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The Fiscalization of Social PolicyHow Taxpayers Trumped Children in the Fight Against Child Poverty$
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Joshua T. McCabe

Print publication date: 2018

Print ISBN-13: 9780190841300

Published to Oxford Scholarship Online: May 2018

DOI: 10.1093/oso/9780190841300.001.0001

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The Great Divergence

The Great Divergence

Chapter:
(p.24) 2 The Great Divergence
Source:
The Fiscalization of Social Policy
Author(s):

Joshua T. McCabe

Publisher:
Oxford University Press
DOI:10.1093/oso/9780190841300.003.0002

Chapter 2 looks at the “great divergence,” when logics of appropriateness were institutionalized in public policies. It shows just how similar all three countries were in the interwar period. Prior to World War II, American, British, and Canadian policymakers held similar views on when it was appropriate to provide direct cash benefits to families with children. Nascent projects for postwar reconstruction changed this in Canada and the UK as each country introduced family allowances in the mid-1940s. Children were recognized for the first time ever as deserving of direct cash benefits according to a new logic of income supplementation. The US on the other hand never introduced family allowances. The unintended result was the noninstitutionalization of the logic of income supplementation for families. The policy legacies established during this period were crucial for shaping later responses to inflation and child poverty.

Keywords:   mothers pension, family allowance, tax exemption, critical juncture, policy sequence, Beveridge Report, Marsh Report, National Resources Planning Board, postwar reconstruction

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