Poverty in the United States has been a subject of much concern for many years. In fact, President Lyndon Johnson proclaimed in his January 1964 State of the Union address, “This administration today, here and now, declares unconditional war on poverty in America.” It has been 51 years since this “War on Poverty” has been proclaimed, yet, poverty has not yet been conquered. Poverty is an ongoing problem that does not have a simple solution. Many economists have different perspectives on how to tackle this issue. Popular poverty reduction strategies include living wage, minimum wage increases, Supplemental Nutritional Assistance Program (SNAP), and Earned Income Tax Credit (EITC). Increase in minimum wage to meet living wage is one strategy …show more content…
The minimum wage in New Jersey is currently $8.38 which equals out to be less then $20,000 annaually. Supporters of raising the mininum wage argue that minimum wage is not enough for faimlies to live on and minimum paid workers often struggle to make ends meet. Some argue that raising minimum wage is not as sufficient as establishing a living wage because different regions have different costs of living. A living wage is an hourly wage rate considered the minimum level to provide the basic essentials of modern living. One aspect of this is that income should be sufficient enough in which housing should be no more than 30% of a familiy's budget. (Investopedia Dictionary). The intent of raising minimum wage is to provide low wage workers with higher income so they may be better able to meet their basic needs. Opposers of raising the minimum wage state that raising minimum wage could potentially cause an increase in unemployment as employers would seek means to offset the cost of higher wages by eliminating positions. An article in the Spotlight on Poverty, “EITC vs. Minimum Wage: Where Should Advocates Place Their Bets?” by Michael Saltsman asserts that an “unintended …show more content…
SNAP is a widely popular anti-hunger program which helped more than 47 million low-income Americans to afford a nutritionally adequate diet in a typical month (Center on Budget and Policy Priorities: Policy Bassics, Introduction to SNAP). SNAP is beneficial in providing assistance with the cost of food to families. Furthermore, it aims to assist with providing families with better nutrition and the option to purchase more nutritional food as they will have more money to spend on food. ( Policy Basics; Introduction to SNAP). Families with the largest need receive the largest amount of benefits; therefore, as a family's income increases, assistance decreases. According to Tiehen & Ver Ploeg, “SNAP was particularly successful in lessening poverty among children--a group with significantly higher rates of poverty than the overall population.” Furthermore, SNAP, unlike many other programs designed to assist the impoverished provides assistance to individuals who have a disability and are unable to work or unemployed and have exhausted their unemployment benefits. Opposers of the SNAP program feel that this is program that provides able-bodied people with assistance rather then promoting that they work; however, the SNAP program supporters state that SNAP provides incentive for particpants to obtain better paying jobs or more hours by only reducing benefits by 24 to 36 cents to
Poverty continues to grow in America. The average minimum wage in the United States is $7.35 an hour- far too low in today’s society. Key expenses, for example, gas and housing prices, have gone up significantly since the minimum wage was last changed in 2007 (Wagner 52). The laws creating the minimum wage were intended to improve the standard of living and decrease poverty. Raising minimum wage is a vital step in decreasing poverty and giving every family the opportunity to survive and succeed. Millions of hard-working Americans are below the poverty line and need an increase in pay. Minimum wage must be raised because it will diminish poverty and assist the working class to support their families.
