The effect of the Child Support Grant on labour force participation of women in South Africa

Abstract: The paper uses the National Income Dynamics Data for Wave 1, Wave 2 and Wave 3 in order to analyse the effect of the Child Support Grant (CSG) on the labour market participation of women in South Africa. This is done through transition matrices and random effect probit regressions. It is shown that women who are CSG recipients are more likely to transition into participation in the labour market, unemployment and employment. In the calculation of the relationship between labour market participation and receipt of the CSG, it is also shown that the CSG is positively related to the broad labour market participation of women and employment, but is negatively related to unemployment and average weekly hours worked.M.Com. (Development Economics