The objective of this paper is to draw upon available research in welfare dynamics to answer a set of questions regarding the use of public assistance. First, the length and pattern of dependency of welfare recipients are considered, to determine the distribution of caseloads between short term and chronic users of welfare. Second, the welfare decision is described, in order to find the major factors which cause a family to turn to public assistance. (This question also addresses the reasons why a family leaves the rolls, and what impact program features have on the welfare decision.) Third, the levels and sources of income for welfare families are investigated, to ascertain how much income welfare recipients receive from nonwelfare sources. Finally, the impact of job training and employment programs on the welfare decision are assessed in order to indicate the effect work programs would have on improving chances for nonsubsidized employment and reducing the welfare rolls. The long term effects of dependency on family behavior are considered and the implications of research on caseload dynamics for welfare reform are discussed. (Author/AM)