AI Article Synopsis

  • The US Congress increased the Child Tax Credit during the COVID-19 pandemic to give more financial help to families, raising it from $2,000 to as much as $3,600 per child and expanding eligibility.
  • Research using Census data found that low-income adults with children experienced reduced depressive and anxiety symptoms, particularly among Black and Hispanic individuals compared to non-Hispanic Whites.
  • The study suggests that the expansion of the Child Tax Credit had positive effects on mental health for economically disadvantaged families, which may inform future policy decisions regarding the program's permanence.

Article Abstract

The US Congress temporarily expanded the Child Tax Credit (CTC) during the COVID-19 pandemic to provide economic assistance for families with children. Although formerly the CTC provided $2,000 per child for mostly middle-income parents, during July-December 2021 it provided up to $3,600 per child. Eligibility criteria were also expanded to reach more economically disadvantaged families. There has been little research evaluating the effect of the policy expansion on mental health. Using data from the Census Bureau's Household Pulse Survey and a quasi-experimental study design, we examined the effects of the expanded CTC on mental health and related outcomes among low-income adults with children, and by racial and ethnic subgroup. We found fewer depressive and anxiety symptoms among low-income adults. Adults of Black, Hispanic, and other racial and ethnic backgrounds demonstrated greater reductions in anxiety symptoms compared to non-Hispanic White adults with children. There were no changes in mental health care use. These findings are important for Congress and state legislators to weigh as they consider making the expanded CTC and other similar tax credits permanent to support economically disadvantaged families.

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Source
http://www.ncbi.nlm.nih.gov/pmc/articles/PMC10089297PMC
http://dx.doi.org/10.1377/hlthaff.2022.00733DOI Listing

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