Explaining Welfare Reform: Public Choice and the Labor Market
Abstract
This paper seeks to identify factors which could plausibly have led to the contractionary welfare reform initiatives begun at the state and federal levels in the U.S. in the 1990s, initiatives concentrated on the AFDC program. A review of aggregate time series evidence, cross-section regression research, and studies of attitudes toward welfare spending and toward welfare recipients suggests a role for three types of factors. First, a major expansion of the U.S. welfare system in the late 1980s in terms of expenditures and caseloads may have led voters to desire to retrench by cutting back on the AFDC program, even though that program was not primarily responsible for the expansion. Second, declines in the relative and absolute levels of household income, wages, and employment rates among the disadvantaged population may have driven up caseloads and costs, increased the social distance of voters from the poor, heightened concern with work incentives, and may have led, more generally, to a decrease in the perceived deservingness of the poor. Third, a surge of births to unmarried mothers in the 1980s is suggested, by cross-sectional and attitudinal evidence, to have led to a reduction in voter support for the AFDC program. Copyright Kluwer Academic Publishers 1999Download Info
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Bibliographic Info
Article provided by Springer in its journal International Tax and Public Finance.
Volume (Year): 6 (1999)
Issue (Month): 3 (August)
Pages: 289-315
Contact details of provider:
Web page: http://www.springerlink.com/link.asp?id=102915
Related research
Keywords: welfare; public choice; public spending;Other versions of this item:
- R. A. Moffitt, . "Explaining Welfare Reform: Public Choice and the Labor Market," Institute for Research on Poverty Discussion Papers 1195-99, University of Wisconsin Institute for Research on Poverty.
References
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Holzner, Christian & Meier, Volker & Werding, Martin, 2010.
"Workfare, monitoring, and efficiency wages,"
Journal of Macroeconomics,
Elsevier, vol. 32(1), pages 157-168, March.
- Christian Holzner & Volker Meier & Martin Werding, 2006. "Workfare, Monitoring, and Efficiency Wages," CESifo Working Paper Series 1749, CESifo Group Munich.
- Volker Meier, 2002.
"Workfare in an Efficiency Wage Model,"
CESifo Working Paper Series
674, CESifo Group Munich.
- Volker Meier, 2008. "Workfare in an efficiency wage model," Empirica, Springer, vol. 35(2), pages 165-178, April.
- Fong, Christina, 2001. "Social preferences, self-interest, and the demand for redistribution," Journal of Public Economics, Elsevier, vol. 82(2), pages 225-246, November.
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