The divergent configuration and effectiveness of social safety net : quantitative and qualitative studies of policy tools and low-income family process in China

Abstract

Background and objectives: Social safety net is composed of comprehensive noncontributory welfare programs designed to provide support to socioeconomically disadvantaged people. The benefits of social safety net are provided through a variety of policy tools. The diverse policy tools can intervene in the family investment and family stress of low-income people through multiple pathways. Literature on social safety net for low-income families in China has often based its investigation on a single policy (e.g., Dibao, public rental housing, etc). There lacks an understanding of how the social safety net system as a whole is configured and exerts its effects on families. To fill the research gap, this thesis aims to achieve three objectives: (1) to develop a comprehensive understanding of the subnational configuration of social safety net across geographic regions for families with children in China; (2) to empirically examine the effects of multiple social safety net programs on family investment in children; and (3) to investigate low- income families’ lived experiences of participating in social safety net (both through governmental programs and programs provided by the voluntary sector) and how welfare participation in turn affects family processes. Methods: This thesis conducts three sub-studies to achieve the research objective. Sub-study 1 is a descriptive study exploring the regional inequality of social safety net benefit package for different family profiles. Model family method is used to

collect data on social safety net benefit package for various family profiles in different locations. Sub-study 2 is an empirical study on the effects of multiple welfare programs participation on parental investment in children using China Education Panel Survey (CEPS) data and a propensity score matching method. Sub- study 3 is a qualitative study on the familization and defamilization experiences of participating in social safety net through a comparative study of two Chinese societies, Shanghai and Taipei. Results: The three studies jointly reveal heterogeneous characteristics of social safety net, and the selection of policy tools has important impacts on the family process of low-income people. (1) Sub-study 1 finds that the generosity and composition of social safety net benefit vary for the same family profile across locations. Social safety net benefit also meets needs of various families profiles to a different extent Furthermore, regional variations of social safety net are heterogeneous among different policy domains. (2) Sub-study 2 finds that participation in a combination of Dibao and education subsidy programs reduced families’ financial burden of paying children’s school expenditures. Social safety net program participation did not significantly increase out-of-school educational investments or children’s time spent on educational activities. Furthermore, the positive effects of social safety net programs are more pronounced for more advantaged children holding a local or urban hukou. (3) Sub-study 3 finds that means-tested cash transfer program can be marked as a familization measure due to its insufficient benefit level and means-tested procedure. Monetary support targeting individual children and out-of-home parenting support services are defamilization measures. Employment support program yields a hybrid process of familization and defamilization, where the adult labor gained opportunities to be immersed in the society rather than to be bounded by families, yet their work selection and work arrangement are still restricted by family care duties. Conclusions: Low-income people with different family profiles have divergently experience with social safety net due to regional disparity in welfare provision. Current social safety net benefit helps subsidize low-income families’ lack of income and helps them cope with basic family costs such as school education expenditure. However, it may fail to encourage family investment in children's

development. To address family pressure dually caused by economic hardship and family obligations, policymakers should carefully select policy tools as different familization and defamilization policy measures may reinforce low-income parents’ responsibilities to fulfill care obligations, reduce children's dependence on family, or unburden parents from family obligations. Taken together, the design of social safety net for families with children should take into consideration of its implication on regional inequality, its effectiveness in facilitating family investment, and its influence on familization or defamilization societal culture.