Describe How Poor Families Struggle to Make Ends Meet, and List Ways in Which Children Are Affected
Low income, debt and poor quality housing put children’s mental health at risk. But there is a widespread lack of recognition about the impact that living in poverty can have on children’s mental health and well-being.
Such a comparison can show, for example, what percentage of two-parent families with two children in Pittsburgh, Pa., are actually earning enough income to meet basic family budget thresholds.
Several of the leading researchers in the field have conducted a comprehensive review of the available research and data on how safety net programs affect poverty, and the National Bureau of Economic Research (NBER) has published their results. They found that, after accounting for what the research finds to be modest overall behavioral effects, the safety net lowers the poverty rate by about 14 percentage points. In other words, one of every seven Americans would be poor without the safety net but is above the poverty line because of it. That translates into more than 40 million people (Jeffrey Grogger, 2003).
The parents were not increasing their time in teaching; they were increasing their time in other household responsibilities to free up other family members' time to teach.
Nada Eissa and Hilary Hoynes, “Behavioral Responses to Taxes: Lessons from the EITC and Labor Supply,” NBER Working Paper No. 11729, November 2005, http://www.nber.org/papers/w11729.
Jeffrey Grogger, “The Effects of Time Limits, the EITC, and Other Policy Changes on Welfare Use, Work, and Income among Female-Head Families,” Review of Economics and Statistics, May 2003.
Stacy Dickert, Scott Houser, and John Karl Scholz, “The Earned Income Tax Credit and Transfer Programs: A Study of Labor Market and Program Participation,” Tax Policy and the Economy, Vol. 9, MIT Press, 1995.
Jeffrey Grogger, “The Effects of Time Limits, the EITC, and Other Policy Changes on Welfare Use, Work, and Income among Female-Head Families,” Review of Economics and Statistics, May 2003