Changes in the US and National Poverty Rates - Essay Example

No: Changes in the US and National Poverty Rates Today major modern economies are engulfed with recessions and unemployment. The poverty in crude terms considered as lack of availability of goods and services to the men, women and children of a society. Take the example of United States of America where poverty and employment is rampant due to economic recession. If we look at the census bureau report, it endorses above apprehensions that it is being increased rather than decreased with the passage of time. As per Census Bureau Report of United States in the year 2007, the poverty rate rose to 12.5 % as compared to previous year. It means that 37.3 million people were poor in the year 2007 and in the year 2006 the figures touched upon 36.5 million poor people (DeNavas-Walt, et al 2008). As per the figures published in the Bureau of Census report, nearly 43.6 million comprised of all shades of Americans, were facing deep poverty in the year 2009. It has increased comparatively if we take into account the poverty of 39.8 million in the year 2008. This has increased 15.1% in the year 2010. In the year 2009, it was 14.3% (DeNavas-Walt, et al 2010). A chart is displayed as under showing the census report regarding poverty ratio increase. Number in Poverty and Poverty Rate: 1959 to 2009 (Durden 2010) The poverty ratio reportedly varies from segment to segment. In white, it is 9.9 percent. In Blacks, it is 27.4 percent. The people living, in deep-rooted poverty is around 6.7 percent. The increasing poverty rate speaks itself, the ineffective economic policy by the incumbent of present regime and the incumbent of yester regimes. The recession and multiple challenges of employment have a direct bearing on poverty numbers. According to the Census Bureau, household income declined by 2.3 percent between 2009 and 2010. Since 2007, household income declined by 6.4 percent. The number of male who were on full time job, year around decreased by 6.6 million since 2007 and the number of female who were on full time job, round the year decreased by 2.8 million. The government assistance although mitigated some of the worst affects (DeNavas-Walt, et al 2010). In accordance with the census, nearly 3.2 million people have been benefited from Social Security Insurance. However, food stamp program was not accounted for. These figures portray only a small portion of families and communities throughout the country who at the hands of poverty suffered a lot in terms of mental and physical health. Center on Budget, Policy and Priorities impressively highlighted, the misery of people living in poverty (DeNavas-Walt, et al 2010). It is evident from the above figures that poverty rates have been increased in yesteryears. For the current year, the economists forecast increasing number of poverty effected people in view the bleak unemployment scenario. Poverty rate of New Jersey New Jersey is among the top five states with lowest poverty rates. According to Bureau of Census Report about 0.799 million people fell within the poverty bracket in New Jersey in 2009. It went up to 0.6 percent as compared to previous year, while the nations poverty rate rose by 1 percent (The Associated Press 2011). The status of poverty determined with the comparison of annual income of each domain. A family or individual is considered to be in poverty bracket if income before tax falls below the threshold. According to report, in the year 2009 about 14.3 percent of the countrys population that is to say 42.9 million human beings were living below the poverty line (The Associated Press 2011). Thirty-one states of America have seen increase in poverty numbers. Out of which, South Dakota and Wisconsin had the highest rates of increases in poverty (The Associated Press 2011). The findings were part of the American Community Survey, an annual assessment by the U.S. Census Bureau. The results of the 2010 census will possibly be released in December 2011, which will reflect havoc in the coming year. National Poverty Rate According to latest U.S. Census Bureau report, more than 46 million Americans are now living with higher poverty percentage. This is the highest figure of poverty ever reported since 1959. Further, 50 million Americans are living without health insurance. The ever-increasing number of people seeking assistance is a growing concern for the institutions helping poverty-stricken people (Spriggs 2007). To find out a job while living on a meager allowance is not the American dream. The American dreams expects their own home, own business, having own car, lavish life style. In the present perspective, they even cannot dream of it (Hacker 2006). Part time job with no health insurance cover is really expensive to pay when one does not have enough money to pay. Under the mentioned background, they have to go for other available options. Out of six Americans, one of them are living in poverty (The Associated Press 2011). On each day, poverty aggrieved person to decide whether to buy food or pay rent or to feed family or to buy medicines for them. People who led successful lives, who are now finding themselves in a fix, cannot bring enough money since their unemployment benefits dried up and they do not have the benefit of financial support programs to meet their needs. More people living in poverty due to scarcity of funds. The dollars just are not as sufficient as they used to be (Hacker 2006). Unless something is done to tackle the unemployment situation, the queue of poverty-hit people looking for help will continue