← Research PEER-REVIEWED · 2024

Effects of the expanded Child Tax Credit on employment outcomes

Elizabeth Ananat, Benjamin Glasner, Christal Hamilton, Zachary Parolin, Clemente Pignatti

Journal of Public Economics, vol. 238, pp. 105168

Abstract

The 2021 expansion of the Child Tax Credit provided monthly cash payments to most U.S. families with children from July through December of that year. Using difference-in-differences analyses of Current Population Survey and Census Household Pulse data from April through December 2021, this paper tests whether the expansion’s documented reductions in poverty and hardship came at the cost of reduced parental employment. Estimated effects on employment and labor force participation are small, inconsistently signed, and not statistically significant.

DOI

BibTeX

@article{ananat2024ctc_employment,
  title = {Effects of the expanded Child Tax Credit on employment outcomes},
  author = {Ananat, Elizabeth and Glasner, Benjamin and Hamilton, Christal and Parolin, Zachary and Pignatti, Clemente},
  journal = {Journal of Public Economics},
  year = {2024},
  volume = {238},
  pages = {105168},
  doi = {10.1016/j.jpubeco.2024.105168},
  publisher = {North-Holland}
}