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The Expanded Child Tax Credit (ECTC) of 2021 provided the opportunity to study the impact of a large-scale unconditional cash transfer program aimed at improving family wellbeing. The American Rescue Plan increased the Child Tax Credit from $2,000 to up to $3,600 per child, and distributed payments monthly instead of only annually. This paper examines the ECTC program’s effect on the finances and ... read moremental health of low-income parents using data from the Household Pulse Survey and applying a difference-in-differences analysis. I found that the ECTC program did reduce the frequency of families’ utilization of food assistance programs and improve parents’ mental health. I also did not find a negative effect on employment, as some policymakers predicted. However, the limitations of my ECTC analysis, as well as the expanded possibilities of a combined intervention program, motivate the research of the quasi-experimental SORS/UpTogether Project in Southern Oregon.
Thesis (B.A.)--Tufts University, 2022.
Submitted to the Dept. of Economics.read less
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