Poverty Issue in America Review Essay

Exclusively available on Available only on IvyPanda® Made by Human No AI

Poverty in America manifests in a way that is related to hidden un-employment in most developing and least developing nations. Majority of the people living in America both in the urban and rural areas find it hard to accumulate savings because their disposable incomes are far much below the cost of living index.

The solution(s) to this Economic problem can best solved through various Economic tools of analysis which must incorporate various Economic assumptions concerning the poor people and the Economy in general holding other factors constant. Assuming that majority of the poor in America are unskilled and incompetent in the present day market demands, the only available solution would be to offer hands on apprenticeship education which must be tailored to meet the current market demands on the ground. Bearing in mind that the use of Information, Communications and Technology is becoming inevitable in Americans Economy, its inclusion in such a programme would ensure production of a relevant labor force.

An intervention in the labor markets minimum wage would offer lasting solutions to the biting problem of inequalities in income distributions. Since income disparities in America are rising between the poor and the rich, a minimum wage would ensure that the poor are able to have a stronger purchasing power which is relevant in the current market. In essence, income distribution should be fair and commensurate with skill, experience and expertise. This would go along way in narrowing income disparities and ensuring equal opportunities to all.

It is worth noting that it would be of no value to regulate the labor market and leave prices of goods and services unattended. The price theory states that holding other factors constant, the prices of goods and services should follow a self adjusting mechanism based on demand and supply so as to attain equilibrium. The American Economy however does not give room for the self adjusting mechanism, the net effect is that the prices of goods and services are skyrocketing-a situation comparable to creeping inflation. The consumers, majority who happens to be poor are thus unable to afford essential commodities and facilities for survival like food and housing. Containing such a crisis would involve a price regulatory mechanism demanding the fixation of a price ceiling below the equilibrium market price to make sure that essential commodities are affordable to all including the poor.

A major concern to those in America concerns the socio-economic welfare of majority who happens to be poor and living below the cost of living index. They are not able to afford, leave alone accessing, socio-economic amenities like recreational facilities, Specialized health and other social amenities essential for life. Welfare reform thus would offer lasting solutions to avert poverty in America. Social amenities should be made affordable to all by subsiding their costs and decentralizing them to even the remotest areas in the country.

The welfare of the working laborers should also be improved. This is only achievable by allowing workers to join labor organizations that would bargain and haggle their pays according to the prevailing Economic demands. Employers on the other hand, both private and public, should be encouraged to cater for the social welfare of their employees through giving welfare allowances and encouraging them to form welfare organizations where they can be pool their contributions together for their common good.

Presently, as Economists are pointing out the Economy of America is going through recession, the government should institute fiscal and monetary policies to curb the possible inflation that may plague the country. Fiscal policies would involve increasing government expenditure in community projects and involving the local people in the work. This would ensure the ploughing back of incomes back in the Economy and in totality increasing the disposable income of the poor. Coupled with reduction of taxes, the consumers would have enough to consume and to save. This would strengthen the financial base of the majority while checking the spiraling of commodity prices. Monetary policies, on the other hand, would require the government to encourage the public to invest in the capital markets enabling the government to acquire funds to provide the basic amenities to the populace affordably to all.

In conclusion, the problem of Poverty in America can be best solve via intervention strategies both from the government, employers not forgetting the role of the Economic tools of analysis.

Work Cited

John Iceland. Poverty in America: A Handbook, California: University of California Press, 2006.

More related papers Related Essay Examples
Cite This paper
You're welcome to use this sample in your assignment. Be sure to cite it correctly

Reference

IvyPanda. (2021, October 28). Poverty Issue in America Review. https://ivypanda.com/essays/poverty-issue-in-america-review/

Work Cited

"Poverty Issue in America Review." IvyPanda, 28 Oct. 2021, ivypanda.com/essays/poverty-issue-in-america-review/.

References

IvyPanda. (2021) 'Poverty Issue in America Review'. 28 October.

References

IvyPanda. 2021. "Poverty Issue in America Review." October 28, 2021. https://ivypanda.com/essays/poverty-issue-in-america-review/.

1. IvyPanda. "Poverty Issue in America Review." October 28, 2021. https://ivypanda.com/essays/poverty-issue-in-america-review/.


Bibliography


IvyPanda. "Poverty Issue in America Review." October 28, 2021. https://ivypanda.com/essays/poverty-issue-in-america-review/.

If, for any reason, you believe that this content should not be published on our website, please request its removal.
Updated:
This academic paper example has been carefully picked, checked and refined by our editorial team.
No AI was involved: only quilified experts contributed.
You are free to use it for the following purposes:
  • To find inspiration for your paper and overcome writer’s block
  • As a source of information (ensure proper referencing)
  • As a template for you assignment
Privacy Settings

IvyPanda uses cookies and similar technologies to enhance your experience, enabling functionalities such as:

  • Basic site functions
  • Ensuring secure, safe transactions
  • Secure account login
  • Remembering account, browser, and regional preferences
  • Remembering privacy and security settings
  • Analyzing site traffic and usage
  • Personalized search, content, and recommendations
  • Displaying relevant, targeted ads on and off IvyPanda

Please refer to IvyPanda's Cookies Policy and Privacy Policy for detailed information.

Required Cookies & Technologies
Always active

Certain technologies we use are essential for critical functions such as security and site integrity, account authentication, security and privacy preferences, internal site usage and maintenance data, and ensuring the site operates correctly for browsing and transactions.

Site Customization

Cookies and similar technologies are used to enhance your experience by:

  • Remembering general and regional preferences
  • Personalizing content, search, recommendations, and offers

Some functions, such as personalized recommendations, account preferences, or localization, may not work correctly without these technologies. For more details, please refer to IvyPanda's Cookies Policy.

Personalized Advertising

To enable personalized advertising (such as interest-based ads), we may share your data with our marketing and advertising partners using cookies and other technologies. These partners may have their own information collected about you. Turning off the personalized advertising setting won't stop you from seeing IvyPanda ads, but it may make the ads you see less relevant or more repetitive.

Personalized advertising may be considered a "sale" or "sharing" of the information under California and other state privacy laws, and you may have the right to opt out. Turning off personalized advertising allows you to exercise your right to opt out. Learn more in IvyPanda's Cookies Policy and Privacy Policy.

1 / 1