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7 Essays About Poverty: Example Essays and Prompts

Essays about poverty give valuable insight into the economic situation that we share globally. Read our guide with poverty essay examples and prompts for your paper.

In the US, the official poverty rate in 2022 was 11.5 percent, with 37.9 million people living below the poverty line. With a global pandemic, cost of living crisis, and climate change on the rise, we’ve seen poverty increase due to various factors. As many of us face adversity daily, we can look to essays about poverty from some of the world’s greatest speakers for inspiration and guidance.

There is nothing but a lack of social vision to prevent us from paying an adequate wage to every American citizen whether he be a hospital worker, laundry worker, maid or day laborer. There is nothing except shortsightedness to prevent us from guaranteeing an annual minimum—and livable—income for every American family. Martin Luther King Jr., Where Do We Go from Here: Chaos or Community?

Writing a poverty essay can be challenging due to the many factors contributing to poverty and the knock-on effects of living below the poverty line . For example, homelessness among low-income individuals stems from many different causes.

It’s important to note that poverty exists beyond the US, with many developing countries living in extreme poverty without access to essentials like clean water and housing. For help with your essays, check out our round-up of the best essay checkers .

Essays About Poverty: Top Examples

1. pensioner poverty: fear of rise over decades as uk under-40s wealth falls, 2. the surprising poverty levels across the u.s., 3. why poverty persists in america, 4. post-pandemic poverty is rising in america’s suburbs.

  • 5. The Basic Facts About Children in Poverty
  • 6. The State of America’s Children 
  • 7. COVID-19: This is how many Americans now live below the poverty line

10 Poverty Essay Topics

1. the causes of poverty, 2. the negative effects of poverty, 3. how countries can reduce poverty rates, 4. the basic necessities and poverty, 5. how disabilities can lead to poverty, 6. how the cycle of poverty unfolds , 7. universal basic income and its relationship to poverty, 8. interview someone who has experience living in poverty, 9. the impact of the criminal justice system on poverty, 10. the different ways to create affordable housing.

There is growing concern about increasing pensioner poverty in the UK in the coming decades. Due to financial challenges like the cost of living crisis, rent increases, and the COVID-19 pandemic, under 40s have seen their finances shrink.

Osborne discusses the housing wealth gap in this article, where many under the 40s currently pay less in a pension due to rent prices. While this means they will have less pension available, they will also retire without owning a home, resulting in less personal wealth than previous generations. Osborne delves into the causes and gaps in wealth between generations in this in-depth essay.

“Those under-40s have already been identified as  facing the biggest hit from rising mortgage rates , and last week a study by the financial advice firm Hargreaves Lansdown found that almost a third of 18- to 34-year-olds had stopped or cut back on their pension contributions in order to save money.” Hilary Osborne,  The Guardian

In this 2023 essay, Jeremy Ney looks at the poverty levels across the US, stating that poverty has had the largest one-year increase in history. According to the most recent census, child poverty has more than doubled from 2021 to 2022.

Ney states that the expiration of government support and inflation has created new financial challenges for US families. With the increased cost of living and essential items like food and housing sharply increasing, more and more families have fallen below the poverty line. Throughout this essay, Ney displays statistics and data showing the wealth changes across states, ethnic groups, and households.

“Poverty in America reflects the inequality that plagues U.S. households. While certain regions have endured this pain much more than others, this new rising trend may spell ongoing challenges for even more communities.” Jeremy Ney,  TIME

Essays About Poverty: How countries can reduce poverty rates?

In this New York Times article, a Pulitzer Prize-winning sociologist explores why poverty exists in North America.

The American poor have access to cheap, mass-produced goods, as every American does. But that doesn’t mean they can access what matters most. Matthew Desmond,  The New York Times

The U.S. Census Bureau recently released its annual data on poverty, revealing contrasting trends for 2022. While one set of findings indicated that the overall number of Americans living in poverty remained stable compared to the previous two years, another survey highlighted a concerning increase in child poverty. The rate of child poverty in the U.S. doubled from 2021 to 2022, a spike attributed mainly to the cessation of the expanded child tax credit following the pandemic. These varied outcomes underscore the Census Bureau’s multifaceted methods to measure poverty.

“The nation’s suburbs accounted for the majority of increases in the poor population following the onset of the pandemic” Elizabeth Kneebone and Alan Berube,  Brookings

5.  The Basic Facts About Children in Poverty

Nearly 11 million children are living in poverty in America. This essay explores ow the crisis reached this point—and what steps must be taken to solve it.

“In America, nearly 11 million children are poor. That’s 1 in 7 kids, who make up almost one-third of all people living in poverty in this country.” Areeba Haider,  Center for American Progress

6.  The State of America’s Children  

This essay articles how, despite advancements, children continue to be the most impoverished demographic in the U.S., with particular subgroups — such as children of color, those under five, offspring of single mothers, and children residing in the South — facing the most severe poverty levels.

“Growing up in poverty has wide-ranging, sometimes lifelong, effects on children, putting them at a much higher risk of experiencing behavioral, social, emotional, and health challenges. Childhood poverty also plays an instrumental role in impairing a child’s ability and capacity to learn, build skills, and succeed academically.” Children’s Defense Fund

7.  COVID-19: This is how many Americans now live below the poverty line

This essay explores how the economic repercussions of the coronavirus pandemic 2020 led to a surge in U.S. poverty rates, with unemployment figures reaching unprecedented heights. The writer provides data confirming that individuals at the lowest economic strata bore the brunt of these challenges, indicating that the recession might have exacerbated income disparities, further widening the chasm between the affluent and the underprivileged.

“Poverty in the U.S. increased in 2020 as the coronavirus pandemic hammered the economy and unemployment soared. Those at the bottom of the economic ladder were hit hardest, new figures confirm, suggesting that the recession may have widened the gap between the rich and the poor.” Elena Delavega,  World Econmic Forum

If you’re tasked with writing an essay about poverty, consider using the below topics. They offer pointers for outlining and planning an essay about this challenging topic.

One of the most specific poverty essay topics to address involves the causes of poverty. You can craft an essay to examine the most common causes of extreme poverty. Here are a few topics you might want to include:

  • Racial discrimination, particularly among African Americans, has been a common cause of poverty throughout American history. Discrimination and racism can make it hard for people to get the education they need, making it nearly impossible to get a job.
  • A lack of access to adequate health care can also lead to poverty. When people do not have access to healthcare, they are more likely to get sick. This could make it hard for them to go to work while also leading to major medical bills.
  • Inadequate food and water can lead to poverty as well. If people’s basic needs aren’t met, they focus on finding food and water instead of getting an education they can use to find a better job.

These are just a few of the most common causes of poverty you might want to highlight in your essay. These topics could help people see why some people are more likely to become impoverished than others. You might also be interested in these essays about poverty .

Poverty affects everyone, and the impacts of an impoverished lifestyle are very real. Furthermore, the disparities when comparing adult poverty to child poverty are also significant. This opens the doors to multiple possible essay topics. Here are a few points to include:

  • When children live in poverty, their development is stunted. For example, they might not be able to get to school on time due to a lack of transportation, making it hard for them to keep up with their peers. Child poverty also leads to malnutrition, which can stunt their development.
  • Poverty can impact familial relationships as well. For example, members of the same family could fight for limited resources, making it hard for family members to bond. In addition, malnutrition can stunt the growth of children.
  • As a side effect of poverty, people have difficulty finding a safe place to live. This creates a challenging environment for everyone involved, and it is even harder for children to grow and develop.
  • When poverty leads to homelessness, it is hard for someone to get a job. They don’t have an address to use for physical communication, which leads to employment concerns.

These are just a few of the many side effects of poverty. Of course, these impacts are felt by people across the board, but it is not unusual for children to feel the effects of poverty that much more. You might also be interested in these essays about unemployment .

Different countries take different approaches to reduce the number of people living in poverty

The issue of poverty is a major human rights concern, and many countries explore poverty reduction strategies to improve people’s quality of life. You might want to examine different strategies that different countries are taking while also suggesting how some countries can do more. A few ways to write this essay include:

  • Explore the poverty level in America, comparing it to the poverty level of a European country. Then, explore why different countries take different strategies.
  • Compare the minimum wage in one state, such as New York, to the minimum wage in another state, such as Alabama. Why is it higher in one state? What does raising the minimum wage do to the cost of living?
  • Highlight a few advocacy groups and nonprofit organizations actively lobbying their governments to do more for low-income families. Then, talk about why some efforts are more successful than others.

Different countries take different approaches to reduce the number of people living in poverty. Poverty within each country is such a broad topic that you could write a different essay on how poverty could be decreased within the country. For more, check out our list of simple essays topics for intermediate writers .

You could also write an essay on the necessities people need to survive. You could take a look at information published by the United Nations , which focuses on getting people out of the cycle of poverty across the globe. The social problem of poverty can be addressed by giving people the necessities they need to survive, particularly in rural areas. Here are some of the areas you might want to include:

  • Affordable housing
  • Fresh, healthy food and clean water
  • Access to an affordable education
  • Access to affordable healthcare

Giving everyone these necessities could significantly improve their well-being and get people out of absolute poverty. You might even want to talk about whether these necessities vary depending on where someone is living.

There are a lot of medical and social issues that contribute to poverty, and you could write about how disabilities contribute to poverty. This is one of the most important essay topics because people could be disabled through no fault of their own. Some of the issues you might want to address in this essay include:

  • Talk about the road someone faces if they become disabled while serving overseas. What is it like for people to apply for benefits through the Veterans’ Administration?
  • Discuss what happens if someone becomes disabled while at work. What is it like for someone to pursue disability benefits if they are hurt doing a blue-collar job instead of a desk job?
  • Research and discuss the experiences of disabled people and how their disability impacts their financial situation.

People who are disabled need to have money to survive for many reasons, such as the inability to work, limitations at home, and medical expenses. A lack of money, in this situation, can lead to a dangerous cycle that can make it hard for someone to be financially stable and live a comfortable lifestyle.

Many people talk about the cycle of poverty, yet many aren’t entirely sure what this means or what it entails. A few key points you should address in this essay include:

  • When someone is born into poverty, income inequality can make it hard to get an education.
  • A lack of education makes it hard for someone to get into a good school, which gives them the foundation they need to compete for a good job. 
  • A lack of money can make it hard for someone to afford college, even if they get into a good school.
  • Without attending a good college, it can be hard for someone to get a good job. This makes it hard for someone to support themselves or their families. 
  • Without a good paycheck, it is nearly impossible for someone to keep their children out of poverty, limiting upward mobility into the middle class.

The problem of poverty is a positive feedback loop. It can be nearly impossible for those who live this every day to escape. Therefore, you might want to explore a few initiatives that could break the cycle of world poverty and explore other measures that could break this feedback loop.

Many business people and politicians have floated the idea of a universal basic income to give people the basic resources they need to survive. While this hasn’t gotten a lot of serious traction, you could write an essay to shed light on this idea. A few points to hit on include:

  • What does a universal basic income mean, and how is it distributed?
  • Some people are concerned about the impact this would have on taxes. How would this be paid for?
  • What is the minimum amount of money someone would need to stay out of poverty? Is it different in different areas?
  • What are a few of the biggest reasons major world governments haven’t passed this?

This is one of the best essay examples because it gives you a lot of room to be creative. However, there hasn’t been a concrete structure for implementing this plan, so you might want to afford one.

Another interesting topic you might want to explore is interviewing someone living in poverty or who has been impoverished. While you can talk about statistics all day, they won’t be as powerful as interviewing someone who has lived that life. A few questions you might want to ask during your interview include:

  • What was it like growing up?
  • How has living in poverty made it hard for you to get a job?
  • What do you feel people misunderstand about those who live in poverty?
  • When you need to find a meal, do you have a place you go to? Or is it somewhere different every day?
  • What do you think is the main contributor to people living in poverty?

Remember that you can also craft different questions depending on your responses. You might want to let the interviewee read the essay when you are done to ensure all the information is accurate and correct.

The criminal justice system and poverty tend to go hand in hand. People with criminal records are more likely to be impoverished for several reasons. You might want to write an essay that hits on some of these points:

  • Discuss the discriminatory practices of the criminal justice system both as they relate to socioeconomic status and as they relate to race.
  • Explore just how hard it is for someone to get a job if they have a criminal record. Discuss how this might contribute to a life of poverty.
  • Dive into how this creates a positive feedback loop. For example, when someone cannot get a job due to a criminal record, they might have to steal to survive, which worsens the issue.
  • Review what the criminal justice system might be like for someone with resources when compared to someone who cannot afford to hire expert witnesses or pay for a good attorney.

