Both "welfare culture" arguments and structural explanations of poverty suggest that attitudes may have an effect on work and welfare outcomes. However, most scholars only examine objective behaviors and characteristics despite the fact that values are an underlying mechanism in explanations of the transmission of welfare and work behavior. Using data from a survey of recent welfare recipients in Louisiana and structural equation methods, we analyze causal relationships among family background, socioeconomic characteristics, attitudes, and two outcomes--TANF participation and employment. We find some support for the intergenerational transmission of welfare but not through values; we find no evidence that under the TANF system, values inhibit work.