Midterm

Question 1

Hull House

Answer 1

Jane Addams established the Hull House in Chicago, IL in 1889. She and other reformers moved into poor neighborhoods to understand the social and economic environment. They believed that poverty was the result of social and economic inequalities inherent in industrial society.

The Hull House was intended to close the gap between the classes and did this through research, reform, and residence. The services provided included: classes, medical services, day cares, art galleries, libraries, and employment offices. The reformers advocacy for child welfare ultimately helped to improve working conditions.

Question 2

Six Sectors of Helping

Answer 2

Kinship
Religion
Workplace
Marketplace
Mutual Assistance
Government

Question 3

Milton Friedman

Answer 3

The father of modern conservative economics. He believed public spending was too high. As an individualist, he believes the role of government is to keep the money supply growing at a steady rate that is consistent with stable prices and long-term economic growth. This is in contrast to what he thought the government was doing, which was pumping money into the economy for social welfare. He believed that this lack of money in circulation caused the Depression.

Question 4

John Kenneth Galbraith

Answer 4

Galbraith believed public spending is not high enough because of the Dependency Effect, his idea that the majority of spending goes to needs that are contrived due to advertising. He supported tax increases because he believed we could decrease individual spending and increase public spending.

Question 5

James Buchanan

Answer 5

Buchanan believed public spending was too high due to the public choice theory, which is the idea that public spending doesn’t go where it needs to, but rather is at the whim of politicians. These politicians do not want to lose re-election and thus do not want to say “no” to public interest groups who fund the politicians’ re-election efforts.

Buchanan observed the increasing debt and thought that money should be directed in different ways to prevent it from flowing directly to special interest groups.

Question 6

Dependence Effect

Answer 6

The idea that production creates the wants it seeks to satisfy through advertising. Consequently, production does not meet the public demands and creates waste.

Question 7

Goals of the Welfare State

Answer 7

Asa Briggs specified three particular goals for the welfare state and three corresponding forms of policy.

Economic Security
Goals: To buffer people from large drops in their standard of living when their income is interrupted.
Policies: Social security, which is social insurance against illness, unemployment, disability, retirement, and death of a spouse.
Beneficiaries: the working population, retirees, and their dependents

Material Sufficiency
Goals: To guarantee individuals and families a minimum income irrespective of the market value of their property, known as the ‘antipoverty goal’.
Policies: Public assistance, which is delivered in the form of cash relief or social services.
Beneficiaries: The poor and disadvantaged

Basic Services
Goals: To ensure access to critical goods and services
Policies: Education, health care, housing, and nutrition
Beneficiaries: All citizens

Question 8

Progressive Tax

Answer 8

Proportional to a person’s income, i.e. the income tax.

Question 9

Regressive Tax

Answer 9

Everyone pays the same amount regardless of income, i.e. sales tax.

Question 10

Social Security

Answer 10

Social security falls in between progressive and regressive tax.

The payroll tax that finances social security is progressive at the point of allocation in that those earning and contributing the smallest amount receive proportionally more benefits than those earning and contributing more. Retired low-wage workers earn 58% of their former monthly wage, for instance, compared with high-income workers who earn 22%.

The payroll tax that finances social security is regressive at collection because all workers pay the same 4.2% of their earnings up to $106,800, after which earnings are not taxed. So someone making $106,800 is tax the same as someone making $10 million.

Social Security is in a dilemma because around 2041, the annual expenditures will exceed annual revenues and the Trust Fund will be diminished as it is called upon to cover the difference. There have been two major suggestions for reform: privatization and broadening the funding base.

Question 11

Earned Income Tax Credit

Answer 11

EITC is a tax credit that supplements income for low-middle income wage workers, often described as the working poor. The credit is based on the past year’s earning and number of dependents. The earning celiing in 2009 was about $40,000. It excludes the poor who are unemployed or do not earn enough to file a return.

Question 12

Housing Mortgage Interest Deduction

Answer 12

This was designed for low-middle income wage workers. like the EITC. This deduction provides a tax break for homeowners, which historically benefits middle and upper class people. This obviously excludes any one who isn’t a homeowner, which is most poor people.

