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BACKGROUND: The largest poverty alleviation program in the US is the earned income tax credit (EITC), providing $60 billion to over 25 million families annually. While research has shown positive impacts of EITC receipt in pregnancy, there is little evidence on whether the timing of receipt may lead to differences in pregnancy outcomes. We used a quasi-experimental difference-in-differences design, taking advantage of EITC tax disbursement each spring to examine whether trimester of receipt was associated with perinatal outcomes. METHODS: We conducted a difference-in-differences analysis of California linked birth certificate and hospital discharge records. The sample was drawn from the linked CA birth certificate and discharge records from 2007-2012 (N = 2,740,707). To predict eligibility, we created a probabilistic algorithm in the Panel Study of Income Dynamics and applied it to the CA data. Primary outcome measures included preterm birth, small-for-gestational age (SGA), gestational diabetes, and gestational hypertension/preeclampsia. RESULTS: Eligibility for EITC receipt during the third trimester was associated with a lower risk of preterm birth compared with preconception. Eligibility for receipt in the preconception period resulted in improved gestational hypertension and SGA. CONCLUSION: This analysis offers a novel method to impute EITC eligibility using a probabilistic algorithm in a data set with richer sociodemographic information relative to the clinical and administrative data sets from which outcomes are drawn. These results could be used to determine the optimal intervention time point for future income supplementation policies. Future work should examine frequent income supplementation such as the minimum wage or basic income programs.

The crop-livestock integration model is the main path for the sustainable development of agriculture and animal husbandry in China, and farmers' participation behavior is critical to the formation of this model. So this paper based on a field survey data of 615 farmers in 10 pilot counties of Crop-Livestock Integration (CLI) in the dairy industry in the east, middle, and west of Inner Mongolia, the relationship among transaction costs, farmers' decision-making of participating in the CLI model, and income effects was analyzed using the Endogenous Switching Regression (ESR) model in this paper. The results show that under the current market environment, the proportion of farmers participating in the CLI model is 37.56% of the farmer surveyed. The high costs of information searching, negotiation, and execution are the critical factors to inhibit farmers from participating in the CLI model. The results of the counterfactual test of the ESR model show that the effect of the CLI model on the income of participated farmers is not noticeable, while the effect is more significant on the income of non-participating farmers. Moreover, there is no obvious heterogeneity in the effects of the farmer level and "farmers-to-farm" level CLI models on farmers' income. Based on these conclusions, this paper proposes that the government should actively promote the establishment of the information-sharing platform and training mechanism about the CLI model, reduce farmers' costs in information searching and negotiation, optimize the incentive policy of the CLI model, incorporate the farmers planting forage into the subsidy scope of the CLI model, improve the economic benefits of farmers participating in the CLI model, and stimulate the enthusiasm of farmers participating in the CLI model, so as to effectively promote the realization of the CLI model in the animal husbandry industry. [ABSTRACT FROM AUTHOR]

Abstract Background The largest poverty alleviation program in the US is the earned income tax credit (EITC), providing $60 billion to over 25 million families annually. While research has shown positive impacts of EITC receipt in pregnancy, there is little evidence on whether the timing of receipt may lead to differences in pregnancy outcomes. We used a quasi-experimental difference-in-differences design, taking advantage of EITC tax disbursement each spring to examine whether trimester of receipt was associated with perinatal outcomes. Methods We conducted a difference-in-differences analysis of California linked birth certificate and hospital discharge records. The sample was drawn from the linked CA birth certificate and discharge records from 2007–2012 (N = 2,740,707). To predict eligibility, we created a probabilistic algorithm in the Panel Study of Income Dynamics and applied it to the CA data. Primary outcome measures included preterm birth, small-for-gestational age (SGA), gestational diabetes, and gestational hypertension/preeclampsia. Results Eligibility for EITC receipt during the third trimester was associated with a lower risk of preterm birth compared with preconception. Eligibility for receipt in the preconception period resulted in improved gestational hypertension and SGA. Conclusion This analysis offers a novel method to impute EITC eligibility using a probabilistic algorithm in a data set with richer sociodemographic information relative to the clinical and administrative data sets from which outcomes are drawn. These results could be used to determine the optimal intervention time point for future income supplementation policies. Future work should examine frequent income supplementation such as the minimum wage or basic income programs.

