Stepping Stone or Dead End? The Effect of the EITC on Earnings Growth

摘要: While many studies have found that the EITC increases employment rates of single mothers, no study to date has examined whether jobs taken by mothers as a result incentives are dead-end or potential for earnings growth. Using panel administrative data linked nationally representative survey data, we find evidence expansions between 1994 and 1996 induced take jobs. If anything, increase in growth during mid-to-late 1990s who were particularly affected expansion was higher than it other similar women. The encourages work among continues pay off through future earnings.