The Oregon Earned Income Credit’s Impact on Child Poverty

Building off the success of federal earned income tax credit (EITC), states have developed credits to supplement incomes working poor. In 2016, a distinctive change Oregon Earned Income Credit (OEIC) targeted additional resources families with young children. Using unique data set and static estimates, we found that OEIC yielded proportional decreases in child poverty 1.8 2.6%, respectively. By simulating alternative policies, also significant increases rates or takeup would be required more aggressively reduce poverty.