This paper analyses the impact of the poverty alleviation relocation (PAR) program on rural household income and evaluates the heterogeneous income effects of various relocation modes, based on a panel dataset of relocated households from 16 counties in eight Chinese provinces. The results show that participation in the PAR increases the income of both rural and urban resettlers. More specifically, it has a significant positive effect on agricultural and wage income for rural and urban resettlers, respectively. Further analyses show that the income increase for rural resettlers was mainly due to agricultural technology training and that the income increase for town resettlers was attributed to medical security. For the village resettlers, policies should focus on strengthening the development of local industries and training of agricultural technologies. For the urban resettlers, non-agricultural employment and public services in the urban resettlement areas should be promoted.

Indirect rebound effects on the consumer level occur when potential greenhouse gas emission savings from the usage of more efficient technologies or more sufficient consumption in one consumption area are partially or fully offset through the consumers’ adverse behavioral responses in other areas. As both economic (e.g., price effects) and psychological (e.g., moral licensing) mechanisms can stimulate these indirect rebound effects, they have been studied in different fields, including economics, industrial ecology, psychology, and consumer research. Consequently, the literature is highly fragmented and disordered. To integrate the body of knowledge for an interdisciplinary audience, we review and summarize the previous literature, covering the microeconomic quantification of indirect rebounds based on observed expenditure behavior and the psychological processes underlying indirect rebounds. The literature review reveals that economic quantifications and psychological processes of indirect rebound effects have not yet been jointly analyzed. We derive directions for future studies, calling for a holistic research agenda that integrates economic and psychological mechanisms.

Soil and water conservation (SWC) technologies contribute to sustainable agriculture and rural poverty reduction. Yet, the relationship between farm household income and SWC investment is not well-understood in Rwanda. This study aims to assess the effects of investing in SWC on household income and improve the knowledge of how various classes of smallholders can benefit from such an investment at a farm level. The study used survey data from 422 farming households in northern Rwanda's Burera, Gakenke and Musanze districts. Descriptive analysis was employed to determine levels of use of SWC and SF measures. Quantile estimation classified three classes of farming households: the poor, middle-income earners and the rich. Instrumental variable quantile regression was adopted to assess heterogeneous effects of financing SWC investment. The results revealed that the extent of using SWC and SF measures is generally low. Agriculture income and off-farm (casual) wages had the largest income shares among the poor and middle-income earners. Financing investment in SWC increases income significantly for middle-income earners, i.e. five times more than the poor, but it was ineffective for the wealthy. Socio-economic factors and commercial crops had a significant effect on income across the classes. Institutional factors demonstrated no significant impact on the poor and middle-income earners. The findings suggest that incorporating pro-poor interventions in SWC investment would increase the productivity and commercialisation of cash and staple crops. These results inform a need to promote linkages between SWC investment and income diversification strategies to increase asset-building for the poor and close income gaps among the three farming classes. This finding suggests the need to introduce saving and lending innovations in SWC that link farm activities to nonfarm opportunities. [ABSTRACT FROM AUTHOR]

The interrelations between indeterminacy and progressive income tax rules are discussed in a one-sector real business cycle model with capacity utilization, productive increasing returns, and the Jaimovich-Rebelo preferences that exhibit varying degrees of income effect. When the values of income effect are large and the other parameter values are plausible, a moderately progressive income tax schedule can destabilize the economy by generating local indeterminacy. Moreover, numerical examples show that when an income tax schedule with a progressivity feature destabilizes the economy, the degree of income effect and the minimum level of increasing returns required for local indeterminacy are negatively related. These results are in contrast to those obtained in Guo and Lansing (1998), in which a progressive tax schedule can stabilize the one-sector economy with increasing returns. [ABSTRACT FROM AUTHOR]

