Work

The Effects of the 2021 Child Tax Credit on Child Developmental Outcomes

Year: 2024

Type: report

Abstract: Child poverty fell to historic lows in 2021, in large part due to the temporary expansion of the Child Tax Credit (CTC).We consider the possible implications of this expansion on children's short-and long-term development.To do so, we review the available short-run evidence from the 2021 expansion and the existing research evidence on the longer run effects of similar income transfers in childhood on child health and human capital.We conclude that the CTC likely improved child health and well-being in the short and long run, with greater impacts for poor children and modest or nonexistent effects for non-poor children.Moreover, the effects might be more substantial for younger children and for those in places with weaker safety nets.

Source: National Bureau of Economic Research

DOI: 10.3386/w32609

Authors: Anna Aizer, Adriana Lleras-Muney, Katherine Michelmore

Institutions: Brown University, University of California, Los Angeles, National Bureau of Economic Research, University of Michigan

Language: English

Topic: Poverty, Education, and Child Welfare

Subfield: Safety Research

Field: Social Sciences

Domain: Social Sciences

SDGs: Good health and well-being, No poverty, Reduced inequalities

Open Access status: green

OpenAlex ID: W4399986549

Cites:

Cited by: 3

Related to: 10