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Case Study: Global Village
Name:
My Global Village question:
The answer to my Global Village question:
The research source:
A classification of the scenario’s stratification system:
Welfare Redesigned: A New Republican Policy
The Republican Welfare Revision Policy
By Policy Advisor: Lacey Sampson
The Problem
“Approximately 52.2 million (or 21.3 percent) people in the
U.S. participated in major means-tested government assistance
programs each month in 2012, according to a U.S. Census
Bureau report released today.”1 We have over three hundred
million Americans, and almost one-fourth of those are receiving
Medicaid, Supplemental Nutrition Assistance Program,
Supplemental Security Income, Women Infant and Children
benefits, Temporary Assistance to Needy Families, Public house
or housing subsidies, or some other form of federal cash
assistance program. The government transfer payments
programs are costing the United States federal government
billions in their annual budget due to administrative costs and
misuse of the program. The United States is sinking into a debt
far greater than any generation will be able to overcome. The
welfare programs in the United States need to be overhauled.
The
Solution
Currently, the federal government gives a portion of the taxes
that are collected from citizens to each State for the distribution
of welfare. In the Welfare Redesigned program, States would
collect their own taxes, and distribute them to the citizens in
welfare programs. The States already proportion their allotment
of government funding out to the recipients of the welfare
programs. The Republican Party believes that the States should
take full responsibility of collecting the taxes and redistributing
the wealth as per their citizen’s needs. “We propose to let them
do all that and more by block-granting the program to the
States, providing the States with the flexibility to design
programs that meet the needs of their low income citizens.”2
Aside from allowing the States to allocate their own funding for
the programs, the GOP still wishes to aid the States by
providing tax incentives to citizens currently on programs, such
as Medicaid, to move into a private insurance company. Giving
the states the power to tax and distribute will also empower
them to encourage citizens to work their way off of the welfare
programs.
Paying for the Policy
This policy effectively pays for itself. The States would have to
individually begin collecting taxes for the programs, and the
federal government would have to allow for funding to the
States while their programs are developed. Once a State has
their program ready to transition citizens from federally funded
to state funded aid, the federal government would no longer
collect FICA tax for that state’s citizens. This would lower the
administrative workload for many government employees, and
assist the federal government in a budget renovation. The
federal government would allow 5 years for the States to begin
collecting their own taxes and transitioning their citizens. The
federal government would have to aid the States until they’re
fully funded by their citizens, but the cuts made to the federal
government’s budget, once the transition is complete, make up
for this aid.
Citations
1. United States Census Bureau. “21.3 Percent of U.S.
Population Participates in Government Assistance Programs
Each Month.” Release Number: CB15-97. May 28, 2015. Web.
May 5, 2016. <https://www.census.gov/newsroom/press-
releases/2015/cb15-97.html>
2. GOP. “Reforming Government to Serve the People.”
Republican National Committee. N.D. Web. May 5, 2016.
<https://gop.com/platform/reforming-government/>
Graph: United States Census Bureau. “Dynamics of Economic
Well-Being: Participation in Government Programs, 2009–2012:
Who Gets Assistance? Household Economic Studies” Shelley K.
Irving and Tracy A. Loveless. May 2015. Web. May 5, 2016.
<https://www.census.gov/content/dam/Census/library/publicatio
ns/2015/demo/p70-141.pdf>
Welfare Redesign
The Republican Policy
By Lacey Sampson
1
Order of Payments: Current
2
Citizens pay FICA taxes
Federal Government redistributes tax revenue to States
States distribute tax revenue to citizens currently on welfare
programs
Citizens receive payment
Social Security Check
SNAP card reload
Medicaid
Other Transfer Payment
Order of Payments: Welfare Redesign
3
Citizens pay welfare tax to their state
State redistributes tax revenue to citizens in need
Citizens receive payment
Social Security Check
SNAP card reload
Medicaid
Other Transfer Payment
Proposed Welfare Redesign Highlights
States implement collection of Welfare Taxes based off the
needs of their citizens.
Gives the States power to ensure eligibility and follow up with
each recipient as often as possible.
Takes out the “middle man” for collection and redistribution
Federal budget can cut the cost of the programs
4
The Current Welfare Program is Outdated
The dependency on the federal welfare programs has not grown
immensely. However, with inflation, the cost of these programs
has grown substantially.
5
Schedule for Welfare Redesigned
States will have 2 years for designing their program
States will have 3 years until they must begin collecting and
allocating taxes for the program
States will have 5 years until all of their citizens must be
transition into the State funded program
States will receive supplemental funding for 7 years from the
date of the Welfare Redesigned program begins
6
Citation
7
Graph
USDA. “Transfer Payments” Timothy Parker. October 2014.