Question 13

Social Provisions

Answer 13

The nature of social provisions shifted from intangible and limited to concrete and diversified. Casework is considered a limited ‘soft’ service and it was deemphasized in preference for concrete and hard services.

Question 14

Residual

Answer 14

The traditional (i.e. residual) view is that:

• social welfare itself is not a significant societal institution
• a temporary response only when the ‘normal’ helping channels fail to perform appropriately
• undesirable and expendable.

Question 15

Institutional

Answer 15

The institutional view is that:

• social welfare is an integral and normal first line function of modern industrial society
• It is a primary means by which everyone fulfills their needs

Question 16

Allocative Principles

Answer 16

The conditions under which social provisions are made accessible to individuals and groups in society.

Attributed Need: Eligibility is conditional on membership in a group that is deemed as needy by societal norms, i.e. the elderly or unemployed.

Compensation: Eligibility is conditional on membership in groups that have made special social and economic contributions to society (i.e. veterans) or who have suffered unfairly from harm (i.e. victims of racism or sexism).

Diagnostic Differentiation: Eligibility is conditional on professional judgements (diagnosis) of individual cases where special goods or services may be needed, i.e. the mentally or physically impaired.

Means-Tested Need: Eligibility is conditional on an individual’s inability to purchase goods and/or services.

Question 17

Marxist Perspective

Answer 17

The welfare state is a capitalist form of self-protection because:

• It subdues the revolutionary tendencies
• Moderates class conflicts
• Protects the interests of the elite
• It subsidizes a barely sustainable form of work that exploits the worker

Question 18

Dimensions of Choice

Answer 18

Social welfare policies can be interpreted as choices among principles determining what benefits are offered, to whom they are offered, how they are delivered, and how they are financed.

1. What are the bases of social allocations?
2. What are the types of social provisions to be allocated?
3. What are the strategies for the delivery of these provisions?
4. What are the ways to finance these provisions?
5. What are the social values that support them?
6. What theories or assumptions underlie these?

Question 19

Economic Market

Answer 19

Benefits in capitalist society are distributed through the economic market on:

1. individual initiative
2. ability
3. productivity
4. desire for profit

Question 20

Charles Murray

Answer 20

He argues for “The Plan”, in which the full array of health, social, and financial support services would be replaced by cash. Every American adult over 21 would receive $10,000 to be responsible for their own lives. He believed this would cost considerably less, eliminate poverty, and ensure health and retirement security.

Question 21

SIME/DIME

Answer 21

Seattle Income Maintenance Experiment
Denver Income Maintenance Experiment

The largest and most controlled income maintenance experiment in history. It suggested that guaranteed income provides a perverse incentive because compared to the control group, families receiving income grants worked significantly fewer hours per year. It also questioned the theory that guaranteed income increases marital stability because divorce rates rose.

Question 22

Proxy Shopping

Answer 22

Used to introduce market competition into purchase-of-service arrangements. Through this method the government contracts only with providers who are able to attract paying customers. They reason that if consumers are willing to pay for the services then cost and quality will be regulated and therefore competitive with the market. The problem is that there isn’t always enough suppliers to form a competitive market.

Question 23

Elizabethan Poor Law of 1601

Answer 23

This law made individual parishes responsible for their poor. Defined categories of dependents and local parishes were obligated to provide relief.

1. Needy children, who were provided apprenticeships so that they could become productive citizens
2. Able-bodied poor, who were sent to work
3. Worthy poor, who were provided with indoor (almshouses) or outdoor relief

Similar to AFDC because it established a category of worthy poor, people who were eligible to receive cash grants without anything in return.

Question 24

SSI

Answer 24

Supplemental Security Income

• It provides cash assistance to those who are poor based on mitigating circumstances such as the elderly, blind, and disabled.
• Federally financed and administered through categorical grants. Funding is adjusted annually for inflation and is uniform across states. States do occasionally supplement the payments.
• Assistance is not time-limited, except in cases where recipients are disabled by drug and alcohol addiction. In that case, they are only eligible for 36 months.

Question 25

GA

Answer 25

General Assistance - It provides cash and in-kind assistance to meet short-term or ongoing needs of low-income people ineligible or waiting approval for federally funded assistance. Most states limit GA to severely poor, though eligibility benefits vary across states and sometimes counties - State financed and and locally administered. As a result, some states don't have GA. - Nearly all states that provide GA to able-bodied adults, require recipients to work in order to maintain benefits.

