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Understanding the U.S. Welfare System

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• Why do people take advantage of the welfare system? How is this a problem in America?

• Why should the current welfare system approach/policy option be changed?

• What are recommendations for action that could slow or stop people from taking advantage of the welfare system?

• Americans pay over a trillion dollars a year for welfare, in what ways are these benefits being misappropriated?

• How are Americans in need suffering as a result of this mismanagement?

• How is the economy suffering from this mismanagement?

• How is Congress the major contributor to the failed welfare system? Provide evidence to show that Congress is a major part of the problem

• The root of the problem is corporate welfare. How has corporate welfare misappropriated funds? How has corporate handled the situation of misappropriation of funds?

• What research/studies show people taking advantage of welfare benefits? What research shows that offering these benefits is incentive for people to do these things? Why is doing these things problematic?

• Research shows that a family of four not receiving benefits and making $50,000 a year live in poverty. A family NOT working and receiving $50,000 also live in poverty. How is this mismanagement/misappropriation of benefits?

• What is some evidence, data or numbers that reflects this problem? SPECIFIC INFO

• What is clear statement of the policy implications of the problem which clearly establishes the current importance and policy relevance of the issue? What is the research to back this statement?

• (Evaluating Current Policy) What are detail shortcomings, critiques of the current approach or options being implemented in the current system? Illustrate the need for change

• Recommendations & solutions:
How does the state go about the process of creating market incentives that are based upon state level welfare programs that allow the system to be reformed from the bottom-up?

Where do the jobs come from and how are people hired for these jobs?

Does this mean that citizens outside of the poverty level would have less chance of being hired because the jobs would be allocated to those needing assistance?

Are there other states or countries already following something like this that could be used as an example?

Would citizens lose their jobs if they had poor work performance?

*1000 words for 10 credits*
*NO REFERENCES NEEDED*

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Solution Summary

This solution will provide the student with an overview of the management of the United States welfare system.

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• Why do people take advantage of the welfare system? How is this a problem in America?

There are people who do not care to be productive and successful contributors to society through gainful employment. This problem causes a waste of taxpayers dollars and for those who truly need the assistance; there are less resources available to them.

• Why should the current welfare system approach/policy option be changed?

The system needs to help lower income Americans to avoid dependency on the system.

• What are recommendations for action that could slow or stop people from taking advantage of the welfare system?

One strategy is to attempt to reduce poverty. The "means-tested" welfare programs have been attempted over recent years, however, they have encountered a number of policy changes which doesn't allow for the smooth implementation that was once envisioned.

• Americans pay over a trillion dollars a year for welfare, in what ways are these benefits being misappropriated?

Due to the welfare reform of 1996, the federal welfare system became a welfare system where every state managed their system within the four broad purposes outlined by the federal government. These broad purposes are usually broadly interpreted thus using funding for programs that don't directly financially benefit the target population it was intended for. For example, an after-school program would be funded in order to prevent teen pregnancy when the funding could support the pregnant teen directly.

• How are Americans in need suffering as a result of this mismanagement?

Some of the money that would go to the cash assistance program now goes to other non-cash aid programs and to refundable tax credits which are a different form of a cash transfer. The programs like parenting training, substance abuse treatment and domestic violence services are worthwhile in their own right, however, they are not within the original goals of what the welfare system set out to do.

• How is the economy suffering from this mismanagement?

Just like how the economic environment affects the nature of public assistance and society's work behavior, the economy is affected when there is a call for benefits by the state. The state budget loses a considerable amount of funds that could be allocated to other investments. This can also provide false data for ...

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