PLS 301 Midterm

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Can you provide an example of the "deserving" and the "undeserving" poor, as reflected in popular culture and/or the media?

"Deserving Poor" Old, sick, disabled, children "Undeserving Poor" People who don't want to work. Able-bodied individuals who are unemployed. "Welfare Queen"

AFDC/TANF

* A federal assistance program in effect from 1935 to 1996 created by the Social Security Act (SSA) and administered by the United States Department of Health and Human Services that provided financial assistance to children whose families had low or no income. * Provides temporary financial assistance while aiming to get people off of that assistance, primarily through employment. There is a maximum of 5 years of benefits within one's lifetime, but some states have instituted shorter periods.

How are the poor portrayed in popular culture? Is this different from the way the poor were portrayed in past decades (or centuries)?

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How do these various explanations interact with each other to cause and perpetuate poverty? (This would be a great essay question!)

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What are some of the special challenges faced by the working poor? How do policymakers and the media distinguish between poor people who work and those who do not? Are there specific policies we have learned about that benefit or focus on the working poor?

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What are some ways in which politics (state or national) has created or perpetuated poverty?

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How did the balance between federal and state leadership shift in these various periods? Put another way, in what periods did federal leadership in anti-poverty efforts increase or decrease?

1930s: Federal government first became involved with anti-poverty efforts. 1960s: "War on Poverty" Still government involvement and most likely more involvement than the 1930s. 1990s: Decrease in federal government involvement and power transitioned to the states.

Does / how does U.S. anti-poverty policy distinguish between the "deserving" and the "undeserving" poor? Are these terms helpful, and how?

? See individual notes

What is meant by the phrase "correlation is not causation"?

A correlation between two variables does not imply that one causes the other.

What is the value of random assignment in conducting research? How might this be done?

A random assignment ensures that the sample used for one's study is representative. Could be done via a lottery or computer.

What are the ALICE guidelines, who developed them, and how are they used?

ALICE is an acronym for Asset Limited Income Constrained Employed. For one to qualify for ALICE they must be living above the federal poverty line but make less than the basic cost of living. They must be employed individuals. The United Way developed these guidelines.

Based on Census data from 2016 (released in September 2017), which population groups are most and least likely to be poor (i.e. Which demographic groups, by race and age, have the highest and lowest poverty rates?) How has this changed since the 1960s?

Black and hispanic individuals were much more likely to be poor. Non-hispanic white were significantly less likely to be poor. Asian households had the highest median income. Females were also more likely than men to be considered impoverished. Those 65 and older are less likely to be impoverished than younger individuals. Men 65 and older have the lowest poverty rate of anyone being at 7.6%. 18% of children under 18 were impoverished. This has changed since the 1960's because of the creation of medicare and the social security act. Before the 1960's the elderly were very likely to be poor.

What are some of the special challenges of concentrated poverty, and what kinds of approaches are being tried to address it? (In answering this question, you may focus on one community in the Federal Reserve/Brookings report.)

Concentrated poverty leads to limited educational opportunity. Economic stress leads to an increased crime rate and poor health care (we discussed how poor health care (dental work) can impact someone later when finding a job. Concentrated poverty hinders development in these communities, leads to rundown and abandoned looking buildings further hindering development. Lastly, costs for governments increase, there is a greater need for police presence in poor areas, more individuals go to hospitals and cannot pay, this leads to an increase in federal dollars which reduces other resources in the area for example bad road conditions.

Social Security Act

Created in 1935 included old age insurance, unemployment insurance, and public assistance programs such as dependent mothers and children and disabled.

GI Bill of Rights

Created in 1944 to assist those coming back from WWII, this provided unemployment insurance, funds for a college education and a housing stipend.

Food Stamps / Supplemental Nutrition Assistance Program (SNAP)

Created in 1965 by LBJ, created because of the "war on poverty". Created to assist low income/no income individuals/families in the purchase of food.

Medicaid

Created in 1965 by LBJ, created health insurance for the poor, part of the social security act.

Medicare

Created in 1965 by LBJ, created healthcare for the elderly, part of the Social Security Act.

Earned Income Tax Credit

Created in 1975. Was meant to be a tax credit for low wage workers with children. This credit needs to be applied for which makes it less likely for someone to get.

How is EPI's Family Budget Calculator devised, and what does it tell us?

EPI's Family Budget Calculator measures the income a family needs in order to attain a modest yet adequate standard of living. The budgets estimate community-specific costs for 10 family types (one or two adults with zero to four children) in 618 locations. It tells us the income a family needs in order to attain a modest yet adequate standard of living.

What are some societal or structural reasons for poverty? Be able to provide examples. What does it mean to say they are "structural"?

Economic structure and racial discrimination. Structural means that they are not tied to one's own choices/behaviors.

What are some individual or behavioral reasons for poverty? Be able to provide examples. What does it mean to say they are "behavioral"?

Family structure, unwed pregnancy, choices/values of the poor, federal policy->dependency. Behavioral means that they are tied to one's choices.

What was the significance of Michael Harrington's book, The Other America? How has the poor population changed since Harrington wrote?

Federal government assistance was removed as presidents changed. Not many people want their tax money to help the poor in recent years.

"War on Poverty"

Idea by LBJ in the state of the union address in 1964. This was a response to the national poverty rate being about 20%. He created great society programs, indexed social security to account for inflation. Created medicaid, medicare, food stamps, and head start. The War on poverty struggles because of the Vietnam war.

What is meant by the "culture of poverty"? Who has used this term and what do they mean by it?

Michael Harrington used this term.

Who developed this measure, and when?

Mollie Orshansky created the first poverty threshold - 1963/64.

Harrington put his faith in two institutions - the federal government and labor unions - to lead the fight against poverty. Was this a good idea?

Putting faith into unions was not a good idea. Unions have been on the decline.

Is it more useful to think about poverty in terms of "poor people" or "poor places"? Do these two approaches suggest different kinds of policies?

See notes from 2/20

Personal Responsibility and Work Opportunity Reconciliation Act

Signed in 1996 by Bill Clinton, this ended legal entitlement to assistance programs. It allowed assistance to be up to the states. Had two conditions: 1. Welfare was to be limited to 5 year limits over lifetime 2. 50% of all recipients much work by 2002. This program was difficult because of the recession.

What were the key policy innovations of the 1960s?

The Great Society Social Security indexed for inflation Food stamps (1964) Medicare and Medicaid (1965)

What were the key policy innovations of the 1930s?

The New Deal Social Security Act Unemployment Public Assistance GI Bill (technically 1944)

What were the key policy innovations of the 1990s?

The Personal Responsibility and Opportunity to Work Act, which ended legal entitlement to assistance, and responsibility was transferred from the federal government to the states.

How is the federal poverty line calculated?

The federal poverty line is created using US census data, a pre- tax income is compared to a threshold which is three times the minimum cost of food. (It is now indexed for inflation).

What are some criticisms of the poverty measure? How do alternative measures address these?

The poverty line does not take into consideration the geographic differences, e.g., cost of living in one place compared to another. Basic Family Budget (Economic Poverty Institute). Asset Limited Income Constrained Employment aka A.L.I.C.E (United Way).


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