Social Welfare Programs Chapter 7 additional terms Poverty definition: problems with Absolute vs relative poverty Liberal and conservative views external vs. internal locus of control Types of programs: – social insurance vs public assistance – Cash vs. in-kind
Social Welfare Programs Social Insurance (Social Security) Employment Regulation Public Assistance Family Programs
CORE SOCIAL INSURANCE PROGRAMS : OASDHI – O ld A ge Pension, S urvivors Insurance, Disability Insurance, H ealth I nsurance Workers Compensation Unemployment Insurance Sickness Pay National Health Insurance
Dates of Enactment of Social Insurance Programs in Seven Nations Workman'sPensionSicknessUnemploymentHealth Country CompensationInsurance Canada France Germany Italy Sweden United King United States Source: Robert Kurdle and Theodore R. Marmor, "The Development of Welfare States in North America," in Flora and Heidenheimer (1981, 83)
European Family Programs: Family Allowance Strict Child Support enforcement Paid Family Leave Subsidized Child Care
Public Assistance Programs: AFDC Food Stamps Medicaid SSI ( formerly AB, APTD, OAA ) General Assistance Poverty Programs: Meals on Wheels, School Lunch, Head Start, Job Training, WIC, Energy Assistance
US Welfare Programs: 1968 ProgramEligibility Federal\State\ Local AFDC (1935)1 or 2 parent families w\ children F\S OAA (1935)ElderlyF\S SSI (1972) AB (1935)BlindF\S APTD (1950s)DisabledF\S Medicaid (1965)Poor (varies)F\S Food Stamps (1962)PoorF General Assistance S\L Poverty programs (not entitlements) Public Housing, Job Training, Food programs, Head Start, health care, energy assistance, social services, …. F\S\L
Flaws in U.S Welfare: 1968 · Work disincentives · Family disincentives · Bureaucracy · Certifying eligibility; checking for fraud · Too many agencies and layers of govt. · Inequity · State to state variations in benefits · Arbitrary categories · Stigma
Possible Solutions: Carrots and Sticks Sticks: Penalizing Recipients: Workfare (education also?) Reduce benefits Reduce Eligibility Increase Penalties: school truancy, drug testing, additional children Carrots: (major reforms) Negative Income Tax Earned Income Tax Credit (adjustments) Child Support exclusion Child Care Two-parent families Continue Medicaid Job Training
1988 Family Support Act · Increase Child Support Enforcement · Extended Child Care and Medicaid 9 mos. · All states cover 2-parent families · Workfare and Job Training · State Waivers for experimentation
1996 Personal Responsibility and Work Opportunity Reconciliation Act · AFDC becomes TANF · 2-year and 5-year limits · teenage mothers must live at home · legal aliens excluded · stricter workfare requirements · Federal funding: block grant · Much State discretion · SSI: · stricter disability standard for disabled children · legal aliens excluded · drug addiction and alcoholism not covered · FOOD STAMPS · workfare requirements · legal aliens excluded
Food Stamp (SNAP) Recipients (000s)