Safety Nets, Politics, and the Poor

Safety Nets, Politics, and the Poor
Author: Carol L. Graham
Publisher: Brookings Institution Press
Total Pages: 393
Release: 2010-12-01
Genre: Political Science
ISBN: 0815719892

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Countries worldwide are attempting difficult transitions from state-planned to market economies. Most of these countries have fragile democratic regimes that are threatened by the high social and political costs of reform. Governments—and ultimately societies—have to make hard choices about allocating scarce public resources as they undergo these transitions. A central, often controversial, and most poignant question is how to protect vulnerable groups and the poor. What compensation, what "safety net" will be provided for them? Carol Graham argues that safety nets can provide an environment in which economic reform is more politically sustainable and poverty can be permanently reduced. However, these two objectives frequently involve trade-offs, as vocal and organized opponents of reform (for obvious political reasons) often concern governments far more than the poor. These organized and less vulnerable groups tend to place heavy demands on the scarce resources available to governments at times of economic crisis. Governments that fail to address the social costs of reform, meanwhile, often face popular opposition that jeopardizes or even derails the entire market transition--the results of the September 1993 elections in Poland are a case in point. The author examines these trade-offs in detail, with a particular focus on how political and institutional contexts affect the kinds of safety nets that are implemented. For example, reaching the poor and vulnerable with safety nets tends to be more difficult in closed-party systems, such as in Senegal, where entrenched interest groups have a monopoly on state benefits. In contrast, dramatic political change or rapid implementation of economic reform undermines the influence of such groups and therefore can provide unique political opportunities to redirect resources to the poor, as in the case of Bolivia and Zambia. Rather than focus their efforts on organized interest groups--such as public sector

A Safety Net That Works

A Safety Net That Works
Author: Robert Doar
Publisher: Rowman & Littlefield
Total Pages: 262
Release: 2017-02-13
Genre: Political Science
ISBN: 0844750069

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This is an edited volume reviewing the major means-tested social programs in the United States. Each author addresses a major program or area, reviewing each area’s successes and recommending how to address shortcomings through policy change. In general, our means-tested programs do many things well, but some adjustments to each could make the system much more effective. This book provides policymakers with a broad overview of the issues at hand in each program and how to address them.

Realizing the Full Potential of Social Safety Nets in Africa

Realizing the Full Potential of Social Safety Nets in Africa
Author: Kathleen Beegle
Publisher: World Bank Publications
Total Pages: 337
Release: 2018-07-02
Genre: Business & Economics
ISBN: 1464811660

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Poverty remains a pervasive and complex phenomenon in Sub-Saharan Africa. Part of the agenda in recent years to tackle poverty in Africa has been the launching of social safety nets programs. All countries have now deployed safety net interventions as part of their core development programs. The number of programs has skyrocketed since the mid-2000s though many programs remain limited in size. This shift in social policy reflects the progressive evolution in the understanding of the role that social safety nets can play in the fight against poverty and vulnerability, and more generally in the human capital and growth agenda. Evidence on their impacts on equity, resilience, and opportunity is growing, and makes a foundational case for investments in safety nets as a major component of national development plans. For this potential to be realized, however, safety net programs need to be significantly scaled-up. Such scaling up will involve a series of technical considerations to identify the parameters, tools, and processes that can deliver maximum benefits to the poor and vulnerable. However, in addition to technical considerations, and at least as importantly, this report argues that a series of decisive shifts need to occur in three other critical spheres: political, institutional, and fiscal. First, the political processes that shape the extent and nature of social policy need to be recognized, by stimulating political appetite for safety nets, choosing politically smart parameters, and harnessing the political impacts of safety nets to promote their sustainability. Second, the anchoring of safety net programs in institutional arrangements †“ related to the overarching policy framework for safety nets, the functions of policy and coordination, as well as program management and implementation †“ is particularly important as programs expand and are increasingly implemented through national channels. And third, in most countries, the level and predictability of resources devoted to the sector needs to increase for safety nets to reach the desired scale, through increased efficiency, increased volumes and new sources of financing, and greater ability to effectively respond to shocks. This report highlights the implications which political, institutional, and fiscal aspects have for the choice and design of programs. Fundamentally, it argues that these considerations are critical to ensure the successful scaling-up of social safety nets in Africa, and that ignoring them could lead to technically-sound, but practically impossible, choices and designs.

