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Evaluation Forum American Poverty: The Role of Education, Training and Employment Strategies in the New Anti-Poverty Struggle U.S. Department of Labor Employment and Training Administration Issue 10, Summer 1994 Evaluation Forum American Poverty: The Role of Education, Training and Employment Strategies in the New Anti-Poverty Struggle Issue 10, Summer 1994 U.S. Department of Labor Robert B. Reich, Secretary Employment and Training Administration Doug Ross, Assistant Secretary Office of Planning and Research Raymond J. Uhalde, Deputy Assistant Secretary A review journal for employment and training professionals focusing on policy analysis and evaluation research in education, occupational training, work and welfare, and economic development. Evaluation Forum Issue 10 Summer 1994 i Table of Contents Features Poverty in America: A Context 2 The Poor in America An overview of alarming information about the nature of poverty in the 1990s, based on reports produced by the U.S. Bureau of the Census, the U.S. General Accounting Office, the Children’s Defense Fund, the Center for the Study of Social Policy, the Center on Budget and Policy Priorities, and the Institute for Research on Poverty. 8 A Perspective on Poverty: Christopher Jencks An intensive review of Christopher Jencks’s competent research on poverty and provocative conclusions about anti-poverty policy, with an emphasis on his latest book, Rethinking Social Policy. 14 Reducing Poverty: General Approaches A summary and analysis of the positions of two respected policy experts, Robert Greenstein and Theda Skocpol, on ameliorating the high level of American poverty, based on their contributions to The Urban Underclass. The Underclass Poor 17 Inner-City Ghetto Poverty: A Re-Examination A synthesis of research and expert opinion on underclass poverty drawing from William Julius Wilson’s most recent book The Ghetto Underclass, with particular attention to the impact of joblessness, income inequality, single parenthood and cultural isolation, and to Wilson’s recommendations for addressing the problems of the underclass in American society. The Welfare System Poor 22 Contemporary Work/Welfare Strategies: The First Generation A reconsideration of the chronology of work/welfare approaches since the 1960s, concentrating on the results of the 1980s research on state initiatives funded by The Ford Foundation and participating states, and conducted by the Manpower Demonstration Research Corporation. 26 Second Generation Work/Welfare Strategies A review and analysis of Judith Gueron’s and Edward Pauly’s classic, From Welfare to Work, culling insights from evaluations of more recent state work/ welfare innovations which have contributed to the development of the national JOBS program. 29 Another Look at Work/Welfare Programs Providing another perspective on the effectiveness of work/welfare programs, a review of selected contributions to Charles Manski’s and Irwin Garfinkel’s recent book, Evaluating Welfare and Training Programs, based on a national evaluation conference sponsored by the U.S. Department of Health and Human Services and the Institute for Research on Poverty at the University of Wisconsin. ii Evaluation Forum Issue 10 Summer 1994 The Homeless Poor 33 What Are We Learning About Homelessness? A careful look at recent research on homelessness and its implications for social policy. 35 The Homeless and JTPA A discussion of the design and results of the National Commission for Employment Policy’s study of the role JTPA is playing in improving the employment opportunities of the homeless. 38 The Department of Labor’s Study of Homelessness An overview of the major findings of the U.S. Department of Labor’s evaluation of the Job Training for the Homeless Demonstration Program. Commentary 42 A Commentary by Secretary of Labor Robert Reich A significant perspective on workforce policy, a macro-level context for the development of anti-poverty policy. 45 An Interview with Senator Daniel Patrick Moynihan Interviews Views on the causes and consequences of poverty and the history of efforts to reduce it, focusing on the Senator’s ideas in his landmark book, Family and Nation, and recent articles on anti-poverty policy by this powerful chair of the Senate Finance Committee. 51 An Interview with David Ellwood A discussion of the results of his extensive research on poverty, emphasizing ideas in his well-known book, Poor Support: Poverty and the American Family, and his current thinking about welfare reform as co-chair of the Clinton Administration’s welfare reform task force. Evaluation Issues At the International Level 57 The Evolution of European Welfare States and Activities A selective review of Allan Cochrane’s and John Clarke’s recent acclaimed book, Comparing Welfare States, analyzing the new trends in welfare policy in Western Europe. Evaluation Forum Issue 10 Summer 1994 iii At the National, State and Local Level 64 Washington State’s Family Independence Program: An Economic Interpretation of Its Impact A guest analysis by Ernst Stromsdorfer of The Urban Institute’s evaluation of an innovative Washington State welfare reform project, with an introductory context on Washington State poverty by guest reviewer Kay Thode. 