You might want to include a few examples of disparate sentences for people in different socioeconomic situations to back up your points. 

The different ways to create affordable housing

Affordable housing can make a major difference when someone is trying to escape poverty

Many poverty-related problems could be reduced if people had access to affordable housing. While the cost of housing has increased dramatically in the United States , some initiatives exist to create affordable housing. Here are a few points to include:

  • Talk about public programs that offer affordable housing to people from disadvantaged backgrounds.
  • Discuss private programs, such as Habitat for Humanity , doing similar things.
  • Review the positive impacts that stable housing has on both adults and children.
  • Dive into other measures local and federal governments could take to provide more affordable housing for people.

There are a lot of political and social angles to address with this essay, so you might want to consider spreading this out across multiple papers. Affordable housing can make a major difference when trying to escape poverty. If you want to learn more, check out our essay writing tips !

effect essay about poverty

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2.4 The Consequences of Poverty

Learning objectives.

  • Describe the family and housing problems associated with poverty.
  • Explain how poverty affects health and educational attainment.

Regardless of its causes, poverty has devastating consequences for the people who live in it. Much research conducted and/or analyzed by scholars, government agencies, and nonprofit organizations has documented the effects of poverty (and near poverty) on the lives of the poor (Lindsey, 2009; Moore, et. al., 2009; Ratcliffe & McKernan, 2010; Sanders, 2011). Many of these studies focus on childhood poverty, and these studies make it very clear that childhood poverty has lifelong consequences. In general, poor children are more likely to be poor as adults, more likely to drop out of high school, more likely to become a teenaged parent, and more likely to have employment problems. Although only 1 percent of children who are never poor end up being poor as young adults, 32 percent of poor children become poor as young adults (Ratcliffe & McKernan, 2010).

Poverty:

Poor children are more likely to have inadequate nutrition and to experience health, behavioral, and cognitive problems.

Kelly Short – Poverty: “Damaged Child,” Oklahoma City, OK, USA, 1936. (Colorized). – CC BY-SA 2.0.

A recent study used government data to follow children born between 1968 and 1975 until they were ages 30 to 37 (Duncan & Magnuson, 2011). The researchers compared individuals who lived in poverty in early childhood to those whose families had incomes at least twice the poverty line in early childhood. Compared to the latter group, adults who were poor in early childhood

  • had completed two fewer years of schooling on the average;
  • had incomes that were less than half of those earned by adults who had wealthier childhoods;
  • received $826 more annually in food stamps on the average;
  • were almost three times more likely to report being in poor health;
  • were twice as likely to have been arrested (males only); and
  • were five times as likely to have borne a child (females only).

We discuss some of the major specific consequences of poverty here and will return to them in later chapters.

Family Problems

The poor are at greater risk for family problems, including divorce and domestic violence. As Chapter 9 “Sexual Behavior” explains, a major reason for many of the problems families experience is stress. Even in families that are not poor, running a household can cause stress, children can cause stress, and paying the bills can cause stress. Families that are poor have more stress because of their poverty, and the ordinary stresses of family life become even more intense in poor families. The various kinds of family problems thus happen more commonly in poor families than in wealthier families. Compounding this situation, when these problems occur, poor families have fewer resources than wealthier families to deal with these problems.

Children and Our Future

Getting under Children’s Skin: The Biological Effects of Childhood Poverty

As the text discusses, childhood poverty often has lifelong consequences. Poor children are more likely to be poor when they become adults, and they are at greater risk for antisocial behavior when young, and for unemployment, criminal behavior, and other problems when they reach adolescence and young adulthood.

According to growing evidence, one reason poverty has these consequences is that it has certain neural effects on poor children that impair their cognitive abilities and thus their behavior and learning potential. As Greg J. Duncan and Katherine Magnuson (Duncan & Magnuson, 2011, p. 23) observe, “Emerging research in neuroscience and developmental psychology suggests that poverty early in a child’s life may be particularly harmful because the astonishingly rapid development of young children’s brains leaves them sensitive (and vulnerable) to environmental conditions.”

In short, poverty can change the way the brain develops in young children. The major reason for this effect is stress. Children growing up in poverty experience multiple stressful events: neighborhood crime and drug use; divorce, parental conflict, and other family problems, including abuse and neglect by their parents; parental financial problems and unemployment; physical and mental health problems of one or more family members; and so forth. Their great levels of stress in turn affect their bodies in certain harmful ways. As two poverty scholars note, “It’s not just that poverty-induced stress is mentally taxing. If it’s experienced early enough in childhood, it can in fact get ‘under the skin’ and change the way in which the body copes with the environment and the way in which the brain develops. These deep, enduring, and sometimes irreversible physiological changes are the very human price of running a high-poverty society” (Grusky & Wimer, 2011, p. 2).

One way poverty gets “under children’s skin” is as follows (Evans, et. al., 2011). Poor children’s high levels of stress produce unusually high levels of stress hormones such as cortisol and higher levels of blood pressure. Because these high levels impair their neural development, their memory and language development skills suffer. This result in turn affects their behavior and learning potential. For other physiological reasons, high levels of stress also affect the immune system, so that poor children are more likely to develop various illnesses during childhood and to have high blood pressure and other health problems when they grow older, and cause other biological changes that make poor children more likely to end up being obese and to have drug and alcohol problems.

The policy implications of the scientific research on childhood poverty are clear. As public health scholar Jack P. Shonkoff (Shonkoff, 2011) explains, “Viewing this scientific evidence within a biodevelopmental framework points to the particular importance of addressing the needs of our most disadvantaged children at the earliest ages.” Duncan and Magnuson (Duncan & Magnuson, 2011) agree that “greater policy attention should be given to remediating situations involving deep and persistent poverty occurring early in childhood.” To reduce poverty’s harmful physiological effects on children, Skonkoff advocates efforts to promote strong, stable relationships among all members of poor families; to improve the quality of the home and neighborhood physical environments in which poor children grow; and to improve the nutrition of poor children. Duncan and Magnuson call for more generous income transfers to poor families with young children and note that many European democracies provide many kinds of support to such families. The recent scientific evidence on early childhood poverty underscores the importance of doing everything possible to reduce the harmful effects of poverty during the first few years of life.

Health, Illness, and Medical Care

The poor are also more likely to have many kinds of health problems, including infant mortality, earlier adulthood mortality, and mental illness, and they are also more likely to receive inadequate medical care. Poor children are more likely to have inadequate nutrition and, partly for this reason, to suffer health, behavioral, and cognitive problems. These problems in turn impair their ability to do well in school and land stable employment as adults, helping to ensure that poverty will persist across generations. Many poor people are uninsured or underinsured, at least until the US health-care reform legislation of 2010 takes full effect a few years from now, and many have to visit health clinics that are overcrowded and understaffed.

As Chapter 12 “Work and the Economy” discusses, it is unclear how much of poor people’s worse health stems from their lack of money and lack of good health care versus their own behavior such as smoking and eating unhealthy diets. Regardless of the exact reasons, however, the fact remains that poor health is a major consequence of poverty. According to recent research, this fact means that poverty is responsible for almost 150,000 deaths annually, a figure about equal to the number of deaths from lung cancer (Bakalar, 2011).

Poor children typically go to rundown schools with inadequate facilities where they receive inadequate schooling. They are much less likely than wealthier children to graduate from high school or to go to college. Their lack of education in turn restricts them and their own children to poverty, once again helping to ensure a vicious cycle of continuing poverty across generations. As Chapter 10 “The Changing Family” explains, scholars debate whether the poor school performance of poor children stems more from the inadequacy of their schools and schooling versus their own poverty. Regardless of exactly why poor children are more likely to do poorly in school and to have low educational attainment, these educational problems are another major consequence of poverty.

Housing and Homelessness

The poor are, not surprisingly, more likely to be homeless than the nonpoor but also more likely to live in dilapidated housing and unable to buy their own homes. Many poor families spend more than half their income on rent, and they tend to live in poor neighborhoods that lack job opportunities, good schools, and other features of modern life that wealthier people take for granted. The lack of adequate housing for the poor remains a major national problem. Even worse is outright homelessness. An estimated 1.6 million people, including more than 300,000 children, are homeless at least part of the year (Lee, et. al., 2010).

Crime and Victimization

As Chapter 7 “Alcohol and Other Drugs” discusses, poor (and near poor) people account for the bulk of our street crime (homicide, robbery, burglary, etc.), and they also account for the bulk of victims of street crime. That chapter will outline several reasons for this dual connection between poverty and street crime, but they include the deep frustration and stress of living in poverty and the fact that many poor people live in high-crime neighborhoods. In such neighborhoods, children are more likely to grow up under the influence of older peers who are already in gangs or otherwise committing crime, and people of any age are more likely to become crime victims. Moreover, because poor and near-poor people are more likely to commit street crime, they also comprise most of the people arrested for street crimes, convicted of street crime, and imprisoned for street crime. Most of the more than 2 million people now in the nation’s prisons and jails come from poor or near-poor backgrounds. Criminal behavior and criminal victimization, then, are other major consequences of poverty.

Lessons from Other Societies

Poverty and Poverty Policy in Other Western Democracies

To compare international poverty rates, scholars commonly use a measure of the percentage of households in a nation that receive less than half of the nation’s median household income after taxes and cash transfers from the government. In data from the late 2000s, 17.3 percent of US households lived in poverty as defined by this measure. By comparison, other Western democracies had the rates depicted in the figure that follows. The average poverty rate of the nations in the figure excluding the United States is 9.5 percent. The US rate is thus almost twice as high as the average for all the other democracies.

A graph of the Percentage of People Living in Poverty, from lowest to highest, it is: Denmark, Iceland, Netherlands, France, Norway, Finland, Sweden, Switzerland, Germany, Belgium, The average (excluding the US), Ireland, United Kingdom, Canada, Italy, Greece, Portugal, Spain, and at the highest spot, the United States.

This graph illustrates the poverty rates in western democracies (i.e., the percentage of persons living with less than half of the median household income) as of the late 2000s

Source: Data from Organisation for Economic Co-operation and Development (OECD). (2011). Society at a glance 2011: OECD social indicators. Retrieved July 23, 2011, from http://www.oecd-ilibrary.org/sites/soc_glance-2011-en/06/02/index.html;jsessionid=erdqhbpb203ea.epsilon?contentType=&itemId=/content/chapter/soc_glance-2011-17-en&containerItemId=/content/se .

Why is there so much more poverty in the United States than in its Western counterparts? Several differences between the United States and the other nations stand out (Brady, 2009; Russell, 2011). First, other Western nations have higher minimum wages and stronger labor unions than the United States has, and these lead to incomes that help push people above poverty. Second, these other nations spend a much greater proportion of their gross domestic product on social expenditures (income support and social services such as child-care subsidies and housing allowances) than does the United States. As sociologist John Iceland (Iceland, 2006) notes, “Such countries often invest heavily in both universal benefits, such as maternity leave, child care, and medical care, and in promoting work among [poor] families…The United States, in comparison with other advanced nations, lacks national health insurance, provides less publicly supported housing, and spends less on job training and job creation.” Block and colleagues agree: “These other countries all take a more comprehensive government approach to combating poverty, and they assume that it is caused by economic and structural factors rather than bad behavior” (Block et, al., 2006).

The experience of the United Kingdom provides a striking contrast between the effectiveness of the expansive approach used in other wealthy democracies and the inadequacy of the American approach. In 1994, about 30 percent of British children lived in poverty; by 2009, that figure had fallen by more than half to 12 percent. Meanwhile, the US 2009 child poverty rate, was almost 21 percent.

Britain used three strategies to reduce its child poverty rate and to help poor children and their families in other ways. First, it induced more poor parents to work through a series of new measures, including a national minimum wage higher than its US counterpart and various tax savings for low-income workers. Because of these measures, the percentage of single parents who worked rose from 45 percent in 1997 to 57 percent in 2008. Second, Britain increased child welfare benefits regardless of whether a parent worked. Third, it increased paid maternity leave from four months to nine months, implemented two weeks of paid paternity leave, established universal preschool (which both helps children’s cognitive abilities and makes it easier for parents to afford to work), increased child-care aid, and made it possible for parents of young children to adjust their working hours to their parental responsibilities (Waldfogel, 2010). While the British child poverty rate fell dramatically because of these strategies, the US child poverty rate stagnated.

