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Reducing American Poverty - Article Example

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The author of this paper states that it is hard to imagine that a developed and prosperous country like America has to deal with the problem of poverty. Where millions of people are enjoying a luxurious life in the land of success and opportunity…
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Reducing American Poverty
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Reducing American Poverty Introduction: It is hard to imagine that a developed and prosperous country like America has to deal with the problem of poverty. Where millions of people are enjoying luxurious life in the land of success and opportunity, millions of other people live in abject poverty. The bitter truth is that over the past six years the number of poor people living in America has increased by five million. This suggests that the gap between the haves and the have nots has increased to a dramatic level. Furthermore, it has been reported that in 2005 the richest 1% of Americans grabbed approximately 20% of the national income. The poorest 20% on the other hand got only 3.4% of the share in national income (Cook, 2007). In America 37 million people live below poverty line and have to struggle everyday for the basic necessities of life (Center for American Progress, 2007). 1Poverty is a serious national issue in America which has not been given importance in the past six years. Poverty is defined as a living condition where a person has inadequate food supply, clothing, accommodation, education and medical facilities (Sarup, 2006). According to the World Bank an American living below the poverty line i.e. $20000 per annum income is considered poor (Iceland, pg. 11, 2003). For the reduction of poverty it is essential to explore the root causes. Poor government policies, unemployment, improper wages due to improper or lack of education and skills, increase in population and increase in the number of families run by single and young mothers have been identified as some of the root causes of poverty in America (Sarup, 2006). Before we discuss the ways to reduce American poverty it would be pertinent to take a look at some of the statistics related to the topic. American statistics suggest that one in eight American lives below poverty line. A family of four people is considered poor if their income is below $20,000. The statistics indicate that in 2005, 12.6% of all Americans were declared poor whereas 31% of Americans had income 200% below the poverty limit set by the Federal government (Center for American Progress, 2007). Millions of Americans are expected to spend one year in poverty during their life time. Approximately one third of the people will experience poverty in a period of 13 years. During that period approximately one in ten Americans is poor for more than half of the time and one in twenty Americans is poor for more than ten years (Center for American Progress, 2007). Poverty in America is higher than the statistics of other developed countries. At the end of the twenty first century America occupied 24th position out of twenty five countries where 50% of population lived below poverty line (Center for American Progress, 2007). There has been a tremendous increase in inequality between the haves and the have nots. One percent of the richest Americans grabbed 19% of the national income and the poorest 20% grabbed only 3.4% (Center for American Progress, 2007). How to reduce poverty in America? Reduction of poverty is a difficult task but it is not impossible. However it is not solely the responsibility of the government but every citizen. The most important thing is to identify the problems of the poor people which are unemployment, low paid jobs, poor accommodation, poor education, no medical facilities and broken families (Edwards, 2007, pg.259). Following recommendations are provided by the Center for American Progress (2007) for the reduction of poverty in America: 1. For the government it is very important to provide decent jobs to everyone. The laborer should be paid such an amount that could help him avoid poverty. Such an amount should be sufficient for him to provide basic needs of his family and at the same time secure his future by economizing. 2Average wages should be raised by half of the average hourly wage (Center for American Progress, 2007). 3Family assistance plans like the ones initiated by Richard Nixon in 1969 should be chalked out for the support of such families that have no outside income (Cook, 2007). Edwards (2007, pg. 262) suggests housing vouchers for poor families that will shift them to safer and better neighborhood with good educational institutions. At present approximately 8 millions of Americans live in poor neighborhood (Center for American Progress, 2007). 2. Children living in poverty should be given great importance since they are the future of any country. As such children should be provided with maximum opportunities that could ensure their success. Others including former prisoners should be given opportunities that can help them get connected to jobs at any time in their lives. At the same time they should be provided with education which could help them get a decent job to avoid poverty (Center for American Progress, 2007). Economic stability is very essential to reduce poverty in America. Job must be available for everyone. Stable economy provides decently paid jobs for everyone which is very essential for reducing poverty in any country (Center for American Progress, 2007). Strengthening economy through foreign investment as was done by Bill Clinton in the 90s could help reduce poverty (Cook, 2007). 3. Increasing the Earned Income Tax Credit and Child Tax Credit can also help in reducing poverty. Increasing the EITC can help childless workers and large working families. Child Tax credit should be made available to all the families. It is suggested that following this step would help the government pull 415 million low paid people out of poverty (Center for American Prosperity, 2007). 4. Child care assistance to low income families and such families that are raised by the single mothers can help in reducing poverty. The government should offer assistance to all those families that have annual income less than $40,000. Education should be made accessible to all. It is estimated that approximately 3 million poor people will gain benefit out of it (Center for American Progress, 2007). Children Saving Accounts can give hope to many poor children for a better future. At the same time progressive tax credit can help eliminate differences in the tax system and can help millions buying home for the first time. Retirement savings can be secured by an “automatic 401(k) proposal. Eliminating predatory lending could help the poor families secure their hard earned assets (Edwards, 2007, pg. 261). Poverty is a national issue and cannot be eliminated overnight. It is important that the government should take serious note of it and set a target of 530 years. It is equally important for the citizens to take up their role in eliminating poverty. Selecting the right leaders, being aware of the people around us and helping the poor in soorting out their problems can help eliminate poverty. The condition can really improve if one financially well family take up the responsibilty of one poor family. Only true and serious efforts can help America pull out millions of people from poverty. References Cook, R.C. (2007). “Poverty in America: Progressive Schemes to reduce Poverty Will fail without Monetary Reform”, Global Research, Retrieved on November 12, 2007 from http://www.globalresearch.ca/index.php?context=va&aid=5905 Edwards, J. (2007). “Conclusion”, Ending Poverty in America, Pg. 258-266. Greenberg, M. Gupta, I, Minoff, E. (April 25, 2007), “From Poverty to Prosperity: A national strategy to cut poverty into half”, Center for American Progress, Pg. 1-5. Iceland, J. (2007). “Early Views of Poverty in America”, Poverty in America, University of California, pg. 11. Sarap, K. (2007). “Reduce Poverty Through Media”, American Chronicle, Retrieved on November 12, 2007 from http://www.americanchronicle.com/articles/viewArticle.asp?articleID=7852 Footnotes: 1. Greenberg, M. Gupta, I, Minoff, E. (April 25, 2007), “From Poverty to Prosperity: A national strategy to cut poverty into half”, Centre for American Progress, Pg. 1. 2. Greenberg, M. Gupta, I, Minoff, E. (April 25, 2007), “From Poverty to Prosperity: A national strategy to cut poverty into half”, Centre for American Progress, Pg. 2. 3. Cook, R.C. (2007). “Poverty in America: Progressive Schemes to reduce Poverty Will fail without Monetary Reform”, Global Research, Retrieved on November 12, 2007 from http://www.globalresearch.ca/index.php?context=va&aid=5905 4. Greenberg, M. Gupta, I, Minoff, E. (April 25, 2007), “From Poverty to Prosperity: A national strategy to cut poverty into half”, Centre for American Progress, Pg. 3. 5. Edwards, J. (2007). “Conclusion”, Ending Poverty in America, Pg. 258- 266. Read More
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