Assessing Regional Effects of Income Maintenance Programs

A Guide to Policy Analysis

by Julie DaVanzo, David H. Greenberg

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Discusses possible income maintenance program provisions and their effects on (1) state and local welfare budgets, (2) geographical allocation of federal transfer payments to the poor, (3) migration, (4) labor supply, (5) investments in human capital, such as education and training, (6) consumption patterns, (7) marriage, and (8) fertility. Among the program provisions discussed are coverage, exemptions, work regulations, tax rates (deductions for amounts earned), guarantee levels, and accounting periods. Various types of socioeconomic indicators that policy analysts can use in conveying program effects to policymakers are examined. Recent efforts to actually measure program effects are briefly described, and the difficulties inherent in such efforts are discussed. Particular emphasis is placed on the subnational implications of income maintenance programs. (Based on R-1211.)

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