Capitalism is not working for all. Most families at the low end of the income scale cannot climb up to the point that both parents can work outside the home, if they want to, at wages that are adequate. Nor does one even higher income earned by one parent – or by a single parent – give their children enough of the resources needed to satisfactorily grow and succeed.
Family wage earners can be stuck at low wages for years. Upward mobility, previously possible in this country after World War II, exists to only a very limited degree today. In other countries, more is possible.
In the same way that Social Security, devised in the late 1930s, has been so successful in providing a supplemental income for seniors, the Earned Income Child Tax Credit can do the same for children and their parents. The need is as great, or greater. A boost at the early end has more of an impact than later.
The EICTC was a significant part of 2021’s American Rescue Plan income support at a time that businesses had partially or fully shut down, putting many out of work, and it should be brought back. A return was part of the Build Back Better bill that failed to have traction with a couple of Democratic senators.
We’re not certain what the monthly EICTC should be, and that may come from negotiations. While it existed in 2021, it was $3,600 per child younger than 5 and $3,000 above that to age 17. Perhaps those amounts could be reduced somewhat, and the maximum a family can earn to participate brought down.
Study after study reveals how important the early and not-so-early years are to children. The EICTC won’t do it all, but larger living quarters, a tighter roof, adequate nourishment and most of all parents who can devote more of their time to engaging with their children rather than working a couple of jobs, leads to a much stronger start on life. Socialization, vocabulary, awareness of the world around you, all move up several notches when adequate household income is not a day-after-day challenge.
All the ingredients in the original Build Back Better do not look to be possible with a subsequent effort, but the Earned Income Child Tax Credit in some adequate form should be singled out for approval and implementation.
If it is, millions of children in this country will be off to a better start.