Question 26

Federal Housing

Answer 26

There are two primary forms of federal housing assistance to the poor

Question 27

Individualists

Answer 27

Individualism is a philosophical orientation most often associated with conservative politics and that emphasizes the the pursuit of individual interests. Other characteristics of this perspective: - Problems reflect bad choices, personal dysfunction, culture of poverty - Unregulated markets and private property ensure prosperity and welfare - Residual perspective, government should be small - Provide a minimum safety net focused on the poor; rely on market, voluntary, and religious arrangements Individualists value cost effectiveness, freedom of choice, freedom of dissent, and local autonomy. For these reasons, they are pro-cash and would even support the use of vouchers. In-kind benefits undermine personal responsibility.

Question 28

Collectivists

Answer 28

Collectivism is a philosophical orientation most often associated with liberal or progressive politics and that emphasizes the importance of common action on behalf of common goals. Other characteristics of this perspective: - Problems reflect fundamental socioeconomic circumstances, barriers to access, lack of opportunity - Unregulated markets create dangerous economic cycles, unemployment, urban blight, poverty and inequality, and environmental degradation - Institutional perspective, government should be large enough to advance social welfare on behalf of the broad community - Provide broad program coverage to insure full opportunity, economic security, and basic social goods; rely on public leadership Collectivists value social effectiveness, social control, efficiency, and centralization. For these reasons, they are pro in-kind benefits. In-kind benefits allow for the redistribution of basic social goods. Collectivists are also proponents of vouchers because they allow for the exercise of social control.

Question 29

Speenhamland Act of 1795

Answer 29

Speenhamland Act was the first wage subsidy. It established a minimum standard of living, which at the time was the amount of earnings needed to buy two loaves of bread. However, it did not mandate a minimum wage. Consequently, employers abused this law and dropped their wages knowing that their employees would receive a subsidy. It is similar to the EITC because it is an income subsidy for the working poor.

Question 30

Mechanical Solidarity

Answer 30

Emile Durkheim developed the idea of mechanical solidarity, which refers to the homogenous norms and values in pre-industrial society that resulted from people having similar work, educational, and religious experiences. The social cohesion, a sense of solidarity, was based on these common norms and values. In industrial society, there was a division of labor and interdependence among community members. New forms of social cohesion formed that were organic rather than mechanical.

Question 31

Private Safety Net Account

Answer 31

Dennis Snower proposed a radical privatization of social welfare through the development of private safety net accounts, which would be financed through normal tax collection. He believed this would be more advantageous because it provides greater liquidity and flexibility as well as gives responsibility to the individual. This is in contrast to public benefits that only 'belong' to a person if they need access in times of dire need (i.e. unemployment).

Question 32

1662 Law of Settlement

Answer 32

The 1662 Law of Settlement stated that a person had to have a 'settlement' in order to obtain relief from a parish. This could be secured by birth in the parish, marriage (in the case of a woman), and working in the parish for a year and a day. The law restricted movement between parishes by requiring people to secure permission from another parish before moving. Furthermore, if a migrant was deemed to not be contributing enough to the new parish, they could be sent back to the old parish. This law addressed the issue of migration to areas that provided higher benefits and forced parishes to take responsibility for their poor. The issue of immigration continues to plague modern day policy makers in San Francisco County and border states in general.

Question 33

Reverend Charles Loring Brace

Answer 33

Reverend Charles Loring Brace founded the Children's Aid Society in 1853 in New York City. He started the program to aid needy children, fight juvenile delinquency, and protect the property of wealthier families. Brace started emigrant parties, also known as orphan trains, which shipped immigrant children from New York City to farms in the Midwest and West. It was controversial for several reasons: - Foster families in the Midwest were not screened, which allowed for children to be overworked, abused, and undereducated. - Biological families often were not consulted or aware that they were permanently terminating parental rights. Some families preferred their children to not be so far. - Children that ran away yet again became a burden on local welfare systems - The Catholic Church thought it was a ploy to convert children from Catholicism to Protestantism

Question 34

Dr. Abraham Flexner

Answer 34

At a conference in 1915, Dr. Flexner stated in a paper that social work is not a profession because it lacked a written body of knowledge and educationally communicable techniques. Social workers also did not have individual responsibility, meaning anyone could do it.

