Abstract In this study we categorize welfare duration determinants into those associated with family traits and the social macro environment outside the family. Monthly AFDC-Basic data for Texas from mid-1989 through April 1993 are analyzed using an event history analysis to examine the length of time families receive AFDC benefits and to estimate the effects of the two latent traits that influence the pace of quitting welfare. Results suggest a need for reformulating welfare policies to address the disadvantages stemming from the social structural context of poverty such as urban residence and race membership.