Systematic Misreporting and Effects of Income Maintenance Experiments on Work Effort: Evidence from the Seattle-Denver Experiment.

A series of Negative Income Tax experiments took place in the U.S. under the Nixon administration. Subsequent studies found that recipients significantly reduced their working hours in response. But more recent studies are now finding that the experiments relied on self-reporting income to determine how much benefit one received, creating incentives to mis-report income and employment.