The Impact of Grants-in-Aid on State Income Maintenance Decisions.

by Frank A. Sloan

Purchase Print Copy

 FormatList Price Price
Add to Cart Paperback123 pages $30.00 $24.00 20% Web Discount

An analysis of state government decisionmaking concerning public expenditures on public assistance. A model is developed that maximizes the collective utility of public expenditure and revenue decisions, in terms of achieving a desired income distribution. The model departs from previous analyses in that public expenditures per se are not the sole arguments of the preference function. A payment maximum variable is defined that determines who is eligible for public aid and how much aid is available. A caseload-public assistance model is presented, based on expenditure response to changes in public assistance standards. Experiments with the model indicate that a flat grant, based on state population, to states and localities would result in some tax relief and some added public expenditures, and that less than 10 percent of these funds would go to added public assistance expenditures. 123 pp. Bibliog.

This report is part of the RAND Corporation Report series. The report was a product of the RAND Corporation from 1948 to 1993 that represented the principal publication documenting and transmitting RAND's major research findings and final research.

Our mission to help improve policy and decisionmaking through research and analysis is enabled through our core values of quality and objectivity and our unwavering commitment to the highest level of integrity and ethical behavior. To help ensure our research and analysis are rigorous, objective, and nonpartisan, we subject our research publications to a robust and exacting quality-assurance process; avoid both the appearance and reality of financial and other conflicts of interest through staff training, project screening, and a policy of mandatory disclosure; and pursue transparency in our research engagements through our commitment to the open publication of our research findings and recommendations, disclosure of the source of funding of published research, and policies to ensure intellectual independence. For more information, visit

The RAND Corporation is a nonprofit institution that helps improve policy and decisionmaking through research and analysis. RAND's publications do not necessarily reflect the opinions of its research clients and sponsors.