Michelmore paper on EITC, household finances published in JPAM

Katherine Michelmore"The Impact of the Earned Income Tax Credit on Household Finances," co-authored by Katherine Michelmore, assistant professor of public administration and international affairs, was published in the Journal of Policy Analysis and Management (JPAM). Michelmore and co-author Lauren E. Jones found that a $1,000 policy-induced increase in the average household EITC leads to a 3 percentage point increase in the likelihood of holding money in a savings or checking account, and approximately $700 more held in savings balances. These results are coupled with large increases in pre-tax family earnings. 06/14/18