Report Outline
Theories of Federal Aid
Evolution of the Federal-Aid System
Cost of the Federal-Aid System
Federal-Aid Measures in Congress
Proposed Extensions of System
The Opposition to Federal Aid
The Case for Federal Aid
Special Focus
Theories of Federal Aid
Several factors are now directing public attention to the American subsidy system. Chief among them are the rapid growth of federal aid to the states in recent years, the method of apportioning such grants and the conditions attached to the federal payments, the new forms being taken by federal aid, and the extension of federal functions involved in the growth of the system. Current efforts to relieve economic distress have led to the introduction at the present session of Congress of various measures to extend or modify the federal-aid system. Unofficial proposals looking to changes in the system are also being advanced by interested groups and individuals. Prominent among these is the proposal to relieve the states, at least temporarily, of any obligation to match payments offered by the federal government and to have Congress make outright grants to the states. It is also suggested that the federal government reimburse the states and municipalities for expenditures they have made and are making to mitigate unemployment. These developments and proposals have renewed the old debate as to the merits of the principles involved in federal aid, in the course of which widely divergent views are being expressed.
In the light of current proposals for extension of the subsidy system. this report will review the principles upon which federal aid is based, the evolution of the system in the United States, the cost of the system to the central government, the official and unofficial proposals now being put forward, and the arguments for and against the system.
Theories of Federal Aid
The problem involved in federal subsidies to the states is that of financing locally administered services—such as forest-fire prevention, agricultural extension work, highway construction, vocational education, and promotion of the welfare of mothers and infants—which are national in scope and significance. There are at least three ways in which such essential service? could, in theory, be financially supported: (1) by the states alone, (2) by the federal government alone, or (3) jointly by the states and the federal government. |
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New Deal, Great Depression, and Economic Recovery |
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Feb. 20, 2009 |
Public-Works Projects |
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Jul. 25, 1986 |
New Deal for the Family |
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Apr. 04, 1973 |
Future of Social Programs |
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Nov. 18, 1944 |
Postwar Public Works |
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Apr. 12, 1941 |
Public Works in the Post-Emergency Period |
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Mar. 08, 1940 |
Integration of Utility Systems |
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Feb. 26, 1938 |
The Permanent Problem of Relief |
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Jun. 08, 1937 |
Experiments in Price Control |
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Jan. 05, 1937 |
Credit Policy and Control of Recovery |
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Nov. 27, 1936 |
New Deal Aims and the Constitution |
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Oct. 16, 1936 |
Father Coughlin vs. the Federal Reserve System |
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Sep. 25, 1936 |
Roosevelt Policies in Practice |
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Feb. 11, 1936 |
Conditional Grants to the States |
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Dec. 11, 1935 |
Capital Goods Industries and Recovery |
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Sep. 25, 1935 |
Unemployment Relief Under Roosevelt |
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Jul. 17, 1935 |
The R.F.C. Under Hoover and Roosevelt |
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Jul. 03, 1935 |
Six Months of the Second New Deal Congress |
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Jun. 04, 1935 |
The Supreme Court and the New Deal |
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Mar. 05, 1935 |
Public Works and Work Relief |
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Feb. 16, 1935 |
Organized Labor and the New Deal |
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Dec. 04, 1934 |
Rural Electrification and Power Rates |
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Oct. 26, 1934 |
Federal Relief Programs and Policies |
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Jul. 25, 1934 |
Distribution of Federal Emergency Expenditures |
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Jul. 17, 1934 |
Debt, Credit, and Recovery |
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May 25, 1934 |
The New Deal in the Courts |
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Mar. 27, 1934 |
Construction and Economic Recovery |
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Mar. 19, 1934 |
Price Controls Under N.R.A. |
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Feb. 15, 1934 |
Federal Promotion of State Unemployment Insurance |
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Jan. 10, 1934 |
Government and Business After the Depression |
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Jan. 02, 1934 |
The Adjustment of Municipal Debts |
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Dec. 12, 1933 |
The Machine and the Recovery Program |
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Dec. 05, 1933 |
Winter Relief, 1933–1934 |
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Nov. 11, 1933 |
Power Policies of the Roosevelt Administration |
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Oct. 28, 1933 |
Buying Power under the Recovery Program |
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Oct. 19, 1933 |
Land Settlement for the Unemployed |
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Sep. 20, 1933 |
The Capital Market and the Securities Act |
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Jul. 18, 1933 |
Public Works and National Recovery |
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Jul. 01, 1933 |
The Plan for National Industrial Control |
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May 03, 1933 |
Economic Readjustments Essential to Prosperity |
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Apr. 26, 1933 |
Government Subsidies to Private Industry |
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Mar. 25, 1933 |
Rehabilitation of the Unemployed |
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Feb. 17, 1933 |
Federal Cooperation in Unemployment Relief |
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Nov. 16, 1932 |
Systems of Unemployment Compensation |
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Nov. 09, 1932 |
Policies of the New Administration |
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Aug. 18, 1932 |
Emergency Relief Construction and Self-Liquidating Projects |
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Dec. 28, 1931 |
Relief of Unemployment |
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Aug. 01, 1931 |
National Economic Planning |
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Jul. 20, 1931 |
Dividends and Wages in Periods of Depression |
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Feb. 19, 1931 |
Insurance Against Unemployment |
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Jan. 19, 1931 |
Business Failures and Bankruptcy Administration |
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Jan. 01, 1931 |
Federal Subsidies to the States |
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Dec. 08, 1930 |
Federal Relief of Economic Distress |
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Sep. 25, 1930 |
The Extent of Unemployment |
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May 16, 1930 |
Politics and Depressions |
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Dec. 20, 1929 |
The Federal Public Works Program |
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Jun. 08, 1929 |
The Federal Reserve System and Stock Speculation |
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Apr. 14, 1928 |
The Federal Reserve System and Price Stabilization |
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Feb. 25, 1928 |
The Federal Reserve System and Brokers' Loans |
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