Question 35

Mary Richmond

Answer 35

She wrote Social Diagnosis in response to Dr. Flexner's paper that stated social work is not a profession. This book stated social work's scientific methodology. She used a medial model to describe how social workers investigate, diagnose, and treat. This casework approach sought to reform individuals so that they could become contributing members of society using middle-class values as a guide. Proponents of this view, also known as 'friendly visitors', emphasized the social environment and financial distress as the root of the problem. Distinctions were drawn between the worthy and unworthy poor. Mary Richmond also worked for Charity Organization Societies (COS).

Question 36

Means-Test

Answer 36

Eligibility is conditional on an individual's inability to purchase goods and/or services, like for public housing or food stamps. We often think of means-tested programs as a way to provide a safety net for the poor, but many public benefits are distributed rather significantly up the income ladder. A standard of need has to be defined. Proponents of means-testing consider it a way to safeguard against abuses of welfare. Detractors consider means-testing stigmatizing and shaming for recipients because it is often only applied to unpopular groups, such as the poor. They also argue it divides society into two groups, the givers and the takers. Finally, they argue that it is administratively costly.

Question 37

Preferential Selection

Answer 37

- This practice is often termed 'creaming' of clients, meaning a selection of clients that are most likely to be successful users of a service. Clients who are more likely to benefit will make the program look more successful. - In an organization focused on minimizing costs, the expensive client may get dumped. This has a particularly negative effect on uninsured or government insured patients. - This often occurs in a competitive organizational climate. The concern with privatization is that it will promote preferential selection.

Question 38

Privatization

Answer 38

The alternative of having a service delivered directly by a public agency or indirectly through contracting with a private provider (voluntary and for-profit agencies). Proponents of privatization argue it's a more efficient approach to the production and delivery of social services. However, normal market incentives are not created because the consumers do not pay for the service. As a result, consumers cannot demand improved cost or quality. The U.S. has seen a shift toward privatization.

Question 39

Performance Contract

Answer 39

Performance contracting is used in third-party purchase of services. The performance contract is an evaluation based on the outcome of clients. Critics think this can lead to preferential selection.

Question 40

Third-Party Purchase

Answer 40

Third party purchase of service arrangements is when the government hires a private agency (for-profit or nonprofit) to manage social services for welfare recipients. The third party exists in the market and therefore is not motivated by client needs. Instead, the third party is motivated by cost, profit, efficiency, and performance contract (evaluation based on the outcome of clients). Challenges: i. The third party could engage in creaming or preferential selection, meaning that clients are selected based on how easy they are to serve or how successful they will be, not based on their need. ii. Normal market incentives are not present because the clients do not have a say in the services they receive and are often ill informed. Clients are not able to demand better cost or quality by taking their business elsewhere as they would in the economic market. This leaves the consumer with very little power.

Question 41

Numerical Equality

Answer 41

Numerical equality is equal distribution to all regardless of status, income or classification.

Question 42

Proportional Equality

Answer 42

Proportional equality is the same treatment of similar persons according to their merit or virtue, it represents the capitalist ethos. For ease in language, Gilbert refers to proportional equality as equity.

Question 43

Distributive Justice

Answer 43

Three core values shape the design of policy to serve the aim of distributive justice. Equality - (numerical equality) to all an equal share, which does not ensure equal results for everyone Ex: fair housing legislation Equity - (proportional equality) to each according to their merit, only modified by special consideration for those whose inability to contribute is not of their own making which is stressed through the doctrine of less eligibility Adequacy - to provide a decent standard of physical and spiritual well-being, which vary according to time and circumstance Ex: poverty line

Question 44

Charity Organization Societies

Answer 44

This organization sent social workers out to the homes of the poor as 'friendly visitors' to provide moral and spiritual guidance.

