Criminalizing the poor: from welfare to cellfare

RT | Christopher Petrella
24 February, 2012


On August 22, 1996 President Bill Clinton signed into law his now infamous Personal Responsibility and Work Opportunity Act thereby “end[ing] welfare as we have come to know it.” The Act replaced Aid to Families with Dependent Children (AFDC) with Temporary Assistance for Needy Families (TANF). TANF establishes a lifetime limit of 60 months (5 years) for federal assistance, mandates that single parents participate in work activities for an average of 30 hours per week, and caps federal block grant contributions to states at $16.6 billion per year. (As a result of inflation the real value of the TANF block grant has already fallen by 28%.)

And despite few fluctuations in the poverty rate since TANF supplanted AFCD, the participation rate among eligible families has plummeted by 52% since1995. http://democrats.waysandmeans.house.gov/press/PRArticle.aspx?NewsID=11053

Over the same time period—and despite flat to declining crime rates— the U.S. prison and jail population has increased by 44%. http://bjs.ojp.usdoj.gov/index.cfm?ty=pbdetail&iid=1278

Perhaps a quickly expanding prison population is precisely the unspoken foundation upon which “welfare to workfare” rests. We haven’t “ended welfare;” instead we’ve invisiblized it by shifting its beneficiaries from the public square to the prison yard.

The atrophy of the social welfare state and the growth of the penal state represent a double criminalization of poverty. Considering TANF/AFDC data alongside trends in incarceration is necessary for rethinking the role of the state in provisioning basic social services. The transition from welfare to workfare and the proliferation of bodies behind bars taken together “work to marginalize populations—by forcing them off the public aid rolls, on the one side, and holding them under lock, on the other—and eventually pushing them into the peripheral [and deeply precarious] sectors of the labor market.” http://loicwacquant.net/assets/Papers/WEDDINGWORKFAREPRISONFARE-FINAL.pdf

The shared historical roots and political convergences of the assistantial and penitential functions of the state are further validated by the fact that the “social profile” of their respective beneficiaries is uncannily similar. For instance, 50% of former AFDC recipients throughout the early 1990s lived at or below half of the poverty line. Today, 65% of inmates in the United States inhabit the same category.
http://loicwacquant.net/assets/Papers/CRAFTINGNEOLIBERALSTATE-pub.pdf

Both populations, as well, are disproportionately composed of people of color. In1995, 37.2% and 20.7% of AFDC recipients were Black or Latin@, respectively, http://www.acf.hhs.gov/programs/ofa/character/FY95/t10.htm

and in 2010 40% and 20% of state and federal inmates were Black and Latin@, respectively.
http://www.cjcj.org/files/racial_disproportionality.pdf .

Finally, 44% of AFDC recipients in 1994 had not finished high school compared to 41% of those incarcerated in 2003, the most recent year for which data is available. http://bjs.ojp.usdoj.gov/content/pub/pdf/ecp.pdf

The relationship between the sudden but substantial growth in containment justified through the rhetoric of social dishonor and emergence of workfare as a condition of federal subsidy represents an intra-State struggle over its basic social function.

Simply asked, what is the role of the State? And further, what ought to be the role of the State? (Should the role of the State, as neoliberals contend, be limited to safeguarding the so-called “free market” and protecting contracts???)

The double criminalization of poverty marked by ...

1. reducing public aid to low income people of color (disproportionately) and  
2. locking them up (disproportionately) for being poor...

is evidence that the State is trying to re-architecting itself on our watch.

Further, the double criminalization of poverty serves an important ideological function in that it allows the corporate class to attribute widespread unemployment and poverty to personal moral depravity instead of material deprivation. The poor are not depraved; they’re deprived of the basic social resources to secure a dignified standard of living. In the end, the survival of any “criminal State” hinges on its ability to individualize criminality so as to divert attention from its complicitous role in its production.

One Nation With No Jobs

by: Lindsay Beyerstein | The Media Consortium | Tuesday 05 October 2010

Tens of thousands of Americans rallied for jobs and justice at the Lincoln Memorial in Washington, D.C. on Saturday. Organizers say that 175,000 people turned out for the One Nation Working Together rally, which was organized by labor unions, the NAACP, and other progressive groups. In an interview with GritTV's Laura Flanders, AFL-CIO president Richard Trumka, a leader of the One Nation coalition, summed up the agenda: "Jobs, jobs, and more jobs."

America Isn't Working

In total, 8 million jobs have been lost in this recession and 2.5 million homes have been repossessed. According to the official figures, about 10% of Americans are unemployed. The true number may be much higher because the official stats don't count those who have given up looking for work. In AlterNet, NAACP President Benjamin Todd Jealous, another featured speaker at One Nation, points out that the black unemployment rate is nearly twice that of whites. Another 11 million Americans are underemployed, according Trumka.

