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Children of AusterityImpact of the Great Recession on Child Poverty in Rich Countries$
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Bea Cantillon, Yekaterina Chzhen, Sudhanshu Handa, and Brian Nolan

Print publication date: 2017

Print ISBN-13: 9780198797968

Published to Oxford Scholarship Online: May 2017

DOI: 10.1093/oso/9780198797968.001.0001

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PRINTED FROM OXFORD SCHOLARSHIP ONLINE (oxford.universitypressscholarship.com). (c) Copyright Oxford University Press, 2021. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in OSO for personal use. date: 26 September 2021

USA Child Poverty: The Impact of the Great Recession

USA Child Poverty: The Impact of the Great Recession

(p.297) 13 USA Child Poverty: The Impact of the Great Recession
Children of Austerity

Christopher Wimer

Timothy M. Smeeding

Oxford University Press

The Great Recession (GR) was the most dramatic economic downturn the USA has experienced in more than six decades. But against this backdrop, the USA actually made some limited progress against child poverty over the Great Recession when one considers the new US Supplemental Poverty Measure which lies at about 40 per cent of median income. The main reason was the growth of a well-targeted near cash safety net, combined with earnings enhancements in the form of refundable tax credits. These enhancements helped the working poor, but not many parents of children who could not find jobs. However these improvements had little if any effect on relative poverty counted at a European or cross-national relative poverty standard set at 60 per cent of median income. Greater progress against child poverty in the US requires a continued strong job market coupled with a child allowance.

Keywords:   Great Recession, Supplemental Poverty Measure, semi-relative poverty, working poor, refundable tax credits

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