Poverty in These United States

Posted: November 15, 2011 | Author: | Filed under: Austerity, children, Economy, hunger, income inequality, poverty, seniors, unemployment | Tags: , , , | 10 Comments

We are not Afghanistan.  We are not Haiti or the Democratic Republic of the Congo.  We are not any of the 3rd world nations that are sometimes callously referred to as the ‘black holes’ of the world, where national incomes range between $700-900 annually, where human assets in nutrition, education, health and adult literacy are the lowest of the low.  Nor do national fluctuations in agriculture production, instability of import/export services or economic smallness define us.

We are decidedly not one of the least developed nations on the planet.  Quite the contrary.  We are the richest, most powerful and technologically advanced nation the world has ever known.

Yet poverty exists and is rising.  American poverty is a fact, a condition defined not by 3rd world standards but by the standards of who and what we are as a premier Nation among all nations.

No sooner had the Census Bureau come out with its findings on poverty–the first report in September, followed by a supplemental report in early November—the naysayers lined up reminding us that the findings were misleading, that many of the so-called poor had cars and TVs, that children of the poor sported Xboxes. And my God, a goodly number actually have air conditioning!  I suspect many have heating, too.

The arguments are that unless a family or individual meets a 3rd-world definition of poverty then even the mention of rising American poverty levels falls into the category of gross exaggeration.  This in a time when unemployment is the top concern of the American electorate, when unemployment sits ‘officially’ at 9% but, in fact, has reached nearly 20%, when from 2001-2009 42,400 American factories closed their doors to traditional middle-class jobs.  This is also in a time of historical corporate profits and obscene CEO salaries in the financial services industry that through casino betting, accounting fraud and governmental bailouts brought this country and the world to its knees. And continues to do so, eg., MF Global headed by former NJ Governor Jon Corzine. 

The old canards are being taken for a rerun as well: poverty is a symptom of lazy minds and an entitlement generation or an unwillingness to work hard and save money.  Many will recall the Welfare Queen stories of the past, imagined always as a black woman with a dozen children, driving idly around town in her brand new Caddie.  Living life high on the hog, the hysterical claims insisted, bilking government largesse [ otherwise known as taxpayer money].  But as Ralph B. noted in an earlier thread, there’s nary a word about corporate/millionaire welfare, where companies and even individuals skate on Federal taxes through loopholes and accounting maneuvers and government handouts

Let’s get real.  The fallout of 2007-2008 hit many average families between the eyes, this after wages had been stagnating for three decades with a beginning upswing in the 90s, wage advancements quickly lost since 2000. Prices, however, have continued to rise, commodity prices in particular, those base products— gas, foodstuffs—that we all rely on to survive.  Medical costs/premiums have gone through the roof.  Is it any wonder seniors, who face a disproportionate share of medical problems and costs, have gotten caught in the old trap of choosing food or drugs?  Children are caught up in the economic whirlwind, too, as parents lose jobs and homes, scramble for low-paying, part-time positions, work that frequently is not enough to ensure adequate food and/or nutrition on a consistent basis.  Should we be surprised then at the increase of American children now classified as ‘food insecure?’ 

Here’s what we know:

49.1 million Americans have fallen into poverty, 16% of the population or 1 in 7 Americans.

Nearly 20% of that number are children; nearly 16% of the indigent are 65 years and older.

21.5% of American children have been classified as ‘food insecure.’

1 in 15 Americans are classified as the ‘poorest of the poor, which in 2010 translated to $5570 or less for an individual, $11,157 for a family of four.

The Census Bureau’s Supplemental report issued earlier this month takes into account governmental assistance—food stamps, the earned income tax credit, school lunch programs etc—without which the statistics above would be even worse.

From a Center on Budget and Policy Priorities report:

Six temporary federal initiatives enacted in 2009 and 2010 to bolster the economy by lifting consumers’ incomes and purchases kept nearly 7 million Americans out of poverty in 2010, under an alternative measure of poverty that takes into account the impact of government benefit programs and taxes. These initiatives — three new or expanded tax credits, two enhancements of unemployment insurance, and an expansion of benefits through the Supplemental Nutrition Assistance Program (SNAP, formerly called food stamps) — were part of the 2009 Recovery Act. Congress subsequently extended or expanded some of them.

Hence the total number of persons in poverty would have been even higher last year if not for the six government initiatives.

Btw, the link above gives a rather shocking comparison between the poverty rates in the US and Brazil.  Not pretty.

Yet, Michelle Bachmann’s prescription as well as many of her Republican colleagues is based on the old saw: self-reliance, an honest day’s work for an honest day’s pay.  This in a time of record unemployment and rising poverty in the general population.

How many statistics, comparisons, articles and images are necessary to convince the disbelieving that American poverty is on the rise, that it is not the result of coddling, laziness or lack of self-reliance?  Or perhaps we must admit that there is also a poverty of spirit and reason running rampant through country, blinding those who would blame fellow citizens for the dearth of employment and opportunity without offering any workable solutions to an ever growing, bleak reality.

