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Filling the "Poverty Gap": Multiple Transfer Program Participation

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  • Daniel H. Weinberg

Abstract

ata from the 1979 Income Survey Development Program are used to describe multiple transfer program participation and its effect on the poverty rate and the poverty gap. Of 87.1 million U.S. families and unrelated individuals, 40 percent received some government transfer in April 1979. Further, more than 80 percent of pretransfer poor families received some transfer. The benefits received by the elderly succeeded in reducing their poverty rate from 68 to 10 percent and reducing their poverty gap by 96 percent. In contrast, government transfers reduced the poverty rate for single-parent families from a pretransfer rate of 48 percent to a posttransfer rate of 30 percent. An examination of target efficiency indicates that 82 percent of all income-conditioned transfers go to the pretransfer poor.

Suggested Citation

  • Daniel H. Weinberg, 1985. "Filling the "Poverty Gap": Multiple Transfer Program Participation," Journal of Human Resources, University of Wisconsin Press, vol. 20(1), pages 64-89.
    • Handle: RePEc:uwp:jhriss:v:20:y:1985:i:1:p:64-89
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    Cited by:

    1. Dickert, Stacy & Houser, Scott & Scholz, John Karl, 1994. "Taxes and the Poor: A Microsimulation Study of Implicit and Explicit Taxes," National Tax Journal, National Tax Association;National Tax Journal, vol. 47(3), pages 621-638, September.
    2. Marchand, J. & Smeeding, T., 2016. "Poverty and Aging," Handbook of the Economics of Population Aging, in: Piggott, John & Woodland, Alan (ed.), Handbook of the Economics of Population Aging, edition 1, volume 1, chapter 0, pages 905-950, Elsevier.
      • Marchand, Joseph & Smeeding, Timothy, 2016. "Poverty and Aging," Working Papers 2016-11, University of Alberta, Department of Economics, revised 20 Nov 2016.
    3. Ranney, Christine K., 2002. "Rural, Suburban and Urban Single Mothers' AFDC and FSP Participation and Labor Supply: Lessons for Welfare Reform," Research Bulletins 122637, Cornell University, Department of Applied Economics and Management.

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