Heterogeneity of labor supply responses to the EITC throughout the business cycle

• In Event: Families and Labor Supply

Abstract

A large body of literature looks at the effects of the EITC on the labor supply of families and individuals. Yet none of\
this literature to my knowledge considers the extent to which local labor market tightness might affect these estimates\
. In this paper, I will explore heterogeneity in estimated labor supply responses as a function of the business cycle, a\
s measured by standard indicators such as the unemployment rate or employment to population ratio.

Author

• Marianne Bitler, University of California-Davis