Justin C. Wiltshire
@jcwetcoast.bsky.social
Asst Professor of Economics @ University of Victoria. Labo(u)r, public, urban, applied micro. Let's go for a hike and talk research
"Policy discussions often treat EITC expansions and minimum wage raises as alternatives, of which we should choose just one. This is a misconception. In economic terms, the two policies are complementary and may be more effective in combination than either is on its own."
December 7, 2025 at 7:57 PM
"Policy discussions often treat EITC expansions and minimum wage raises as alternatives, of which we should choose just one. This is a misconception. In economic terms, the two policies are complementary and may be more effective in combination than either is on its own."
@jrothst.bsky.social and @benzipperer.org convincingly argue that the EITC and a higher minimum wage work best in tandem
www.epi.org/publication/...
And my own research (WP soon!) emphasizes the value of having both especially where a low wage monopsonist employer is operating
www.epi.org/publication/...
And my own research (WP soon!) emphasizes the value of having both especially where a low wage monopsonist employer is operating
The EITC and minimum wage work together to reduce poverty and raise incomes
Although simple theories of the labor market imply that employers may capture some of the Earned Income Tax Credit (EITC) by reducing wages, the empirical evidence is quite limited and dated. What evi...
www.epi.org
December 7, 2025 at 7:54 PM
@jrothst.bsky.social and @benzipperer.org convincingly argue that the EITC and a higher minimum wage work best in tandem
www.epi.org/publication/...
And my own research (WP soon!) emphasizes the value of having both especially where a low wage monopsonist employer is operating
www.epi.org/publication/...
And my own research (WP soon!) emphasizes the value of having both especially where a low wage monopsonist employer is operating
Rothstein's preferred simulation showed a $1 increase in the EITC was "accompanied by a decline of $0.34 in the net-of-tax incomes of women with-
out children, which are pushed downward both by falling wages and by reduced labor supply"
out children, which are pushed downward both by falling wages and by reduced labor supply"
December 6, 2025 at 2:02 PM
Rothstein's preferred simulation showed a $1 increase in the EITC was "accompanied by a decline of $0.34 in the net-of-tax incomes of women with-
out children, which are pushed downward both by falling wages and by reduced labor supply"
out children, which are pushed downward both by falling wages and by reduced labor supply"
It depends on various things. But Leigh found "a 10 percent increase in the generosity of the EITC is associated with a 5 percent fall in the wages of high school dropouts and a 2 percent fall in the wages of those with only a high school diploma"
December 6, 2025 at 2:00 PM
It depends on various things. But Leigh found "a 10 percent increase in the generosity of the EITC is associated with a 5 percent fall in the wages of high school dropouts and a 2 percent fall in the wages of those with only a high school diploma"
Honestly, many more on that list are excellent. And see Manning 2021 and Dube and Lindner 2024 for nice broader takes
December 6, 2025 at 1:51 PM
Honestly, many more on that list are excellent. And see Manning 2021 and Dube and Lindner 2024 for nice broader takes
There are many dozens of good ones. Beyond our own study take a look at the minimum wage own wage elasticity tracker I mentioned (economic.github.io/owe/). E.g. Dube, Lester and Reich 2010;Allegretto, Dube, Reich and Zipperer 2017; Cengiz, Dube, Lindner and Zipperer 2019; Wursten and Reich 2023
Minimum Wage Own Wage Elasticity Repository
Representative estimates from minimum wage studies
economic.github.io
December 6, 2025 at 1:47 PM
There are many dozens of good ones. Beyond our own study take a look at the minimum wage own wage elasticity tracker I mentioned (economic.github.io/owe/). E.g. Dube, Lester and Reich 2010;Allegretto, Dube, Reich and Zipperer 2017; Cengiz, Dube, Lindner and Zipperer 2019; Wursten and Reich 2023
Finally, it's always worth pointing people to Dube and Zipperer's excellent minimum wage own-wage elasticity repository (and the accompanying working paper)
www.nber.org/system/files...
@arindube.bsky.social @benzipperer.org
www.nber.org/system/files...
@arindube.bsky.social @benzipperer.org
www.nber.org
December 4, 2025 at 6:53 PM
Finally, it's always worth pointing people to Dube and Zipperer's excellent minimum wage own-wage elasticity repository (and the accompanying working paper)
www.nber.org/system/files...
@arindube.bsky.social @benzipperer.org
www.nber.org/system/files...
@arindube.bsky.social @benzipperer.org
andrewleigh.org
December 4, 2025 at 6:51 PM
Second, Rothstein (2010) and Leigh (2010) are both excellent papers on how firms capture some of the incidence of the EITC
3/N
www.aeaweb.org/articles?id=...
3/N
www.aeaweb.org/articles?id=...
Is the EITC as Good as an NIT? Conditional Cash Transfers and Tax Incidence
(February 2010) - The EITC is intended to encourage work. But EITC-induced
increases in labor supply may drive wages down. I simulate the economic
incidence of the EITC. In each scenario that I consid...
www.aeaweb.org
December 4, 2025 at 6:51 PM
Second, Rothstein (2010) and Leigh (2010) are both excellent papers on how firms capture some of the incidence of the EITC
3/N
www.aeaweb.org/articles?id=...
3/N
www.aeaweb.org/articles?id=...
First, a pre-print of our forthcoming paper is on JoLE's website: www.journals.uchicago.edu/doi/10.1086/...
University of Chicago Press Journals: Cookie absent
www.journals.uchicago.edu
December 4, 2025 at 6:49 PM
First, a pre-print of our forthcoming paper is on JoLE's website: www.journals.uchicago.edu/doi/10.1086/...
🤣 ...and those who can't even use proper grammar leach off of society and then blame "liberals" for their anger.
As you don't know what academic economists actually do: I conduct research to identify causal impacts of economic policies. It's called evidence. Come talk to me when you care about it.
As you don't know what academic economists actually do: I conduct research to identify causal impacts of economic policies. It's called evidence. Come talk to me when you care about it.
February 28, 2025 at 2:48 AM
🤣 ...and those who can't even use proper grammar leach off of society and then blame "liberals" for their anger.
As you don't know what academic economists actually do: I conduct research to identify causal impacts of economic policies. It's called evidence. Come talk to me when you care about it.
As you don't know what academic economists actually do: I conduct research to identify causal impacts of economic policies. It's called evidence. Come talk to me when you care about it.
🤣 this from the person who's photoshopping a giant nose onto Carney and calling him a liar. The sheer hypocrisy and gall it takes to do that and then call me a hypocrite is astounding.
Enjoy losing the next election and being subjected to quality policies instead of vacuous sloganeering
Enjoy losing the next election and being subjected to quality policies instead of vacuous sloganeering
February 28, 2025 at 1:45 AM
🤣 this from the person who's photoshopping a giant nose onto Carney and calling him a liar. The sheer hypocrisy and gall it takes to do that and then call me a hypocrite is astounding.
Enjoy losing the next election and being subjected to quality policies instead of vacuous sloganeering
Enjoy losing the next election and being subjected to quality policies instead of vacuous sloganeering
... good one...
Sure am glad the idiots on X have started migrating to Bluesky...
Sure am glad the idiots on X have started migrating to Bluesky...
February 28, 2025 at 12:08 AM
... good one...
Sure am glad the idiots on X have started migrating to Bluesky...
Sure am glad the idiots on X have started migrating to Bluesky...