Web. May 6, 2016. <http://www.ers.usda.gov/topics/rural-
economy-population/rural-poverty-well-being/transfer-
payments.aspx>
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Case Study Global VillageNameMy Global Village question.docx

  • 1. Case Study: Global Village Name: My Global Village question: The answer to my Global Village question: The research source: A classification of the scenario’s stratification system: Welfare Redesigned: A New Republican Policy The Republican Welfare Revision Policy By Policy Advisor: Lacey Sampson The Problem “Approximately 52.2 million (or 21.3 percent) people in the U.S. participated in major means-tested government assistance programs each month in 2012, according to a U.S. Census Bureau report released today.”1 We have over three hundred million Americans, and almost one-fourth of those are receiving Medicaid, Supplemental Nutrition Assistance Program, Supplemental Security Income, Women Infant and Children benefits, Temporary Assistance to Needy Families, Public house or housing subsidies, or some other form of federal cash assistance program. The government transfer payments programs are costing the United States federal government billions in their annual budget due to administrative costs and misuse of the program. The United States is sinking into a debt far greater than any generation will be able to overcome. The welfare programs in the United States need to be overhauled.
  • 2. The Solution Currently, the federal government gives a portion of the taxes that are collected from citizens to each State for the distribution of welfare. In the Welfare Redesigned program, States would collect their own taxes, and distribute them to the citizens in welfare programs. The States already proportion their allotment of government funding out to the recipients of the welfare programs. The Republican Party believes that the States should take full responsibility of collecting the taxes and redistributing the wealth as per their citizen’s needs. “We propose to let them do all that and more by block-granting the program to the States, providing the States with the flexibility to design programs that meet the needs of their low income citizens.”2 Aside from allowing the States to allocate their own funding for the programs, the GOP still wishes to aid the States by providing tax incentives to citizens currently on programs, such as Medicaid, to move into a private insurance company. Giving the states the power to tax and distribute will also empower them to encourage citizens to work their way off of the welfare programs.
  • 3. Paying for the Policy This policy effectively pays for itself. The States would have to individually begin collecting taxes for the programs, and the federal government would have to allow for funding to the States while their programs are developed. Once a State has their program ready to transition citizens from federally funded to state funded aid, the federal government would no longer collect FICA tax for that state’s citizens. This would lower the administrative workload for many government employees, and assist the federal government in a budget renovation. The federal government would allow 5 years for the States to begin collecting their own taxes and transitioning their citizens. The federal government would have to aid the States until they’re fully funded by their citizens, but the cuts made to the federal government’s budget, once the transition is complete, make up for this aid. Citations 1. United States Census Bureau. “21.3 Percent of U.S. Population Participates in Government Assistance Programs Each Month.” Release Number: CB15-97. May 28, 2015. Web. May 5, 2016. <https://www.census.gov/newsroom/press-
  • 4. releases/2015/cb15-97.html> 2. GOP. “Reforming Government to Serve the People.” Republican National Committee. N.D. Web. May 5, 2016. <https://gop.com/platform/reforming-government/> Graph: United States Census Bureau. “Dynamics of Economic Well-Being: Participation in Government Programs, 2009–2012: Who Gets Assistance? Household Economic Studies” Shelley K. Irving and Tracy A. Loveless. May 2015. Web. May 5, 2016. <https://www.census.gov/content/dam/Census/library/publicatio ns/2015/demo/p70-141.pdf> Welfare Redesign The Republican Policy By Lacey Sampson 1 Order of Payments: Current
  • 5. 2 Citizens pay FICA taxes Federal Government redistributes tax revenue to States States distribute tax revenue to citizens currently on welfare programs Citizens receive payment Social Security Check SNAP card reload Medicaid
  • 6. Other Transfer Payment Order of Payments: Welfare Redesign 3 Citizens pay welfare tax to their state State redistributes tax revenue to citizens in need Citizens receive payment
  • 7. Social Security Check SNAP card reload Medicaid Other Transfer Payment Proposed Welfare Redesign Highlights States implement collection of Welfare Taxes based off the needs of their citizens. Gives the States power to ensure eligibility and follow up with each recipient as often as possible. Takes out the “middle man” for collection and redistribution Federal budget can cut the cost of the programs
  • 8. 4 The Current Welfare Program is Outdated The dependency on the federal welfare programs has not grown immensely. However, with inflation, the cost of these programs has grown substantially. 5 Schedule for Welfare Redesigned States will have 2 years for designing their program States will have 3 years until they must begin collecting and allocating taxes for the program States will have 5 years until all of their citizens must be transition into the State funded program States will receive supplemental funding for 7 years from the date of the Welfare Redesigned program begins
  • 9. 6 Citation 7 Graph USDA. “Transfer Payments” Timothy Parker. October 2014. Web. May 6, 2016. <http://www.ers.usda.gov/topics/rural- economy-population/rural-poverty-well-being/transfer- payments.aspx>