THE EVALUATION OF SELECTED PRESENT AND POTENTIAL POVERY PROGRAMS
Abstract
The study attempts to evaluate the efficiency of two types of alternative programs aimed at increasing the incomes of poor families. It deals with programs involving education and training as well as those which represent direct measures for increasing family income. In order to compare such programs a common measure of efficiency is needed. The one chosen here is the annual cost to the government of raising income by $100 per year until the worker reaches age 65. A rate of 9 percent is used to discount future income. In evaluating education and training programs the criterion applied in judging benefits is not the change in employment but the increase in the workers' future earnings. In the absence of adequate data on the benefits of education and training programs, it was assumed that Heat Start or nine months of MDTA or Job Corps training would yield the same average increase in earnings as an additional year of high school education.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jan 01, 1966
- Accession Number
- AD0682203
Entities
People
- Richard Muth
Organizations
- Institute for Defense Analyses