This indicator captures the degree of dependence by examining total family income and the percentage of total family income from means-tested assistance programs.
Figure IND 1a. Percentage of Total Income from Means-Tested Assistance Programs for the Total Population, 1994
Following the format of last year’s first annual report to Congress, this second chapter presents summary data related to twelve indicators of dependence. These indicators differ from other welfare statistics because of their emphasis on welfare dependence , rather than simple welfare receipt. As discussed in Chapter I, the Advisory Board on We
For purposes of this report, the Survey of Income and Program Participation (SIPP) has been used the most extensively and is considered the most useful national survey. Its strengths are its longitudinal design, system of monthly accounting, and detail concerning employment, income and participation in federal income-support and related programs.
Welfare dependence, like poverty, is a continuum, with variations in degree and in duration. Families may be more or less dependent if larger or smaller shares of their total resources are derived from welfare programs. The amount of time over which a family depends on welfare might also be considered in assessing their degree of dependency.
This introductory chapter provides an overview of the specific summary measures of welfare dependence proposed by the Advisory Board. It also discusses summary measures of poverty, following the Board’s recommendation that dependence measures not be assessed in isolation from measures of deprivation.
The Welfare Indicators Act of 1994 (Pub. L. 103-432) directed the Secretary of Health and Human Services to develop indicators of the extent to which American families depend upon income from welfare programs and to publish annual reports on welfare dependency. These reports are to address questions concerning the extent to which American families
The Welfare Indicators Act of 1994 requires the Department of Health and Human Services to prepare annual reports to Congress on indicators and predictors of welfare dependence. This Annual Report on Welfare Indicators, October 1998 is the second of these annual reports.
Figure IND 6. Dependency Status in 1999 of Persons Who Received More than 50 Percent of Income from Means-Tested Assistance in 1998, by Race/Ethnicity
Source: Unpublished data from the SIPP, 1996 panel.