The poverty line is the
threshold below which families or individuals are considered to be lacking the resources to meet the basic needs for
healthy living; having insufficient income to provide the food, shelter and
clothing needed to preserve health. In the US in 2011, $22,350/year is the
poverty line for a family of four while $10,890 is the line for an individual. About 15% of Americans (45 million) live in chronic
poverty while more than half experience poverty at least once in their
lifetimes. 10% of all whites and Asians and 25% of blacks and Hispanics live in
poverty. As a statistic, this is about the same as it was 50 years ago, before
Lyndon Johnson initiated the War on Poverty. However, with government
assistance, being poor in the United States in 2012 is not nearly as
devastating as it was in 1960.
Government assistance includes housing, food, healthcare,
cash welfare payments and free education. 4.5 million families receive cash
assistance under TANF (Temporary Assistance for Needy Families, welfare). 3
million households receive Section 8 housing subsidies. 18.6 million households
(45 million people) received SNAP (Food Stamps). Medicaid and CHIP provides medical
services to 60 million Americans . The Earned Income Tax Credit provides
another form of poverty relief. For those with incomes up to $50k the EITC
provides a refundable credit.
Program
|
Annual Cost in Billions
|
Millions of Beneficiaries
|
% of Population
|
Monthly Benefit
|
Welfare
|
$20
|
4.5
|
4.3%
|
$370
|
Food Stamps
|
$76
|
18.6
|
14.5%
|
$133
|
Housing Sec 8
|
$20
|
3
|
2.9%
|
$555
|
Medicaid
|
$401
|
60
|
19.4%
|
$556
|
EITC
|
$60
|
26.8
|
17.8%
|
$ 90
|
Americans rarely die of poverty related ailments like
starvation, epidemic or exposure. Expanding access to healthcare services could
further reduce the impact of common curable and preventable diseases and
improve quality of life. Living in poverty in America is substantially safer
and more comfortable than in many other countries. This does little to take the
resentment out of having less than others and may go far toward explaining
poorer Americans’ tendencies to engage in crime.
Homelessness is the exception and is substantially more
dangerous than just being poor. On any given night 450,000-850,000 Americans
find themselves on the street. 1.6
million others make it into emergency shelters.
In any given year 3.5 million Americans experience homelessness
Generational poverty is one of the greatest concerns of
sociologists and critics of welfare programs alike. They argue that programs
support lifestyles and habits that perpetuate poverty. Studies show that impoverished people develop
habits and behaviors that keep them poor and they pass these behaviors on to
their offspring. Actual solutions to the problem of poverty are scarce. Critics
point to threshold income requirements as a problem that keeps people in
poverty. In other words if a person earns more than a certain amount they
become ineligible for benefits. This may cost them overall, so they refuse to
work more than the threshold amount even if they could, which keeps them in
poverty, even if they could emerge.
Critics of poverty programs often point to fraud as a reason
to abandon the programs. The DHH estimates 1% of food stamp purchases are
fraudulent because of what they call “trafficking,” the practice of selling the
benefit card to another person for cash at some discount. This compares to
claims by critics of up to 30% fraudulent use of the benefit.