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The Effects of the Earned Income Tax Credit on Children's Health, Quality of Home Environment, and Non-Cognitive Skills

Author

Listed:
  • Averett, Susan L.

    (Lafayette College)

  • Wang, Yang

    (University of Wisconsin-Madison)

Abstract
In 1993, the benefit levels of the Earned Income Tax Credit (EITC) were changed significantly based on the number of children in the household. Employing a difference-in-differences plus mother fixed-effects framework, we find better mother-rated health for children of unmarried black mothers and married white and Hispanic mothers, lower accident rates for children of married white and Hispanic mothers, and improved home environment quality for children of unmarried white and Hispanic mothers. Our results provide new evidence of the effects of the 1993 EITC expansion and therefore have important policy implications.

Suggested Citation

  • Averett, Susan L. & Wang, Yang, 2015. "The Effects of the Earned Income Tax Credit on Children's Health, Quality of Home Environment, and Non-Cognitive Skills," IZA Discussion Papers 9173, Institute of Labor Economics (IZA).
  • Handle: RePEc:iza:izadps:dp9173
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    File URL: https://docs.iza.org/dp9173.pdf
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    References listed on IDEAS

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    Cited by:

    1. Bruno Van der Linden, 2021. "Do in-work benefits work for low-skilled workers?," IZA World of Labor, Institute of Labor Economics (IZA), pages 246-246, June.
    2. Bastian, Jacob E. & Jones, Maggie R., 2021. "Do EITC expansions pay for themselves? Effects on tax revenue and government transfers," Journal of Public Economics, Elsevier, vol. 196(C).

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    More about this item

    Keywords

    non-cognitive skills; home environment; child health; EITC;
    All these keywords.

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth

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