Full Citation

Title: Effects of individual development accounts on asset purchases and saving behavior: Evidence from a controlled experiment

Citation Type: Journal Article

Publication Year: 2008

ISBN:

ISSN:

DOI:

NSFID:

PMCID:

PMID:

Abstract: We evaluate the first controlled field experiment on Individual Development Accounts (IDAs). Including their own contributions and matching funds, treatment group members in the Tulsa, Oklahoma program could accumulate $6750 for home purchase or $4500 for other qualified uses. Almost all treatment group members opened accounts, but many withdrew all funds for unqualified purposes. Among renters at the beginning of the experiment, the IDA increased homeownership rates after 4 years by 711 percentage points and reduced non-retirement financial assets by $700$1000. The IDA had almost no other discernable effect on other subsidized assets, overall wealth, or poverty rates.

User Submitted?: No

Authors: Apostolov, Emil; Eriksen, Michael D.; Patterson, Rhiannon; Mills, Gregory; Engelhardt, Gary V.; Gale, William G.

Periodical (Full): Journal of Public Economics

Issue: 5

Volume: 92

Pages: 1509-1530

Data Collections: IPUMS USA

Topics: Housing and Segregation, Labor Force and Occupational Structure

Countries: United States