In short, the United States has so much more poverty than other democracies in part because it spends so much less than they do on helping the poor. The United States certainly has the wealth to follow their example, but it has chosen not to do so, and a high poverty rate is the unfortunate result. As the Nobel laureate economist Paul Krugman (2006, p. A25) summarizes this lesson, “Government truly can be a force for good. Decades of propaganda have conditioned many Americans to assume that government is always incompetent…But the [British experience has] shown that a government that seriously tries to reduce poverty can achieve a lot.”

Key Takeaways

  • Poor people are more likely to have several kinds of family problems, including divorce and family conflict.
  • Poor people are more likely to have several kinds of health problems.
  • Children growing up in poverty are less likely to graduate high school or go to college, and they are more likely to commit street crime.

For Your Review

  • Write a brief essay that summarizes the consequences of poverty.
  • Why do you think poor children are more likely to develop health problems?

Bakalar, N. (2011, July 4). Researchers link deaths to social ills. New York Times , p. D5.

Block, F., Korteweg, A. C., & Woodward, K. (2006). The compassion gap in American poverty policy. Contexts, 5 (2), 14–20.

Brady, D. (2009). Rich democracies, poor people: How politics explain poverty . New York, NY: Oxford University Press.

Duncan, G. J., & Magnuson, K. (2011, winter). The long reach of early childhood poverty. Pathways: A Magazine on Poverty, Inequality, and Social Policy , 22–27.

Evans, G. W., Brooks-Gunn, J., & Klebanov, P. K. (2011, winter). Stressing out the poor: Chronic physiological stress and the income-achievement gap. Pathways: A Magazine on Poverty, Inequality, and Social Policy , 16–21.

Grusky, D., & Wimer, C.(Eds.). (2011, winter). Editors’ note. Pathways: A Magazine on Poverty, Inequality, and Social Policy , 2.

Iceland, J. (2006). Poverty in America: A handbook . Berkeley, CA: University of California Press.

Krugman, P. (Krugman, 2006). Helping the poor, the British way. New York Times , p. A25.

Lee, B., Tyler, K. A., & Wright, J. D. ( 2010). The new homelessness revisited. Annual Review of Sociology, 36 , 501–521.

Lindsey, D. (2009). Child poverty and inequality: Securing a better future for America’s children . New York, NY: Oxford University Press.

Moore, K. A., Redd, Z., Burkhauser, M., Mbawa, K., & Collins, A. (2009). Children in poverty: Trends, consequences, and policy options . Washington, DC: Child Trends. Retrieved from http://www.childtrends.org/Files//Child_Trends-2009_04_07_RB_ChildreninPoverty.pdf .

Ratcliffe, C., & McKernan, S.-M. (2010). Childhood poverty persistence: Facts and consequences . Washington, DC: Urban Institute Press.

Russell, J. W. ( 2011). Double standard: Social policy in Europe and the United States (2nd ed.). Lanham, MD: Rowman & Littlefield.

Sanders, L. (2011). Neuroscience exposes pernicious effects of poverty. Science News, 179 (3), 32.

Shonkoff, J. P. (2011, winter). Building a foundation for prosperity on the science of early childhood development. Pathways: A Magazine on Poverty, Inequality, and Social Policy , 10–14.

Waldfogel, J. (2010). Britain’s war on poverty . New York, NY: Russell Sage Foundation.

Social Problems Copyright © 2015 by University of Minnesota is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License , except where otherwise noted.

A color photograph of a mother and son in a car. Both are holding dogs on their laps and a third dog lays his head over the passenger seat.

Why Poverty Persists in America

A Pulitzer Prize-winning sociologist offers a new explanation for an intractable problem.

A mother and son living in a Walmart parking lot in North Dakota in 2012. Credit... Eugene Richards

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By Matthew Desmond

  • Published March 9, 2023 Updated April 3, 2023

In the past 50 years, scientists have mapped the entire human genome and eradicated smallpox. Here in the United States, infant-mortality rates and deaths from heart disease have fallen by roughly 70 percent, and the average American has gained almost a decade of life. Climate change was recognized as an existential threat. The internet was invented.

On the problem of poverty, though, there has been no real improvement — just a long stasis. As estimated by the federal government’s poverty line, 12.6 percent of the U.S. population was poor in 1970; two decades later, it was 13.5 percent; in 2010, it was 15.1 percent; and in 2019, it was 10.5 percent. To graph the share of Americans living in poverty over the past half-century amounts to drawing a line that resembles gently rolling hills. The line curves slightly up, then slightly down, then back up again over the years, staying steady through Democratic and Republican administrations, rising in recessions and falling in boom years.

What accounts for this lack of progress? It cannot be chalked up to how the poor are counted: Different measures spit out the same embarrassing result. When the government began reporting the Supplemental Poverty Measure in 2011, designed to overcome many of the flaws of the Official Poverty Measure, including not accounting for regional differences in costs of living and government benefits, the United States officially gained three million more poor people. Possible reductions in poverty from counting aid like food stamps and tax benefits were more than offset by recognizing how low-income people were burdened by rising housing and health care costs.

The American poor have access to cheap, mass-produced goods, as every American does. But that doesn’t mean they can access what matters most.

Any fair assessment of poverty must confront the breathtaking march of material progress. But the fact that standards of living have risen across the board doesn’t mean that poverty itself has fallen. Forty years ago, only the rich could afford cellphones. But cellphones have become more affordable over the past few decades, and now most Americans have one, including many poor people. This has led observers like Ron Haskins and Isabel Sawhill, senior fellows at the Brookings Institution, to assert that “access to certain consumer goods,” like TVs, microwave ovens and cellphones, shows that “the poor are not quite so poor after all.”

No, it doesn’t. You can’t eat a cellphone. A cellphone doesn’t grant you stable housing, affordable medical and dental care or adequate child care. In fact, as things like cellphones have become cheaper, the cost of the most necessary of life’s necessities, like health care and rent, has increased. From 2000 to 2022 in the average American city, the cost of fuel and utilities increased by 115 percent. The American poor, living as they do in the center of global capitalism, have access to cheap, mass-produced goods, as every American does. But that doesn’t mean they can access what matters most. As Michael Harrington put it 60 years ago: “It is much easier in the United States to be decently dressed than it is to be decently housed, fed or doctored.”

Why, then, when it comes to poverty reduction, have we had 50 years of nothing? When I first started looking into this depressing state of affairs, I assumed America’s efforts to reduce poverty had stalled because we stopped trying to solve the problem. I bought into the idea, popular among progressives, that the election of President Ronald Reagan (as well as that of Prime Minister Margaret Thatcher in the United Kingdom) marked the ascendancy of market fundamentalism, or “neoliberalism,” a time when governments cut aid to the poor, lowered taxes and slashed regulations. If American poverty persisted, I thought, it was because we had reduced our spending on the poor. But I was wrong.

A black-and-white photograph of a family in a car. The mother is laying down in the front looking up despondently. Two children are crouched in the back. A boy looks out from under pieces of furniture looking directly into the camera from the shadows.

Reagan expanded corporate power, deeply cut taxes on the rich and rolled back spending on some antipoverty initiatives, especially in housing. But he was unable to make large-scale, long-term cuts to many of the programs that make up the American welfare state. Throughout Reagan’s eight years as president, antipoverty spending grew, and it continued to grow after he left office. Spending on the nation’s 13 largest means-tested programs — aid reserved for Americans who fall below a certain income level — went from $1,015 a person the year Reagan was elected president to $3,419 a person one year into Donald Trump’s administration, a 237 percent increase.

Most of this increase was due to health care spending, and Medicaid in particular. But even if we exclude Medicaid from the calculation, we find that federal investments in means-tested programs increased by 130 percent from 1980 to 2018, from $630 to $1,448 per person.

“Neoliberalism” is now part of the left’s lexicon, but I looked in vain to find it in the plain print of federal budgets, at least as far as aid to the poor was concerned. There is no evidence that the United States has become stingier over time. The opposite is true.

This makes the country’s stalled progress on poverty even more baffling. Decade after decade, the poverty rate has remained flat even as federal relief has surged.

If we have more than doubled government spending on poverty and achieved so little, one reason is that the American welfare state is a leaky bucket. Take welfare, for example: When it was administered through the Aid to Families With Dependent Children program, almost all of its funds were used to provide single-parent families with cash assistance. But when President Bill Clinton reformed welfare in 1996, replacing the old model with Temporary Assistance for Needy Families (TANF), he transformed the program into a block grant that gives states considerable leeway in deciding how to distribute the money. As a result, states have come up with rather creative ways to spend TANF dollars. Arizona has used welfare money to pay for abstinence-only sex education. Pennsylvania diverted TANF funds to anti-abortion crisis-pregnancy centers. Maine used the money to support a Christian summer camp. Nationwide, for every dollar budgeted for TANF in 2020, poor families directly received just 22 cents.

We’ve approached the poverty question by pointing to poor people themselves, when we should have been focusing on exploitation.

A fair amount of government aid earmarked for the poor never reaches them. But this does not fully solve the puzzle of why poverty has been so stubbornly persistent, because many of the country’s largest social-welfare programs distribute funds directly to people. Roughly 85 percent of the Supplemental Nutrition Assistance Program budget is dedicated to funding food stamps themselves, and almost 93 percent of Medicaid dollars flow directly to beneficiaries.

There are, it would seem, deeper structural forces at play, ones that have to do with the way the American poor are routinely taken advantage of. The primary reason for our stalled progress on poverty reduction has to do with the fact that we have not confronted the unrelenting exploitation of the poor in the labor, housing and financial markets.

As a theory of poverty, “exploitation” elicits a muddled response, causing us to think of course and but, no in the same instant. The word carries a moral charge, but social scientists have a fairly coolheaded way to measure exploitation: When we are underpaid relative to the value of what we produce, we experience labor exploitation; when we are overcharged relative to the value of something we purchase, we experience consumer exploitation. For example, if a family paid $1,000 a month to rent an apartment with a market value of $20,000, that family would experience a higher level of renter exploitation than a family who paid the same amount for an apartment with a market valuation of $100,000. When we don’t own property or can’t access credit, we become dependent on people who do and can, which in turn invites exploitation, because a bad deal for you is a good deal for me.

Our vulnerability to exploitation grows as our liberty shrinks. Because labor laws often fail to protect undocumented workers in practice, more than a third are paid below minimum wage, and nearly 85 percent are not paid overtime. Many of us who are U.S. citizens, or who crossed borders through official checkpoints, would not work for these wages. We don’t have to. If they migrate here as adults, those undocumented workers choose the terms of their arrangement. But just because desperate people accept and even seek out exploitative conditions doesn’t make those conditions any less exploitative. Sometimes exploitation is simply the best bad option.

Consider how many employers now get one over on American workers. The United States offers some of the lowest wages in the industrialized world. A larger share of workers in the United States make “low pay” — earning less than two-thirds of median wages — than in any other country belonging to the Organization for Economic Cooperation and Development. According to the group, nearly 23 percent of American workers labor in low-paying jobs, compared with roughly 17 percent in Britain, 11 percent in Japan and 5 percent in Italy. Poverty wages have swollen the ranks of the American working poor, most of whom are 35 or older.

One popular theory for the loss of good jobs is deindustrialization, which caused the shuttering of factories and the hollowing out of communities that had sprung up around them. Such a passive word, “deindustrialization” — leaving the impression that it just happened somehow, as if the country got deindustrialization the way a forest gets infested by bark beetles. But economic forces framed as inexorable, like deindustrialization and the acceleration of global trade, are often helped along by policy decisions like the 1994 North American Free Trade Agreement, which made it easier for companies to move their factories to Mexico and contributed to the loss of hundreds of thousands of American jobs. The world has changed, but it has changed for other economies as well. Yet Belgium and Canada and many other countries haven’t experienced the kind of wage stagnation and surge in income inequality that the United States has.

