The Impact of Social Welfare Programs

Abstract

This article briefly reviews the conservative, liberal and radical approaches to social welfare programs, and compares these with empirical evidence from the USA. Conservatives stress that welfare programs reduce work incentives and undermine individual initiatives. Liberals suggest that cuts in welfare have created increased hardship without changing significantly the incentives to work. The Massachusetts Employment and Training Program is analyzed from both perspectives. The Program does not reduce benefits but instead increases work incentives. The results of this Program are skeptically reviewed by radicals as well as some liberals.