Nearly 1 in 5 Americans Participate in Social Welfare Programs

The Census Bureau reports that 18.6%, or 44.8 million, of noninstitutionalized civilians participated in one or more major means-tested assistance programs (Temporary Assistance for Needy Families  (TANF), General Assistance (GA), Supplemental Nutrition Assistance Program (SNAP)/Food Stamps, Supplemental Security Income (SSI), Medicaid, and Housing Assistance).  This percentage is up from 17.1% in 2004, driven mostly by a 2.6 percent increase in citizens who receive Food Stamps.  The average monthly participation rate for those under 18 was 34.6% in 2009, far greater than the 13.7% and 12.6% for civilians aged 18 to 64 and 65 years and over respectively.  Blacks and Hispanics were the most likely races to utilize means-tested programs.  38.9% of Blacks, 33.0% of Hispanics, 14.9% of Asian and Pacific Islanders, and 11.8% of Non-Hispanic Whites participated in means-tested programs.

Debunking Myths About Food Stamps

In a recent article, the Chicago Tribune aimed to debunk popular misconceptions about trends in welfare spending and the welfare recipient population, issues that "the Republican presidential race has brought...to the forefront." Reporter Dawn Turner Trice wrote, "When it comes to welfare, perceptions have often trumped reality."

The article provides fact-based commentary on political strategies regarding welfare, including the following:

• "Though blacks are disproportionately represented among food stamp recipients, far more whites receive such assistance. When recipients identified themselves by race in 2010, 34 percent were white, 22 percent were black and 16 were percent Hispanic, the Agriculture Department said."

• "Food-stamp spending has indeed increased under Obama, but its steady climb began under President George W. Bush."

• "The Center on Budget and Policy Priorities, a nonpartisan think tank, said anti-poverty programs make up about 20 percent of the federal budget, and that's been true over the last three decades when both Republicans and Democrats have been in power."

• "Among the big social safety net expenditures in 2011 are Medicaid ($274 billion) and refundable tax credits, including the earned income tax credit ($102 billion). Food stamps ($71.8 billion) and cash assistance ($6.9 billion) constitute just 2.2 percent of the federal budget, but they pack a bigger wallop when it comes to public perceptions."

The article also quotes Michael Dawson, director of the Center for the Study of Race, Politics and Culture at the University of Chicago, regarding Republican efforts--specifically, those of Newt Gingrich--to bring up welfare as an issue, as saying: "It's a tired tactic but one that's sometimes effective in mobilizing white racial resentment."

The Rising Cost of Food Stamps

A recent article in the Economist discusses the rising costs of food stamps in recent years. As the chart (right) indicates, costs have risen from $35 billion in 2008 to $65 billion last year. Participation has also increased, as nearly 45 million (or one in seven) Americans were recipients of food stamps in April 2011. With budget debates continuing, Republican leaders in the House of Representatives have proposed a 20% reduction in spending on the program by 2015 in their budget outline for next year. The author of this article points out, however, that benefits are "far from lavish," the average being $133 a month, and the recipients are the neediest portion of the population. About half of recipients are children and 18% are elderly. To be eligible, recipients must be receiving an income of 130% or less of the poverty line, but 41% of recipients earn half of that amount or less and 18% earn no income at all. The author also discusses the economic benefits of the food stamps program, quoting Jim Weill of the Food Research and Action Centre, who argues that food stamps stimulate the economy more than other forms of government spending because the money is typically spent immediately due to the low income of recipients.
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