The Impact of Social Networks on EITC Claiming Behavior
利用Facebook社交连接指数,研究发现当某县居民的外州社交网络接触到新实施的州级劳动所得税抵免政策时,该县的自雇申报比例增加,申报家庭收入向能获得最大抵免额的水平移动,表明社交网络提高了政策信息或显著性。
Abstract Using the Social Connectedness Index (Bailey, Cao, Kuchler, Stroebel et al., 2018) to capture county-to-county Facebook linkages, I explore how county-level earned income tax credit (EITC) claiming behavior changes when the county's out-of-state social network is exposed to a newly implemented state EITC. Having more out-of-state friends face a state EITC shifts the composition of EITC claims toward more self-employment claiming. EITC-claiming households' income distribution also shifts, moving away from the EITC region with smaller credits, toward income levels that generate the largest EITC. This mimics the direct impacts of state-level EITC policies, consistent with social networks increasing information or salience about EITC policy.