Child benefit is a universal benefit (B) paid for every child, irrespective of the family income.

It is very difficult to speculate on the likely impacts on the individual due to the complexities of income and substitution effects. Empirical studies on the topic of labour market reform highlight that broad statements are very misleading within this area.

University students can apply their knowledge of indifference curve analysis to illustrate changes in individual's behaviour.

The starting level of child benefit is set at £10.35. The input parameters can range from £2.00 to £30.00.

Labour market reform home page »»