Welfare rolls declined after Temporary Assistance for Needy Families became law in 1996, and there was widespread consensus that its reforms were a bipartisan success story. But the onslaught of the Great Recession exposed serious flaws in the law. This memo describes a two-part solution based on experience and evidence.
Subsidized employment programs use public funds to create jobs for the unemployed. This two-page memo describes how they can provide short-term income support to individuals with serious barriers to employment or to broader groups during poor economic times — while having positive effects on reducing recidivism, increasing child support payments, or reducing reliance on welfare.
In this essay, originally published in Spotlight on Poverty and Opportunity, Dan Bloom reviews what research says about subsidized jobs programs – and how they can be a strategy both for tough economic times and for the hard-to-employ in better labor markets.
The Council of Economic Advisers on Inequality and Structural Unemployment
MDRC hosted a colloquium to celebrate our 40th anniversary and the contributions of former Board Chair Robert Solow. This issue focus summarizes a panel presentation featuring former Council of Economic Advisers members Robert Solow, Joseph Stiglitz, and Alan Krueger recounting the Council’s role in economic policy over the years.
Labor Market Challenges for Low-Income Adults
MDRC hosted a recent colloquium to celebrate our 40th anniversary and the contributions of former Board Chair Robert Solow. This issue focus summarizes a panel presentation, featuring David Autor, Mary Jo Bane, David Card, and Lawrence Katz, on the current economic climate and how MDRC’s research can address today’s problems.
In this commentary published by Spotlight on Poverty, MDRC President Gordon Berlin makes the case for creating a more flexible safety net that continues to reward work when jobs are plentiful, provides employment to poor families when jobs disappear, and begins to address the problem of stagnant wages at the low end of the labor market.
Using an alternative to classical statistics, this paper reanalyzes results from three published studies of interventions to increase employment and reduce welfare dependency. The analysis formally incorporates prior beliefs about the interventions, characterizing the results in terms of the distribution of possible effects, and generally confirms the earlier published findings.
The Effects of Program Management and Services, Economic Environment, and Client Characteristics