Impacts of the 2021 Child Tax Credit advance monthly payments on birth outcomes in the United States: a natural experiment

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Natural experiment reveals monthly cash transfers linked to improved birth outcomes, suggesting significant benefits.

An increase of $1,000 in Child Tax Credit payments reduced small for gestational age rates by 0.72 percentage points, suggesting improved birth health.
The association revealed a 8.2% decrease in low birth weight among newborns due to increased Cash Transfers during pregnancy.
Using US vital statistics birth certificate data from 2016 to 2023, the analysis controlled for numerous variables to ensure robust findings.
Findings indicate that cash transfers during pregnancy may significantly alleviate adverse birth outcomes, especially among certain demographics.

Margerison et al. (2025) studied this question.

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