Thursday Reads: A Poverty Tour, Confidence Fairies, A-Rod, D.B. Cooper, and Wingnut Censors

Posted: August 4, 2011 | Author: | Filed under: 2012 presidential campaign, Barack Obama, Crime, Democratic Politics, poverty, religion, Republican politics, Surreality, Team Obama, U.S. Economy, U.S. Politics, voodoo economics | Tags: , , , , , , , , , , , , , , , , , , | 27 Comments

Good Morning!! Let me get a sip of my breakfast tea, and then I’ll share what I found in the news today.

After doing his level best to wreck the U.S. economy, President Obama headed to Chicago to celebrate his birthday and rake in some campaign donations.

Taking a brief hometown respite Wednesday night, President Barack Obama used a 50th birthday bash in Uptown to raise re-election money from a friendly crowd as he sought to recharge a presidency showing signs of scars from Washington’s partisan battles.

The president told supporters at the Aragon Entertainment Center that the nation doesn’t have time to “play these partisan games.”

“I hope we can avoid another self-inflicted wound like we saw over the last couple weeks,” Obama said of the recent debt-ceiling gridlock.

Although Obama doesn’t turn 50 until Thursday, his visit symbolized presidentially and politically a need to turn the corner following weeks of bruising debate over raising the nation’s debt ceiling and cutting the country’s deficit.

Awww, poor guy. Screwing the poor, the elderly, baby boomers, and the working- and middle-classes must be really exhausting.

Meanwhile, Tavis Smiley and Cornel West are heading up a “poverty tour”

to highlight what they see as deficiencies in the Obama’s administration and to force the president and Congress to pay more attention to poor people who have been hit hardest by the recession.

Smiley called the legislation, signed by the president, “a declaration of war on the poor.”

“I don’t understand how the president could agree to a deal that does not extend unemployment benefits, does not close a single corporate loophole and doesn’t raise the taxes on the rich,” said Smiley. “The poor are being rendered more and more invisible in this country. Nobody, not the president, not the Republicans in Congress, is speaking to the truth of the suffering of everyday people.”

Paul Krugman was on Keith Olbermann’s show last night. I keep forgetting to watch that! Krugman discussed a number of things related to the debt ceiling bill, including Newt Gingrich’s remark that the Obama’s is “the Krugman Presidency.” It is to laugh!

Vodpod videos no longer available.

Today, Obama’s press secretary Jay Carney said there won’t be a double-dip recession and the economy is going to grow.

He blamed the earthquake and tsunami in Japan, higher energy prices, default worries in Europe and recently resolved uncertainty over raising America’s borrowing limit. Carney said, “We believe the economy will continue to grow.”

Al-righty then! I guess we have nothing to worry about.

At his blog, Krugman responded that “hope is not a plan.”

Of course there’s a threat. Larry Summers puts the odds at one in three; I might be slightly more optimistic, but the risk is very real. Who, exactly, is at the White House who knows better?

And think about the politics here. For two years the White House has been determinedly cheerful, always declaring that the recovery was on track, that its policies were working fine. And all it did was squander its credibility. Maybe admitting the truth, saying that in fact we hadn’t done nearly enough, would not have helped get useful legislation through Congress. But at least it would have conveyed the message that the WH was living in the same reality as ordinary workers.

Now they’re doing it again. To what purpose? Do they think the markets will be reassured? Do they think consumers will be reassured? At this point, after the “summer of recovery” came and went a whole year ago?

Apparently, that is what they think. Via Digby, Tim Geithner, who seems to be the person Obama listens to most on economic issues, strongly believes in the “confidence fairy.” He must also be the source of Jay Carney’s belief that we won’t have another recession, because that’s what Geithner told George Stepanopoulos a couple of days ago.

GEORGE STEPHANOPOULOS: But don’t you think that any deficit reduction now will — will hurt the attempts of the economy to recover?

TIM GEITHNER: You know, I think the — basic reality we live with and, you know, part of governing is recognize we live with — we don’t have unlimited resources, and we inherited and are left with unsustainable deficits long term. And the president understands that for the sake of the economy long-term it’s very important we demonstrate to the American people, to people around the world that we can get our arms around this and start go back to living’ within our means.

Now, we want to do that very carefully so we create room for the economy to grow and we have the resources necessary to invest in things that are going to be very important to the future like education, like infrastructure, like incentives for private investment. And to do that, it is absolutely essential to lock in these long term savings. Now — the president was very strong on this and made sure that we were not going to accept spending cuts that would damage the prospects for near term recovery. Now, with this behind us, and we get this —

GEORGE STEPHANOPOULOS: So this won’t cost us jobs?