Safety Net Programs and Poverty Reduction

Safety Net Programs and Poverty Reduction
Author: K. Subbarao
Publisher: World Bank Publications
Total Pages: 204
Release: 1997
Genre: Business & Economics
ISBN:

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The need for social safety nets has become a key component of poverty reduction strategies. Over the past three decades several developing countries have launched a variety of programs, including cash transfers, subsidies in-kind, public works, and income-generation programs. However, there is little guidance on appropriate program design, and few studies have synthesized the lessons from widely differing country experiences. This report fills that gap. It reviews the conceptual issues in the choice of programs, synthesizes cross-country experience, and analyzes how country- and region-specific constraints can explain why different approaches are successful in different countries.

Holes in the Safety Net

Holes in the Safety Net
Author: Ezra Rosser
Publisher: Cambridge University Press
Total Pages: 273
Release: 2019-08
Genre: Law
ISBN: 1108475736

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An overview of the role played by federalism in anti-poverty policy and in poverty law.

For Protection and Promotion

For Protection and Promotion
Author: Margaret Grosh
Publisher: World Bank Publications
Total Pages: 614
Release: 2008-08-25
Genre: Political Science
ISBN: 0821375822

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Safety nets are noncontributory transfer programs targeted to the poor or vulnerable. They play important roles in social policy. Safety nets redistribute income, thereby immediately reducing poverty and inequality; they enable households to invest in the human capital of their children and in the livelihoods of their earners; they help households manage risk, both ex ante and ex post; and they allow governments to implement macroeconomic or sectoral reforms that support efficiency and growth. To be effective, safety nets must not only be well intended, but also well designed and well implemented. A good safety net system and its programs are tailored to country circumstances, adequate in their coverage and generosity, equitable, cost-effective, incentive compatible, and sustainable. Good safety nets are also dynamic and change over time as the economy changes or as management problems are solved and new standards are set. Drawing on a wealth of research, policy, and operational documents from both academia and the World Bank s work in over 100 countries, For Protection and Promotion provides pragmatic and informed guidance on how to design and implement safety nets, including useful information on how to define eligibility and select beneficiaries, set and pay benefits, and monitor and evaluate programs and systems. The book synthesizes the literature to date and enriches it with new examples on various program options cash transfers (conditional and unconditional), in-kind transfers, price subsidies, fee waivers, and public works. It concludes with a comprehensive diagnostic for fitting safety net systems and programs to specific circumstances.

The Invisible Safety Net

The Invisible Safety Net
Author: Janet Currie
Publisher: Princeton University Press
Total Pages: 214
Release: 2008-11-10
Genre: Political Science
ISBN: 1400826993

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In one of the most provocative books ever published on America's social welfare system, economist Janet Currie argues that the modern social safety net is under attack. Unlike most books about antipoverty programs, Currie trains her focus not on cash welfare, which accounts for a small and shrinking share of federal expenditures on poor families with children, but on the staples of today's American welfare system: Medicaid, Food Stamps, Head Start, WIC, and public housing. These programs, Currie maintains, form an effective, if largely invisible and haphazard safety net, and yet they are the very programs most vulnerable to political attack and misunderstanding. This book highlights both the importance and the fragility of this safety net, arguing that, while not perfect, it is essential to fighting poverty. Currie demonstrates how America's safety net is threatened by growing budget deficits and by an erroneous public belief that antipoverty programs for children do not work and are riddled with fraud. By unearthing new empirical data, Currie makes the case that social programs for families with children are actually remarkably effective. She takes her argument one step further by offering specific reforms--detailed in each chapter--for improving these programs even more. The book concludes with an overview of an integrated safety net that would fight poverty more effectively and prevent children from slipping through holes in the net. (For example, Currie recommends the implementation of a benefit "debit card" that would provide benefits with less administrative burden on the recipient.) A complement to books such as Barbara Ehrenreich's bestselling Nickel and Dimed, which document the personal struggles of the working poor, The Invisible Safety Net provides a big-picture look at the kind of programs and solutions that would help ease those struggles. Comprehensive and authoritative, it will prompt a major reexamination of the current thinking on improving the lives of needy Americans.

