Income Maintenance and Asset Stock Demand

摘要

This paper presents an analysis of the effects of the Seattle and Denver Income Maintenance Experiments on the asset stock demand of husband and wife households and of female heads of families. Results of the analysis suggest that support income stimulates demand for asset stocks in a manner that is consistent with the way in which normal income contributes to these stocks. The authors find increases in holdings of durable goods, vehicles, and debt, as well as some evidence that the reduced variability of income due to SIME/DIME enhances demand for illiquid assets and reduces savings motives.