The Effect of EITC Exposure in Childhood on Marriage and Early Childbearing
Objectives
The study examined whether exposure to the Earned Income Tax Credit (EITC) during childhood affects the timing of first marriage and first birth in early adulthood. It focused on young adults aged 16–25 who grew up in low- and middle-income families in the United States, especially those in the bottom half of the income distribution and those raised by single parents. The authors also explored whether gains in human capital, particularly educational attainment, help explain any observed delays in marriage and childbearing.
Findings
Greater EITC exposure in childhood led women to delay marriage and first births in their late teens and early twenties, with a $1,000 increase in cumulative exposure associated with about a 2–3% reduction in the likelihood of having a first birth or marrying by the early twenties. The effects were concentrated among women from low-income households and those who spent much of childhood with a single parent, with little evidence of effects for men. Delays in fertility were observed for both Black and White women, while delays in marriage were mainly seen among White women. The pattern suggests postponement rather than permanent avoidance of marriage and childbearing, and appears partly mediated by higher probabilities of completing college and accumulating more years of schooling among women exposed to more generous EITC benefits.
Recommendations
Policymakers should view the EITC not only as an income support tool but also as a policy that can improve life-course outcomes by reducing early childbearing and postponing marriage among disadvantaged women. Expanding the generosity and coverage of the EITC for low-income families with children is likely to strengthen human capital gains and further narrow socioeconomic gaps in family formation. Complementary investments in education and access to reproductive health services may enhance these effects and support more stable and better-timed transitions to adulthood for children growing up in low-income households.
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