Those countries managed to keep their unions. We didn’t. Throughout the 1950s and 1960s, nearly a third of all U.S. workers carried union cards. These were the days of the United Automobile Workers, led by Walter Reuther, once savagely beaten by Ford’s brass-knuckle boys, and of the mighty American Federation of Labor and Congress of Industrial Organizations that together represented around 15 million workers, more than the population of California at the time.

In their heyday, unions put up a fight. In 1970 alone, 2.4 million union members participated in work stoppages, wildcat strikes and tense standoffs with company heads. The labor movement fought for better pay and safer working conditions and supported antipoverty policies. Their efforts paid off for both unionized and nonunionized workers, as companies like Eastman Kodak were compelled to provide generous compensation and benefits to their workers to prevent them from organizing. By one estimate, the wages of nonunionized men without a college degree would be 8 percent higher today if union strength remained what it was in the late 1970s, a time when worker pay climbed, chief-executive compensation was reined in and the country experienced the most economically equitable period in modern history.

It is important to note that Old Labor was often a white man’s refuge. In the 1930s, many unions outwardly discriminated against Black workers or segregated them into Jim Crow local chapters. In the 1960s, unions like the Brotherhood of Railway and Steamship Clerks and the United Brotherhood of Carpenters and Joiners of America enforced segregation within their ranks. Unions harmed themselves through their self-defeating racism and were further weakened by a changing economy. But organized labor was also attacked by political adversaries. As unions flagged, business interests sensed an opportunity. Corporate lobbyists made deep inroads in both political parties, beginning a public-relations campaign that pressured policymakers to roll back worker protections.

A national litmus test arrived in 1981, when 13,000 unionized air traffic controllers left their posts after contract negotiations with the Federal Aviation Administration broke down. When the workers refused to return, Reagan fired all of them. The public’s response was muted, and corporate America learned that it could crush unions with minimal blowback. And so it went, in one industry after another.

Today almost all private-sector employees (94 percent) are without a union, though roughly half of nonunion workers say they would organize if given the chance. They rarely are. Employers have at their disposal an arsenal of tactics designed to prevent collective bargaining, from hiring union-busting firms to telling employees that they could lose their jobs if they vote yes. Those strategies are legal, but companies also make illegal moves to block unions, like disciplining workers for trying to organize or threatening to close facilities. In 2016 and 2017, the National Labor Relations Board charged 42 percent of employers with violating federal law during union campaigns. In nearly a third of cases, this involved illegally firing workers for organizing.

Corporate lobbyists told us that organized labor was a drag on the economy — that once the companies had cleared out all these fusty, lumbering unions, the economy would rev up, raising everyone’s fortunes. But that didn’t come to pass. The negative effects of unions have been wildly overstated, and there is now evidence that unions play a role in increasing company productivity, for example by reducing turnover. The U.S. Bureau of Labor Statistics measures productivity as how efficiently companies turn inputs (like materials and labor) into outputs (like goods and services). Historically, productivity, wages and profits rise and fall in lock step. But the American economy is less productive today than it was in the post-World War II period, when unions were at peak strength. The economies of other rich countries have slowed as well, including those with more highly unionized work forces, but it is clear that diluting labor power in America did not unleash economic growth or deliver prosperity to more people. “We were promised economic dynamism in exchange for inequality,” Eric Posner and Glen Weyl write in their book “Radical Markets.” “We got the inequality, but dynamism is actually declining.”

As workers lost power, their jobs got worse. For several decades after World War II, ordinary workers’ inflation-adjusted wages (known as “real wages”) increased by 2 percent each year. But since 1979, real wages have grown by only 0.3 percent a year. Astonishingly, workers with a high school diploma made 2.7 percent less in 2017 than they would have in 1979, adjusting for inflation. Workers without a diploma made nearly 10 percent less.

Lousy, underpaid work is not an indispensable, if regrettable, byproduct of capitalism, as some business defenders claim today. (This notion would have scandalized capitalism’s earliest defenders. John Stuart Mill, arch advocate of free people and free markets, once said that if widespread scarcity was a hallmark of capitalism, he would become a communist.) But capitalism is inherently about owners trying to give as little, and workers trying to get as much, as possible. With unions largely out of the picture, corporations have chipped away at the conventional midcentury work arrangement, which involved steady employment, opportunities for advancement and raises and decent pay with some benefits.

As the sociologist Gerald Davis has put it: Our grandparents had careers. Our parents had jobs. We complete tasks. Or at least that has been the story of the American working class and working poor.

Poor Americans aren’t just exploited in the labor market. They face consumer exploitation in the housing and financial markets as well.

There is a long history of slum exploitation in America. Money made slums because slums made money. Rent has more than doubled over the past two decades, rising much faster than renters’ incomes. Median rent rose from $483 in 2000 to $1,216 in 2021. Why have rents shot up so fast? Experts tend to offer the same rote answers to this question. There’s not enough housing supply, they say, and too much demand. Landlords must charge more just to earn a decent rate of return. Must they? How do we know?

We need more housing; no one can deny that. But rents have jumped even in cities with plenty of apartments to go around. At the end of 2021, almost 19 percent of rental units in Birmingham, Ala., sat vacant, as did 12 percent of those in Syracuse, N.Y. Yet rent in those areas increased by roughly 14 percent and 8 percent, respectively, over the previous two years. National data also show that rental revenues have far outpaced property owners’ expenses in recent years, especially for multifamily properties in poor neighborhoods. Rising rents are not simply a reflection of rising operating costs. There’s another dynamic at work, one that has to do with the fact that poor people — and particularly poor Black families — don’t have much choice when it comes to where they can live. Because of that, landlords can overcharge them, and they do.

A study I published with Nathan Wilmers found that after accounting for all costs, landlords operating in poor neighborhoods typically take in profits that are double those of landlords operating in affluent communities. If down-market landlords make more, it’s because their regular expenses (especially their mortgages and property-tax bills) are considerably lower than those in upscale neighborhoods. But in many cities with average or below-average housing costs — think Buffalo, not Boston — rents in the poorest neighborhoods are not drastically lower than rents in the middle-class sections of town. From 2015 to 2019, median monthly rent for a two-bedroom apartment in the Indianapolis metropolitan area was $991; it was $816 in neighborhoods with poverty rates above 40 percent, just around 17 percent less. Rents are lower in extremely poor neighborhoods, but not by as much as you would think.

Yet where else can poor families live? They are shut out of homeownership because banks are disinclined to issue small-dollar mortgages, and they are also shut out of public housing, which now has waiting lists that stretch on for years and even decades. Struggling families looking for a safe, affordable place to live in America usually have but one choice: to rent from private landlords and fork over at least half their income to rent and utilities. If millions of poor renters accept this state of affairs, it’s not because they can’t afford better alternatives; it’s because they often aren’t offered any.

You can read injunctions against usury in the Vedic texts of ancient India, in the sutras of Buddhism and in the Torah. Aristotle and Aquinas both rebuked it. Dante sent moneylenders to the seventh circle of hell. None of these efforts did much to stem the practice, but they do reveal that the unprincipled act of trapping the poor in a cycle of debt has existed at least as long as the written word. It might be the oldest form of exploitation after slavery. Many writers have depicted America’s poor as unseen, shadowed and forgotten people: as “other” or “invisible.” But markets have never failed to notice the poor, and this has been particularly true of the market for money itself.

The deregulation of the banking system in the 1980s heightened competition among banks. Many responded by raising fees and requiring customers to carry minimum balances. In 1977, over a third of banks offered accounts with no service charge. By the early 1990s, only 5 percent did. Big banks grew bigger as community banks shuttered, and in 2021, the largest banks in America charged customers almost $11 billion in overdraft fees. Previous research showed that just 9 percent of account holders paid 84 percent of these fees. Who were the unlucky 9 percent? Customers who carried an average balance of less than $350. The poor were made to pay for their poverty.

In 2021, the average fee for overdrawing your account was $33.58. Because banks often issue multiple charges a day, it’s not uncommon to overdraw your account by $20 and end up paying $200 for it. Banks could (and do) deny accounts to people who have a history of overextending their money, but those customers also provide a steady revenue stream for some of the most powerful financial institutions in the world.

Every year: almost $11 billion in overdraft fees, $1.6 billion in check-cashing fees and up to $8.2 billion in payday-loan fees.

According to the F.D.I.C., one in 19 U.S. households had no bank account in 2019, amounting to more than seven million families. Compared with white families, Black and Hispanic families were nearly five times as likely to lack a bank account. Where there is exclusion, there is exploitation. Unbanked Americans have created a market, and thousands of check-cashing outlets now serve that market. Check-cashing stores generally charge from 1 to 10 percent of the total, depending on the type of check. That means that a worker who is paid $10 an hour and takes a $1,000 check to a check-cashing outlet will pay $10 to $100 just to receive the money he has earned, effectively losing one to 10 hours of work. (For many, this is preferable to the less-predictable exploitation by traditional banks, with their automatic overdraft fees. It’s the devil you know.) In 2020, Americans spent $1.6 billion just to cash checks. If the poor had a costless way to access their own money, over a billion dollars would have remained in their pockets during the pandemic-induced recession.

Poverty can mean missed payments, which can ruin your credit. But just as troublesome as bad credit is having no credit score at all, which is the case for 26 million adults in the United States. Another 19 million possess a credit history too thin or outdated to be scored. Having no credit (or bad credit) can prevent you from securing an apartment, buying insurance and even landing a job, as employers are increasingly relying on credit checks during the hiring process. And when the inevitable happens — when you lose hours at work or when the car refuses to start — the payday-loan industry steps in.

For most of American history, regulators prohibited lending institutions from charging exorbitant interest on loans. Because of these limits, banks kept interest rates between 6 and 12 percent and didn’t do much business with the poor, who in a pinch took their valuables to the pawnbroker or the loan shark. But the deregulation of the banking sector in the 1980s ushered the money changers back into the temple by removing strict usury limits. Interest rates soon reached 300 percent, then 500 percent, then 700 percent. Suddenly, some people were very interested in starting businesses that lent to the poor. In recent years, 17 states have brought back strong usury limits, capping interest rates and effectively prohibiting payday lending. But the trade thrives in most places. The annual percentage rate for a two-week $300 loan can reach 460 percent in California, 516 percent in Wisconsin and 664 percent in Texas.

Roughly a third of all payday loans are now issued online, and almost half of borrowers who have taken out online loans have had lenders overdraw their bank accounts. The average borrower stays indebted for five months, paying $520 in fees to borrow $375. Keeping people indebted is, of course, the ideal outcome for the payday lender. It’s how they turn a $15 profit into a $150 one. Payday lenders do not charge high fees because lending to the poor is risky — even after multiple extensions, most borrowers pay up. Lenders extort because they can.

Every year: almost $11 billion in overdraft fees, $1.6 billion in check-cashing fees and up to $8.2 billion in payday-loan fees. That’s more than $55 million in fees collected predominantly from low-income Americans each day — not even counting the annual revenue collected by pawnshops and title loan services and rent-to-own schemes. When James Baldwin remarked in 1961 how “extremely expensive it is to be poor,” he couldn’t have imagined these receipts.

“Predatory inclusion” is what the historian Keeanga-Yamahtta Taylor calls it in her book “Race for Profit,” describing the longstanding American tradition of incorporating marginalized people into housing and financial schemes through bad deals when they are denied good ones. The exclusion of poor people from traditional banking and credit systems has forced them to find alternative ways to cash checks and secure loans, which has led to a normalization of their exploitation. This is all perfectly legal, after all, and subsidized by the nation’s richest commercial banks. The fringe banking sector would not exist without lines of credit extended by the conventional one. Wells Fargo and JPMorgan Chase bankroll payday lenders like Advance America and Cash America. Everybody gets a cut.

Poverty isn’t simply the condition of not having enough money. It’s the condition of not having enough choice and being taken advantage of because of that. When we ignore the role that exploitation plays in trapping people in poverty, we end up designing policy that is weak at best and ineffective at worst. For example, when legislation lifts incomes at the bottom without addressing the housing crisis, those gains are often realized instead by landlords, not wholly by the families the legislation was intended to help. A 2019 study conducted by the Federal Reserve Bank of Philadelphia found that when states raised minimum wages, families initially found it easier to pay rent. But landlords quickly responded to the wage bumps by increasing rents, which diluted the effect of the policy. This happened after the pandemic rescue packages, too: When wages began to rise in 2021 after worker shortages, rents rose as well, and soon people found themselves back where they started or worse.

