Written by: Signe Hald Andersen

Some countries provide aftercare for foster care alumni, yet we have very limited evidence of the effects of this type of care, and do not know if it improves outcomes among foster care alumni. This study tests whether an expansion of the Danish aftercare scheme in 2001 has affected the later outcomes of foster care alumni. This expansion raised the age limit for eligibility for aftercare from 20 years to 22 years, and created an increased focus on the availability of this type of support. Using Danish administrative data and a difference-in-difference setup, it is found that the expansion reduced antisocial behavior and labor market affiliation in the short run, but improved wage outcomes in the longer run.