Question 45

AFDC

Answer 45

Aid to Families with Dependents and Children ensured a basic level of support for impoverished families. It also encouraged states to contribute because the more money they put in, the more they received from the Federal government. AFDC operated under the principle of entitlement, which meant that states were required to provided assistance to anyone eligible under the law. AFDC funding was open-ended and benefits would run out when the youngest child turned 18. AFDC incorporated the doctrine of less eligibility through the 1967 Social Security amendments that establish the WIN (work-incentive) program. WIN provided training and employment to appropriate individuals, including mothers receiving welfare. The guiding principle was that those who work and do not work should not be treated the same, one was more worthy than the other. Eventually in 1996, AFDC became TANF as the idea of equity changed from supporting mothers who worked at home as mothers to expecting all mothers to seek paid employment in the labor market.

Question 46

TANF

Answer 46

Temporary Assistance for Needy Families began in 1996 and added the 'workfare' criteria to AFDC. Under TANF, no one is entitled to assistance and there are very specific requirements. This is due to the change in federal funding from matching grants based on need to block grants with set limits and caps, regardless of the changing needs of the state. TANF has a lifetime limit of 5 years and 2 year consecutive limit without employment. States have the power to change rules of eligibility, which means that they can exclude more categories of the poor.

Question 47

Poor Law Reform Bill of 1834

Answer 47

This bill forced people to work and sent them to workhouses, a work oriented reform which imposed time limits on receiving cash benefits. Epitomizes a punitive attitude toward the poor because poverty is seen as an individual moral failing, which is a change from previous Poor Laws. This was the first expression of the doctrine of less eligibility. Can be compared to TANF.

Question 48

Aramony Scandal

Answer 48

William Aramony was the CEO of United Way and in 1992 journalists reported that he was supplementing his $400,000 salary (plus benefits) with perks paid for by the United Way funds. These perks included a penthouse, limousine service, vacations, and the creation of three independent corporations (one which later employed his son). In 1995 Aramony and two associates were found guilty of multiple counts of conspiracy, fraud, and filing false tax returns as well as to have misappropriated $1.2 million in United Way funds. He was sentenced to seven years in federal prison and fined $522,000. This scandal drew attention to improprieties within the philanthropic community and fostered distrust. Donations to the United Way fell and nonprofits reliant on their funds were affected.

Question 49

Justifications for Government Intervention

Answer 49

1. Night watchman or umpire: The government serves as an umpire or regulator and imposes rules so that the market operates fairly and citizens are protected from external enemies. EX: Food & Drug Administration 2. Technical Monopoly: The government runs those functions that are best dealt with by a single provider because competition would create chaos and isn't feasible or efficient. EX: postal service 3. Neighborhood Effects: The benefits of services can't be limited and there is no way of controlling consumption. EX: parks, police, and fire 4. Paternalism: Helping those who can't help themselves. EX: elderly, disabled, children 5. Redistribution: Allocation of resources to limit inequality 6. Stabilization: Ensures a stable economy

Question 50

Doctrine of Less Eligibility

Answer 50

A principle that people receiving government aid should not receive more than the least paid worker because this would raise their status and conditions. This was first expressed as part of the Poor Law Reform Bill of 1834 and was incorporated into the 1967 Social Security amendments that established WIN. This doctrine is the epitome of the attitude that poverty is a result of individual failings. It is a punitive attitude because the hope is that conditions will be so severe that the recipient will want to find work.

Question 51

Selectivity

Answer 51

Selective benefits are made available on the basis of individual need, usually determined by a test of income. EX: public assistance, public housing Selectivists view social policy as carefully targeted beneficiaries and that benefits should be restricted.

Question 52

Universalism

Answer 52

Universal benefits are made available to an entire population as a basic right. EX: public education, social security Universalists view social policy as society's proper response to those ordinary life problems faced by all members of the community. According to them, the proper aim of the welfare state is to organize broad programs of response, which everyone is entitled to as a social right.

Question 53

Organismic View

Answer 53

The organismic view of the public interest believes there is an ideal public interest that transcends specific preferences and interests of individuals composing the public body. It is a view that society is a unitary organism that functions similarly to the human body.

Question 54

Individualistic View of the Public Interest

Answer 54

There is no single public interest and there are many different publics with different interests. The public interest is a momentary compromise and is always shifting.

