illustrationen