Effects of the expanded Child Tax Credit on employment outcomes

• 成果类型: Article
• 署名作者: Ananat, Elizabeth; Glasner, Benjamin; Hamilton, Christal; Parolin, Zachary; Pignatti, Clemente
• 署名单位: Columbia University; Columbia University; Bocconi University; University of Connecticut
• 刊物名称: JOURNAL OF PUBLIC ECONOMICS
• ISSN/ISSBN: 0047-2727
• DOI: 10.1016/j.jpubeco.2024.105168
• 发表日期: 2024
• 关键词: Child Tax Credit; EMPLOYMENT; Labor supply elasticity

摘要

The temporary 2021 expansion of the Child Tax Credit (CTC) was intended to reduce child poverty during the COVID-19 pandemic. The expansion's elimination of an existing phase-in with earnings, however, potentially disincentivized labor supply, raising concerns that it would reduce parent employment. We empirically test for employment effects using difference-in-differences analyses with Current Population Survey data. Across many specifications and multiple sub-groups, we find very small, inconsistently signed, statistically insignificant impacts of the 2021 CTC on parental labor force participation and employment.