"The Effects of the Earned Income Tax Credit on Children’s
Income and Poverty: Who Fares Better?"
Rebecca Y. Kim
Ohio State University
Abstract: The Earned Income Tax Credit (EITC) has emerged as a central program for
low-income families with children since its incremental expansion was fully implemented
by 1996. This study examined the contribution of the fully expanded EITC to the
children’s economic well-being through two measures: (1) the effect on disposable
income and (2) the effects on the poverty rate and the poverty gap. The study found
that for all American children under age 18, the EITC provided little increase in
disposable income (1.2%) but a modest reduction in child poverty (15%). For recipient
families with children under age 18, the EITC had a greater impact: a 10% raise
in disposable income and a 27% reduction in the poverty rate. Comparing the relative
increase in disposable income for different groups of recipient families, the EITC
particularly favored families of single mothers or young parents, welfare families,
the extreme poor, and large families. However, these groups fared least well in
terms of the EITC’s relative effect on poverty. From these findings, the study
concludes that the current EITC is insufficient in the fight against a high incidence
of child poverty. To improve its anti-poverty effectiveness, several policy changes
are proposed: (1) extension of the maximum credit to recipients in the phase-in
range; (2) adoption of variable credit rates as a function of the number of children;
and (3) creation of a new child grant for poor children who are currently ineligible
for the EITC.
"Measures of Material Hardship: Rationale and Recommendations"
Sondra G. Beverly
University of Kansas
Abstract: Although there has been much discussion in the United States regarding
the definition of economic poverty, we continue to measure poverty almost exclusively
in terms of current income. However, there are many reasons to supplement measures
of income-poverty with measures of material hardship. First, material hardship and
income-poverty represent alternative conceptions of poverty. Second material hardship
is of both normative and instrumental concern. Third, hardship measures are useful
tools for policy analysis, particularly in the context of welfare reform. Specific
recommendations for developing and using hardship measures are presented.
"Debunking Deficiency Theories: Evaluating Non-Traditional
Attitudes and Behavior among Residents in Poor Urban Neighborhoods"
Sandra L. Barnes
Purdue University
Abstract: Although Oscar Lewis’ (1966) "Culture of Poverty" thesis
has been largely debunked, pathologies are still associated with residents in poor
urban neighborhoods, in general, and African-American residents, in particular.
Some studies challenge these views and suggest that residents often exhibit mainstream
attitudes and behavior. In this study, the Urban Poverty & Family Life Survey
is used to investigate life dimensions by race and neighborhood context. Results
dispel common misconceptions by showing statistically and substantively insignificant
differences between most variables. These findings suggest the need to re-evaluate
the ways in which race and concentration effects have been examined and to evaluate
a broader set of indicators to better capture the nuances of life in poor urban
neighborhoods.
"Poverty, Battering, Race, and Welfare Reform: Black-White
Differences in Women’s Welfare-to-Work Transitions"
Lisa D. Brush
University of Pittsburgh
Abstract: Poverty and battering trap women. Poor battered women find it especially
difficult to move quickly from welfare to work and therefore to comply with the
requirements of welfare reform. Interviews with the population of Black and White
women enrolled at six sites of a short-term job readiness program (N=122) revealed
a significant association between battering and welfare-to-work transition. Women
threatened or battered severely enough to have sought a protective order had three
times the drop out rate of other enrollees. Black-White differences in program participation
outcomes and in patterns of battering and its consequences were few but striking.
White women dropped out more frequently than did Black women. There were no significant
Black-White differences in reported violence and injury. However, White women reported
significantly higher rates of some nonviolent abuse, specifically threats enforcing
their conformity to traditional notions of maternity, domesticity, and economic
dependence on men. According to colorblind models of battering, Black-White differences
are either artifacts of reporting or are unpredicted and inexplicable. I interpret
Black-White differences in the context of structural and institutional factors rather
than individualistic racial stereotypes. Both White and Black battered women may
need help with safety planning and should not be sanctioned if battering derails
their compliance with welfare reform timetables. However, Black women will benefit
even more from structural changes that make waged work a more viable route to safety
and solvency.
"Challenging Depictions of Dependency: TANF Recipients React
to Welfare Reform"
Sophia Z. Lee
Early Head Start, New York
and
Laura S. Abrams
University of Minnesota
Abstract: In the debate preceding welfare reform, a consensus emerged that welfare
receipt promotes an unacceptable and unhealthy dependence while work in the formal
economy leads to a preferable state of independence. Feminist welfare theorists
have challenged this equation. This article presents three major findings from focus
groups with welfare recipients that demonstrate that recipients are also engaged
in challenging popular concepts of welfare dependency. Participants’ perceptions
were (1) that welfare receipt does not imply total dependence, (2) that work does
not guarantee independence, and (3) that there is an interdependence among recipients
and the welfare state.