Antipoverty programs work. Each year, millions of families are spared the indignities and hardships of severe deprivation because of these government investments. But our current antipoverty programs cannot abolish poverty by themselves. The Johnson administration started the War on Poverty and the Great Society in 1964. These initiatives constituted a bundle of domestic programs that included the Food Stamp Act, which made food aid permanent; the Economic Opportunity Act, which created Job Corps and Head Start; and the Social Security Amendments of 1965, which founded Medicare and Medicaid and expanded Social Security benefits. Nearly 200 pieces of legislation were signed into law in President Lyndon B. Johnson’s first five years in office, a breathtaking level of activity. And the result? Ten years after the first of these programs were rolled out in 1964, the share of Americans living in poverty was half what it was in 1960.

But the War on Poverty and the Great Society were started during a time when organized labor was strong, incomes were climbing, rents were modest and the fringe banking industry as we know it today didn’t exist. Today multiple forms of exploitation have turned antipoverty programs into something like dialysis, a treatment designed to make poverty less lethal, not to make it disappear.

This means we don’t just need deeper antipoverty investments. We need different ones, policies that refuse to partner with poverty, policies that threaten its very survival. We need to ensure that aid directed at poor people stays in their pockets, instead of being captured by companies whose low wages are subsidized by government benefits, or by landlords who raise the rents as their tenants’ wages rise, or by banks and payday-loan outlets who issue exorbitant fines and fees. Unless we confront the many forms of exploitation that poor families face, we risk increasing government spending only to experience another 50 years of sclerosis in the fight against poverty.

The best way to address labor exploitation is to empower workers. A renewed contract with American workers should make organizing easy. As things currently stand, unionizing a workplace is incredibly difficult. Under current labor law, workers who want to organize must do so one Amazon warehouse or one Starbucks location at a time. We have little chance of empowering the nation’s warehouse workers and baristas this way. This is why many new labor movements are trying to organize entire sectors. The Fight for $15 campaign, led by the Service Employees International Union, doesn’t focus on a single franchise (a specific McDonald’s store) or even a single company (McDonald’s) but brings together workers from several fast-food chains. It’s a new kind of labor power, and one that could be expanded: If enough workers in a specific economic sector — retail, hotel services, nursing — voted for the measure, the secretary of labor could establish a bargaining panel made up of representatives elected by the workers. The panel could negotiate with companies to secure the best terms for workers across the industry. This is a way to organize all Amazon warehouses and all Starbucks locations in a single go.

Sectoral bargaining, as it’s called, would affect tens of millions of Americans who have never benefited from a union of their own, just as it has improved the lives of workers in Europe and Latin America. The idea has been criticized by members of the business community, like the U.S. Chamber of Commerce, which has raised concerns about the inflexibility and even the constitutionality of sectoral bargaining, as well as by labor advocates, who fear that industrywide policies could nullify gains that existing unions have made or could be achieved only if workers make other sacrifices. Proponents of the idea counter that sectoral bargaining could even the playing field, not only between workers and bosses, but also between companies in the same sector that would no longer be locked into a race to the bottom, with an incentive to shortchange their work force to gain a competitive edge. Instead, the companies would be forced to compete over the quality of the goods and services they offer. Maybe we would finally reap the benefits of all that economic productivity we were promised.

We must also expand the housing options for low-income families. There isn’t a single right way to do this, but there is clearly a wrong way: the way we’re doing it now. One straightforward approach is to strengthen our commitment to the housing programs we already have. Public housing provides affordable homes to millions of Americans, but it’s drastically underfunded relative to the need. When the wealthy township of Cherry Hill, N.J., opened applications for 29 affordable apartments in 2021, 9,309 people applied. The sky-high demand should tell us something, though: that affordable housing is a life changer, and families are desperate for it.

We could also pave the way for more Americans to become homeowners, an initiative that could benefit poor, working-class and middle-class families alike — as well as scores of young people. Banks generally avoid issuing small-dollar mortgages, not because they’re riskier — these mortgages have the same delinquency rates as larger mortgages — but because they’re less profitable. Over the life of a mortgage, interest on $1 million brings in a lot more money than interest on $75,000. This is where the federal government could step in, providing extra financing to build on-ramps to first-time homeownership. In fact, it already does so in rural America through the 502 Direct Loan Program, which has moved more than two million families into their own homes. These loans, fully guaranteed and serviced by the Department of Agriculture, come with low interest rates and, for very poor families, cover the entire cost of the mortgage, nullifying the need for a down payment. Last year, the average 502 Direct Loan was for $222,300 but cost the government only $10,370 per loan, chump change for such a durable intervention. Expanding a program like this into urban communities would provide even more low- and moderate-income families with homes of their own.

We should also ensure fair access to capital. Banks should stop robbing the poor and near-poor of billions of dollars each year, immediately ending exorbitant overdraft fees. As the legal scholar Mehrsa Baradaran has pointed out, when someone overdraws an account, banks could simply freeze the transaction or could clear a check with insufficient funds, providing customers a kind of short-term loan with a low interest rate of, say, 1 percent a day.

States should rein in payday-lending institutions and insist that lenders make it clear to potential borrowers what a loan is ultimately likely to cost them. Just as fast-food restaurants must now publish calorie counts next to their burgers and shakes, payday-loan stores should publish the average overall cost of different loans. When Texas adopted disclosure rules, residents took out considerably fewer bad loans. If Texas can do this, why not California or Wisconsin? Yet to stop financial exploitation, we need to expand, not limit, low-income Americans’ access to credit. Some have suggested that the government get involved by having the U.S. Postal Service or the Federal Reserve issue small-dollar loans. Others have argued that we should revise government regulations to entice commercial banks to pitch in. Whatever our approach, solutions should offer low-income Americans more choice, a way to end their reliance on predatory lending institutions that can get away with robbery because they are the only option available.

In Tommy Orange’s novel, “There There,” a man trying to describe the problem of suicides on Native American reservations says: “Kids are jumping out the windows of burning buildings, falling to their deaths. And we think the problem is that they’re jumping.” The poverty debate has suffered from a similar kind of myopia. For the past half-century, we’ve approached the poverty question by pointing to poor people themselves — posing questions about their work ethic, say, or their welfare benefits — when we should have been focusing on the fire. The question that should serve as a looping incantation, the one we should ask every time we drive past a tent encampment, those tarped American slums smelling of asphalt and bodies, or every time we see someone asleep on the bus, slumped over in work clothes, is simply: Who benefits? Not: Why don’t you find a better job? Or: Why don’t you move? Or: Why don’t you stop taking out payday loans? But: Who is feeding off this?

Those who have amassed the most power and capital bear the most responsibility for America’s vast poverty: political elites who have utterly failed low-income Americans over the past half-century; corporate bosses who have spent and schemed to prioritize profits over families; lobbyists blocking the will of the American people with their self-serving interests; property owners who have exiled the poor from entire cities and fueled the affordable-housing crisis. Acknowledging this is both crucial and deliciously absolving; it directs our attention upward and distracts us from all the ways (many unintentional) that we — we the secure, the insured, the housed, the college-educated, the protected, the lucky — also contribute to the problem.

Corporations benefit from worker exploitation, sure, but so do consumers, who buy the cheap goods and services the working poor produce, and so do those of us directly or indirectly invested in the stock market. Landlords are not the only ones who benefit from housing exploitation; many homeowners do, too, their property values propped up by the collective effort to make housing scarce and expensive. The banking and payday-lending industries profit from the financial exploitation of the poor, but so do those of us with free checking accounts, as those accounts are subsidized by billions of dollars in overdraft fees.

Living our daily lives in ways that express solidarity with the poor could mean we pay more; anti-exploitative investing could dampen our stock portfolios. By acknowledging those costs, we acknowledge our complicity. Unwinding ourselves from our neighbors’ deprivation and refusing to live as enemies of the poor will require us to pay a price. It’s the price of our restored humanity and renewed country.

Matthew Desmond is a professor of sociology at Princeton University and a contributing writer for the magazine. His latest book, “Poverty, by America,” from which this article is adapted, is being published on March 21 by Crown.

An earlier version of this article referred incorrectly to the legal protections for undocumented workers. They are afforded rights under U.S. labor laws, though in practice those laws often fail to protect them.

An earlier version of this article implied an incorrect date for a statistic about overdraft fees. The research was conducted between 2005 and 2012, not in 2021.

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12 Ways Poverty Affects Society

Millions of people can’t pay for essentials like food, clean water, housing, healthcare and education. According to the World Bank, about 700 million people live in “extreme poverty,” or less than $2.15 a day . Around 50% of the world lives on less than $6.85 a day. At the current rate of progress, the world won’t end extreme poverty by 2030, which is the first Sustainable Development goal. How does poverty affect society? In this article, we’ll discuss 12 of the most significant ways:

#1. Gender inequality

Poverty has a huge effect on gender inequality and vice versa. According to UN Women, 383 million girls and women live on less than $1.90 a day , compared to 368 men and boys. Most of the world’s poorest women live in Sub-Saharan Africa and Central and Southern Asia. Women work the lowest-paying jobs, work longer hours and do more unpaid labor. These factors, along with few resources, limited access to assets, and stereotyping about women’s place in society, keep millions of women trapped in poverty. Women’s poverty also affects societies as a whole. Because of gender inequality, women lose $9 trillion a year , which is money that would go back into the economy.

#2. Racial inequality

People from marginalized races are more likely to experience poverty than their non-marginalized peers. Take the United States as an example. According to 2019 data, Black American and Hispanic children face the highest poverty rates , with Black kids three times more likely to live in poverty as white kids. Using survey data from 10 countries, the World Bank found that Indigenous people were always poorer than other groups. Indigenous communities, who represent just 5% of the global population, make up 15% of the world’s extreme poor. When poverty increases, it affects marginalized people the most, while addressing poverty improves racial equality.

#3. Education

Paying for a good education can be difficult for people experiencing poverty, which then makes it harder for them to escape poverty. A UNESCO study found that most people not in school lived in countries with lower incomes, such as countries in Sub-Saharan Africa, Northern Africa, Central and Southern Asia and Western Asia. Increasing education access would significantly reduce poverty rates around the world. That same study also found that if all adults got two more years of schooling (or completed secondary school), 60 million people would escape poverty. Poverty also affects a child’s readiness for school. According to a study of Canadian families, kids from low-income families scored “significantly lower” on things like vocabulary and communication skills, cooperative play and concentration.

#4. Employment

Poverty limits access to education, skills training, scheduling availability and other factors influencing someone’s employment. With no better choices, people often have to work in the informal sector, which is not government-regulated. According to the International Labour Organization, workers in the informal sector are more likely to experience poverty than their peers in the formal sector. Poverty also makes it harder to find employment after losing a job. Traveling to interviews and learning new skills can be expensive, while gaps in a resume can hurt a person’s reputation. As the Urban Institute puts it , “poverty can reinforce joblessness just like joblessness can increase poverty.”

#5. Physical health

Poverty isn’t the only factor influencing physical health, but it can’t be ignored. According to a literature summary from the U.S. Department of Health and Human Services, people experiencing poverty are at a higher risk for chronic disease, higher mortality and lower life expectancy . The cost of health insurance, medications and healthy foods, as well as poverty’s influence on chronic stress, contribute to these issues. Globally, people experiencing poverty are more likely to die from diseases like tuberculosis and diarrhea, while tropical diseases (like malaria) disproportionately affect people experiencing the deepest poverty. Another study found that poverty increases the risk of diseases like cancer, heart disease and stroke . While poverty doesn’t guarantee a person will experience serious health issues, it significantly increases their risk.

Where does poverty come from? Here’s our article on 10 root causes .

#6. Mental health

The stress of poverty harms a person’s mental health. According to a 2020 study, poverty in childhood and adulthood can lead to social stress, stigma and trauma , which hurts mental health. Researchers looked at Scotland where people living in the poorest areas had higher levels of poor mental health compared to those living in wealthier areas. Poverty affects a person’s access to mental health treatment, as well. While 83% of high-income countries have organizations that represent people with mental health issues, just 46% of low-income countries have these organizations.

