Welfare to Work in the US: A Model for Germany?

Wolfgang Ochel ()

No 537, CESifo Working Paper Series from CESifo

Abstract: Social assistance in Germany reduces the incentive to work. The U. S. Welfare to Work Programme tries to avoid such disincentives. It consists essentially of two elements: the Earned Income Tax Credit (EITC) for employees in low wage occupations and a Workfare model. The EITC and the Workfare model as implemented in the State of Wisconsin are described and analysed. Conclusions for welfare reform in Germany are drawn.

Date: 2001
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Journal Article: Welfare to Work in the US: A Model for Germany? (2002)
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