Families & Families & PovertyPoverty

Introduction to Family Introduction to Family StudiesStudies

Welfare Reform - 1996Welfare Reform - 1996What Caused Sweeping Reform? What Caused Sweeping Reform? Attitudes towards women’s rolesAttitudes towards women’s roles

More acceptable for women with children More acceptable for women with children to workto work

Since nonpoor mothers were working, Since nonpoor mothers were working, those on welfare should be toothose on welfare should be too

Characteristics of recipientsCharacteristics of recipients Not widowed, but rather, single mothersNot widowed, but rather, single mothers

Divorced or never marriedDivorced or never married Deserving vs. undeserving poorDeserving vs. undeserving poor

Hand-up vs. hand-outHand-up vs. hand-out Racial composition had changedRacial composition had changed

Families & PovertyFamilies & Poverty

YearYear PercentPercent

19691969 13.713.7

19791979 12.412.4

19891989 13.113.1

19981998 12.712.7

20012001 11.711.7

20072007 12.512.520082008 13.213.220102010 14.314.3

Source: U.S. Bureau of the Census

Despite many initiatives and billions of dollars over the past 40 years:

Note how LITTLE CHANGE in the % of people living below poverty

Poverty in the U.S.Poverty in the U.S.

In 2004, 37 million people were In 2004, 37 million people were in poverty, up 1.1 million from in poverty, up 1.1 million from 2003 2003

Your likelihood of being poor and Your likelihood of being poor and of receiving welfare is associated of receiving welfare is associated with your race and ethnicitywith your race and ethnicityhttp://www.census.gov/hhes/www/poverty/poverty04/pov04hi.html

04/21/235

TANF Population by Race/ethnicity2008

Families, Public Policy, Families, Public Policy, & Poverty& Poverty

How Do We Define Poverty?How Do We Define Poverty?

The official poverty level The official poverty level established by the United established by the United States Government.States Government.

How would you go about How would you go about calculating or estimating who calculating or estimating who is poor an who isn’t?is poor an who isn’t?

Where would you draw the Where would you draw the line?line?

How Do We Define Poverty?How Do We Define Poverty?Poverty thresholds were Poverty thresholds were

developed in 1963-1964 by developed in 1963-1964 by Mollie Orshansky, a home Mollie Orshansky, a home economist at the Social Security economist at the Social Security Administration.Administration.

Based on the estimated cost of Based on the estimated cost of an “economy food budget” an “economy food budget” multiplied by 3 (assuming that multiplied by 3 (assuming that food constitutes 1/3 of a food constitutes 1/3 of a family’s budget).family’s budget).

The economy food budget was The economy food budget was “designed for temporary or “designed for temporary or emergency use when funds are emergency use when funds are low.”low.”

How Do We Define Poverty?How Do We Define Poverty?

Poverty thresholds define the poverty level Poverty thresholds define the poverty level

Used for statistical purposes – to show poverty Used for statistical purposes – to show poverty over timeover time

Adjusted for:Adjusted for:family sizefamily sizenumber of children under 18 years of agenumber of children under 18 years of ageannually based on changes in the cost of livingannually based on changes in the cost of living

Problems with this definitionProblems with this definitionFamilies living below poverty have inadequate Families living below poverty have inadequate

incomesincomesFamilies just above line still teetering on the Families just above line still teetering on the

edgeedge

How Do We Define How Do We Define Poverty?Poverty?

Poverty guidelinesPoverty guidelines

Issued each year by the Dept. of Issued each year by the Dept. of Health and Human Services (HHS). Health and Human Services (HHS).

Used for administrative purposes-- for Used for administrative purposes-- for instance determining who is eligible instance determining who is eligible for federal programs like: for federal programs like:

Temporary Assistance to Needy Temporary Assistance to Needy Families (TANF) or welfare.Families (TANF) or welfare.

Poverty Guidelines for Recent Poverty Guidelines for Recent YearsYears**

Year First Four Person Each Add’l

Person Family Person

1996 $7,740 $15,600 $2,620

 

1998 $8,050 $16,450 $2,800

  

2000 $8,350 $17,050 $2,900

 

2004 $9,310 $18,850 $3,180

2010 $10,830 $22,050 $3,740* for the 48 contiguous states and D.C.

Source: Department of Health and Human Services http://aspe.hhs.gov/poverty/10poverty.shtmlSource: Department of Health and Human Services http://aspe.hhs.gov/poverty/10poverty.shtml

The Deserving PoorThe Deserving PoorHistorian, Michael Katz, studies the history of

poverty in the U.S.

He argues that there have always been a group of people called the deserving poor – they deserve to get assistance from the government

They are poor through no fault of their own

Prior to the 1970s, this group included the:AgedChildrenFemale headed families (through widowhood)

The Deserving PoorThe Deserving Poor

Now the deserving poor are only:AgedChildrenDisabled/mentally challengedThe deserving poor no longer includes single

mothers because they came to be perceived as poor because they made bad choices – i.e. had a child outside of marriage

Shift from single motherhood due to widowhood vs. single motherhood due to nonmarital birth

How do Families “Make How do Families “Make Ends Meet?”Ends Meet?”

Think about trying to live on $22,050 dollars per year as a single Mom and three children:RentFoodChild careUtilities

Electricity/GasPhoneWaterCable

Clothing