Publication Date

10-21-2021

Publisher

Social Policy Institute

Summary

Approximately 60 million American children living in 35 million households are now receiving monthly payments from the federal government as part of the temporary Child Tax Credit (CTC) expansion. Recently, a debate has emerged over whether or not the expanded CTC will cause parents to leave the workforce. On one side of the debate, a large number of economists have argued that the CTC will not cause a reduction in employment. However, a recent study used a simulation approach to estimate that 2.6% of parents will exit the labor force as a result of the CTC.

The reports below address the question of whether the CTC is affecting parents’ employment by using data from the Census Household Pulse to compare employment trends among parents and non-parents before and after the CTC payments began.

Document Type

Report or White Paper

Original Citation

Roll, Stephen; Hamilton, Leah; and Chun; Yung. “Expanded Child Tax Credit Payments Have Not Reduced Employment,” (Oct. 2021). Social Policy Institute.

DOI:

https://www.doi.org/10.7936/tehe-cw35

Keywords

Child Tax Credit, Financial Security

ORCID

https://orcid.org/0000-0003-4015-7742 https://orcid.org/0000-0003-4042-7984

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