#7. Homelessness

According to the National Alliance to End Homelessness, economic instability increases the risk of homelessness , which makes certain populations – like older people, refugees, people with disabilities and people already experiencing poverty – more vulnerable. Poverty and homelessness operate in a feedback loop. When people don’t have high enough incomes to maintain housing, they’re more likely to become homeless, while experiencing homelessness makes it harder to get a job and escape poverty. To address homelessness, governments must also address poverty, or the number of people experiencing homelessness will continue to grow.

When people experience poverty, they depend on the cheapest, lowest-quality items on the market. These never last long, but without the money to buy something better, people get caught in a vicious cycle. Fantasy author Terry Pratchett describes it perfectly: “ A man who could afford fifty dollars had a pair of boots that’d still be keeping his feet dry in ten years’ time, while the poor man who could only afford cheap boots would have spent a hundred dollars on boots in the same time and would still have wet feet.”

Poverty is one of the major causes of food insecurity. Without enough money, people can’t afford nutritious foods, clean water, seeds, farming equipment and other resources linked to reducing hunger. Families must constantly make hard decisions about what to buy, what to sacrifice and how to portion food. Malnutrition and poverty are also linked. According to a 2020 study, of the 800 million people who are undernourished, 780 million live in low-to-middle countries . Malnutrition weakens a person’s physical health, which limits their ability to work and make money. This lack of income then makes it hard to buy food.

#9. Water, sanitation and hygiene

Water, sanitation and hygiene (known as WASH) have a close relationship to poverty. Around 2 billion people don’t have access to clean water, while 3.6 billion don’t have adequate sanitation services. Poverty heavily influences disparities within countries; the poorest people lack resources and infrastructure. For example, wealthy households in urban Ethiopia are 4 times more likely to have piped water than poorer households. Without WASH resources, people are at higher risk of disease, malnutrition, poor crop yields and other issues. There’s a gender equality element, too. Women and girls spend around 200 million hours every day collecting water instead of going to school or working.

#10. Children’s well-being

Poverty has a disproportionate effect on children. According to data from 2022, 333 million kids live in extreme poverty, which is living on less than $2.15 a day. While making up only 31% of the total global population, 50% of the world’s global poor are kids. The effects are devastating. Kids from low-income households face higher risks of cognitive, emotional and health issues , including poor academic outcomes, developmental delays and behavioral challenges. Poverty also increases a child’s risk of death. In 2022, 1 in 14 kids in Sub-Saharan Africa died before age 5, which means kids are 15 times more likely to die than kids born in high-income countries.

#11. Incarceration and crime

Poverty doesn’t directly cause crime, but they’re associated, especially when it comes to incarceration. According to Brookings, an American think tank, boys from families who earned less than $14,000 a year were 20 times more likely than boys from families earning more than $143,000 to be imprisoned while in their early 30s. This disproportionate incarceration is a global issue, according to the UNODC . There are a few reasons for the link between poverty and incarceration, but the inability to pay fines for non-violent crimes (like drug offenses) keeps millions entangled with the criminal justice system . Living in poverty also increases the odds of experiencing violent crime. According to a US study covering 2008-2012, people who lived at or below the Federal Poverty Level experienced more than double the rate of violent crime compared to high-income households.

#12. Future generations

Poverty impacts families through multiple generations. How? It’s hard for people experiencing poverty to escape poverty. This is known as “the poverty trap,” which forms when people need money to increase their wealth. One example is the cost of education. Education helps people improve their economic potential, but when good schools cost too much, they exclude everyone who isn’t already financially comfortable. Banking is also out of reach for many people in poverty thanks to minimum balance requirements, high fees and no service in rural areas. When people can’t access resources that lift them out of poverty, multiple generations of a family are more likely to experience “intergenerational poverty,” which affects millions of people around the world.

Here are 25 organizations fighting poverty .

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About the author, emmaline soken-huberty.

Emmaline Soken-Huberty is a freelance writer based in Portland, Oregon. She started to become interested in human rights while attending college, eventually getting a concentration in human rights and humanitarianism. LGBTQ+ rights, women’s rights, and climate change are of special concern to her. In her spare time, she can be found reading or enjoying Oregon’s natural beauty with her husband and dog.

Poverty Essay for Students and Children

500+ words essay on poverty essay.

“Poverty is the worst form of violence”. – Mahatma Gandhi.

poverty essay

How Poverty is Measured?

For measuring poverty United nations have devised two measures of poverty – Absolute & relative poverty.  Absolute poverty is used to measure poverty in developing countries like India. Relative poverty is used to measure poverty in developed countries like the USA. In absolute poverty, a line based on the minimum level of income has been created & is called a poverty line.  If per day income of a family is below this level, then it is poor or below the poverty line. If per day income of a family is above this level, then it is non-poor or above the poverty line. In India, the new poverty line is  Rs 32 in rural areas and Rs 47 in urban areas.

Get the huge list of more than 500 Essay Topics and Ideas

Causes of Poverty

According to the Noble prize winner South African leader, Nelson Mandela – “Poverty is not natural, it is manmade”. The above statement is true as the causes of poverty are generally man-made. There are various causes of poverty but the most important is population. Rising population is putting the burden on the resources & budget of countries. Governments are finding difficult to provide food, shelter & employment to the rising population.

The other causes are- lack of education, war, natural disaster, lack of employment, lack of infrastructure, political instability, etc. For instance- lack of employment opportunities makes a person jobless & he is not able to earn enough to fulfill the basic necessities of his family & becomes poor. Lack of education compels a person for less paying jobs & it makes him poorer. Lack of infrastructure means there are no industries, banks, etc. in a country resulting in lack of employment opportunities. Natural disasters like flood, earthquake also contribute to poverty.

In some countries, especially African countries like Somalia, a long period of civil war has made poverty widespread. This is because all the resources & money is being spent in war instead of public welfare. Countries like India, Pakistan, Bangladesh, etc. are prone to natural disasters like cyclone, etc. These disasters occur every year causing poverty to rise.

Ill Effects of Poverty

Poverty affects the life of a poor family. A poor person is not able to take proper food & nutrition &his capacity to work reduces. Reduced capacity to work further reduces his income, making him poorer. Children from poor family never get proper schooling & proper nutrition. They have to work to support their family & this destroys their childhood. Some of them may also involve in crimes like theft, murder, robbery, etc. A poor person remains uneducated & is forced to live under unhygienic conditions in slums. There are no proper sanitation & drinking water facility in slums & he falls ill often &  his health deteriorates. A poor person generally dies an early death. So, all social evils are related to poverty.

Government Schemes to Remove Poverty

The government of India also took several measures to eradicate poverty from India. Some of them are – creating employment opportunities , controlling population, etc. In India, about 60% of the population is still dependent on agriculture for its livelihood. Government has taken certain measures to promote agriculture in India. The government constructed certain dams & canals in our country to provide easy availability of water for irrigation. Government has also taken steps for the cheap availability of seeds & farming equipment to promote agriculture. Government is also promoting farming of cash crops like cotton, instead of food crops. In cities, the government is promoting industrialization to create more jobs. Government has also opened  ‘Ration shops’. Other measures include providing free & compulsory education for children up to 14 years of age, scholarship to deserving students from a poor background, providing subsidized houses to poor people, etc.

Poverty is a social evil, we can also contribute to control it. For example- we can simply donate old clothes to poor people, we can also sponsor the education of a poor child or we can utilize our free time by teaching poor students. Remember before wasting food, somebody is still sleeping hungry.

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Robert Sampson, Henry Ford II Professor of the Social Sciences, is one of the researchers studying the link between poverty and social mobility.

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Unpacking the power of poverty

Peter Reuell

Harvard Staff Writer

Study picks out key indicators like lead exposure, violence, and incarceration that impact children’s later success

Social scientists have long understood that a child’s environment — in particular growing up in poverty — can have long-lasting effects on their success later in life. What’s less well understood is exactly how.

A new Harvard study is beginning to pry open that black box.

Conducted by Robert Sampson, the Henry Ford II Professor of the Social Sciences, and Robert Manduca, a doctoral student in sociology and social policy in the Graduate School of Arts and Sciences, the study points to a handful of key indicators, including exposure to high levels of lead, violence, and incarceration as key predictors of children’s later success. The study is described in an April paper published in the Proceedings of the National Academy of Sciences.

“What this paper is trying to do, in a sense, is move beyond the traditional neighborhood indicators people use, like poverty,” Sampson said. “For decades, people have shown poverty to be important … but it doesn’t necessarily tell us what the mechanisms are, and how growing up in poor neighborhoods affects children’s outcomes.”

To explore potential pathways, Manduca and Sampson turned to the income tax records of parents and approximately 230,000 children who lived in Chicago in the 1980s and 1990s, compiled by Harvard’s Opportunity Atlas project. They integrated these records with survey data collected by the Project on Human Development in Chicago Neighborhoods, measures of violence and incarceration, census indicators, and blood-lead levels for the city’s neighborhoods in the 1990s.

They found that the greater the extent to which poor black male children were exposed to harsh environments, the higher their chances of being incarcerated in adulthood and the lower their adult incomes, measured in their 30s. A similar income pattern also emerged for whites.

Among both black and white girls, the data showed that increased exposure to harsh environments predicted higher rates of teen pregnancy.

Despite the similarity of results along racial lines, Chicago’s segregation means that far more black children were exposed to harsh environments — in terms of toxicity, violence, and incarceration — harmful to their mental and physical health.

“The least-exposed majority-black neighborhoods still had levels of harshness and toxicity greater than the most-exposed majority-white neighborhoods, which plausibly accounts for a substantial portion of the racial disparities in outcomes,” Manduca said.

“It’s really about trying to understand some of the earlier findings, the lived experience of growing up in a poor and racially segregated environment, and how that gets into the minds and bodies of children.” Robert Sampson

“What this paper shows … is the independent predictive power of harsh environments on top of standard variables,” Sampson said. “It’s really about trying to understand some of the earlier findings, the lived experience of growing up in a poor and racially segregated environment, and how that gets into the minds and bodies of children.”

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The study isn’t solely focused on the mechanisms of how poverty impacts children; it also challenges traditional notions of what remedies might be available.

“This has [various] policy implications,” Sampson said. “Because when you talk about the effects of poverty, that leads to a particular kind of thinking, which has to do with blocked opportunities and the lack of resources in a neighborhood.

“That doesn’t mean resources are unimportant,” he continued, “but what this study suggests is that environmental policy and criminal justice reform can be thought of as social mobility policy. I think that’s provocative, because that’s different than saying it’s just about poverty itself and childhood education and human capital investment, which has traditionally been the conversation.”

The study did suggest that some factors — like community cohesion, social ties, and friendship networks — could act as bulwarks against harsh environments. Many researchers, including Sampson himself, have shown that community cohesion and local organizations can help reduce violence. But Sampson said their ability to do so is limited.

“One of the positive ways to interpret this is that violence is falling in society,” he said. “Research has shown that community organizations are responsible for a good chunk of the drop. But when it comes to what’s affecting the kids themselves, it’s the homicide that happens on the corner, it’s the lead in their environment, it’s the incarceration of their parents that’s having the more proximate, direct influence.”

Going forward, Sampson said he hopes the study will spur similar research in other cities and expand to include other environmental contamination, including so-called brownfield sites.

Ultimately, Sampson said he hopes the study can reveal the myriad ways in which poverty shapes not only the resources that are available for children, but the very world in which they find themselves growing up.

“Poverty is sort of a catchall term,” he said. “The idea here is to peel things back and ask, What does it mean to grow up in a poor white neighborhood? What does it mean to grow up in a poor black neighborhood? What do kids actually experience?

“What it means for a black child on the south side of Chicago is much higher rates of exposure to violence and lead and incarceration, and this has intergenerational consequences,” he continued. “This is particularly important because it provides a way to think about potentially intervening in the intergenerational reproduction of inequality. We don’t typically think about criminal justice reform or environmental policy as social mobility policy. But maybe we should.”

This research was supported with funding from the Project on Race, Class & Cumulative Adversity at Harvard University, the Ford Foundation, and the Hutchins Family Foundation.

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When analyzing such a global issue, one should consider historical and cultural factors. Nations that are among the poorest in the world were once colonies, or areas from which richer countries exported slaves; also, some of these territories were drained of resources. Rare exceptions like Canada or Australia do not deny the fact that, for example, almost the entire continent of Africa is a problematic area in terms of poverty and hunger. This happened due to the fact that colonialism contributed to the establishment of conditions where people living in former colonies cannot access capital or education. In addition, there exist several hot spots in the world where wars and political instability also cause a significant decrease in the quality of life: Syria, Egypt, Ukraine, and so on ( The Borgen Project ).

