Poverty Source Notes

"Poverty." Opposing Viewpoints Online Collection. Gale, Cengage Learning, 2010.Gale Opposing Viewpoints In Context. Web. 11 Dec. 2012. 1. The definition of poverty used by the U.S. government is based on the amount of money a person or family would need to pay for food. It assumes that most people spend about one-third of their budget on food. The poverty line—the annual income level below which one is considered to live in poverty—is the cost of food for one year multiplied by three, with some other adjustments. The U.S. Census Bureau calculates poverty lines separately for individuals and for different types of households. In 2012, the poverty line for a family of four was an annual income (pre-tax) of $23,050; for one person living alone the figure was $11,170. 2. The U.S. government’s method of defining poverty has been the subject of criticism. One criticism is that it counts only cash income and ignores assistance received in the form of food subsidies, housing, or medical care. Over the years, the government has increased noncash assistance to the poor far more than cash benefits. 3. The poverty rate, an important economic indicator, refers to the percentage of a given group of people who live in poverty. In the late 1950s, about 22 percent of Americans—nearly 40 million people—were in poverty. 4. The so-called “situational theory” takes a different view, focusing on the economic and social conditions that cause poverty rather than on individual attitudes and behavior. One example is the high level of unemployment often found in poor communities. According to situational theory, children living in such an environment have little exposure to the job market and, as a result, they grow up ill-prepared to take advantage of economic opportunities that may arise. 5. Because white people are by far the largest racial group in the United States (about 78 percent of the total population), the number of whites living in poverty is greater