In this paper, we utilize a real business cycle model with home production, productive increasing returns and the Jaimovich-Rebelo's preferences that allow for varying degrees of income effect, to show that when the values of income effect are intermediary and the level of increasing returns is reasonably high, the economy can be subject to local indeterminacy, provided that the other model parameters take reasonable values. In particular, we show that in the indeterminacy region, the minimum level of productive externality that induces instability increases as the income effect increases. [ABSTRACT FROM AUTHOR]

One of the critical challenges facing China is environmental pollution caused by insufficient use of clean energy. This paper empirically investigates the impact of rural labor mobility on household clean energy use using data from the China Family Panel Studies (CFPS). The results indicate that labor mobility significantly promotes the adoption of clean energy by rural households, with income effects and information channel effects serving as the underlying mechanisms. The study also finds that health risks, as an important consideration for household energy use choices, enhance this positive effect. Furthermore, heterogeneity analysis reveals that labor mobility has a greater impact on households with lower levels of education, lack of social security, and those located in central and western regions. Therefore, the government should take measures to increase the income of the rural migrant population and continuously widen the information channels for rural households to promote clean energy use. The findings of this study provide a new perspective and evidence for understanding household energy use behavior in China, offering valuable insights for policymakers aiming to expand the use of clean energy. • Labour mobility significantly contributes to clean energy use in rural households. • Income effects and information channel effects are the main mechanisms of action. • Health risks faced by households play a moderating role. • Heterogeneity in region, educational attainment, social security status will influence the effect of labour mobility. [ABSTRACT FROM AUTHOR]

Women’s breast cancer (BC) in Africa is detrimental to development, given the role women play in their families and society’s well-being. Policymakers should be alerted to the effects of BC. This paper describes the income impact of breast cancer and assesses factors that influence income and productivity among women with BC. Cross-sectional data were collected using questionnaires on 200 women with clinically confirmed BC cases in Southwest Nigeria over 6 months. About sixty-one percent (61.5%) of the women with clinically confirmed BC cases were self-employed, 62% were absent at the workplace for 7 days, indicating that 31.8% suffered productivity loss at the workplace on average. Sixteen percent of women in the group were absent at the workplace for an average of 10 days, showing a 45.5% productivity loss at the workplace. Lastly, 22% of the women were absent at the workplace for more than 2 weeks on average. An increasing incidence of BC among women causes a 26.2% decrease in productivity level at the workplace. The results from simple linear regression corroborate the findings from the descriptive statistics that BC has a significant but inverse effect on women’s income and productivity. It showed that an increase in the number of confirmed cases of BC will decrease economic impact and productivity by 13.5% and 19.5%, respectively. These findings urgently call for the attention of the policymakers.

We postulate that bank lending is affected by ECB policy via new loans and via the stock of existing loans. In this context, this paper documents a wide diversity in borrowers' features, loan features and price developments across euro area Member States that produces heterogeneous impacts in bank lending. Thus, countries with higher (lower) inflation, higher (lower) stock of loans longer (shorter) maturities, and higher (lower) proportion of adjustable rate loans are affected more (less) when ECB changes its policy rate. The significant differences in these factors across euro area Member States can distort a homogeneous transmission of the single monetary policy and generate asymmetries in bank lending. [ABSTRACT FROM AUTHOR]

This paper develops nonparametric methods for welfare‐analysis of economic changes in the common setting of multinomial choice. The results cover (a) simultaneous price‐change of multiple alternatives, (b) introduction/elimination of an option, (c) changes in choice‐characteristics, and (d) choice among nonexclusive alternatives. In these cases, Marshallian consumer surplus becomes path‐dependent, but Hicksian welfare remains well‐defined. We demonstrate that under completely unrestricted preference‐heterogeneity and income‐effects, the distributions of Hicksian welfare are point‐identified from structural choice‐probabilities in scenarios (a), (b), and only set‐identified in (c), (d). In program‐evaluation contexts, our results enable the calculation of compensated‐effects, that is, the program's cash‐equivalent and resulting deadweight‐loss. They also facilitate a theoretically justified cost‐benefit comparison of interventions targeting different outcomes, for example, a tuition‐subsidy and a health‐product subsidy. Welfare analyses under endogeneity is briefly discussed. An application to data on choice of fishing‐mode illustrates the methods. [ABSTRACT FROM AUTHOR]

