Social Policy

Ch. 17

Who Deserves to Benefit?

• Insistence that it be only those who cannot help themselves

• Slow, steady change in deserving/undeserving line

• Alternative view: fair share of national income; government redistribute money

• Preference to give services, not money, to help deserving poor

Majoritarian Welfare Programs

• Social Security Act of 1935– Great Depression: local welfare relief was

overwhelmed– Election of 1932: FDR and the Democrats• Legal and political roadblocks: was direct welfare

unconstitutional?• Fear of a more radical movements (Huey Long and his

“share our wealth”)

• Medicare Act of 1965

Reforming Majoritarian Welfare Programs

• Social Security– Not enough paying into Social Security– 3 solutions:• Raise the retirement age to 70, freeze the size of

retirement benefits, raise Social Security taxes• Privatize Social Security• Combine first two methods and allow individual

investment in mutual funds

Reforming Majoritarian Welfare Programs

• Medicare– Problems: huge costs and inefficient– Possible solutions:• Get rid of Medicare and have doctors and hospitals

work for government• Elderly take Medicare money and buy health insurance

A Client Welfare Policy: AFDC

• Aid to Families with Dependent Children• Scarcely noticed part of Social Security Act• Federal government permitted states to:– Define “need”– Set benefit levels– Administer program

• New Programs (Food Stamps, free/reduced lunch)• Difficult to sustain political support– States complained about federal regulations– Public opinion turned against program– Composition of program participants changed

2 Kinds of Welfare

• Majoritarian Politics: almost everybody pays and benefits– Social Security and Medicare

• Client Politics: almost everybody pays, relatively few benefit– AFDC

Save the Last Word for Me

Take 20 – 25 minutes to read “Flat Broke with Children” in your Lanahan

Reader (pg. 617)

Save The Last Word For Me

AlexAnthonyBobbeyLauren G.

KellyEmmaAaronLucy

HelenVictoriaTrevorHannah

KayDeeNathanDavidAvery

You will complete this “protocol” with your assigned group.