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| Tuesday, 17 October, 2000, 10:59 GMT 11:59 UK Campaign issues: Welfare reform
Since 1996, America has been undergoing a vast experiment in reforming welfare by ending automatic entitlements and trying to create greater incentives to get people back to work. The American welfare system - designed to focus on the poor, particularly mothers and children - has always been fundamentally different to those in Europe. It is a reflection of the importance of individual self-reliance in American culture.
But even this relatively limited system of welfare has become increasingly unpopular and subject to political attacks. Critics argue that the system fosters a dependency culture, creating a self-perpetuating underclass with no incentive to go to work. The 1996 welfare reform bill ended the tradition of guaranteeing relatively uniform federal assistance to the poor across the nation, devolving responsibility to the state level and introducing a new, tougher set of criteria for receiving benefits. Five year limit The rules ended automatic entitlement and required that most recipients need to find work within two years of receiving assistance or lose benefits and limited most assistance to a total of five years across a lifetime.
This diversity has made it hard to establish what is going on and there are concerns that many people are simply disappearing off welfare rolls and are never seen again. There is also some evidence that the very poorest have suffered under the new system. But on the whole, welfare reform has been seen as an enormous success, exceeding almost all expectations and dramatically reducing the number of people on welfare rolls. The real test for the system is likely to come when the economy weakens and pressures increase. |
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