INTERPRETING THE DYNAMICS OF PUBLIC-HOUSING - CULTURAL AND RATIONAL CHOICE EXPLANATIONS

This article uses culture of poverty and rational choice theories of p overty to explain how quickly nonelderly household heads leave public housing. Data from the Panel Study of Income Dynamics serve as the bas is for the analysis. Although a significant proportion of all househol d heads have public housing spells lasting five or more years, the maj ority have spells lasting less than five years. The availability of ot her housing options has a strong impact on how quickly individuals mov e out of public housing. Family structure and human capital play a mor e modest role. To the extent that one's childhood experiences affect t he likelihood of exiting public housing, they appear to do so mostly t hrough their effect on the acquisition of human capital. Finally, the evidence presented is inconsistent with the notion that public housing is a trap from which it is more difficult to escape the longer one li ves in it.