Poverty in America is a very complex issue that can be looked at from many directions. There are a plethora of statistics and theories about poverty in America that can be confusing and at times contradicting. It is important to objectively view statistics to gain a better understanding of poverty and to wade through the stereotypes and the haze of cultural views that can misrepresent the situation.The official poverty line in America begins with a person making at or below $12,060. To calculate the poverty line for a family, an additional $4,180 is added to the base of $12,060 for each additional member(“Federal Poverty Level Guidelines”). According to the last U.S. census, over 45 million or 14.5% of Americans are at or below the poverty line(Worstall). At this level, the U.S. poverty level has not changed much from the 1970s when the government began a “War on Poverty.” However,
With more and more people becoming unemployed and applying for the Supplemental Nutrition Assistance Program (SNAP), it is imperative that we understand the benefits as well as problems this causes. Even while researching this topic and talking to some of my family and friends about it, it surprised me the amount of those who do not understand food stamps. Coming from the SNAP website, “Food stamps offer nutritional assistance to millions of eligible low-income individuals and families and provides economic benefits to communities” (United States). This program helps millions of people per year and gives upwards of $75 billion and rising. With the prices of food increasing due to inflation, beneficiaries are receiving around $400 at most per month. Using the Electronic benefit transfer systems (EBT), beneficiaries can buy goods from a grocery store using a credit-card like transaction, which takes the money off of their card. The benefits are received monthly on a specific date and vary in amounts from person to person. One family may receive $300 per month because they have three kids and need the extra money, while another may receive $100 or less depending on financial status. The application process includes completing and filing an application form, being interviewed, and verifying facts crucial to determining eligibility. In the past, these applications did not require a drug screening to get benefits, but more and more states are adopting this. There are many drawbacks to SNAP as well such as taking money from working people’s paychecks every week and people abusing the system. Talking about a very opinionated subject, we must remove bias and answer whether or not the Food Stamp system should be limited.
The United States minimum wage is not indexed to inflation. Due to this fact, the purchasing power of minimum wage falls as the price of consumer goods increases. The current hourly minimum wage is set at $7.25, however many states do pay above this rate. One example of this is in Michigan, the current hourly minimum wage is $7.40. The last time a change occurred to raise minimum wage was in 2009. President Obama has put out a proposal that is designed to raise the federally required hourly minimum wage to $10.10 in 2015. The public opinion of this proposal is all over the board ranging from a positive outlook to a negative one. Some of the negative remarks are that it would dampen the economy and shrink the hiring done by small businesses. “The Household Survival Budget for the average New Jersey family of four is $58,500 and for a single adult is $25,368 in 2010. These numbers highl...
Since poverty affects a wide array of people, poverty has evolved into a very complex issue. And even though the government has passed legislature to try to ameliorate the situation, many of these means-tested measures like food stamps, have only been able to help the surface of poverty and fails to rip out the long roots poverty has grown throughout history. Poverty’s deep effects are seen especially in minorities as they struggle much more to leave a current situation that has been created by historical process. Even though government assistance like food stamps do help alleviate some of poverty’s burden, these measures fail to recognize the reality that many of the impoverished minority have undervalued homes or no homes at all and even if they can rent, that rent can be high enough to take up more than fifty-percent of their paychecks. Overall, poverty in America is a vastly complicated issue rooted throughout history. And even though the government has attempted to pass legislature to help provide relief from poverty, America still has yet to provide measures that target the roots of poverty and until then, the government assistance it does provide will only be superficial and fail to provide long-term solutions to a complicated
Undisputedly poverty has been one of the major persistent social problems in the United States for hundreds of years. Poverty does not discriminate against Caucasians, African-Americans, Hispanics, Jews, homosexuals, heterosexuals, age, gender, or persons with disabilities. Poverty can strike any population, community, ethnic group, and family. According to the U.S Census Bureau, 43.6 million people were in poverty in 2009 which was an increase from 2008. (Insert citation for website). There are multiple causes of why a family or individual can fall into poverty, which includes but not limited to, disability, unemployment, age, and recessions, as for which we have seen through the 2008 recession and the Great Depression. Throughout this paper I will address poverty as a social problem and its causes. I will also focus on how children and family households headed by single mothers are effected by poverty, and how Temporary Assistance for Needy Families came about to help children and families in poverty.
There are three areas, which have broad and differing views on how to combat poverty. Those three being, Welfare, Social Security, and Taxes. The following arguments present how those different perspectives affect the poverty issue in America today.
