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Resumo

A growing body of literature suggests that asset limits in public assistance are associated with low savings rates among low-income families. Several states have begun eliminating or significantly increasing asset limits in an attempt to address potential disincentives. The primary concern for other states, however, appears to be the possibility that caseloads would increase to unsustainable levels, especially in times of economic recession. Five states that eliminated or increased asset limits during the Great Recession were analyzed for changes in caseload size after the rule change. Results suggest that there is no significant relationship between asset limits and caseload size.

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