to flourish day by day. If we compare the current rate of poverty of the United States of America with any developed country, by all means it is higher in the comity of developed nation (DeNavas-Walt, et al 2008). According to survey of many American institutions of repute, a large number of Americans are living below poverty line in the previous year, which has forced the poverty to go to its new height. The Barak Obama administration is trying hard to overcome this alarming situation. However till to date they are not successful in achieving the desired goal. The ever increasing unemployment is the example of failure of their action to minimize the poverty level (DeNavas-Walt, et al 2010). The report comes to surface at a time when the economical condition of an ordinary American citizen is at the forefront of the election campaign of 2012. The newspapers and economist journals of international reports full of this menace, which is spreading it tentacles in the United States in particular and in other, developed countries in general (Spriggs 2007). The younger generation suffered badly at the hands of poverty rather than the adults and the senior citizens. The figures indicates continuous decline in getting the of employment opportunities by the younger generation who have not crossed the age of 18. The living condition of an average citizen should not be taken for granted the national poverty. About 25 percent poor Americans have cell phones and telephone (DeNavas-Walt, et al 2010). The majority of poor do not have noteworthy material troubles. The common problem for them is overloading, provisional hunger and difficulty in getting medical facility. Two main reasons attributes to the poverty of children are that parents do not work as much as required and the fathers are usually absent from home. In ideal and worst economic condition, poor American family with children prefers to work 16 hours a week. If working hour raises 2,000 hours a year, 75 percent of poor children would come out of the poverty trap (Spriggs 2007). Absence of fathers from home is the foremost reason of children poverty. Nearly two third poor children live in only parent apartment. However, an added 1.3 million children are born out of matrimony. The major concern is how impoverished youth could be lifted out of poverty (DeNavas-Walt, et al 2010). No doubt, work and marriage help to come out of poverty. Government funded programs such as food stamps, housing scheme and Medical care ideal for marriage compensation provided welfare could encourage work and marriage, the nations poverty would definitely be reduced (Spriggs 2007). If poverty means lacks healthful food, appropriate temperate accommodation and clothing at within anyone’s means price, few of 35 million people classified as being living below the poverty line (DeNavas-Walt, et al 2010). Financial managers are forecasting grim picture of economic recession and unemployment in the days ahead. However, measures taken at the government level would ease out the pain of unemployed people to some extent (DeNavas-Walt, et al 2010). The increase in poverty ratio has compelled the hard pressed to find out new ways and means for self-survival and the survival of their family even at the cost of leaving their native place. Although increased poverty has distasteful impact on more or less all walks of life in America, leaving Asians less effected comparatively. The poverty ratio amongst the Asians is around 12.1% where as in the black and white it rose to 54% collectively (DeNavas-Walt, et al 2010). To ease out the burden of parents of unemployed youths, Obama regime has extended medical cover to the age group of 18 to 25 under Obama health care reform (DeNavas-Walt, et al 2010). The other day Obama’s domestic policy and care act came under severe criticism of Republicans inclusive of expected presidential candidate for the proposed general election to be held in the coming year. From the above contents and the mentioned census, data is transpired that poverty rate in New Jersey (NJ) is better than National rate in poverty. Works Cited DeNavas- Walt, Carmen, Proctor, Bernadette D. & Smith, Jessica C. U.S. Census Bureau: Income, Poverty, and Health Insurance Coverage in the United States: 2007. Washington D.C.: U.S. Government Printing Office, 2008. Available at http://www.census.gov/prod/2008pubs/p60-235.pdf DeNavas- Walt, Carmen, Proctor, Bernadette D. & Smith, Jessica C. U.S. Census Bureau: Income, Poverty, and Health Insurance Coverage in the United States: 2009. Washington D.C.: U.S. Government Printing Office, 2010. Available at http://www.census.gov/prod/2010pubs/p60-238.pdf Durden, Tyler. Change You Can Chart: 2009 US Poverty Rate Highest Since 1994, 43.6 Million Americans Living Below Poverty Line. September 16, 2010. Retrieved on September 18, 2011 from http://www.zerohedge.com/article/change-you-can-chart-2009-us-poverty-rate-highest-1994-436-million-americans-living-below-po Hacker, J. S. The great risk shift: The new insecurity and the decline of the American dream. New York: Oxford University Press, 2006. Spriggs, William E. The Changing Face of Poverty in America: Why are so many women, children, and racial and cultural minorities still poor? April 22, 2007. Retrieved on September 19, 2011 from http://prospect.org/cs/articles?article=the_changing_face_of_poverty_in_america The Associated Press. U.S. poverty rate increases to 1 in 6 people. Washington, September 13, 2011. Retrieved on September 19, 2011 from http://www.nj.com/news/index.ssf/2011/09/us_poverty_rate_increases_to_1.html Read More