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This version was published on May 1, 2008
Work and Occupations, Vol. 35, No. 2, 196-222 (2008)
DOI: 10.1177/0730888407312275

The Effect of Temporary Employment on Asset Accumulation Processes

Donald M. McGrath

Ohio State University, mcgrath.52{at}osu.edu

Lisa A. Keister

Duke University, lkeister{at}soc.duke.edu

Temporary employment in the United States has increased considerably in recent decades, but the financial well-being of temporary employees is not well understood. This article examines the effect of both recent and past temporary employment on asset accumulation and portfolio behavior. The authors find that temporary work reduces workers' assets and that this negative effect remains even after a worker has left the temporary position. The authors also show that suppressed or delayed homeownership substantially contributes to the reduction of assets among temporary workers. These results provide insight into the role that work status plays in creating and maintaining wealth inequality.

Key Words: temporary employment • nonstandard employment • asset accumulation


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