THE INTERACTION OF METROPOLITAN COST-OF-LIVING AND THE FEDERAL EARNED INCOME TAX CREDIT: ONE SIZE FITS ALL?

被引：7

作者：

Fitzpatrick, Katie ^{[1
]}

Thompson, Jeffrey P. ^{[2
]}

机构：

[1] USDA, Econ Res Serv, Washington, DC 20250 USA

[2] Univ Massachusetts, PERI, Amherst, MA 01003 USA

来源：

NATIONAL TAX JOURNAL | 2010年 / 63卷 / 03期

关键词：

EITC; labor supply; housing costs; cost-of-living differentials; UNITED-STATES; WELFARE; PRODUCTIVITY; AMENITIES; QUALITY; WAGES; LIFE; CITIES; RENTS; WORK;

D O I：

10.17310/ntj.2010.3.02

中图分类号：

F8 [财政、金融];

学科分类号：

0202 ;

摘要：

This paper explores the interaction between the federal Earned Income Tax Credit (EITC) and the cost-of-living faced by single mothers. After the 1993 EITC expansion, we identify up to an 8 percentage point increase in labor force participation for single mothers in the lowest cost areas but no discernible response in the highest cost areas. We conclude that the EITC's welfare-enhancing properties are undermined by the interaction of the program's fixed national rules and geographic variation in wages and the cost-of-living. In addition, our findings suggest that the EITC does little to reduce joblessness in many of the nation's largest cities.

引用

页码：419 / 445

页数：27