Is Giving Cash a Better Solution for Poverty?

Is Giving Cash a Better Solution for Poverty?

By
Marcelo Fernandez-Gonzalez
1 min read

Two surprising facts about welfare and poverty in the United States: substantial spending on the bottom earners, but inefficacy in fulfilling human needs. If all the money spent on anti-poverty programs was given directly to poor families, poverty could be eliminated. The shortcomings of the current system, including the substitution of in-kind benefits for labor income and the overlooked effectiveness of cash support, are brought to light. The potential for cash transfers as a viable solution is emphasized.

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