The Pronatalist Undercurrent of the $500-per-Child Tax Credit

A review of studies which find a positive impact of tax structure on American fertility suggests this effect will increase with the tax benefits legislated by the 1997 $500-per-child tax credit. The tax credit also resembles pronatalist family allowances in other developed countries. First, however, the article investigates the intent of the tax credit, showing that key supporters hope it will increase fertility among tax-paying Americans. Lastly, the pronatalist undercurrent of the tax credit suggests that future efforts will push for further increasing the tax benefits of children in order to increase the American birth rate.