What are some important examples of contributory and noncontributory welfare programs?
• The Social Security Act of 1935 is the foundation of the American welfare state. • Programs can be defined as either contributory programs or noncontributory programs. • Contributory programs include Social Security and Medicare, which are funded by taxes and are adjusted annually (indexing) for cost-of-living adjustments (COLAs). • Noncontributory programs include Aid to Families with Dependent Children (AFDC) and the new Temporary Assistance to Needy Families (TANF), which provide public assistance to needy families based on means testing. III. What two major welfare programs were created in 1965? What were the long-term effects of these programs? • Medicare and Medicaid were enacted in 1967. • Medicare provides long-term health care for the elderly. • Medicaid provides health care for low-income individuals. IV. Has welfare reform been successful? Why or why not? • The push for welfare reform can be traced back as early as 1960 but began in earnest during the 1990s. • President Cl