Analyzes the impact of the Work Opportunity Tax Credit [WOTC] on disabled veterans seeking employment.
"Despite the widespread perception among policymakers that tax credits can improve the job prospects of certain segments of the veteran population, including the disabled, there has been little rigorous empirical research establishing whether such tax credits are effective at actually increasing the employment of targeted groups. In this paper, [the author] estimate[s] the employment effects of a 2007 WOTC expansion that made tax credits of up to $4,800 available to employers who hired disabled veterans who were recently discharged or unemployed for more than six months.... [F]indings suggest that tax credits may be an effective means to reduce unemployment among disabled veterans" (p.1). (Abstractor: Author and Website Staff)
The cost per job-year is approximately $10,000.