Welfare Reform in the United States

Author/Editor:

Ellen Marie Nedde

Publication Date:

November 1, 1995

Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

This paper reviews the structure and trends of the U.S. welfare system and the U.S. Administration’s reform proposals. It shows that, despite the attention the program receives, the welfare program is actually quite small and has experienced moderate rates of growth. However, the system does face serious problems. In particular, its structure sets up strong financial disincentives to paid employment and saving at the same time that its low level of benefits fails to lift low-income children and their families out of poverty.

Series:

Working Paper No. 1995/124

Subject:

English

Publication Date:

November 1, 1995

ISBN/ISSN:

9781451854664/1018-5941

Stock No:

WPIEA1241995

Pages:

22

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