Tax credits, labor supply, and child care

DSpace/Manakin Repository

Tax credits, labor supply, and child care

Show full item record


Title: Tax credits, labor supply, and child care
Author: Averett, Susan; Peters, H. E.; Waldman, D. M.
Abstract: We explore the impact of the child care tax credit in the U.S. income tax system on the labor supply decisions of married women with young children by incorporating the cost of child care into a structural labor supply model. Using data from the 1986 NLSY, we find that government subsidies to child care increase labor supply substantially. Our policy simulations show that an increase in the value of the child care tax credit (i.e., percent of expenditures subsidized) would have a much larger effect on labor supply than an increase in the annual expenditure limits of the subsidy or making the subsidy refundable.
URI: http://hdl.handle.net/10385/987
Date: 1997-02

Files in this item

Files Size Format View
Averett-Reviewo ... tistics-vol79-no1-1997.pdf 154.7Kb PDF View/Open

This item appears in the following Collection(s)

Show full item record

Search LDR


Advanced Search

Browse

My Account