Skip to main content

Advertisement

Log in

Family Economic Security Policies and Child and Family Health

  • Published:
Clinical Child and Family Psychology Review Aims and scope Submit manuscript

Abstract

In this review, we examine the effects of family economic security policies (i.e., minimum wage, earned income tax credit, unemployment insurance, Temporary Assistance to Needy Families) on child and family health outcomes, summarize policy generosity across states in the USA, and discuss directions and possibilities for future research. This manuscript is an update to a review article that was published in 2014. Millions of Americans are affected by family economic security policies each year, many of whom are the most vulnerable in society. There is increasing evidence that these policies impact health outcomes and behaviors of adults and children. Further, research indicates that, overall, policies which are more restrictive are associated with poorer health behaviors and outcomes; however, the strength of the evidence differs across each of the four policies. There is significant diversity in state-level policies, and it is plausible that these policy variations are contributing to health disparities across and within states. Despite increasing evidence of the relationship between economic policies and health, there continues to be limited attention to this issue. State policy variations offer a valuable opportunity for scientists to conduct natural experiments and contribute to evidence linking social policy effects to family and child well-being. The mounting evidence will help to guide future research and policy making for evolving toward a more nurturing society for family and child health and well-being.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Fig. 1
Fig. 2
Fig. 3
Fig. 4
Fig. 5

Similar content being viewed by others

References

  • Administration for Children and Families. (2016). TANF: Average monthly number of recipients, fiscal and calendar year 2015. Retrieved from https://www.acf.hhs.gov/sites/default/files/ofa/2015_recipient_tan.pdf.

  • Ashenfelter, O. (1978). Estimating the effect of training programs on earnings. The Review of Economics and Statistics, 60(1), 47–57. doi:10.2307/1924332.

    Article  Google Scholar 

  • Ashenfelter, O. C., & Card, D. (1984). Using the longitudinal structure of earnings to estimate the effect of training programs. Cambridge, MA: National Bureau of Economic Research.

    Book  Google Scholar 

  • Baltagi, B. H., & Yen, Y. F. (2014). Welfare reform and children’s health. Health Economics, 25(3), 277–291.

    Article  PubMed  Google Scholar 

  • Basu, S., Rehkopf, D. H., Siddiqi, A., Glymour, M. M., & Kawachi, I. (2016). Health behaviors, mental health, and health care utilization among single mothers after welfare reforms in the 1990s. American Journal of Epidemiology. doi:10.1093/aje/kwv249.

    Google Scholar 

  • Baughman, R. A., & Duchovny, N. (2016). State earned income tax credits and the production of child health: Insurance coverage, utilization, and health status. National Tax Journal, 69(1), 103–131.

    Article  Google Scholar 

  • Biglan, A. (2016). The ultimate goal of prevention and the larger context for translation. Prevention Science, 1–9. doi:10.1007/s11121-016-0635-6

  • Bloom, D., Loprest, P. J., & Zedlewski, S. R. (2011). TANF recipients with barriers to employment. Washington, DC: The Urban Institute. Temporary Assistance for Needy Families ProgramResearch Synthesis Brief. Retrieved from http://www.urban.org/research/publication/tanf-recipients-barriers-employment.

  • Boyd-Swan, C., Herbst, C. M., Ifcher, J., & Zarghamee, H. (2016). The earned income tax credit, mental health, and happiness. Journal of Economic Behavior and Organization, Part A, 126, 18–38. doi:10.1016/j.jebo.2015.11.004.

    Article  Google Scholar 

  • Bruckner, T. A., Rehkopf, D. H., & Catalano, R. A. (2013). Income gains and very low-weight birth among low-income black mothers in California. Biodemography and Social Biology, 59(2), 141–156.

    Article  PubMed  Google Scholar 

  • CBPP. (2015). Policy basics: Unemployment insurance. Retrieved from http://www.cbpp.org.

  • CBPP. (2016a). Policy basics: How many weeks of unemployment compensation are vailable? Retrieved from http://www.cbpp.org.

  • CBPP. (2016b). Policy basics: The earned income tax credit. Retrieved from http://www.cbpp.org/research/federal-tax/policy-basics-the-earned-income-tax-credit.

  • CBPP. (2016c). United States fact sheet: Tax credits promote work and fight poverty. Retrieved from http://apps.cbpp.org/3-5-14tax/?state=US.

  • Chetty, R., Stepner, M., Abraham, S., Lin, S., Scuderi, B., Turner, N., et al. (2016). The association between income and life expectancy in the United States, 2001–2014. JAMA, 315(16), 1750–1766.

    Article  PubMed  PubMed Central  Google Scholar 

  • Chyi, H., & Ozturk, O. D. (2013). The effects of single mothers’ welfare use and employment decisions on children’s cognitive development. Economic Inquiry, 51(1), 675–706.