Random utility models are widely used to study consumer choice. The vast majority of applications assume utility is linear in consumption of the outside good, which imposes that total expenditure on the subset of goods of interest does not affect demand for inside goods and restricts demand curvature and pass‐through. We show that relaxing these restrictions can be important, particularly if one is interested in the distributional effects of a policy change, even in a market for a small budget share product category. We consider the use of tax policy to lower fat consumption and show that a specific (per unit) tax results in larger reductions than an ad valorem tax, but at a greater cost to consumers. [ABSTRACT FROM AUTHOR]

The preponderance of evidence from many studies is that less wealthy households are subjected to greater exposure per capita and in aggregate to air pollution, water pollution, and toxic wastes. It also is the case that the less wealthy are provided with a disproportionately low amount of other programs to enhance amenities provided by the natural environment, such as recreational resources and high-quality esthetic opportunities (both quality and quantity). However, to date, no study has quantified the scale of this effect on the less wealthy as compared to their more wealthy counterparts when it comes to policy choices made on the basis of benefits analysis. This study provides a new equity adjustment method to measure quantitatively the effect of this inequity in the case of public goods. [ABSTRACT FROM AUTHOR]

This paper investigates the impact on income from the economic crisis of 2008, especially in the case of Greece. We outline literature results relating to income effects of economic crises in various parts of the world in general and the recent economic crisis in particular. What if revealed is that crises always affect the distribution of income and aggravate the problem of poverty, since the weight tends to be unevenly distributed. During the recent economic crisis, risk of poverty has increased, employment prospects are deteriorating and fiscal consolidation measures tend to reinforce inequality. Based on the results of an empirical investigation of secondary data on the income tax and its share on professional and income groups, we study the effects of the economic crisis and the measures implemented to deal with it in Greece. During the recent crisis in Greece, despite the reduction in income, total tax burden was increased due to the increased share of indirect taxes in total tax revenue. Furthermore the share of wages on GDP declined dramatically. It is the lower income groups that shouldered the brunt of fiscal adjustment. After the applied measures, a redistribution of income from the middle and mainly from low to high and very high income groups is recorded, despite the fact that wages and salaries, much less than corporate profits, contribute to overall inequality mainly due to tax evasion. The main mechanism responsible for unequal income distribution involves anti-development and anti-social austerity measures (fiscal and institutional arrangements to enhance labour market flexibility, etc.) implemented under the Memorandum, which led to an increase in the tax burden, mostly of lower incomes, a reduction on available income of households and a deterioration in indicators of economic and social welfare, income inequality and absolute poverty. The economic crisis and the measures implemented to deal with it in Greece, as in other regions of the world in the past and today, is utilized for a high-intensity (in size) and area (in the range of social groups affected) redistribution of wealth, through which the poor become poorer and the rich richer. The European strategy to address the crisis in the Eurozone and especially in Greece reinforced the inequalities and therefore operates as an obstacle to economic recovery and the equitable sharing of its results. [ABSTRACT FROM AUTHOR]

This study estimates the combined direct and indirect rebound effects from various types of energy efficiency improvement and behavioural change by UK households and explores how these effects vary with total expenditure. The methodology is based upon estimates of the expenditure elasticity and GHG intensity of 16 categories of goods and services, and allows for the capital cost and embodied emissions of the energy efficiency measures themselves. The study finds that rebound effects, in GHG terms, are modest (0–32%) for measures affecting domestic energy use, larger (25–65%) for measures affecting vehicle fuel use and very large (66–106%) for measures that reduce food waste. Furthermore, measures undertaken by low income households are associated with the largest rebound effects, with direct emissions forming a larger proportion of the total rebound effect for those households. Measures that are subsidised or affect highly taxed energy commodities may be less effective in reducing aggregate emissions. These findings highlight the importance of allowing for rebound effects within policy appraisals, as well as reinforcing the case for economy-wide carbon pricing. [ABSTRACT FROM AUTHOR]

