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Innovation at the State Level: Initial Effects of Welfare Reform in Iowa

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  • Shao-Hsun Keng
  • Steven B. Garasky
  • Helen H. Jensen

Abstract

In 1993, the State of Iowa reformed its welfare program by creating the Family Investment Program (FIP), a program designed to help its participants achieve economic self-sufficiency. This paper examines the experiences of individuals and families who leave FIP. Specifically, the study explores why some low-income households successfully leave public assistance, while others who leave later return. The study shows that in Iowa, the FIP has been relatively successful in supporting the transition of those leaving the program, and that income is a key determinant of participation and ability to stay off public assistance programs.

Suggested Citation

  • Shao-Hsun Keng & Steven B. Garasky & Helen H. Jensen, 1999. "Innovation at the State Level: Initial Effects of Welfare Reform in Iowa," Center for Agricultural and Rural Development (CARD) Publications 99-wp232, Center for Agricultural and Rural Development (CARD) at Iowa State University.
    • Handle: RePEc:ias:cpaper:99-wp232
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    1. G. Sandefur & T. Wells, "undated". "Trends in AFDC Participation Rates: The Implications for Welfare Reform," Institute for Research on Poverty Discussion Papers 1116-96, University of Wisconsin Institute for Research on Poverty.
    2. H. J. Holzer, "undated". "Employer Demand, AFDC Recipients, and Labor Market Policy," Institute for Research on Poverty Discussion Papers 1115-96, University of Wisconsin Institute for Research on Poverty.
    3. Betsey A. Kuhn & Michael LeBlanc & Craig Gundersen, 1997. "The Food Stamp Program, Welfare Reform, and the Aggregate Economy," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(5), pages 1595-1599.
    4. Rebecca M. Blank, 2001. "What Causes Public Assistance Caseloads to Grow?," Journal of Human Resources, University of Wisconsin Press, vol. 36(1), pages 85-118.
    5. P. D. Brandon, "undated". "Vulnerability to future dependence among former AFDC mothers," Institute for Research on Poverty Discussion Papers 1055-95, University of Wisconsin Institute for Research on Poverty.
    6. Mary Jo Bane & David T. Ellwood, 1986. "Slipping into and out of Poverty: The Dynamics of Spells," Journal of Human Resources, University of Wisconsin Press, vol. 21(1), pages 1-23.
    7. Torben Wiborg, 1998. "KRAM - A Sector Model of Danish Agriculture: Background and Framework Development," Center for Agricultural and Rural Development (CARD) Publications 98-wp193, Center for Agricultural and Rural Development (CARD) at Iowa State University.
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