Poverty About 1/5 of the population in the US is considered either the working poor or the underclass US Government draws a poverty line Idea was that most people spend about a 1/3 of their income on food Government computes a low cost food budget and multiplies it by 3 If people’s income is below that number, than they are considered to be in poverty Reality people spend about 20% on food, but need more things to live (multiply by 5)

Who Are the Poor?

Geography

Who Are the Poor 1.Race-Ethnicity (9% are white Americans, while 22% are African Americans & Latinos, 11% are Asians) 2.Education (2 out of 100 college graduates are in poverty, while 1 out of 5 high school drop outs are in poverty) 3.Feminization of Poverty (women-headed families are 7 times likely to be in poverty than a couple headed family (Divorce, lower wages & single women mothers)) 4.Old Age – it used to be growing old increased the chances of being poor, but govt. policies, medical care & subsidized housing have help the elderly.

Culture of Poverty Many feel that the poor tend to get trapped in a culture of poverty Many stereotype the poor as lazy and bring poverty to themselves Studies show that most poverty is short lived, only about 12% last more than 5 years Very few people in poverty enjoy living off the government Some people make it out, while others bounce back and forth About ¼ of the population has been poor at one time

Why are People Poor? 1.Social Structure -people are denied to learning job skills or education 2.Race, Age, Gender discrimination in the job market 3.Dropping out of school, teen pregnancy and having more children than the other class

Welfare Reform In 1996, US welfare was restructured which now requires states to place a lifetime cap on welfare assistance Pushes people to look for work and take available jobs Conflict Theorists view welfare as a way to maintain an army of reserve workers We see a lack of deferred gratification (giving up something now for a gain in the future)