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Background: In 1996 the Washington Panel controversially recommended valuing productivity costs (PC) in terms of quality-adjusted life years. The Panel's assumption that respondents in health state valuation (HSV) exercises take income losses into account could not be countered since there was no evidence regarding what people consider in HSV exercises. If they do consider income losses and if this changes HSVs, then all economic evaluations that have included PC in the numerator may have double-counted these costs. Alternatively, if respondents do not consider income losses then all past economic evaluations that have not included PC in the numerator have failed to account for sizeable societal costs. Objectives: Through a review we aim to recapture the debate surrounding the appropriate method for including PC in health economic evaluations, to identify empirical evidence addressing the assumptions of the Panel, and recommend a future research agenda. Methods: Through a review we identify, outline, and critically appraise the existing empirical studies that attempt to address whether respondents include income effects in HSV exercises. Results and conclusion: Seven empirical studies were identified. Overall, it seems that not explicitly mentioning the inclusion of income will induce a minority of respondents to include these effects and this appears not to influence results. More empirical work is needed, using generic instruments, larger samples, and using the interview method of administration. [ABSTRACT FROM AUTHOR]

This paper explores and explains the application of the lattice theoretic approach to classic comparative statics in consumer theory. Through examples of preferences that are not quasiconcave, or not differentiable, or not continuous, the approach is shown to characterize income effects more powerfully than the standard approach. The underlying partial order is key to applying the method. Therefore, several adapted partial orders are introduced and discussed. [ABSTRACT FROM AUTHOR]

This paper studies comparative statics in the consumer utility maximization problem with two goods. The analysis can be global, and it allows for indivisibilities, discrete changes, and non-binding budget constraints. It does not rely either on topological or convexity assumptions. Instead, it uses lattice programming techniques. The conditions derived are superextremal variant properties on the utility function, in appropriately constructed lattices on the consumption set. Sufficient conditions are given for one or both goods to be normal, for one to be inferior, and for some cases of price effects, using what are called value orders and lattices. [ABSTRACT FROM AUTHOR]

The paper investigates the importance of income in young Americans decisions to form and dissolve households. Using data on young American men and women from the NLSY, an important role for income in both these transitions is found. There are significant differences between young men and women. High earnings capacity increases the probability of marriage and decreases the probability of divorce for young men. High earnings capacity decreases the probability of marriage for young women, and has no impact on divorce. [ABSTRACT FROM AUTHOR]

Substantive income effects are incorporated in a logit or nested–logit model by assuming that utility is a piece–wise linear spline function of residual income. Specific income data are not required, only income by category. Expected compensating variation is easily and accurately approximated by the difference between expected maximum utility in the proposed and initial state, multiplied by the inverse of the individual’s initial marginal utility of money. This approximation is almost exact because although any policy can, in theory, cause an individual to jump income categories, for most policies this probability will be very small. [ABSTRACT FROM AUTHOR]

Women's breast cancer (BC) in Africa is detrimental to development, given the role women play in their families and society's well-being. Policymakers should be alerted to the effects of BC. This paper describes the income impact of breast cancer and assesses factors that influence income and productivity among women with BC. Cross-sectional data were collected using questionnaires on 200 women with clinically confirmed BC cases in Southwest Nigeria over 6 months. About sixty-one percent (61.5%) of the women with clinically confirmed BC cases were self-employed, 62% were absent at the workplace for 7 days, indicating that 31.8% suffered productivity loss at the workplace on average. Sixteen percent of women in the group were absent at the workplace for an average of 10 days, showing a 45.5% productivity loss at the workplace. Lastly, 22% of the women were absent at the workplace for more than 2 weeks on average. An increasing incidence of BC among women causes a 26.2% decrease in productivity level at the workplace. The results from simple linear regression corroborate the findings from the descriptive statistics that BC has a significant but inverse effect on women's income and productivity. It showed that an increase in the number of confirmed cases of BC will decrease economic impact and productivity by 13.5% and 19.5%, respectively. These findings urgently call for the attention of the policymakers. [ABSTRACT FROM AUTHOR]