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Title: The Impact of Family Income on Child Achievement: Evidence from the Earned Income Tax Credit
Resulting in 1 citation.
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Dahl, Gordon B. Lochner, Lance John |
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The Impact of Family Income on Child Achievement: Evidence from the Earned Income Tax Credit American Economic Review 102,5 (2012): 1927-1956. Also: http://dx.doi.org/10.1257/aer.102.5.1927 Cohort(s): Children of the NLSY79, NLSY79 Publisher: American Economic Association Keyword(s): Earned Income Tax Credit (EITC); Family Income; Modeling, Instrumental Variables; Peabody Individual Achievement Test (PIAT- Math); Peabody Individual Achievement Test (PIAT- Reading) Permission to reprint the abstract has not been received from the publisher. Using an instrumental variables strategy, we estimate the causal effect of income on children's math and reading achievement. Our identification derives from the large, nonlinear changes in the Earned Income Tax Credit. The largest of these changes increased family income by as much as 20 percent, or approximately $2,100, between 1993 and 1997. Our baseline estimates imply that a $1,000 increase in income raises combined math and reading test scores by 6 percent of a standard deviation in the short run. Test gains are larger for children from disadvantaged families and robust to a variety of alternative specifications. |
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Bibliography Citation
Dahl, Gordon B. and Lance John Lochner. "The Impact of Family Income on Child Achievement: Evidence from the Earned Income Tax Credit." American Economic Review 102,5 (2012): 1927-1956.
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