Speakers
Massimo Aprea, Università degli Studi di Roma 'La Sapienza'

Abstract:
In January 2024, Italy replaced the Citizenship Income (RDC) with the Inclusion Allowance (ADI), shifting from a ‘selective universal’ to a ‘categorical’ system by restricting access to households deemed more “employable.” While RDC’s poverty-reducing effects are well documented, claims of labour supply disincentives remain mostly anecdotal, with only limited regional evidence pointing to weak impacts. This paper uses rich administrative data linking RDC receipt, earnings histories, and other transfers to test whether RDC affected average days worked per month through a difference-in-differences approach with matched controls and staggered treatment effects. We also assess whether RDC influenced contract quality, focusing on the probability of holding a full-time open-ended job.