Solution to Inequalities Flashcards
What was the purpose of the American Recovery and Reinvestment Act (ARRA) of 2009?
The ARRA aimed to recover the US economy by creating jobs and addressing long-term economic challenges.
It provided financial support to stimulate job creation and economic growth.
Example: The ARRA cost $787 billion and helped create or save 3 million jobs. Economists are divided on its effectiveness, with some arguing it wasn’t sufficient, while others believe it increased national debt.
How did the Welfare to Work program address economic inequality?
Welfare to Work was a government initiative to reduce poverty by providing welfare support and encouraging employment.
The program offered benefits like Medicaid, food stamps, and childcare to families seeking employment.
Example: Families could access income tax credits, earning up to $3,250 for the first child, if they were actively seeking work. While effective in reducing poverty and encouraging work, it had limitations, such as forcing individuals to earn below a certain amount to remain eligible.
What is Temporary Assistance for Needy Families (TANF) and how does it tackle poverty?
TANF, established in 1996, aimed to get parents, especially single mothers, back to work by providing time-limited financial assistance.
The program also addressed employability and childcare but restricts benefits to 5 years.
Example: Since TANF’s introduction, poverty rates among single-parent households have decreased from 36% in 1990 to 25% in 2021. However, stricter eligibility rules have limited its reach, and child poverty rates remain high.
What is the Affordable Care Act (Obamacare) and its purpose?
The Affordable Care Act, introduced in 2014, aimed to make healthcare more affordable and accessible for Americans.
It regulated insurance markets, reduced waiting times, and ensured people couldn’t be denied coverage based on medical history.
Example: It introduced a minimum of 60% coverage for medical bills, reducing out-of-pocket expenses for insured individuals. While successful in increasing insurance coverage, the quality of care has not significantly improved.
How did the New Start Act 2018 and Cut 50 address social inequality?
The New Start Act 2018, alongside the Cut 50 movement, aimed to reduce sentences for non-violent offenders and support reintegration into society through business opportunities.
Cut 50 worked with President Trump to reduce sentences for individuals, often first-time offenders, with long mandatory sentences.
Example: The New Start Act had a $50 million budget, and celebrities like Kim Kardashian lobbied for changes. While effective on a case-by-case basis, it hasn’t had widespread impact due to its limited scope and budget.
