However, most families (56 percent of AFDC-related spells and 46 percent of AFDC-UP related spells) did not continue to receive Medicaid benefits after losing cash assistance.
In contrast to single mothers on AFDC, two-parent families on AFDC-UP will have a median spell lasting approximately 18 months rather than 19.
AFDC-UP families are significantly more sensitive to all labor market conditions than AFDC families.
Welfare Transfers in Two-Parent Families: Labor Supply and Welfare Participation under the AFDC-UP Program.
We selected all mothers in cases receiving AFDC or AFDC-UP cash aid at some time during the sample period.
There are three obvious groups to look at in our data: AFDC enrollees in California, AFDC enrollees in Georgia, and AFDC-UP enrollees in California.
Although there are no existing estimates on the number of exits from AFDC-UP that are earnings related, we would expect a much large number than for AFDC.
The exit patterns and Medicaid status for AFDC-UP cases enrolled in July 1985 but off of welfare in August 1985 are shown in Table 3.
9 percent of those leaving AFDC-UP got 4-month coverage is rather surprising.
Shown in Table 4 are the results for three samples of enrollees: those enrolled in AFDC in California in September 1986, those enrolled in AFDC-UP in California in September 1986, and those enrolled in AFDC in Georgia in September 1984.
California AFDC, California AFDC-UP, and Georgia AFDC populations, respectively.
In the California AFDC-UP program, those who had been enrolled for only 6 months were nearly eight times more likely (0.