Employment Effects of the Earned Income Tax Credit: Taking the Long View / Diane Whitmore Schanzenbach, Michael R. Strain.

Format:

Book

Author/Creator:

Schanzenbach, Diane Whitmore.

Contributor:

National Bureau of Economic Research.

Strain, Michael R.

Series:

Working Paper Series (National Bureau of Economic Research) no. w28041.

NBER working paper series no. w28041

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 2020.

Summary:

The Earned Income Tax Credit (EITC) is the cornerstone U.S. anti-poverty program for families with children, typically lifting millions of children out of poverty each year. Targeted to low-income households with children, and only available to those who work, the EITC contains strong incentives for non-workers to become employed. Most of the existing economics literature focuses on federal EITC expansions in the 1980s and 1990s. This paper takes a longer view, studying all federal expansions since the program's inception in 1975. We find robust evidence that EITC expansions increase the extensive margin of labor supply.

Notes:

Print version record

October 2020.