"Merely expanding the EITC will continue to subsidize low-wage employers and drive down market wages. Indeed, there is no bigger supporter of the EITC than low-wage employers. For instance, the funds nonprofit organizations such as the and the to expand EITC outreach. The economic dynamic makes it no question that an EITC should be paired with higher minimum wages and increased bargaining power for workers so that employers can't lower wages when their workers get a low-wage subsidy."

“It bears repeating: since the EITC lowers wages and the current minimum wage is still a poverty wage for many families, it is a missed opportunity for the federal government and the more than 40 cities and seven states phasing in $15 minimum wages to not include a EITC and vice versa. Like lightbulbs and lamps, the policies are complements.”

“Annuity Digest: Teresa Ghilarducci on Pension Reform”

“It is common sense once you think about it. The widely-praised Earned Income Tax Credit, which is a paid by taxpayers, encourages more low-wage employers . Don't get me wrong, the EITC has great effects. It expands labor force participation and increases income to families. The EITC helps working-poor mothers become economically engaged, and improves the life chances of their children by keeping them in school, enabling their families to access better food, and even increasing their vocabulary. But the crucial negative economic effects of the EITC are often overlooked. The EITC subsidizes low-wage employers, who are able to attract EITC-eligible workers at lower wages than they otherwise would have to pay. Some workers get a raise from the government via the EITC. But the workers who don’t qualify for the EITC end up with reduced wages. It is more and more likely that those workers are older workers .”

“United States House of Representatives: Committee on Education and Labor: Saving Retirement in the Face of America’s Credit Crises: Short Term and Long Term Solutions”

“Democratic Socialist Bernie Sanders and billionaire are on the same page. They both point to the stark reality that American workers have experienced sluggish to nonexistent wage growth for years as a crisis for American capitalism. The great American wage repression is so bad that the United States leads rich nations in allowing 25% of our jobs to pay close to. In most major developed countries that share is in the single digits.”

“The New School: Faculty: Ghilarducci, Teresa”