🌐 Global Economy
Mar 17, 2026
The Child Tax Credit’s Potential to Reduce Child Poverty
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The Issue:
The rate of child poverty in the United States precipitously dropped in 2021 only to rise in more recent years. Federal tax credit policies — and especially the expansion of the federal Child Tax Credit (CTC) — were thought to have played a role in the reduction of child poverty at the time. What lessons did we learn from the 2021 expansion of the Child Tax Credit? Which provisions were the most effective in reducing child poverty, how much do they cost, and what are the tradeoffs?
Th
The rate of child poverty in the United States precipitously dropped in 2021 only to rise in more recent years. Federal tax credit policies — and especially the expansion of the federal Child Tax Credit (CTC) — were thought to have played a role in the reduction of child poverty at the time. What lessons did we learn from the 2021 expansion of the Child Tax Credit? Which provisions were the most effective in reducing child poverty, how much do they cost, and what are the tradeoffs?
Th
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