Incarceration and Household Asset Ownership

Area of Science:

• Criminology and Criminal Justice
• Sociology of the Family
• Economics of Well-being

Background:

• Extensive research highlights the negative economic impacts of incarceration.
• Limited understanding exists regarding incarceration's effects on household assets and family economic spillover.
• Household assets are critical for the economic stability of low-income families.

Purpose of the Study:

• To investigate the association between incarceration and asset ownership among formerly incarcerated men.
• To examine the spillover effects of incarceration on the asset ownership of romantic partners.
• To identify pathways, such as relationship changes, linking incarceration to asset depletion.

Main Methods:

• Utilized longitudinal data from the Fragile Families and Child Wellbeing Study.
• Analyzed asset ownership (bank accounts, vehicles, homes) among formerly incarcerated men and their partners.
• Accounted for social factors influencing selection into incarceration.

Main Results:

• Incarceration is negatively associated with owning a bank account, vehicle, and home among men.
• These negative consequences extend to the romantic partners of incarcerated men.
• Associations are stronger for men who previously possessed assets; relationship changes mediate asset depletion.

Conclusions:

• Incarceration significantly erodes household assets for both men and their partners.
• Even short periods of incarceration can lead to substantial asset loss.
• Post-incarceration relationship dynamics are a key mechanism driving asset depletion.