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KIDS’ SHARE 2007: How Children Fare in the Federal Budget

KIDS’ SHARE 2007: How Children Fare in the Federal Budget. C. Eugene Steuerle Adam Carasso & Gillian Reynolds The Urban Institute March 15, 2007 Funded by First Focus and the Annie E. Casey Foundation. Focus of Study. Federal Spending on Children Past: 1960-2006

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KIDS’ SHARE 2007: How Children Fare in the Federal Budget

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  1. KIDS’ SHARE 2007:How Children Fare in the Federal Budget C. Eugene Steuerle Adam Carasso & Gillian Reynolds The Urban Institute March 15, 2007 Funded by First Focus and the Annie E. Casey Foundation

  2. Focus of Study • Federal Spending on Children • Past: 1960-2006 • Projected under “current law”: 2007-2017 • Measures do not assess effectiveness • Based on earlier work by Rebecca Clark, Rosalind Berkowitz, Christopher Spiro, and Eugene Steuerle

  3. Summary • Children programs: • Not a priority in the federal budget • Perhaps held their own through continual enactment of new programs • But rapidly decreasing priority under current law • Face a basic budget inequity: • Not a level playing field

  4. Summary of Historic Shifts in Children’s Programs • Number has grown significantly • Spending declines as % of domestic spending • But increases modestly as % of GDP • Almost all children’s programs wax, then wane • Direct spending replaces tax subsidies • In-kind replaces cash • Means-tested replaces more universal • Many exceptions to overall shifts

  5. Future Trends • Overall federal budget • Increasing orientation to end of the life cycle • Increasing orientation to consumption • Children squeezed between rising retirement and health expenditures and limited revenues

  6. Conclusions • Current budget situation unique • Never before has so much of future revenues been claimed in advance • Meanwhile, children must fight for leftovers… in a budget soon scheduled to have none.

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