Verified Document

Income Gap Term Paper

self-Perpetuating causes of the poverty gap in the U.S. This paper considers the existence and the causes of the poverty gap in the U.S. And puts forward the hypothesis that it is a self-perpetuating problem. Issues considered include education, health and government policy. The bibliography cites 4 sources.

The Income Gap

There is a well-known saying: "The rich get richer and the poor get poorer." This appears to be true in the United States. In the "land of opportunity" the income gap is larger than any other industrialized nation (Stille), and its continued existence is a self-perpetuating, negative cycle.

The evidence for an increasing income gap is clear, whilst the richest 10$% of the U.S. have seen their income increase by 34% since 1989, the equivalent increase for the poorest 10% is only 1.3% (Stille). However, there is not total agreement regarding the manifestation and current trend of this poverty gap. In 1962, Michael Harrington wrote a book; the Other America, in which he told readers African-Americans that were working had an average income of only 58% of their white counterparts, furthermore that more than 50% where not working (cited in Michael). However, this was an improvement on the former years, as this was up by 17 points on the figures from two decades before. The gap was still large, but decreasing in its size (Michael).

With this rate of decrease it was projected that equality would be reached at some point after the year 2000 (Michael). The release of the U.S. census data that become available in 1999 also indicated a fall in the poverty gap; with the gained in total income being...

Parts of this document are hidden

View Full Document
svg-one

The period between 1998 and 1999 showed increased for the richest 20% of households showed increases of 3.9% and the poorest 20% by 5.4% (Michael).
However even here it may be recognised that using percentage may be misleading in the real levels of poverty, 5% of a small amount is a lot less than 3% of a great deal. In this census these different percentages meant only a $512 increase for the poor, and a $5,055 for the rich (Michael). In addition to this if we look at the spread of wealth, 49% is owned by the richest 20%, and only 3.6% by the poorest 20% (Michael).

With a current level of poverty at 11.8% this is at the lowest rate ever recorded, the decrease starting after 1995 (Michael). However, when we look more closely at the trends the major decrease in inequality occurred in the 1960's with the time between showing only minor improvements, and it is argued that this will again increase when there is a recession r depression (Michael).

If we consider that the level of poverty set by the government is only $8,350 in the year 2000 for a single person, and $11,250 for a couple, then we may also ague that poverty measures are all subjective. The causes however, appear to remain the same.

The problems is so great that according to Michigan University Professor Ronald Inglehart both the rich and the poor show high levels of dissatisfaction, and that he foresees the only way to equality as coercion that removes control for all individuals lives (cited in Stille). This means that inequality is bound to continue.

Others argue that there are many causes to the…

Sources used in this document:
Michael M (2001, Jan/Feb), The "other America" revisited: The war on poverty: gains and losses, Dollars and Sense. i223, 42-43

Stille A, (2001, Dec 15), Grounded by an income gap, New York Times, p7.

Wolf EN, (2001, Feb 12), The rich get richer....and why the poorer don't, The American Prospect, v12, i3, p1516
Cite this Document:
Copy Bibliography Citation

Related Documents

Poverty the Elimination of Poverty
Words: 2950 Length: 10 Document Type: Term Paper

Moreover, there are many other considerations that must be taken into account, any of which can obfuscate the impact of the World Bank's actions. UNESCO's perspective is less linear in its logic. Armed with a vague and shifting understanding of the antecedents of poverty, UNESCO not only has trouble measuring poverty but also has trouble drawing links between specific program actions and the elimination of poverty. UNESCO understands that broad

Poverty and Children in the U.S. Poverty
Words: 2090 Length: 7 Document Type: Essay

Poverty and Children in the U.S. Poverty Stricken Children in the United States of America It is unfortunate to state that sociological ills have preserved their place in almost every society, civilization and empire. Be it slavery, illiteracy, disease or poverty; one vice or the other has invaded communities throughout history and wreaked destruction upon the inhabitants. Despite the revolutions in the information technology and communication sector, countries are still experiencing a

Poverty and Crime the Connection
Words: 1537 Length: 6 Document Type: Research Paper

The first pitfall is that soft factors such as culture are very hard to quantify and thus difficult to pin down in the type of quantitative research currently in vogue in the field of social sciences. There will have to be more qualitative research done, including interviews, questionairres, and polls conducted in order to get a handle on the factors which transform poverty into crime. The second pitfall is

Poverty a Recent Study on Demographics Found
Words: 1211 Length: 3 Document Type: Research Paper

Poverty A recent study on demographics found that white Americans, currently about 63% of the U.S. population, will peak in 2024 and drop below 50% of the U.S. population by 2043. In fact, since the Immigration Reform Act of 1965, about 650,000 new immigrants a year come from Latin America and Asia, which outnumbers the mass European Immigration from 1920-1920 (Lee, 2013). African-Americans, as of the 2012 census update, comprise about

Poverty Over the Years, the
Words: 1103 Length: 4 Document Type: Term Paper

This can take shape with the person having fewer educational resources and support. While at the same time, they are exposed to a host of illegal activities that are committed right in front of them (i.e. The distribution of illegal drugs or the sale of guns). These factors will help the person to think that this is socially acceptable. ("Causes and Effects of Poverty," 2012) When this happens, they will

Poverty Education Problems at Present, an African
Words: 2163 Length: 7 Document Type: Research Paper

Poverty Education Problems At present, an African child born in poverty is more anticipated to be undernourished than attending primary school education and is as likely to pass away ahead of age 5 as to attend secondary education. As mentioned by Tilak, J. (2009) these harsh realities are representatative of the interlinked state of poverty and education with regard to a child's chances of survival in Africa. Statistical assessment of sub-Saharan

Sign Up for Unlimited Study Help

Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.

Get Started Now