Central to the project are ex ante analyses and quantifications of the

• effects of the introduction of a basic child allowance, in particular with regard to

labor supply, transfer dependency, poverty risks of families and social inequality,

• consequences and interactions of the basic child allowance in the interaction with other state benefits and regulations in the tax-transfer system, as well as
• direct and indirect costs of the basic child allowance.

The analyses are based on the following behavioural microsimulation models:.

• IZAΨMOD of the IZA Institute of Labor Economics,
• the "Tax and Transfer Behavioral Microsimulation Model" of the ifo Institute – Leibniz Institute for Economic Research at the University of Munich, as well as
• ZEW-EviSTA of the ZEW - Leibniz Centre for European Economic Research.