Perhaps the most direct causal link exists between poverty and the balance between a country’s population density and its agricultural capabilities. Although such countries as the Netherlands or Belgium have a high density of population, their agricultural industry is based on mechanized farming and high-tech solutions, so poverty and hunger have no chance there. The same refers to other technologically-advanced countries. In contrast, Bangladesh, which has one of the world’s largest population densities (2,791 persons in a square mile) exists on the edge of extreme poverty—mostly because the majority of population is involved in low-efficient manual farming. On the other hand, there are countries in Africa with only about 80 persons per square mile, but because of low soil fertility, and the use of manual labor, these countries cannot boost their productivity and development ( povertyhci.weebly.com ).

Along with objective poverty factors, it is also important to consider social factors—in particular, psychological traits that many poor people possess. In many developed countries, poor people do not try to improve their financial conditions, relying on welfare payments provided to them by governments (CliffsNotes). Due to the lack of education and skills (also caused by the inability to pay for them), they cannot work at well-paid jobs, although they can still become maids, cleaners, postal workers, couriers, and so on. Doing so would enable such people to earn more money necessary for education and personal development, but they prefer to keep the status quo.

Reasons of poverty are numerous, and it is difficult to analyze the entire complex of causes of such a global issue. However, some of them are obvious: a colonial background, wars and political instability, dense population combined with low agricultural capabilities, and certain psychological traits of poor people. These factors help keep poverty in the world’s list of the most urgent problems.

“Top 5 Causes of Poverty.” The Borgen Project. N.p., 25 June 2013. Web. 21 May 2015.

“Poverty at Large: A Dark Spot in Humanity.”Http://povertyhci.weebly.com/. N.p., n.d. Web. 21 May 2015.

“Causes and Effects of Poverty.” CliffNotes. N.p., n.d. Web. 21 May 2015.

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Argumentative Paper: Poverty in The United States

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Published: Mar 16, 2024

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Root causes of poverty, impact on individuals and society, potential solutions.

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Poverty - List of Free Essay Examples And Topic Ideas

Poverty, a state of deprivation of basic human needs and economic opportunities, is a pervasive issue across the globe. Essays could explore the systemic causes of poverty, its impact on individuals and communities, and the various strategies employed to alleviate poverty. Additionally, discussions might delve into the role of international aid, the impact of globalization, and the ethical responsibilities of affluent individuals and nations toward poverty reduction. A substantial compilation of free essay instances related to Poverty you can find at PapersOwl Website. You can use our samples for inspiration to write your own essay, research paper, or just to explore a new topic for yourself.

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Impact of Poverty on the Society

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Poverty in the United States

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Unemployment a Major Cause of Homelessness

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Abstract Poverty is viewed throughout the world as a large social problem that continues to advance with time. Since 1960, poverty has continued to flourish into a problem that has affected a large majority of the population, including our children. Childhood poverty affects the psychological and biological development, as well as three main levels of social systems: micro, mezzo and macro. Even though there has been active research on poverty, generational poverty and childhood poverty, no active changes have been […]

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Introduction A. (Opening Device) How many of you ever had to think or worry about your next meal? Most of us, we don't have to think about that, we don't think about where we having that meal. But in developing countries people have to think about everything they do in daily life, The goal for the day is to have meal with family and have a shelter, or to live in a house to hope for better lifestyle. To make […]

Closing the Education Gap by Attacking Poverty Among Children

Looking around the campus of an Ivy League schools, one wonders how students from such diverse backgrounds ultimately wound up at the same place. From having a mother who works in admissions, I grew up hearing that no matter where you came from, your socioeconomic status, and even sometimes your grades, all kids have the potential to attend a prestigious university. However, I find that hard to believe. With a combination of taking this class on homelessness this semester, growing […]

The Patient Protection and Affordable Care Act

Introduction The three main objectives of the Patient Protection and Affordable Care Act, signed in October 2010, include the following: reforming the private insurance market, mainly for individuals and small group purchasers; expanding Medicaid to the working poor, whose maximum income is around 33 percent of the federal poverty level; and altering the way medical decisions are made in the country (Silvers, 2013). These three objectives are primarily determined by private choices rather than government regulation, with the expectation that […]

Financial Education and Poverty

The most pressing social issue that has the most impact on the ability of people to be healthy and economically self-sufficient is financial education. For an individual or family unit to become economically viable, they must be educated in the proper uses of their income. An individual can be gainfully employed and still be in danger of becoming homeless. This occurs when this individual or familial unit exceeds their income through purchases that are not needed. As we approach the […]

The Poverty Among Us

In our current society, poverty is an issue that plagues third world nations. All countries are interwoven with one another because of everyone needing each other for certain resources. When one country is in need, it interrupts a process that all countries have with one another. Poverty is an issue that everyone should pay attention to even if it does not occur where we live or does not affect us directly as much as it does other nations. Not only […]

Effect of Rural-Urban Migation on the Poverty Status of Farming Households in Ogbomoso

CHAPTER ONE INTRODUCTION 1.1 Background of the study Needless to say, poverty is a global problem; however, the menace of poverty is most devastating in the developing countries of the world. Food production has hardly kept pace with population size, and the quantity, as well as quality of health, has also massively deteriorated. According to the World Bank Development Report (2013), about 10.7 percent of the world's population lived below poverty line (US $1.90 a day). Poverty is one of […]

What is Poverty?

Poverty is a pervasive human condition of being unable to obtain or provide a standard level of food, water, and/or shelter (Fay, n.d.). The United States has the highest rate of poverty among wealthy countries. The official poverty line is based on what the federal government considers to be the minimum amount of money required for living at a subsistence level (Kendell, 2018). Sociologists define poverty in two ways: absolute and relative. Absolute poverty is when the household income is […]

Increasing Federal Minimum Wage

The magnitude of the impacts of federal minimum payments has been a typical topic of discussion for years. Economic policymakers and academic researchers base minimum wage discussions in the context of poverty and increasing the wages. However, critics argue that there are many adverse effects on small businesses and the general economy of the country. A rise in the nation payments will have impacts on the economy of the American states in which the increase in minimum wage law is […]

How Poverty Correlates with Non English Speaking American Families

How does poverty affect the people in the United states today? Poverty is currently affecting 16.3 percent of women, 13.8 of men, and 21 percent of all children in America. The highest poverty rate by race is found among Native Americans, which is 27.6 percent. African americans have 26.2 percent poverty and Hispanics having 23.4 percent. How do these families provide for their children and help them succeed if they can barely even pay the bills? Families all over the […]

Poverty and Crime

Poverty isn't the 'mother of crime.' However it is one noteworthy benefactor. Crime exists, since individuals need something they don't have, and are not willing to comply with the law(s) on the books to get it. What poverty does is, it decreases the things needy individuals have accessible to them, along these lines offering undeniably more things for needy individuals to want—and substantially more inspiration to them to carry out a crime to get it. Along these lines, more needy […]

Poverty in America

Poverty has been a ongoing, social issue that throughout the years has changed its meaning. Poverty is defined lacking basic necessities such as water, food, shelter, wealth, etc… About fifty years ago, war was declared on poverty by President Johnson hoping that it would end, but fast forward today, it is one of the biggest social issues America is dealing with. We don’t really know why poverty is still occurring, because the reasons seem to always be changing. The reasons […]

Poverty Life in the Industrial Age

Tenement Housing Tenement housing was cheap, unsanitary, and extremely crowded. They were placed by factories, so the air and water became very polluted and unsafe because of all the fumes and such from the factory. Most didn’t have indoor plumbing or proper ventilation which caused tons of health issues. At night the only light they had was from the streetlights so of course the only level of the housing that had light was the level that was level with the […]

Economic Inequality and Governmental Responsibility

Ever since the emergence of civilization several hundreds of years ago, social inequality has been a prevalent aspect of many societies across the world. This social structure developed as a result of several factors, amongst them political and economic status in the society. During the early stages of civilization, social and political status was closely related whereby the few powerful political leaders tended to be wealthier than the lesser politically influential majority. Although this dynamic is still prevalent in developing […]

Poverty and Homelessness in America

Poverty and Homelessness in America is a daunting subject which everyone recognizes but do not pay attention to. A homeless person is stereotypically thought to be a person who sleeps at the roadside, begging for money and influenced by drug with dirty ragged clothes and a person who is deprived of basic facilities in his or her life such as; education, electricity, proper clothes, shelter, water with a scarcity of balanced diet is termed as person living under the line […]

Poverty in Haiti: is there a Solution?

Abstract Haiti is a Latin American country that is often ignored. People do not hear much about it, except if a natural disaster such as the earthquake in 2010 happens. It was once the richest colony of the Caribbean and nowadays is known as the poorest country of the Western Hemisphere. Haiti has been facing a cycle of poverty since it became independent. Haiti’s location and deforestation have contributed to make the situation worse. More than half of the population […]

Causes of Poverty

Some causes of poverty in the United States are: unemployment, inflation, poor management of resources, government policies, debt, corruption, extreme weather, lack of control in local food, lack of access to education, mental illness ( lack of proper psychiatric care), diseases, automation, and overpopulation. Poverty is a pervasive human condition of being unable to obtain or provide a standard level of food, water and/or shelter. It exists in every country in varying degrees, and it is unlikely to disappear anytime […]

Affordable Housing Takes on Poverty

Without affordable housing there will be a continuous increase in minorities which also leads to a higher poverty rate. Poverty is the state of being extremely poor. Affordable housing helps decrease poverty in many ways than one. Affordable housing fulfills a human’s basic need for shelter as well as provides privacy for families. Those who receive affordable housing assistance and have children, benefit from better nutrition. Affordable housing would reduce poverty and should be available to those who are in […]

The Impacts of Neoliberalism in the Transition to Democracy in Chile

Compared to other developing countries in Latin America, Chile's political and economic development is distinctive. The country is one of the democratic exceptions, owing to its relatively poor and small population at the time of Spanish colonial rule. The indigenous population is also rather small, and the country has a high degree of ethnic and cultural homogeneity (Hillman and D’Agostino 2011, 67-107). However, today's regime wasn't always democratic. Between 1973 and 1990, Chile was under an authoritarian regime led by […]

Living in Poverty and being Rich

  Poverty is such a simple word, but it is so complicated at the same time. The vast majority of individuals will not fully comprehend the real implication of poverty just by reading its literal meaning from the dictionary, but by learning from their surroundings and experiencing hardship itself. Defining poverty can be being poor financially but is also defined as a comfortable way of living as well as spiritually too. What does it mean actually to be poor? Most […]

Poverty and Obesity

It is a known fact that the individual exert influences on the environment and vice versa. However, no man is an Island and as such, these influences reflect through various levels of social and interpersonal relationships. The social environment of the individual include interaction with peers, friend and family members, through such mechanism as role modeling, social support and social norms (Mary, Karen, Ramona, Karen .Annu. Rev. Public Health 2008.Creating Healthy food and Eating Environments, para 2). The physical environment […]

A Problem Child Poverty and Effects on Education

“The impact of poverty on a child’s academic achievement is significant and starts early,” – Jonah Edelman, co-founder and chief executive officer of Stand for Children (Taylor, 2017). According to the U.S. Census Bureau in 2015, around 20 percent of children in the U.S. lived in poverty (Taylor, 2017). Rather than focusing all our time, attention, and resources on rewriting standards and adding higher stakes standardized tests, are we missing a larger looming issue? Studies have shown that student poverty […]

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Essay About Poverty It has existed for many years and still exists today, growing and intensifying. Today poverty remains one of the biggest. In Singer’s essay “The Solution to World poverty,” he suggests the Americans should donate all their money that is not required for necessities to help feed those that are less fortunate. This claim is not true due to the fact that Singer fails to mention how much people struggle and suffer from poverty in America alone, people worked hard for their money; therefore, they deserve to spend their hard-earned money, and how the economy depends on the Americans expenses, so if people don’t spend money on expenses, the economy will crash. Singer begins by comparing Dora, the woman who sells an orphan for a new television set. Singer then introduces Bob and how he chooses to save his expensive Bugatti from a train instead of saving a child’s life, he compares this story to Americans and their lack of donation and aids and how we “too have opportunities to save the lives of children” (2). In his essay, Singer’s aim is to target all Americans, implying that everyone should donate and help. But what he fails to mention is how even in America people also struggle and suffer from poverty. In the journal “Poverty in America: Trends and Explanations,” Hilary W. Hoynes, Marianne E. Page and Ann Huff Stevens state, “The official poverty rate is 12.3 percent, based on the U.S. Census Bureau’s 2017 estimates. That year, an estimated 39.7 million Americans lived in poverty according to the official measure. 18.5 million People reported deep poverty, which means a household income below 50 percent of their 2017 poverty threshold. These individuals represented an estimated 5.7 percent of all Americans and 46.7 percent of those in poverty.” There are so many people in America who are also in need, people that are also suffering. There are without work and without insurance, people whose homes are lose to fires, storms, and bankruptcy. The idea that individuals must help their own first before helping others is reasonable and rational. Though it could be great to help all those in need, American should aid their own first and end poverty in their own country before helping to others for there are times when it is just not possible. 

