1996 Welfare Reform Summary

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The 1996 Welfare Reform Act abolished Federal Cash Assistance and Aid to Families with Dependent Children (AFDC) programs, all of which many believed locked people in the perpetual cycle of state- assisted poverty. There were three research findings on the “efficacy of the 1996 reform, all gave a summary of the most influential studies conducted by US researchers. Nearly all reached the same conclusions: First, Welfare Reform under the Clinton administration did result in a significant shift into new employment by the long-term welfare recipients. Secondly, the overall strong growth conditions were linked to the U.S. during the late 1900s. Third, the growth in income and employment experienced by the American poor welfare to work transition