scholarly journals The Effect of EITC Exposure in Childhood on Marriage and Early Childbearing

Demography ◽  
2021 ◽  
Author(s):  
Katherine Michelmore ◽  
Leonard M. Lopoo

Abstract Using data from the Panel Study of Income Dynamics, this study analyzes the effect of exposure to the Earned Income Tax Credit (EITC) in childhood on marriage and childbearing in early adulthood. Results suggest that EITC exposure in childhood leads women to delay marriage and first births in early adulthood (ages 16–25), but has no effect on men. A $1,000 increase in EITC exposure in childhood leads to a 2%–3% decline in a woman's likelihood of having a first birth and a comparable decline in her likelihood of marrying by her early 20s. We find similar reductions in fertility among Black and White women, though marriage declines are concentrated among White women. Results are focused on children growing up in the bottom half of the income distribution and those who spent the majority of childhood residing with a single parent—two groups that are the primary beneficiaries of the EITC. These findings have important implications for the well-being of individuals exposed to the EITC in childhood, as well as their future children.

2018 ◽  
Vol 17 (3) ◽  
pp. 590-614 ◽  
Author(s):  
Ying Huang ◽  
Scott J. South ◽  
Amy Spring ◽  
Kyle Crowder

Using data from the Panel Study of Income Dynamics and two U.S. decennial censuses, we describe trends in blacks’ and whites’ exposure to other–race neighbors between 2001 and 2011 and then identify the proximate sources of these trends. Our results show that whites experienced an increase in their exposure to black and other minority neighbors and a concurrent decrease in same–race neighbors. Blacks’ exposure to both black and white neighbors declined somewhat between 2001 and 2011, while their exposure to nonblack minority neighbors increased substantially. Decomposition analysis reveals that increases in whites’ exposure to black neighbors were driven primarily by in situ neighborhood change (i.e., by change surrounding nonmobile neighborhood residents), and only secondarily by shifting patterns of migration to neighborhoods containing more blacks and fewer whites. Changes in blacks’ exposure to white neighbors were shaped by two countervailing forces. While the neighborhoods inhabited by non–mobile blacks became relatively less black and more white, residentially mobile blacks were increasingly moving to neighborhoods that were more black and less white. Increases in blacks’ and whites’ neighborhood ethnoracial diversity were driven almost entirely by in situ changes around nonmobile blacks and whites.


Author(s):  
Kenneth A. Couch

Employment tenure, job turnover and returns to general and specific skills are examined for male workers in Germany and the United States using data from the German Socio-Economic Panel and the Panel Study of Income Dynamics.  Employment in Germany is characterized by longer duration and less frequent turnover than in the United States.  Returns to experience and tenure are lower in Germany than in the U.S.; however, peak earnings occur later.  This delayed peak in the employment-earnings profile provides an incentive for German workers to remain longer with their employers and change jobs less frequently.


Author(s):  
Carol Graham

This chapter offers some modest suggestions for policies that might begin to revive the fragile American Dream. It also highlights the role that well-being metrics and markers can play in identifying negative beliefs and behaviors before they result in the kinds of desperate outcomes that are described in the book, such as rising mortality rates. It argues that the American Dream is clearly tattered. However, there are signs of hope, and we must find more. Some are in the success stories of programs that seem to work, such as Moving to Opportunity and the earned income tax credit program. Some are in new experiments that show that very simple interventions that provide hope, such as the provision of a modest asset or simply affirmation and a more positive attitude, can make a difference to the subsequent performance of the poor or destitute.


2002 ◽  
Vol 92 (3) ◽  
pp. 411-433 ◽  
Author(s):  
Thomas J Kniesner ◽  
James P Ziliak

An income tax provides implicit insurance by dampening the variability of disposable income and consumption. Using an empirical framework derived from the consumption insurance literature and data from the Panel Study of Income Dynamics we examine the effect of federal income tax reforms of the 1980's on automatic stabilization of consumption. Overall, ERTA and TRA86 reduced consumption stability by about 50 percent. Recently increased EITC generosity restored or enhanced consumption insurance. The welfare cost of moving to the post-TRA86 system is sizable for relatively risk-averse households facing large income risk but is much more modest for the typical household.


2014 ◽  
Vol 104 (5) ◽  
pp. 136-140 ◽  
Author(s):  
Kerwin Kofi Charles ◽  
Sheldon Danziger ◽  
Geng Li ◽  
Robert Schoeni

Using data recently collected by the Panel Study of Income Dynamics, we find that the intergenerational correlation in expenditures is no larger than that in income, suggesting limited intra-family risk-sharing. On the other hand, even after controlling for the intergenerational correlation in income, the expenditures correlation remains significant. This suggests that other factors such as preferences, access to credit, and non-pecuniary inter vivos transfers potentially played a role in consumption smoothing across generations within a family. We also find that the correlation coefficients estimated using food and imputed total expenditures are smaller than that estimated using the measured total expenditures.


2011 ◽  
Vol 35 (6) ◽  
pp. 490-496 ◽  
Author(s):  
Michelle M. Englund ◽  
Sally I-Chun Kuo ◽  
Jennifer Puig ◽  
W. Andrew Collins

Social capital has traditionally been defined in terms of the amount of resources that one derives as a result of a diversity of interpersonal relationships. However, the quality of these relationships across development has not been examined as a contributor to social capital and few studies have examined the significance of various age-salient relationships in predicting adaptive functioning, especially testing for cumulative effects over time. Using data from the Minnesota Longitudinal Study of Risk and Adaptation, developmental models spanning from infancy to adulthood were tested via path modeling, linking quality of various age-salient relationships (e.g., infant–caregiver attachment, peer competence, friendship security, and effectiveness in romantic relationships) to global adaptive functioning at age 28. As hypothesized, quality of age-salient relationships during different developmental periods predicted the quality of subsequent relationships, but also showed links with adaptive functioning in early adulthood. Results also showed that the quality of infant attachment relationships not only was linked with more proximal relationships, but also had direct effects on global functioning, suggesting the potential significance of early relationship quality in adaption and well-being in adulthood.


2017 ◽  
Vol 4 (3) ◽  
pp. 353-370 ◽  
Author(s):  
Thomas B. Foster

This paper leverages four decades of longitudinal data from the Panel Study of Income Dynamics to document Black-White gaps in the translation of mobility expectations into actual mobility, track those racial gaps over time in the context of declining mobility among all Americans, and identify a substantial weakening in the ability of both Black and White householders to move when they expect to. Results show a substantial racial gap in the realization of mobility expectations with foundations in the relative inability of Black householders to leverage socioeconomic resources in segmented housing markets. There is no indication of significant improvement or growth in this gap over time. While householders’ expressed expectations are the best predictor of future mobility, this predictive relationship has weakened significantly since 1970, primarily because of a decline in mobility among expectant householders. Trends in the expectation of mobility offer support for the notion that declining mobility is indicative of voluntary “rootedness” among Whites but also suggest that a substantial share of Americans (and Blacks in particular) are increasingly likely to be “stuck” expecting to move but unable to do so.


Sign in / Sign up

Export Citation Format

Share Document