Question 55

Poverty Line

Answer 55

The poverty line is formulated by taking the minimum amount of money necessary to sustain a nutritious diet and multiplying that by three. This number was adjusted for family size and is increased annually to account for inflation. This calculation does not take into account in-kind benefits, earned tax credits, income taxes, or work related expenses. The federal poverty line was first developed in the early 1960s and reflects economic and social realities completely different from those faced by families today. It was based on the assumption that poor families required one-third of their income for food. The initial calculation was based on a two-parent family model with one stay-at-home parent.

Question 56

Elite Philanthropy

Answer 56

Elite philanthropy refers to extremely wealthy individuals foundations that have much 'grander expectations'. EX: Bill & Melinda Gates Foundation

Question 57

Bourgeois Philanthropy

Answer 57

Bourgeois philanthropy pursues relatively modest and specific goals. EX: United Way

Question 58

Richard Titmuss

Answer 58

Titmuss designated an approach that sees three complementary systems of welfare. Social Welfare: the provision of a range of publicly sponsored goods and services, such as income support, health, social services, etc. Occupational Welfare: the system of welfare associated with employment, chiefly the workplace benefit arrangements Fiscal Welfare: the income side of the budget that identifies those features of the tax system, such as deductions, exemptions, and credits All three welfare systems share a fundamental goal and collective intervention aimed at meeting individual and societal needs.

Question 59

Social Darwinism

Answer 59

An idea that was popular during the antebellum period. Natural selection, the survival of the fittest, will naturally lead to the demise of the poor. Without subsidies, the poor would die out as they are less fit to survive. Competition for resources is the law of life and the poor have less resources and consequently can't compete. With this line of thinking, subsidizing the poor would be against the laws of nature. It allows the poor to live and produce more rapidly and they may eventually overrun society. Outdoor relief was abolished in many major cities as a result of this thinking.

Question 60

T.H. Marshall

Answer 60

Marshall interprets the growth of welfare in terms of the historic evolution of the meaning of citizenship. According to Marshall, as industrial society developed the bonds tying people to their communities changed. Modern society required a different form of social solidarity and citizenship provided social cohesion. Rights develop through an evolutionary process: 1. Civil rights (i.e. the right to trial by jury) 2. Political rights (i.e. the right to vote) 3. Social rights (i.e. the right to education and welfare)

Question 61

Defined Benefit

Answer 61

A retirement plan set up to pay a fixed amount to eligible employees during their retirement years. It's called defined benefit because the quarterly or annual contribution is based upon an actuarial determination of what the participants' retirements should be, rather than profits. This is a traditional benefit scheme.

Question 62

Defined Contribution

Answer 62

A retirement plan set up so that a percentage of income is invested in the market each year. Retirement income is determined by the amount of money in each individual's account at retirement. If investment return is less than expected, the retirement income may fall short of retirement needs. The most commonly recognized type of defined contribution plan is the 401(k) plan.

Question 63

Social Welfare Policy

Answer 63

A mechanism for allocating benefits outside the economic market. - Social welfare policy involves a social transfer from government to individual, groups, or organizations (unidirectional). - Goods and services are allocated based on need, which provides a result that the market would not produce itself. - It's an effort to redistribute resources.

Question 64

Laffer Curve

Answer 64

Arthur Laffer is a supply side economist who believed that there is an optimal level of taxation at which individuals will still have incentive to work. This optimal level of taxation would increase capital formation and economic activity. This economic activity would in turn lead to higher government revenues. This was popular during Reagan's administration.

Question 65

Tax Expenditures

Answer 65

- Deviations from the normal tax code - The purpose of tax expenditures is to encourage different kinds of valued activities - A system of welfare that is different than direct spending because they tend to benefit people with high incomes, not those most in need. - The magnitude of tax expenditures approaches and even exceeds that of direct spending, which changes our view of who benefits from social transfers and that welfare users are destroying the economy

Question 66

SSA Amendment of 1962

Answer 66

Greater value was placed on providing supportive casework services to welfare clients. Originally this was a way to prevent and reduce dependency. 1996: The Welfare Reform legislation converted public assistance into a block grant. The block grants gave states broad authority to use their funds for social services instead of cash grants. This provided a very significant boost for programs like daycare, transportation, case management, and substance abuse counseling.

