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The Effects of the Rural Income Maintenance Experiment on the School Performance of Children.

Rebecca Maynard

American Economic Review 1977

A comprehensive evaluation of any welfare reform proposal must consider both long-run and short-run costs and benefits. One short-run benefit of a negative income tax program (NIT) is likely to be improvements in the school performances of the children of participants. These improvements may occur for several reasons: health may inmprove as a result of increased consumption of nutritious food and health care; learning aids such as books and magazines may become more readily available; and parents may spend more time with their children, participating with them in learningrelated activities. Therefore, a long-term benefit of an NIT may well be the higher earnings that these children will eventually receive as a result of such improvements. This paper summarizes the findings of an analysis of the effects of the Rural Income Maintenance Experiment on four measures of school performance-attendance, comportment grades, academic grades and standardized achievement test scores.

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