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Consolidating federal job training programs and giving the funds to the states in the form of block grants is a major part of the Senate welfare reform debate. Because statistics indicate that more education leads to better-paying jobs, Congress and others assume that job training programs work. Unfortunately, they don't. Rather than focusing on who should have responsibility for job training programs, Congress must ask itself a fundamental question: Why should we continue to spend taxpayer money on programs that don't work? Job training programs, although well-intentioned, have not proven effective in raising the long- term hourly earnings of participants. They do not achieve this primary goal-better-paying jobs- because there is Ilittle, if anything, the government can do to alter the effect of neglecting the first 12 years of school. What is needed are more fundamental changes aimed at reducing illegitimacy and encouraging individuals to complete high school. Welfare refor ....
(Archived document, may contain errors) April 19,1996 No. 97 WAGES, PROFITS9 AND INCOME: POLITICS VS. REALITY By Mark Wilson Rebecca Lukens Fellow in Labor Policy "On Labor Day 1995, the earnings of most American workers are either stuck in the mud or sinking. Profits are up. Paychecks are not." -Secretary Robert B. Reich, Labor Day Address, August 31, 1995. "The state of the Union is strong. Our economy is the healthiest it has been in three decades." -President Clinton, State of the Union Address, January 23, 1996 INTRODUCTION ....