    Article  Google Scholar 

  • Cylus, J., Glymour, M. M., & Avendano, M. (2015). Health effects of unemployment benefit program generosity. American Journal of Public Health, 105(2), 317–323.

    Article  PubMed  PubMed Central  Google Scholar 

  • DOL. (2016). Wage and hour division, minimum wage laws in the states—January 1, 2016. Retrieved from http://dol.org.

  • Floyd, I., Pavetti, L., & Schott, L. (2015). TANF continues to weaken as a safety net. Retrieved from http://www.cbpp.org.

  • Gassman-Pines, A., & Hill, Z. (2013). How social safety net programs affect family economic well-being, family functioning, and children’s development. Child Development Perspectives, 7(3), 172–181.

    Article  Google Scholar 

  • Grants to States for Aid and Services to Needy Families with Children and for Child-Welfare Services Part A—Block Grants to States for Temporary Assistance for Needy Families, 42 U.S.C. 601 C.F.R. (1996).

  • Grogger, J. (2004). Welfare transitions in the 1990s: The economy, welfare policy, and the EITC. Journal of Policy Analysis and Management, 23(4), 671–695.

    Article  Google Scholar 

  • Grossman, J. (1978). Fair labor standards act of 1938: Maximum struggle for a minimum wage. Retrieved from https://www.dol.gov/oasam/programs/history/flsa1938.htm.

  • Hamad, R., & Rehkopf, D. H. (2015). Poverty, pregnancy, and birth outcomes: A study of the Earned Income Tax Credit. Paediatric and Perinatal Epidemiology, 29(5), 444–452.

    Article  PubMed  PubMed Central  Google Scholar 

  • Hamad, R., & Rehkopf, D. H. (2016). Poverty and child development: A longitudinal study of the impact of the earned income tax credit. American Journal of Epidemiology, kwv317.

  • Hergenrather, K. C., Zeglin, R. J., McGuire-Kuletz, M., & Rhodes, S. D. (2015). Employment as a social determinant of health: A systematic review of longitudinal studies exploring the relationship between employment status and physical health. Rehabilitation Research, Policy, and Education, 29(1), 2–26.

    Article  Google Scholar 

  • Hoke, O., & Cotti, C. (2015). Minimum wages and youth binge drinking. Empirical Economics. doi:10.1007/s00181-015-0998-8.

    Google Scholar 

  • Hoynes, H., Miller, D., & Simon, D. (2015). Income, the earned income tax credit, and infant health. American Economic Journal Economic Policy, 7(1), 172–211.

    Article  Google Scholar 

  • Huber, E., Cohen, E., Briggs, A., & Kassabian, D. (2015). Welfare rules databook: State TANF Policies as of July 2014, OPRE Report 2015-81. Retrieved from Washington, DC.

  • Imbens, G. W., & Wooldridge, J. M. (2009). Recent developments in the econometrics of program evaluation. Journal of Economic Literature, 47(1), 5–86.

    Article  Google Scholar 

  • Jones, M. R. (2013). Changes in EITC eligibility and participation, 20052009. Retrieved from https://www.irs.gov/pub/irs-soi/13resconchangeeitc.pdf.

  • Komro, K. A., Burris, S., & Wagenaar, A. C. (2014). Social determinants of child health: Concepts and measures for future research. Health Behavior and Policy Review, 1(6), 432–445.

    Article  Google Scholar 

  • Komro, K. A., Livingston, M. D., Markowitz, S., & Wagenaar, A. C. (2016). The effect of an increased minimum wage on infant mortality and birth weight. American Journal of Public Health, 106(8), 1514–1516. doi:10.2105/AJPH.2016.303268.

    Article  PubMed  PubMed Central  Google Scholar 

  • Lantz, P. M., House, J. S., Mero, R. P., & Williams, D. R. (2005). Stress, life events, and socioeconomic disparities in health: Results from the Americans’ Changing Lives Study. Journal of Health and Social Behavior, 46(3), 274–288. doi:10.1177/002214650504600305.

    Article  PubMed  Google Scholar 

  • Lechner, M. (2011). The estimation of causal effects by difference-in-difference methods. Now.

  • Lenhart, O. (2016). The impact of minimum wages on population health: evidence from 24 OECD countries. The European Journal of Health Economics, 1–9. doi:10.1007/s10198-016-0847-5.

  • Massachusetts Budget and Policy Center. (2015). Massachusetts’s Earned Income Tax Credit. Retrieved from http://www.massbudget.org/.

  • Mozaffarian, D., Benjamin, E. J., Go, A. S., Arnett, D. K., Blaha, M. J., Cushman, M., et al. (2015). Heart disease and stroke statistics—2016 update: A report from the American Heart Association. Circulation. doi:10.1161/cir.0000000000000350.

