@techreport{a2316b05a139495aa57e0bdd9e0b6aee,
title = "The Long-Run Effects of the Earned Income Tax Credit on Women's Labor Market Outcomes",
abstract = "Using longitudinal data on marriage and children from the Panel Study of Income Dynamics from 1967 to 2016, we characterize women{\textquoteright}s exposure to the federal and state Earned Income Tax Credit (EITC) during their first two decades of adulthood. We use measures of this exposure to estimate the long-run effects of the EITC on women{\textquoteright}s labor market outcomes as mature adults, specifically at age 40. Our results suggest that exposure to a more generous EITC when women were unmarried and had older (school-age) children leads to higher earnings in the longer-run, and we find corresponding evidence suggesting that longer-run exposure of unmarried mothers to a more generous EITC increases cumulativelabor market experience. Additionally, we find evidence to suggest that exposure to a more generous EITC when women had children while married leads to lower earnings and hours in the longer-run. For both groups, adjustments in hours worked along the intensive margin appear to drive these results. These longer-run effects are consistent with what we would expect from the short-run effects of the EITC on employment and hours predicted by theory and documented in other work.",
keywords = "children, labor studies, public economics",
author = "David Neumark and Peter Shirley",
year = "2017",
month = dec,
day = "15",
language = "English",
series = "NBER Working Paper",
publisher = "National Bureau of Economic Research (NBER)",
number = "24114",
address = "United States",
type = "WorkingPaper",
institution = "National Bureau of Economic Research (NBER)",
}