Andrew Leigh links to a new Progressive Policy Institute policy report about the Earned Income Tax Credit. While I haven’t read the whole thing yet, and I don’t concur with all of their political analysis, I think the EITC is a smart policy to help the working poor. This SMI study explains why expanding the EITC could be more effective in that regard than increasing the minimum wage.

Related research that looks interesting is this working paper by David Neumark (author of another SMI study) and William Wascher about the effects of the EITC and minimum wage laws on employment and earnings.