70 State Welfare Reform Efforts Within the JOBS Framework A review of evaluations of new welfare reform models associated with the JOBS program, and their implications for national welfare reform. 75 Reform ‘Welfare’ or Reform ‘Welfare Reform’? A guest analysis by Kay Thode of Laurence Lynn’s singularly independent and useful perspectives on current welfare reform positions, and a commentary on potential problems with new welfare reform approaches. Resources Selected Federal Research: In Education, Training, Employment and Economic Development A new section of Evaluation Forum looking across federal agencies sponsoring research on workforce issues. 80 U.S. Department of Labor 86 National Commission for Employment Policy 89 U.S. Department of Health and Human Services 92 U.S. Department of Education 97 U.S. Department of Commerce 99 U.S. Department of Agriculture 100 U.S. Congress 104 Private Research Firms: An Exemplar 108 Index to Information on Federal Research New Concern About Poverty: A Renaissance in Poverty Research? Books, articles and working papers on poverty issues. 109 On Poverty 110 On Welfare 111 On Homelessness 112 International Resources iv Evaluation Forum Issue 10 Summer 1994 Features Editorial Introduction Addressing Some of the Questions made their situations worse because in- Danziger and Weinberg drew the fol- dividuals had less time for parenting In the spring of 1992, the Institute lowing profile of poverty over the past and related responsibilities with little or for Research on Poverty and the Office fifty years: 1) non-Hispanic whites have no increase in family income. At the of the Assistant Secretary for Planning lower poverty rates than blacks, His- same time, high benefit reduction rates and Evaluation in the U.S. Department panics and other minority groups; caused work effort to decline for those of Health and Human Services spon- adults in the prime years have lower on AFDC, since added work produced sored a national conference to evaluate poverty rates than children and the eld- little gain in net income. policy efforts addressing poverty and its erly; men have lower poverty rates than Programs emphasizing job search correlates. The papers prepared for the women; and married-couple families assistance , the authors say, produced conference were published in book have lower poverty rates than female- modest employment and income gains form by Harvard University Press in headed families. The only exception to among female AFDC recipients. Small 1993 as Poverty and Public Policy: the durability of this profile was the shift returns to society from some employ- What Do We Know? What Should We in poverty after 1973 from the elderly to ment programs exceeded their costs. Do? The editors were three well-re- children. Economic growth traditionally But these programs did not move many spected poverty researchers, Sheldon affected these trends, but increasingly families out of poverty. On the other Danziger, Gary Sandefur and Daniel such growth matters less because of in- hand, tax credits helped 10% of the Weinberg. Insights from the book were creased income inequality. poor to escape poverty. Researchers summarized in the Winter 1992-1993 American poverty policy has always also felt that public service employment issue of Focus, the Institutes journal. been less redistributive than policies in produced incremental long-term bene- A number of important themes and other industrial nations. We have typi- fits for white and minority women, but ideas permeate this excellent book cally tolerated higher poverty rates be- this strategy was eliminated under polit- which may help frame the articles in cause of our central political belief that ical pressure. this Features Section. One theme is government should not intervene in the Medicaid greatly improved access to that the persistence and growth of pov- market. Over the period of the 1940s to health care for the poor, but a substan- erty since the 1960s does not mean 1960s, economic growth had a direct tial proportion of the poor were not cov- that anti-poverty efforts failed. Poverty effect on poverty, and strong growth ered and resources for other medical remains a major problem in America had a significant effect. But economic programs declined over time. With sub- because of the changes in the econo- growth has not been robust since 1973. stantial evidence that education is criti- my during the past three decades at a It has not produced as many low-skill cal to movement out of poverty, educa- time when public policy interest in the jobs with adequate wages to sustain tional vouchers and merit pay for poor was declining. Some programs did families. Despite this change and our teachers were tested and found not to fail, the authors acknowledge. But continuing political ideology, the au- increase educational opportunities for some were very successful. No doubt thors claim that a combination of cash the poor or energize teaching efforts.