Policies directed at alleviating poverty rest on a set of assumptions regarding the demographic composition of the poor and the psychological dispositions of poor individuals. Evidence from a long-term study of a representative sample of low-income individuals shows that poverty is very...

The potential of former AFDC recipients to earn a living wage is central to the success of welfare-to-work programs. Previous studies have found that welfare recipihyphen;ents see little increase in their wages over time. Low wage growth could arise from either low returns to work experience or...