Taxes and Adoptions from Foster Care: Evidence from the Federal Adoption Tax Credit

A-Tier
Journal: Journal of Human Resources
Year: 2021
Volume: 56
Issue: 4

Score contribution per author:

4.022 = (α=2.01 / 1 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

I use administrative data on the universe of public adoptions to investigate whether the federal Adoption Tax Credit influences adoptions from foster care. Using a bunching analysis, I exploit a two-year change in 2010 and 2011 that made the credit refundable. I estimate there were about 2,400 more foster care adoptions, a 44 percent increase, nationwide in December 2011 than had the refundable credit not expired. Of this increase, I estimate an upper bound on the number of new adoptions of 1,790. Assuming all of the increase reflects retiming, I estimate a pull-forward window of up to six months.

Technical Details

RePEc Handle
repec:uwp:jhriss:v:56:y:2021:i:4:p:1031-1072
Journal Field
Labor
Author Count
1
Added to Database
2026-01-25