By Isabel V. Sawhill
This quantity argues forcefully that the lifestyles clients of youngsters might be more desirable considerably via reallocating one in line with cent of the gross family product to kid's programmes. each one bankruptcy features a particular concept for switch, in addition to information regarding the explanation and price of the initiative. the themes lined contain fighting youngster child-bearing, early care and schooling, parental go away, source of revenue aid, healthiness care, preschool and afterschool programmes, strengthening households, making paintings pay and relocating households to raised neighbourhoods.
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Additional info for One Percent for the Kids: New Policies, Brighter Futures for America's Children
Tables 2-2, 2-3, and 2-4 These tables assume that families have two children, one twelve months of age or younger and the second between one and five years of age. In the case of married parents we assume that they file joint taxes. In the case of dual earner couples, we assume equal earnings for each spouse. The TANF and food stamp benefit calculations are based on information from the 2000 Green Book. TANF benefits are based on the median state maximum monthly benefit for eligible mothers with two children, $400.
Fortunately, the cupboard of ideas for accomplishing the task is not bare. In this chapter I summarize those ideas, explore a catalogue of other policy approaches to supplementing earnings, and suggest a realistic and practical policy strategy that incorporates some of these ideas. 9 All of the evaluations in this research package are random- 7. The poverty line, payroll taxes, and federal EITC are calculated for a single mother with two children. 8. As the example indicates, federal (and some state) EITC programs do increase the take-home pay associated with work and earnings.
The estimated copayment for child care is approximately 11 percent of the earned income and child allowance. Illinois illustrates the “not generous child care subsidy” state. In Illinois families with two children with a gross income exceeding $24,000 are no longer eligible for subsidies. 20 (Blundell and MaCurdy 1999). In the case of two employed parents, the income elasticity is applied to each parent. In applying this estimate, we first 1269-02 CH02 04/18/03 17:23 Page 37 37 assume no labor supply response and calculate the net percentage change in family income from all of the other components of our policy package.