New U.S. census numbers show that the American poverty rate is at its highest since 1993, showing the fallout from years of high unemployment brought on by the economic recession. The current federal poverty rate is based on an income of $11,139 a year for a single person and $22,314 a year for a family of four.
Experts say the poverty rate has been on the decline for years, and this spike demonstrates the significant toll the recession has taken on people around the country. They say it is primarily a job market problem, as demonstrated by how little money people are making because they are not working.
Analysts on the NewsHour also emphasized the importance of extending a "safety net" to those who aren't currently working to pull them out of poverty, get them job training to compete for work and make sure they can support their families. Such government "safety net" programs include unemployment insurance, payroll tax cuts, food stamps and wage subsidies for the working poor.
Quotes
"The safety net has been doing its job. That doesn't mean it couldn't do better." - Isabel Sawhill, Brookings Institution
"This downturn is sending many millions of people who enjoyed a middle-class or at least a very comfortable lifestyle into poverty. And it could be a very long-term condition...We could be at a bend point in our economy. And unless we take some pretty drastic action to turn this around, it will be with us for quite a number of years." - Douglas Besharov, University of Maryland
Warm Up Questions
1. What is poverty? How do people fall into poverty?
2. What is a recession? What happens as a result of a recession?
3. What percentage of the American population do you think lives in poverty? 5%, 10%, 15% 20% ?
Discussion Questions
1. According to the video, if you were making $15,000 per year as a single person, would you be below the federal poverty line?
2. Why can a high poverty rate be bad for a country's economy?
3. What do you think should be done to address this spike in the U.S. poverty rate? What are some suggestions put forth by the people in this video?
Additional Resources