    Google Scholar 

  • Muennig, P., Caleyachetty, R., Rosen, Z., & Korotzer, A. (2015). More money, fewer lives: The cost effectiveness of welfare reform in the United States. American Journal of Public Health, 105(2), 324–328.

    Article  PubMed  PubMed Central  Google Scholar 

  • Neumark, D., & Wascher, W. (2011). Does a higher minimum wage enhance the effectiveness of the Earned Income Tax Credit? Industrial and Labor Relations Review, 64(4), 712–746.

    Article  Google Scholar 

  • O’Campo, P., Molnar, A., Ng, E., Renahy, E., Mitchell, C., Shankardass, K., et al. (2015). Social welfare matters: A realist review of when, how, and why unemployment insurance impacts poverty and health. Social Science and Medicine, 132, 88–94. doi:10.1016/j.socscimed.2015.03.025.

    Article  PubMed  Google Scholar 

  • Osypuk, T. L., Joshi, P., Geronimo, K., & Acevedo-Garcia, D. (2014). Do social and economic policies influence health? A review. Current epidemiology reports, 1(3), 149–164.

    Article  PubMed  PubMed Central  Google Scholar 

  • Pega, F., Carter, K., Blakely, T., & Lucas, P. J. (2013). In-work tax credits for families and their impact on health status in adults. Cochrane Database of Systematic Reviews, 8, CD009963. doi:10.1002/14651858.CD009963.

  • Rehkopf, D. H., Strully, K. W., & Dow, W. H. (2014). The short-term impacts of Earned Income Tax Credit disbursement on health. International Journal of Epidemiology, dyu172.

  • Shonkoff, J. P., Boyce, W. T., & McEwen, B. S. (2009). Neuroscience, molecular biology, and the childhood roots of health disparities: Building a new framework for health promotion and disease prevention. JAMA, 301(21), 2252–2259.

    Article  PubMed  Google Scholar 

  • Spires, S. (2012). Louisiana’s earned income tax credit: A smart investment in working families and children. Louisiana Budget Project Report. Retrieved from labudget.org.

  • Tefft, N. (2011). Insights on unemployment, unemployment insurance, and mental health. Journal of Health Economics, 30(2), 258–264.

    Article  PubMed  Google Scholar 

  • The Economic Policy Institute. (2016). Minimum wage tracker. Retrieved from https://www.epi.org/minimum-wage-tracker/.

  • Tsao, T.-Y., Konty, K. J., Van Wye, G., Barbot, O., Hadler, J. L., Linos, N., et al. (2016). Estimating potential reductions in premature mortality in New York City from raising the minimum wage to $15. American Journal of Public Health, 106(6), 1036–1041.

    Article  PubMed  PubMed Central  Google Scholar 

  • United States Department of Labor. (2016). Unemployment insurance weekly claims data. Retrieved from http://oui.doleta.gov/unemploy/claims.asp.

  • United States Code (2010). Patient Protection and Affordable Care Act. 42 U.S.C. § 18001.

  • U.S. Bureau of Labor Statistics. (2015). Characteristics of Minimum Wage Workers, 2014. Report 1054. Retrieved from www.bls.gov.

  • U.S. Social Security Administration. (2015). Unemployment Insurance. Annual Statistical Supplement. Retrieved from https://www.ssa.gov.

  • Wang, J. S.-H. (2015). TANF coverage, state TANF requirement stringencies, and child well-being. Children and Youth Services Review, 53, 121–129.

    Article  Google Scholar 

  • Wehby, G., Dave, D. M., & Kaestner, R. (2016). Effects of the minimum wage on infant health. Retrieved from Massachusetts, USA: http://www.nber.org/papers/w22373.

  • Wilkinson, R. G., & Marmot, M. G. (2003). Social determinants of health: The solid facts. Geneva: World Health Organization.

    Google Scholar 

  • Williams, E. (2016a). State earned income tax credits and minimum wages work best together. Retrieved from http://www.cbpp.org/research/state-budget-and-tax/state-earned-income-tax-credits-and-minimum-wages-work-best-together.

  • Williams, E. (2016b). States can adopt or expand earned income tax credits to build a stronger future economy. Retrieved from http://www.cbpp.org.

Download references

Acknowledgements

The National Institute On Minority Health and Health Disparities of the National Institutes of Health under Award Number R01MD010241 supported research reported in this publication. The content is solely the responsibility of the authors and does not necessarily represent views of the National Institutes of Health.

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Kelli A. Komro.

Ethics declarations

Conflict of interest

The authors declare that they have no conflict of interest.

Ethical Statement for Research Involving Human Participants

This article does not contain any studies with human participants performed by any of the authors.

Rights and permissions

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Spencer, R.A., Komro, K.A. Family Economic Security Policies and Child and Family Health. Clin Child Fam Psychol Rev 20, 45–63 (2017). https://doi.org/10.1007/s10567-017-0225-6

Download citation

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s10567-017-0225-6

Keywords

Navigation