Welfare Programs Next Time: Monday, April 2, 2007 Today’s Questions Medical Aid-$282 billion Cash Aid-$102 billion

Welfare Programs Next Time: Monday, April 2, 2007 Today’s Questions Medical Aid-$282 billion Cash Aid-$102 billion www.phwiki.com

Welfare Programs Next Time: Monday, April 2, 2007 Today’s Questions Medical Aid-$282 billion Cash Aid-$102 billion

Sirten, Catt, Midday On-Air Personality has reference to this Academic Journal, PHwiki organized this Journal Welfare Programs Today’s readings: Schiller Ch 12, Welfare Programs House Ways in addition to Means Committee 2004 Green Book, http://www.gpoaccess.gov/wmprints/green/2004.html DeParle, Ch 15: Caseworker XM128W: Milwaukee, 1998-2000 Next Time: Monday, April 2, 2007 Readings: DeParle, Ch 16: Boyfriends: Milwaukee, Spring 1999 Today’s Questions What means-tested welfare programs are available as long as poor people in the United States How much do these programs cost How many people are helped by these programs How are welfare benefits determined

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What means-tested welfare programs are available as long as poor people in the U.S. Federal in addition to State governments funded 85 welfare programs in FY 2002 at a total cost of $522 billion. Federal Share: 71% State in addition to Local Share: 29% The means-tested programs fall into 8 different categories. Source as long as Slides 3-24: House Ways in addition to Means Committee 2004 Green Book, http://www.gpoaccess.gov/wmprints/green/2004.html Eight Categories of Welfare Programs in addition to Total Costs, 2002 Medical Aid: $282 billion, 54% Cash Aid: $102 billion, 20% Food Aid: $39 billion, 7% Housing Aid: $36 billion, 7% Education Aid: $30 billion, 6% Other Services: $22 billion, 5% Jobs in addition to Training Aid: $8 billion, 2% Energy Aid: $2 billion, 0.3% Medical Aid-$282 billion

Cash Aid-$102 billion Food Aid-$39 billion Housing Aid-$36 billion

Housing Aid, cont. Education Aid-$30 billion Other Services-$22 billion

Jobs in addition to Training Aid-$8 billion Energy Aid-$2 billion Analysis of spending 54 cents of every welfare dollar went as long as medical assistance 80% of State in addition to Local dollars went to medical aid Spending in each of 6 programs exceeds $10 billion in addition to accounts as long as 77 percent of total spending.

7 largest programs by amount spent Medicaid ($258 billion) SSI ($39 billion) EITC ($28 billion) Food Stamps ($24 billion) TANF cash, ,services, child care, in addition to work activities ($24 billion) Section 8 low-income housing assistance ($18 billion) Pell Grants ($11) Trends in Spending Real spending as long as cash in addition to non-cash programs increased by 523 percent from FY1968 to FY2002. Real spending as long as cash in addition to non-cash programs increase 36 percent between FY1992 in addition to FY2002. Average annual rate of growth over this 32 year period was 5.5 percent. The U.S. population increased by 43 percent over this period. Real total per capita spending grew from $416 in FY1968 to $1,826 in FY 2002.

Spending Trends by Type of Aid FY1968-FY2002 (Constant FY 2002 Dollars) Medical+Cash+Food+Housing Aid=.88 x Total Spending Trends in Spending by Level of Government, FY1968-FY2002 (Constant FY 2002 Dollars) Trends in Federal Spending FY1968-FY2002 (Constant FY 2002 Dollars) Real Federal spending climbed from $60 billion in FY1968 to $373 billion in FY 2002, an increase of 529 percent. Cash aid was the leading as long as m of Federal welfare until 1980 when medical aid overtook it.

Trends in State in addition to Local Spending FY1968-FY2002 (Constant FY 2002 Dollars) State in addition to Local real spending climbed from $24.5 billion in FY1968 to $149 billion in FY2002, an increase of 508 percent. Medical assistance overcame cash aid as the leading as long as m of income-tested assistance in1976. Share of Federal Budget used as long as Income-Tested Aid, FY1968-2002

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Participation in Means-tested Programs, 2002 We do not have an unduplicated count of welfare beneficiaries Average 2002 monthly numbers: Medicaid: 50.9 million persons Food stamps: 20.2 million recipients SSI: 6.9 million recipients TANF: 5.1million recipients EITC: 16.8 million tax filers Source: CBO Economic in addition to Budget Issue Brief, “Changes in Participation in Means-Tested Programs” http://www.cbo.gov/ftpdocs/63xx/doc6302/04-20-Means-Tested.pdf Predicting Future Participation Assuming no legislative changes, future levels of participation in means-tested welfare programs will depend on: Demographic trends Distribution of income The state of the economy

Participation in Means-tested Programs by Poor Persons, 2002 Census Bureau found 23 million poor persons (two out of every three with pre-tax money income below the poverty threshold) lived in a household that received means-tested assistance. Percent of the poverty population living in a household that received: Medicaid: 53 percent Food Stamps: 33 percent cash assistance: 22 percent Subsidized or public housing: 18 percent Participation by Total Population, 2002 Percent of the total population living in a household that received: Medicaid: 19 percent Food Stamps: 6 percent cash assistance: 7 percent Subsidized or public housing: 4 percent Some as long as m of major means-tested aid: 25 percent Eligibility vs. Participation To be eligible, a person, family or household must satisfy conditions regarding Citizenship Demographic characteristics (children present) Countable income Accumulated wealth (assets including cars, homes, insurance policies, bank accounts) Employment status

Source: House Ways in addition to Means Committee 2004 Green Book, p. 89 http://www.gpoaccess.gov/wmprints/green/2004.html

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