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The Shortcomings of a Work-Biased Welfare System, No. 21-15

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The Shortcomings of a Work-Biased Welfare System, No. 21-15

DATE: May 2021

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ABSTRACT: The recently passed American Rescue Plan Act has once again brought attention to the U.S. welfare system. This EB provides an overview of the welfare system — including recent changes — and assesses the system's effectiveness in achieving its goals. The brief highlights a "work bias" that is embedded in many U.S. welfare programs and has both intended and unintended effects on the system's ability to combat poverty.

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Macaluso, Claudia and Federal Reserve Bank of Richmond. "The Shortcomings of a Work-Biased Welfare System, No. 21-15," Economic Brief (May 2021). https://fraser.stlouisfed.org/title/6034/item/602954, accessed on August 17, 2022.

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