The Supplemental Nutrition Assistance Program helps to ensure that the social minimum: bodily health is being achieved. SNAP was created to provide a way that low-income families can afford food and be adequately nourished. Also, in a utilitarianism perspective, SNAP is offered to all people as long as they can meet the eligibility requirements of the program. This ensures that the program is open to all people and that all have a fair chance at obtaining if they meet the requirements. In regards to deontological social justice, the social minimum of bodily health is met by providing people with the funds to purchase notorious foods. Then with the original position argument, SNAP benefits are given to low-income households because they have a greater need for the benefits than households with higher income. The Supplemental Nutrition Assistance Program allows for people to have a chance to meet the social minimums that all people should be able to
Minimum wage is a difficult number to decide on because it affects different income earning citizens in different ways. According to Principles of Microeconomics, by N. Gregory Mankiw, minimum wage is a law that establishes the lowest price for labor that and employer may pay (Mankiw 6-1b). Currently, the minimum wage in the United States is $7.25 per hour. For many years politicians and citizens have argued on what should be the minimum wage that would benefit the economy and society in general. A minimum wage was first established in 1938 to increase the standard of living of lower class workers. To discuss what is better for the country and its citizens, people have to understand what is a minimum wage and what are its effects.
Today SNAP is the new name of the federal Food Stamp Program. “SNAP stands for Supplemental Nutrition Assistance Program. The name was changed to SNAP to meet the needs of clients, which includes a focus on nutrition and an increase in the amount of benefit received” ("supplemental nutrition,"2011). Another detail about SNAP is its ability to respond to changing needs caused by economic cycles or natural emergencies on the local, state and national levels. It is second to unemployment insurance in its responsiveness to economic changes. SNAP is very helpful to low-income families’ monthly resources, increasing the chance families is able to meet basic needs.
It is regarded as temporary help and it is attached with stigma. Snap would be considered residual welfare. Institutional welfare is seen as normal way of fulfilling social needs. There tends to be no stigma attached and it is services that all categories of people. As recently announced lunch will be free for every child in NYC public schools regardless of income. Prior to this school year some families had to pay for lunch depending on income. Additionally for the children that did qualify for the free lunch sometimes skipped out of not eating for fear of bullying or the stigma that comes along with subsidized school meals. This universal lunch program will meet the universal needs of children. Universal welfare are services that do not require children or families to meet specific eligibility criteria. It is available for all and attracts all categories of people such as public education. On the other hand, selective programs are eligibility determined on a case-to-case basis. In order for one to qualify for SNAP they are screened
In the 2014 State of the Union address, President Obama called on Congress to raise the national minimum wage from $7.25 to $10.10 an hour, and soon after signed an Executive Order to raise the minimum wage to $10.10 for the individuals working on new federal service contracts. An increase in the minimum wage has been a topic of discussion for many years now, and it looks like this year will finally see the first increase of minimum wage in 10 years. Not everyone agrees that there should be an increase, but many states have already raised their minimum wage rates because of the federal government’s inaction. Iowa raised the state’s wage, and it will rise again in 2016. Clearly there are benefits to a higher minimum wage; the current minimum wage in the United States should be raised because it helps the economy by increasing employment, and it is now at the lowest value it has been in more than 50 years, causing hardship for earners of minimum wage.
Poverty is an undeniable problem in America. In 2014, 14.8 percent of the United States was in poverty (“Hunger and Poverty Fact Sheet”). There are more people in the United States than it seems that do not have their basic necessities. In an
Project Proposal on Poverty Reduction "Poverty reduction through pro-active, participatory, income- generating involvement of Rural youth in goat rearing" 1. Name of the project: Income generation through goat rearing. 2. Implementing organisation: Lemon grass 3.
Poverty is a major problem in the United States today. Social, economical, political, and cultural factors all contribute to poverty. Education and economic development are two major issues that will help prevent poverty. The United States Census Bureau defines poverty as an "economic condition in which people lack sufficient income to obtain basic needs for food, housing, clothing, health services and education." In other words, poverty is powerlessness, a lack of representation and freedom. Poverty is an issue that the world faces everyday.