response to deparle

podesta-emails 934 words email

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John-We've been working to figure out how best to respond to the DeParle article. Hoping Galston will do something in TNR, and Kamarck will do a LTE. Planning an event on poverty, and maybe one on domestic policy. But I whipped up the oped below as something someone could use as a starting point if they wanted to refute. Would be great to get your thoughts, suggestions on whether the below is helpful, and advice on how to approach. Best, Marc Two stories emerged from the world of social policy last week-one big, and the other seemingly small. The big story was a new look at the welfare reform bill of 1996, and a broad suggestion that the changes made 16 years ago have not served the nation's poor since the Great Recession began. Second, to relatively less fanfare, the Centers for Disease Control announced that the American teen birthrate has fallen to an historic low-dropping from a recent peak in the early 1990s. The two stories may appear unrelated-but they're not. And maybe more important, together they offer an interesting lesson on how policy is reinterpreted through the prism of ideology in Washington today. First, we need to recall the oft-forgotten paradigm shift that marked the 1990s. When Governor Bill Clinton pledged to "end welfare as we know it" during the 1992 campaign, he was at the vanguard of a movement to adapt a series of creaky New Deal-era programs to the challenges of the information-age economy. At its creation in 1935, the nation's primary cash assistance program, Aid to Families with Dependent Children (AFDC), had hoped to keep single mothers from joining the workforce, engineering a way to keep them home with their kids. By the 1990s, however, conventional wisdom was that the program had created a series of perverse incentives, and that a cycle of dependency was preventing young adults from reaching their potential. Rather than breaking the cycle of poverty, welfare seemed to be perpetuating it-and the new challenge was to help every able-bodied American find an opportunity to earn a living. With that as its challenges, the Clinton administration began a long-term effort to strengthen the nation's social safety net-not simply by reforming AFDC, but by expanding opportunity for those in need up a hand up. It began in 1993 with a dramatic expansion of the Earned Income Tax Credit-a program that rewards individuals who join the workforce with additional income. It continued with the welfare bill, which aimed to end the cycle of dependency, expand vastly support for child care, and give states much more flexibility in providing support. It continued through the unprecedented expansion of health insurance for children (the S-CHIP program), marking the single largest investment in children's health care since 1965. And the same paradigm drove dozens of other efforts, from the expansion of the Hope Scholarship, to the Vice President's efforts to expand access to the Internet, from the Welfare-to-Work Tax Credit and Welfare-to-Work Partnership to the broader economic strategy which created nearly 23 million new jobs. What cannot be disputed, of course, are the broad effects of the Clinton's administration's effort to lift Americans out of poverty. Over the course of his tenure, the poverty rate in the United States dropped 25 percent. African-Americans, for one, saw poverty drop to a record low. A Congressional Budget Office report<http://www.cbo.gov/sites/default/files/cbofiles/ftpdocs/81xx/doc8113/05-16-low-income.pdf> recently detailed how economic growth and the expansion of the EITC vastly overwhelmed the fiscal impact of reforming AFDC. Which brings us back to the recent news about teen pregnancy. Few circumstances prolong the cycle of poverty than the birth of a baby born to a teenager. But the National Campaign to Prevent Teen and Unplanned Pregnancy, a public-private partnership President Clinton helped to found, has been successful in large part because its efforts have been integrated into a comprehensive strategy to integrate low income communities with the economic opportunities of the 21st century. A host of other policy decisions need to be considered in any analysis of the welfare bill: the fact that many who would have been eligible for AFDC during the Great Recession were instead eligible for unemployment; that others were eligible for disability benefits; that the food stamp program has continued to grow; or that, had Al Gore succeeded President Clinton, the nation's social safety net would have continued to evolve in ways likely more beneficial to the poor than they did under George W. Bush. But what is most clear today is that the welfare reform bill of 1996 cannot be judged in a vacuum. It needs to be understood as part of a much broader-and very successful-strategy to combat poverty throughout the United States. That the Clinton administration managed to end welfare as we knew it marks one of the great successes of the progressive movement. And as policymakers craft efforts, once again, to reform the nation's social safety net at a time of growing inequality, we ought to keep the proper lessons from that historic success in mind.