Making the Work-Based Safety Net Work Better

Making the Work-Based Safety Net Work Better
Author: Carolyn J. Heinrich
Publisher: Russell Sage Foundation
Total Pages: 361
Release: 2009-06-02
Genre: Business & Economics
ISBN: 1610446445

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Work first. That is the core idea behind the 1996 welfare reform legislation. It sounds appealing, but according to Making the Work-Based Safety Net Work Better, it collides with an exceptionally difficult reality. The degree to which work provides a way out of poverty depends greatly on the ability of low-skilled people to maintain stable employment and make progress toward an income that provides an adequate standard of living. This forward-looking volume examines eight areas of the safety net where families are falling through and describes how current policies and institutions could evolve to enhance the self-sufficiency of low-income families. David Neumark analyzes a range of labor market policies and finds overwhelming evidence that the minimum wage is ineffective in promoting self-sufficiency. Neumark suggests the Earned Income Tax Credit is a much more promising policy to boost employment among single mothers and family incomes. Greg Duncan, Lisa Gennetian, and Pamela Morris find no evidence that encouraging parents to work leads to better parenting, improved psychological health, or more positive role models for children. Instead, the connection between parental work and child achievement is linked to parents' improved access to quality child care. Rebecca Blank and Brian Kovak document an alarming increase in the number of single mothers who receive neither wages nor public assistance and who are significantly more likely to suffer from medical problems of their own or of a child. Time caps and work hour requirements embedded in benefits policies leave some mothers unable to work and ineligible for cash benefits. Marcia Meyers and Janet Gornick identify another gap: low-income families tend to lose financial support and health coverage long before they earn enough to access employer-based benefits and tax provisions. They propose building "institutional bridges" that minimize discontinuities associated with changes in employment, earnings, or family structure. Steven Raphael addresses a particularly troubling weakness of the work-based safety net—its inadequate provision for the large number of individuals who are or were incarcerated in the United States. He offers tractable suggestions for policy changes that could ease their transition back into non-institutionalized society and the labor market. Making the Work-Based Safety Net Work Better shows that the "work first" approach alone isn't working and suggests specific ways the social welfare system might be modified to produce greater gains for vulnerable families.

Public Works as a Safety Net

Public Works as a Safety Net
Author: Kalanidhi Subbarao
Publisher: World Bank Publications
Total Pages: 430
Release: 2012-12-11
Genre: Business & Economics
ISBN: 0821394614

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A review of the conceptual underpinnings and operational elements of public works programs around the world., drawing from a rich evidence base and analyzing previously unassimilated data, to fill a gap in knowledge related to public works programs, now so popular.

The Political Economy of Targeted Safety Nets

The Political Economy of Targeted Safety Nets
Author: Azedine Ouerghi
Publisher:
Total Pages:
Release: 2012
Genre:
ISBN:

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To be successful, Social Safety Net (SSN) programs require three elements of policy design: technical correctness, administrative feasibility and political viability; yet the politically supportable aspect is often neglected. In this note, several features of political economy applicable to the choice, design, and implementation of safety net programs are discussed: modeling the electoral politics of targeting; the roles of attitudes and perceptions; centralized versus localized control; internal and organizational politics, and finally, politics and the different social objectives of safety ropes and safety nets. The note discusses the political viability of any SSN program, profoundly influenced by corruption and the perceptions of horizontal equity, process and administrative fairness, and effectiveness. Corruption subverts all three perceptions, and so is especially damaging to political support. Moreover, changes in the average poverty rate mask enormous "churning" as households move in and out of poverty. This volatility creates the demand not just for transfer programs to those whose incomes are chronically low (safety nets), but also for insurance-like programs that would pay off not only when income was absolutely low, but also when households experienced negative shocks (safety ropes). While safety "nets" seek to minimize income or expenditure poverty, the objective of safety "ropes" is to mitigate risk. If the targeting of social programs is judged exclusively on poverty or benefit incidence based on a cross sectional snapshot, then risk mitigation programs benefiting households who have suffered large shocks, but who are not "poor" may appear to have large "leakage" when in fact they are simply serving an alternative social objective. While a "safety net" program might be more popular, the more effectively it transfers from richer to poorer households, a "safety rope" program might cause little net redistribution, but be popular because it serves an important insurance function.