TIM GEITHNER: No, it will not. Now … if we put this behind us then we can turn back to the important challenge of trying to find ways to make sure that we do everything we can to get more people back to work, strengthen our growth. And we’ll have more ability to do that now with people more confident and we can start to get our arms around the long-term problems.

WTF?! Is this guy for real? As Krugman said, “hope is not a plan,” but they don’t seem to have anything else.

At The Nation, George Zornick asks a very good question: Is it time to downgrade the ratings agencies?

…by almost all accounts inside the beltway, a downgrade in the federal government’s credit rating would be catastrophic. But a closer look at who issues these ratings, how they do it, and the real-world impact of these ratings tells a different story.

The first clue that these ratings might not be highly calibrated, serious indicators of creditworthiness can be found in the 2008 economic collapse. The financial products created by Wall Street that were full of toxic mortgage securities were all blessed with gold-star ratings as safe investments from the country’s three main credit ratings agencies, Moody’s, Fitch and Standard and Poor’s.

These products were so awful as to destroy Lehman Brothers, threaten many other trading firms, and plunge the economy into recession, but the ratings agencies consistently told investors they were safe. As William Greider has noted here, this essentially made the rating agencies “unindicted co-conspirators” in the collapse.

Were these agencies just bad at their jobs? Maybe, but Greider offers another more sinister theory: since the banks pay the rating agencies to examine their financial products, a harmful rating would persuade the banks to just shop elsewhere for a more favorable outcome. “This is an outrageous conflict of interest at the very heart of the financial system,” Greider writes.

Overpaid New York Yankee Alex Rodriguez is in trouble again, this time for illegal gambling. Baseball officials opened an investigation after

Star Magazine reported that Rodriguez “played in an underground, illegal poker game where cocaine was openly used, and even organized his own high-stakes game, which ended with thugs threatening players.”

Under the rules that govern baseball players, Rodriguez will have to truthfully answer baseball’s questions. If he acknowledges that he played in underground games or if officials uncover evidence that he did so, he could face a suspension.

The report Wednesday came a month after Major League Baseball opened its own investigation into Rodriguez’s ties to gambling. The investigation was prompted by a Star Magazine report in June that said Rodriguez had participated in a high-stakes illegal poker game with the actors Tobey Maguire, Leonardo DiCaprio, Ben Affleck and Matt Damon.

Hmmm…he was playing with Red Sox fans Affleck and Damon. I wonder who talked to Star Mag? I also learned on Google that A-Rod is dating actress Cameron Diaz. Boy is she making a big mistake.

Here’s an update on the D.B Cooper story I wrote about in the Tuesday Reads: My uncle was D.B. Cooper, Oklahoma woman claims It sounds crazy, but apparently the FBI believe this woman’s story.

To Marla Cooper of Oklahoma, her uncle was D.B. Cooper — except she knew him as Uncle L.D. She believes he died in 1999.

“I saw my uncle plotting a scheme,” Cooper told CNN’s Brooke Baldwin of what she said she remembers witnessing as an eight-year-old girl four decades ago.

Cooper said she was with two uncles at her grandma’s house around Thanksgiving time.

“I was with them while they were plotting it. I didn’t really know what was going on,” Cooper said. “Afterwards on Thanksgiving Day, I saw them return and I heard them discussing what they had done with my father. I have very vivid memories of it.”

Her claim might be cause for healthy speculation, especially 40 years after the fact, but two sources close to the investigation have told CNN that Marla Cooper’s tip led to the FBI reviving the case and for the past year the agency has been actively working the lead.

She says her uncle returned home badly injured and was treated at a VA hospital. Then he disappeared and she never saw him again. Her family made her swear she would never talk about what had happened.

Finally, from Think Progress, here’s an update from the annals of wingnut craziness: MO High School Bans ‘SlaughterHouse Five’ From Curriculum, Library Because Its Principles Are Contrary To The Bible

On Monday at the Republic, MO school board meeting, four Republic School Board members reviewed a year-old complaint that three books are inappropriate reading material for high school children. In a 4-0 vote, the members decided to ax two of the three books from the high school curriculum and the library shelves: Twenty Boy Summer by Sarah Ockler and Slaughterhouse-Five by Kurt Vonnegut. Speak by Laurie Halse Anderson was spared. The resident who filed the original complaint targeted these three books because “they teach principles contrary to the Bible”

Wesley Scroggins, a Republic resident, challenged the use of the books and lesson plans in Republic schools, arguing they teach principles contrary to the Bible.

“I congratulate them for doing what’s right and removing the two books,” said Scroggins, who didn’t attend the board meeting. “It’s unfortunate they chose to keep the other book.”

Horrors! Contrary to the Bible? We can’t have that! You know, sometimes I’m very grateful to live in a relatively civilized place like Boston. This is one of those times.

On that note, I’m going to get another cup of tea and then check out what you all are reading and blogging about. Please post your links in the comments.