Fox59: Child tax credit could bring additional economic growth to Indiana, experts say

Economists predict American Rescue Plan will dismantle Indiana Republicans’ “work more for less” economy

Friendly reminder: not one Indiana Republican in Congress supported the American Rescue Plan 

INDIANAPOLIS – The Indiana Democratic Party, the organization that advocates for the future of Indiana and its families, today celebrated the brighter future the American Rescue Plan is creating for Hoosier families and Indiana’s economy. In a new report by Fox59, economic experts revealed the Rescue Plan’s Child Tax Credit expansion will make childcare more accessible for families while creating a “really strong” economic outlook for the state. This is welcomed news as Hoosiers are burdened under the Indiana Republicans’ “work more for less” economy that’s simply held workers back from better opportunity. The Rescue Plan will mitigate this current economic reality as it also lifts more than 80,000 Hoosier kids out of poverty. 

The American Rescue Plan is why Indiana and Hoosier families are beginning to put COVID-19 in the rearview mirror. But, not a single Indiana Republican in the Congressional delegation supported the Rescue Plan. In fact, Republicans now have a track record of using federal dollars provided by the American Rescue Plan for the state’s use – including $250 million in broadband expansion, $500 million in economic development projects, and infrastructure projects. The problem? Indiana Republicans tout these projects as their own even though they voted “no” on the Rescue Plan’s investments. 

The Indiana Democratic Party plans to hold the Indiana Republican Party accountable for trying to have it both ways on the American Rescue Plan. If Republicans attack Democrats over “spending” during the 2022 midterm and state elections, the state party will remind voters about yesterday’s press conference, the state budget from the 2021 legislative session, and mailers delivered to constituents touting Rescue Plan investments as their own success. 

Until then, here’s how the American Rescue Plan’s Child Tax Credit is delivering for Hoosier families across Indiana: 

Fox59: Child tax credit could bring additional economic growth to Indiana, experts say

“The expanded federal child tax credit could help bring continued economic growth to Indiana, some experts say.

The first advance monthly payments have started going out to families. Under the program, eligible families receive monthly payments of up to $300 per child under age 6 and $250 per child ages 6 to 17.” […]

“Kyle Anderson, an economist with the Indiana University Kelley School of Business, said he expects the child tax credit to make a long-term impact on Indiana’s economy, especially in some industries like childcare.

‘We should see some pickup there where families are able to afford more outside childcare,’ Anderson said.

Anderson said he expects families will spend the money they receive from the child tax credit.

Combining that with the income tax credit recently announced for all Hoosier taxpayers early next year and the economic recovery so far, Anderson said, that will mean continued progress for the state’s economy.

‘I’m expecting that over the next 6 to 12 months, economic growth is going to be really strong,’ Anderson said. ‘We’re in a good period right now, and a lot of the slowdown that we have currently is on the supply side – businesses not being able to serve all the customer demand.'”

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