,,,The Next Stage for Social Policy: : Encouraging Work and Family Formation among Low-Income Men

The Next Stage for Social Policy: : Encouraging Work and Family Formation among Low-Income Men


 

Publication Date: October 2008

Publisher: Tax Policy Center

Author(s): Adam Carasso; Harry Holzer; Elaine Maag; C. Eugene Steuerle

Research Area: Banking and finance

Keywords: Adolescents and Youth Development; Tax Distribution and Economic Trends; Taxes and Social Programs; Racial/Ethnic Disparities

Type: Paper

Abstract:

The Earned Income Tax Credit enjoyed marked success bringing low-income women into the labor force in recent years. At the same time, labor force participation by low-income or less-education men stagnated, and declined among young black men. In response to these labor market conditions, this paper analyzes several EITC reform options directed at increasing the EITC for low-income workers, in the hopes of drawing these men into the labor force. We estimate the cost of various proposals and put forth an additional proposal that breaks the EITC into two components ? one focused on individual workers and one focused on supporting children.