Credit Vs EITC

The welfare system was originally created to help people who were temporarily out of work or in need of assistance, but “total welfare spending has nearly doubled since 1996” (Donovan and Rector). Through the years, this program has evolved into a system that still offers assistance, but also does not encourage it recipients to find a way out. The welfare system is dishing out millions of dollars each year to recipients who are putting forth zero effort into supporting themselves and their families. Instead, they rely on tax-payer 's money. The weight of supporting these programs is on the shoulders of middle class workers. As a result American society is getting into deeper poverty. “Unless Congress acts, it will drive the nation into bankruptcy” (Donovan and Rector). The welfare system was at once a good idea to help others get off their feet, but it has changed dramatically over the years due to people abusing the system.

With evidence from different sources, this paper will show the how the DACA program effects the United States as a whole. “In 2010, in the whole u.s. Population, households with college education heads, on average, received $24,839

The number of immigrants collecting supplemental security income skyrocketed from one hundred twenty seven thousand and nine hundred in nineteen eithty-two to almost seven hundred thirty eight thousand in nineteen innety four. This is a whopping five hundred eighty percent increase in just twelve years. The general accounting office has testified that the supplemental security income

The last 10 years of U.S. economy can be seen by the impact of immigrant reform in different scenarios. In 2013, undocumented immigrants have been granted legal status; citizenship has helped to increase the U.S. GDP and would accumulate by an additional $1.4 trillion compared to the 10 years in between the 2013 to 2022. This earning will give a chance for the Americans some additional earnings of $791 billion at the same period as a personal income, in which the economy would create job opportunities, about 203,000 new jobs per year. In these years the undocumented immigrants will earn about 25.1 percent more than the current earnings of the immigrants. These earnings show that they will be contributing significantly to the federal, local, and state taxes which will add to tax revenue in 10 years with $185 billion to $116 billion for the USA federal government as well as $68 billion to the state and local government (Stuart Anderson,2011).

The main concepts of the article are describing the corporate welfare system and how it is responsible for growing economic imbalances between the poor and rich populations. The article elaborated on how we cannot ignore the issue anymore because of the substantial loss that we are facing by letting the gap grow (Huff, 1993). The article also goes into the IRS and how there are tax exemptions and deductions that people qualify for and what is allowed.

It has been reported across media that the number of food stamp recipients has increased tremendously, reaching an all time high of 5 million people (Matt, 2013). The amount forgone is approximately $175 million (Matt, 2013). Of this amount, $75 million has been distributed to individuals who do not meet the eligibility criteria (Matt, 2013). In his research study, Matt (2013) indicated that for every $60 in benefits, Texas doled out close to $6.11 to people or recipients who are not eligible (Matt, 2013). The national average stands at $3.05, which shows that Food Stamp fraud in Texas is alarmingly high (Matt, 2013). This shows clearly that Food Stamp fraud is indeed destroying the economic potential of Texas. The amount used in order to provide benefits to fraudsters is supposed to be used in other areas of economic worth. However, believing that the needy citizens are being assisted, Texas has continued to use its revenues for unwarranted courses of action. Furthermore, the food stamp fraud is costing the tax payers immensely. As such, the cost of benefits provided under this program is met by the tax payers. As such, they must pay some income tax, some of which is channeled into the food stamp course. With an increase in the number of recipients, it means that the tax payers have to forgo more. This, as a result, ensures that those who are economically active continue to suffer at the expense of

working parent, Katrina gets a federal subsidy for low-income people known as the Earned Income Tax Credit”. For the most part, it seems as though the general public is under

People do not enjoy talking about taxes because they are too political, confusing, and depressing. It is no secret that the American tax code is a mess and something many economists describe as too broken to fix. Despite this, politicians have never stopped from trying to “fix” the code, yet they have had very little success. The U.S. Government’s tax code currently comprises “more than 67,000 pages of complexities” (Boortz, Linder, & Woodall 14). The Americans for Fair Taxation (AFFT) was founded in 1995 with one goal: create the simplest and best tax reform plan that would work in the modern market and economy. The AFFT’s best solution was a bill which they promptly called the FairTax.

Whose interests are best served by the current welfare requirements? TANF encourages states to provide assistance to those welfare recipients who are most likely to succeed at employment, ignoring individuals who are harder to place. In order to show increases in employment and wage rates, the most attention is

Composition and Rhetoric 23 April 2010 Illegal Immigration and the Welfare State “We must end welfare state subsidies for illegal immigrants. Some illegal immigrants—certainly not all—receive housing subsidies, food stamps, free medical care, and other forms of welfare.” In this statement by Ron Paul, a Texas congressman, it is obvious that this subject needs a serious look into modifying our current guidelines. He also states, “Illegal immigrants place a tremendous strain on social entitlement programs. Under a proposed totalization agreement with Mexico, millions of illegal immigrants will qualify for Social Security and other programs-programs that already threaten financial ruin for America in the coming decades.”(1) They

It is not enough to provide material relief to those experiencing extreme deprivation(158). Therefore the federal government should establish and create opportunities for the poor to gain and maintain their citizenship in standard living. According to the book, "$2.00 a Day" writer Kaitlyn Edin emphasize one have the strong will to work but opportunities lack extremely, in which concede the fact that there aren't enough jobs with adequate pay, hours, and stability to go around(159). On one hand, I agree with Edin that the will of the poor is there, but the federal government should play more substantive role in getting individuals jobs.For instance, stated in the book, “In-depth interviews with 209 EITC claimants in the Northeast and Midwest in 2007 showed that while TANF receipt confers stigma and shame, claiming the EITC gives people dignity and restores their pride”(172). Also the federal government need to restore relationships in the workplace, increase wage, and prevent wage theft . For example, a successful grocery store called Market Basket located in New England starts employees off at twelve dollars an hour, offer health insurance, and paid sick to all employees(164). Creating better jobs and opportunities is the government role as it is our role to maintain a job and contribute as

Great discoveries always begin with great questions. Barbara Ehrenreich asked two great questions, “how does anyone live on the wages available to the unskilled” and “how were the roughly four million women about to be booted into the labor market by welfare reform, going to make it on $6 to

Generational Welfare For most of America’s history, farmers, entrepreneurs or shop owners could live their entire lives without getting any assistance from the federal government except maybe mail. But those days are long gone. In 2012 the total number of Americans on government assistance or welfare reached 4,3000,000. Many of which are 4th or 5th generation Welfare recipients. For whatever the reason, we have become a culture of dependency in which poverty is a trap. Long-term recipients loose job skills, work habits as well as work contacts. For this reason the government should require recipients to work as much as they can. It could be called “workfare” and could help recipients increase potential long-term earnings.

So if the poor of today earn roughly the same in current dollars as those many years ago, how do they afford their “elevated” lifestyle? The answer lies in over 200 Federal and State programs designed to support them until they are able to thrive independently. The most popular include the Temporary Assistance for Needy Families (TANF), Food Stamps,

However, this system of measuring poverty is flawed because if a family makes a dollar more above the set limit, they do not qualify for financial help from the government (NCCP, 2008).The poverty threshold is an inadequate measure of whether people are considered poor or not. Current poverty measures are flawed because it assumes how much a family spends and does not accurately include family resources such as Earned Income Tax Credit (NCCP, 2008). The way that the government measures poverty is based on outdated information that was set in the 60s. Because it has not been sufficient to keep up with the standard of living, those who are living in “high cost cities like New York and those who live in rural areas of the country” (NCCP, 2008) are barely getting by.