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© 2019 ideas42 1

MAKING WORK COUNT:

STRATEGIES FOR PROMOTING ECONOMIC MOBILITY

Matthew Darling, ideas42Policy Institute for Governors’ Human Services Advisors

9/12/2019

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A STORY…

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CONTEXT MATTERS

FIX THE CONTEXTNOT THE PERSON

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THE STANDARD MODEL

DECISIONS ACTIONS OUTCOME

yes

no

A

B

yes

no

benefits >

costs?

we decide “yes” if benefits > costs

action naturally follows from decision

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ACTUAL BEHAVIORAL MODEL

DECISIONS ACTIONS OUTCOME

Yes

No

I don’t know ?

?

?How difficult is it?

Will it take long?

What’s everyone else doing?

Can I just do it tomorrow?

Was I already “good” today?

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BEHAVIORAL ECONOMICS AND POVERTY

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POVERTY INTERRUPTED: DESIGNING FOR SCARCITY

3 design principles and

15 recommendationsfor reducing the bandwidth

tax and addressing the

context of poverty

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THE DESIGN PRINCIPLES

Cut the costs Create slack Reframe and empower

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DESIGN PRINCIPLE 1: CUT THE COSTS

Well-meaning programs increase these costs unintentionally

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Poverty Interrupted white paper.

CREATING SYNERGIES

Among families Tacoma Housing Authority worked with, 100%

of college aged student received the scholarship because the

sign-up was integrated into the standard housing application.

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DESIGN PRINCIPLE 2: CREATE SLACK

Poverty is unforgiving, leaving no room for error or risk.

Even minor unanticipated “shocks” can be catastrophic for families.

Building resilience to these shocks to support families.

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Poverty Interrupted white paper.

offers “stackable” trainings, each of which leads to a workplace credential,

so participants get credit even if they can’t complete the whole program.

BUILDING BACKSTOPS

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Living in poverty carries a powerful social stigma.

Many systems and programs unintentionally reinforce this stigma rather than affirm

autonomy and dignity.

DESIGN PRINCIPLE 3: REFRAME & EMPOWER

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Poverty Interrupted white paper.

invites successful participants back

to work with younger students and hires from within the community

BUILDING PLAUSIBLE PATHS TO SUCCESS

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POLICY IMPLICATION:WORK REQUIREMENTS

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WORK REQUIREMENTS…

INCREASE COSTS

ELIMINATE SLACK

MALIGN AND

DISEMPOWER

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