How do EITC recipients spend their refunds?

The authors determine what items are purchased using the earned income tax credit (EITC)—one of the largest sources of public support for lower-income working families in the U.S. They find that recipient households’ EITC payments are used primarily for vehicle purchases and transportation spending, both of which are crucial to job access and consistent with the EITC’s prowork goals.

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Year of publication:	2008
Authors:	Goodman-Bacon, Andrew ; McGranahan, Leslie
Published in:	Economic Perspectives. - Federal Reserve Bank of Chicago. - 2008, Q II, v. 32, no. 2, p. 17-32
Publisher:	Federal Reserve Bank of Chicago
Subject:	Earned income tax credit \| Durable goods \| Consumer

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Extent:	application/pdf
Type of publication:	Article
Language:	English
Source:	RePEc - Research Papers in Economics

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