Welfare Programs and the State EconomyJournal of Policy Modeling (2010)
AbstractWelfare policy has been controversial and support is often drawn along political affiliation lines, the economic return of investment in welfare programs is frequently cited as a justification for new and expanded policies. To investigate the direct and indirect effects of welfare programs on economic performance, the authors develop a multilink approach, through employment and investment. The relationship is then tested with data from each of the United States from 1976 to 2006. Findings show welfare programs have no direct effect on a state's economy. Indirectly, welfare has a negative effect through investment, though the effect on employment is minimal.
Citation InformationBruce D McDonald and D. Ryan Miller. "Welfare Programs and the State Economy" Journal of Policy Modeling (2010)
Available at: http://works.bepress.com/bruce_mcdonald/2/