Reducing poverty among children: Evidence from state policy simulations. (August 2020)

• Record Type: Journal Article
• Authors: Pac, Jessica; Garfinkel, Irwin; Kaushal, Neeraj; Nam, Jaehyun; Nolan, Laura; Waldfogel, Jane; Wimer, Christopher
• Is Part Of: Children and youth services review. Volume 115(2020)
• Publication Date: 2020-08
• Subjects: Child poverty -- SNAP -- TANF -- EITC -- CTC; Social work with children -- Periodicals; Social work with youth -- Periodicals; Adolescent -- Periodicals; Child Welfare -- Periodicals; Social Work -- Periodicals; Service social aux enfants -- Périodiques; Service social à la jeunesse -- Périodiques; Electronic journals; 362.705
• DOI: 10.1016/j.childyouth.2020.105030
• Languages: English
• ISSNs: 0190-7409

Abstract

Highlights: State social policy benefits vary across states. EITC is the single most effective policy in reducing child poverty. Child poverty would fall by 2.5 pp if all states were the most generous. A 2.5 percentage point decline in child poverty is equivalent to nearly 5.5 M children. Abstract: State approaches to reducing child poverty vary considerably. We exploit this state-level variation to estimate what could be achieved in terms of child poverty if all states adopted the most generous or inclusive states' policies. Specifically, we simulate the child poverty reductions that would occur if every state were as generous or inclusive as the most generous or inclusive state in four key policies: Supplemental Nutrition Assistance Program (SNAP), state Earned Income Tax Credits (EITC), Temporary Assistance for Needy Families (TANF), and state Child Tax Credits (CTC). We find that adopting the most generous or inclusive state EITC policy would have the largest impact on child poverty, reducing it by 1.2 percentage points, followed by SNAP, TANF, and lastly state CTC. If all states were as generous or inclusive as the most generous or inclusive state in all four policies, the child poverty rate would decrease by 2.5 percentage points, and five and a half million children would be lifted out of poverty.