No End in Sight

An already bleak job market is about to get even bleaker. Last week, Senate Republicans scuttled a popular emergency fund to create jobs and an extension of long-term unemployment insurance benefits, as Andy Kroll reports in Mother Jones.

Steve Benen of the Washington Monthly offers more details on the now-defunct job creation program known as the Temporary Assistance for Needy Families (TANF) emergency fund. The fund provided cash to create jobs in the public and private sectors. Over 240,000 people in 32 states and the District of Columbia worked at jobs created with TANF subsidies. Last week, Senate Democrats lost their fight to extend the program for another 3 months. With the TANF money gone, layoffs will soon follow.

The Department of Labor will release the its monthly unemployment statistics on Friday. One group of independent analysts predicts that September's unemployment rate will be higher than the previous month, according to Brian Beutler of Talking Points Memo. Unemployment rose from 9.6% in July to 9.7% in August and experts surveyed by Bloomberg News expect the trend to continue. It's doubtful that the economy produced enough new jobs to make up for all the census workers whose temporary jobs ended.

Job Skills for America

On the bright side, President Barack Obama is scheduled to unveil a new job training program this week, Annie Lowrey reports in The Michigan Messenger. The program is called Skills for America’s Future. The goal of the project is to encourage partnerships between community colleges and corporations. Colleges and companies will work together to identify areas of rapid job growth and train students to fill those jobs. So far, five companies have agreed to participate in the program, including the Gap., Accenture, United Technologies, PG&E and McDonald’s.

Lowrey argues that this kind of training program will do little to help unemployment in the short term. Right now, companies aren't hiring because there's an economy-wide lack of demand, not because they can't fill positions for lack of trained workers. Demand is low because unemployment is high. Quite simply, people buy less when they don't have jobs, or fear that they will lose their jobs. It's a Catch-22. The jobs won't come back because not enough people have jobs.

Food Stamps are Stimulus

At the most basic level, an economic stimulus package is designed to break the no jobs/no demand/no jobs impasse by injecting large amounts of cash into the economy. Extending unemployment benefits makes for very effective stimulus because the unemployed typically spend their money quickly. Food stamps are another very efficient stimulus because recipients redeem them right away. To give you some indication of how quickly, consider the Wal-Mart at Midnight effect, which Lowrey discusses in the Washington Independent.

Wal-Mart managers are noticing that increasing numbers of customers are buying staples like bread, milk, and baby formula at midnight on the first of the month. That's because state governments directly deposit welfare and food stamp benefits into debit accounts at midnight. Wal-Mart says it brings in extra staff to keep up with the influx of customers during this period.

By contrast, tax cuts are an inefficient stimulus, especially if the cuts go to people who are already wealthy. In tough times, people who already have everything they need may prefer to save their extra money instead of blowing it on luxuries. Rich people will not throng Best Buy at midnight on tax refund day, no matter how big their checks are.

The High Cost of Economic Inequality

It would be nice to think that unemployment is part of a cyclical downturn, but there is mounting evidence that short-term unemployment is a symptom of a deeper problem: pervasive and growing inequality. Sam Petulla of the American Prospect interviews economist Jacob Hacker and political scientist Paul Pierson about their new book, Winner Take All Politics: How Washington Made the Rich Richer and Turned its Back on the Middle Class.

The authors note that the U.S. has greater inequality than other industrialized countries. Since the 1970s, the richest Americans have gotten much richer while the rest of us lagged further behind. The authors found that almost 40% of household income gains from 1979-2007 went to the richest 1% of households. The trend is accelerating: the top 1% of households pocketed over half of the economic gains of the 2000s. Hacker and Pierson blame tax cuts for the wealth, lax financial regulations that allow the wealthy to rake in unprecedented profits, and stagnating middle class wages for the widening gap between the ultra-rich and the rest of society.

This brings us back to the old demand/jobs paradox. Contrary to the platitudes of trickledown economics, shoveling an ever greater share of society's resources to the ultra-rich doesn't make everyone else better off. Shocking, right?

Right wing economists say that letting the ultra-rich accumulate still more wealth is good for the economy as a whole because the rich have more money to invest in businesses, which are the main source of jobs. The ultra-rich aren't stupid, however. They aren't going to start businesses unless they foresee demand for goods and services; and everyone knows that demand is flat because there are no jobs. Trying to stimulate the economy by making the rich richer is like shoving money into a black hole. The tried and true way to end a recession is to create jobs and provide social services for people who need the money enough to spend it.