Since the mid-1960s, the U.S. has spent an estimated $25 trillion (adjusted for inflation) on more than 80 federal safety-net programs—with too many disappointing results. These programs have become rife with improper spending, complicated eligibility criteria, and excessive administrative bloat that ensnare recipients into dependence on government. The Foundation recommends the enactment of “Empowerment Accounts” (EAs) to replace some if not all traditional safety-net programs whereby a recipient manages (under the supervision of a community navigator) an account with state funds available for increased flexibility to purchase basic necessities along with improvements to help recipients achieve long-term self-sufficiency.
Family
Empowerment Accounts: 21st Century Safety-Net Reform
Frankie Johnson, a college-educated single mother from Washington, D.C., moved to Atlanta to distance herself and daughter from an abusive husband. Without a job or place to live, she sought government assistance for childcare and transitional housing. While she waited for this assistance, she was offered a job paying $70,000. She turned it down. Why?...
September 12, 2022