Question 67

SSA Amendment of 1967

Answer 67

Greater value was placed on providing 'hard' social services, like job training, childcare, and family planning. The conception of social services was no longer limited to 'soft' services (i.e. case management). There was a need for something more tangible.

Question 68

SSA Amendment 1974

Answer 68

Title XX placed a cap on federal expenditures, prior to this it was unlimited. A new set of eligibility criteria extended entitlements to three categories of people: 1. income maintenance recipients (those receiving public assistance) 2. income eligibles 3. universal eligibles (available free of charge to all without regard to income)

Question 69

Social Services Block Grant

Answer 69

In 1981 federal eligibility requirements were eliminated altogether and states were given free reign to design social service programs. However, allocations were reduced.

Question 70

Market Exchanges

Answer 70

The main principals are competition, ability/productivity, and a desire for profit. There is a reciprocal exchange - money for goods. As a result, there doesn't have to be a decision who is eligible.

Question 71

Social Transfers

Answer 71

The main principal is meeting the needs of individuals. - There is not an exchange, it's a unilateral transfer: people get something and give nothing in return. - There needs to be a decision about who is eligible and resources for financing these services.

Question 72

Indoor Relief

Answer 72

Institutional aid. Modern-day public assistance is a form of relief that carries stipulations of employment. These welfare-to-work criteria address the fear of dependence on programs and the perpetuation of poverty.

Question 73

Outdoor Relief

Answer 73

The poor received money or in-kind benefits while remaining in their homes.

Question 74

Supply side economics

Answer 74

The idea that tax cuts would increase the supply of money in the economy, which in theory would trickle down.

Question 75

Night Watchman

Answer 75

The government serves as an umpire or regulator and imposes rules so that the market operates fairly and citizens are protected from external enemies. EX: Food & Drug Administration

Question 76

Technical Monopoly

Answer 76

The government runs those functions that are best dealt with by a single provider because competition would create chaos and isn't feasible or efficient. EX: postal service

Question 77

Neighborhood Effects

Answer 77

The benefits of services can't be limited and there is no way of controlling consumption. EX: parks, police, and fire

Question 78

Paternalism

Answer 78

Helping those who can't help themselves. EX: elderly, disabled, children

Question 79

Redistribution

Answer 79

Allocation of resources to limit inequality

Question 80

Stabilization

Answer 80

Ensures a stable economy

Question 81

Attributed Need

Answer 81

Eligibility is conditional on membership in a group that is deemed as needy by societal norms, i.e. the elderly or unemployed.

Question 82

Compensation

Answer 82

Eligibility is conditional on membership in groups that have made special social and economic contributions to society (i.e. veterans) or who have suffered unfairly from harm (i.e. victims of racism or sexism).

Question 83

Diagnostic Differentiation

Answer 83

Eligibility is conditional on professional judgements (diagnosis) of individual cases where special goods or services may be needed, i.e. the mentally or physically impaired.

Question 84

Economic Security

Answer 84

Goal of the Welfare State: To buffer people from large drops in their standard of living when their income is interrupted. Policies: Social security, which is social insurance against illness, unemployment, disability, retirement, and death of a spouse. Beneficiaries: the working population, retirees, and their dependents

Question 85

Material Sufficiency

Answer 85

Goal of the Welfare State: To guarantee individuals and families a minimum income irrespective of the market value of their property, known as the 'antipoverty goal'. Policies: Public assistance, which is delivered in the form of cash relief or social services. Beneficiaries: The poor and disadvantaged

Question 86

Basic Services

Answer 86

Goal of the Welfare State: To ensure access to critical goods and services Policies: Education, health care, housing, and nutrition Beneficiaries: All citizens

Question 87

Gemeinschaft

Answer 87

Ferdinand Tonnies, a German sociologist, coined two categories to explain social ties pre and post industrialization. Gemeinschaft describes pre-industrial society: • Relationships based on status (place in society) • Orientation towards customs and traditions • Relationships mostly within the family • Social control through religion

Question 88

Gesellschaft

Answer 88

Ferdinand Tonnies, a German sociologist, coined two categories to explain social ties pre and post industrialization. Gesellschaft describes industrial society: • Relationships based on social contracts and ends to means • Orientation towards new fads • Relationships mostly with the public/strangers • Social control through public opinion