The Limits Of Nudging: Why Can't California Get People To Take Free Money?
Researchers tried to help low-income workers sign up for free money with letters and text messages. They failed.
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The Earned Income Tax Credit supplements incomes through the tax code, awarding thousands of dollars each year primarily to low-wage workers with kids. But there's a problem: a huge population of eligible workers fails to file their taxes and get the money each year.
Several years ago, the state of California established their own state EITC (CalEITC) on top of the federal one. Depending on how many kids they have and how much they earn, a Californian