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Poverty Essay Examples and Topics

World hunger: cause and effect, on how to eradicate homelessness.

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Poverty: A Sociological Imagination Perspective

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Poverty in the World

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Homelessness and its Solutions

The philippines’ unemployment, inequality, poverty.

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Teenage Pregnancy Major Causes and Solutions

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Poverty in Africa

Poverty areas and effects on juvenile delinquency.

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Poverty Effects on Child Development and Schooling

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Hardin and Singer’s Arguments about Helping the Poor

How globalization influence health and lifestyle, max weber’s thoughts on poverty, analysis of theodore dalrymple’s “what is poverty”, the singer solution to world poverty: arguments against.

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What Causes Poverty in the World

  • Words: 1461

Community Work: Helping People in Poverty

The causes and impacts of homelessness.

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Homelessness as a Global Social Issue

“life in a california mission: monterey in 1786” by la pérouse, jean-françois de galaup and malcolm margolin.

  • Words: 1422

Homelessness in the US

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Relationship Between Crime Rates and Poverty

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Is Poverty a Choice or a Generational Curse?

Poverty and global food crisis: food and agriculture model, south africa and kenya development project.

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Cause and Effect of Poverty

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Why the Lottery is Useful to Society?

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Mumbai Great Problem: Homelessness Problem in Cities

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Poverty Alleviation and Sustainable Development

Poverty simulation reflection and its influence on life, wealth inequality: ethical or unethical.

  • Words: 1967

Consumerism: Affecting Families Living in Poverty in the United States

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The “Only Daughter” Essay by Sandra Cisneros

Urban slum in the “city of god” (2002).

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Homelessness as a Social Issue

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Distribution of Resources in Society

The poor kids frontline documentary analysis, food insecurity in the us: the new face of hunger, homelessness in northern california, the impact of homelessness in california: economic and other reasons, kids and youth homelessness: facts and statistics in the united states.

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Poverty and Diseases

We can stop poverty in ghana today, born poor and smart.

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Poverty in Rural and Urban Areas

Reflective analysis of poverty.

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Stereotypes About Poverty in the Maid Book by Land

Poverty through a sociological lens.

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Global Poverty: The Ethical Dilemma

Satirical features of “a modest proposal” by jonathan swift.

  • Words: 1545

Concept of Poverty

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The Myth of the Culture of Poverty

Poverty, government and unequal distribution of wealth in philippines.

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Two Attitudes Towards Money

Inequality: causes and consequences.

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Dharker’s Postcards From God Book and Carter’s Family Photograph

Analysis of a social problem: poverty.

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Financial Support for the Poor and Alternatives

Poor housing and its impact on public health, poverty in orwell’s “down and out in paris and london”.

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Poverty: $2.00 a Day in America

What makes countries rich or poor.

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The Problem of Homeless People in Modern World

Homelessness in the united states.

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Poverty in the Bronx: Negative Effects of Poverty

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Economic Crisis: Social & Psychological Impact

The bottom billion: challenges and implications for global development.

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Discussion: Poverty in America

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Bergenfield’s Homelessness Challenge and Response

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Eradication of Poverty in Philippines

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Tackling Child Poverty: A Comprehensive Approach

Literacy as a way to overcome poverty, unveiling the complex web of global poverty, aspects of the poverty simulation experience, the difficulties low-wage workers encounter, homelessness and its causes in the united states, the intertwining of poverty and policy, how poverty contributes to poor heath, reading and teaching students in poverty, the “twenty years at hull-house” book by addams, global poverty project: a beacon of hope in the fight against extreme poverty, the causes of an increase in poverty in atlanta, georgia.

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Thistle Farms: Help for Women Who Are Affected by Poverty

“how war fuels poverty” article by mccarthy, poverty: the american challenge, peter singer’s enduring argument for global philanthropy.

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The Poverty Issue From a Sociological Perspective

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Anti-Poverty Programs From the Federal Government

Homeless as at-risk population.

  • Words: 1999

Rural Development, Economic Inequality and Poverty

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Global Poverty: Ways of Combating

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Poverty and Homelessness as a Global Social Problem

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Poverty: Aspects of Needs Assessment

What is poverty in the united states, “everyone is on welfare”by abramovitz, poverty: the main causes and factors, how to overcome poverty and discrimination, poverty and homelessness in american society, income and wealth inequality in canada.

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Connection of Poverty and Education

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The Opportunity for All Program: Poverty Reduction

Early childhood financial support and poverty, the homelessness issue in canada, discussion: poverty and healthcare.

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Explosive Growth of Poverty in America

The poverty and education quality relationship, the problems of poverty and hunger, poor white underclass in the us, reducing poverty in the north miami beach community, response to swift’s “a modest proposal”, resource availability for low-income families in new york, poverty: subsidizing programs, urbanization and technological development in third-world countries, the problem of poverty in chad.

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Low-Income Elementary School Students in the Indianapolis Area

The working poor and schooling, life below the poverty line in the us, the relationship between single-parent households and poverty, aspects of social work and poverty, importance of work-for-welfare programs.

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  1. Effects of poverty, hunger and homelessness on children and youth

    The impact of poverty on young children is significant and long lasting. Poverty is associated with substandard housing, hunger, homelessness, inadequate childcare, unsafe neighborhoods, and under-resourced schools. In addition, low-income children are at greater risk than higher-income children for a range of cognitive, emotional, and health ...

  2. Causes and Effects of Poverty

    Any discussion of social class and mobility would be incomplete without a discussion of poverty, which is defined as the lack of the minimum food and shelter necessary for maintaining life.More specifically, this condition is known as absolute poverty.Today it is estimated that more than 35 million Americans—approximately 14 percent of the population—live in poverty.

  3. 7 Essays About Poverty: Example Essays And Prompts

    2. The Surprising Poverty Levels Across the U.S. In this 2023 essay, Jeremy Ney looks at the poverty levels across the US, stating that poverty has had the largest one-year increase in history. According to the most recent census, child poverty has more than doubled from 2021 to 2022.

  4. 2.4 The Consequences of Poverty

    Regardless of its causes, poverty has devastating consequences for the people who live in it. Much research conducted and/or analyzed by scholars, government agencies, and nonprofit organizations has documented the effects of poverty (and near poverty) on the lives of the poor (Lindsey, 2009; Moore, et. al., 2009; Ratcliffe & McKernan, 2010; Sanders, 2011).

  5. Why Poverty Persists in America

    On the problem of poverty, though, there has been no real improvement — just a long stasis. As estimated by the federal government's poverty line, 12.6 percent of the U.S. population was poor ...

  6. 12 Ways Poverty Affects Society

    Children's well-being. 11. Incarceration and crime. 12. Future generations. #1. Gender inequality. Poverty has a huge effect on gender inequality and vice versa. According to UN Women, 383 million girls and women live on less than $1.90 a day, compared to 368 men and boys.

  7. 390 Poverty Essay Topics & Free Essay Examples

    Poverty in "A Modest Proposal" by Swift. The high number of children born to poor families presents significant problems for a country."A Modest Proposal" is a satirical essay by Jonathan Swift that proposes a solution to the challenge facing the kingdom. Life Below the Poverty Line in the US.

  8. Poverty Essay for Students and Children

    500+ Words Essay on Poverty Essay. "Poverty is the worst form of violence". - Mahatma Gandhi. We can define poverty as the condition where the basic needs of a family, like food, shelter, clothing, and education are not fulfilled. It can lead to other problems like poor literacy, unemployment, malnutrition, etc.

  9. Harvard study shows exactly how poverty impacts children's success

    Study picks out key indicators like lead exposure, violence, and incarceration that impact children's later success. Social scientists have long understood that a child's environment — in particular growing up in poverty — can have long-lasting effects on their success later in life. What's less well understood is exactly how.

  10. Extreme poverty in the time of COVID-19

    The short-term economic and well-being costs of COVID-19 have been severe. Though we hope the pandemic will be a temporary shock, in the interim it has pushed many vulnerable households living at ...

  11. Introduction to Poverty: Causes, Effects, and Management: [Essay

    Poverty brings the poor to low levels of health and education, lack of clean water and sanitation, inadequate physical security, lack of voice, and insufficient capacity and opportunity to better one's life. To discuss the issue of poverty, this essay analyzes global trends, causes, effects, and management of poverty.

  12. Cause and Effect of Poverty

    Effects of poverty on health. For majority of individuals, the harmful effects of economic poverty on health are worsened by disparity associated with racial, sex, disability, HIV infection and other aspects related with social status. Therefore, efforts that aim entirely on economic poverty may have restricted efficiency for supporting health.

  13. Poverty: The Main Causes and Factors

    These may include various addictions, insufficient level of education, a person's worldview, and other reasons. Structural factors include labor market conditions, demographic context, and other socio-economic circumstances. An example is the increase in poverty associated with the development of the COVID-19 pandemic.

  14. Causes of Poverty: Essay Sample

    Need advice on how to highlight the causes of poverty in your cause and effect essay? There are services that can give the right tips. Check this Top-10 list. Learn more. Perhaps the most direct causal link exists between poverty and the balance between a country's population density and its agricultural capabilities.

  15. Argumentative Paper: Poverty in The United States

    Poverty in the United States is a complex and multifaceted issue that requires a comprehensive approach to address. By tackling the root causes of poverty, such as lack of access to quality education, healthcare, and affordable housing, we can work towards creating a more equitable society where all individuals have the opportunity to thrive.

  16. Poverty Free Essay Examples And Topic Ideas

    233 essay samples found. Poverty, a state of deprivation of basic human needs and economic opportunities, is a pervasive issue across the globe. Essays could explore the systemic causes of poverty, its impact on individuals and communities, and the various strategies employed to alleviate poverty. Additionally, discussions might delve into the ...

  17. Full article: Defining the characteristics of poverty and their

    1. Introduction. Poverty "is one of the defining challenges of the 21st Century facing the world" (Gweshengwe et al., Citation 2020, p. 1).In 2019, about 1.3 billion people in 101 countries were living in poverty (United Nations Development Programme and Oxford Poverty and Human Development Initiative, Citation 2019).For this reason, the 2030 Global Agenda for Sustainable Development Goals ...

  18. Essay on Poverty

    With the help of this poverty essay, students will learn what poverty is, the leading causes of poverty, and the steps taken to eradicate poverty in India. ... Effects of Poverty. Numerous factors have contributed to it continuing for so long. As a result, freedom, physical and mental fitness, and a sense of unease remain. Therefore, the nation ...

  19. Free Poverty Essay Examples & Topic Ideas

    Check our 100% free poverty essay, research paper examples. Find inspiration and ideas Best topics Daily updates. Stuck with your poverty paper? Check our 100% free poverty essay, research paper examples. ... The study was purposed to assess the effect of poverty in determining the health status of households. Pages: 2; Words: 675;

  20. Poverty

    poverty, the state of one who lacks a usual or socially acceptable amount of money or material possessions.Poverty is said to exist when people lack the means to satisfy their basic needs. In this context, the identification of poor people first requires a determination of what constitutes basic needs. These may be defined as narrowly as "those necessary for survival" or as broadly as ...

  21. Cause And Effect Essay On Poverty

    Cause And Effect Essay On Poverty. 1557 Words 7 Pages. Poverty is the state of being extremely poor. It is one of the most serious issue in the entire world, since a large number of individuals kick the bucket every year because of this huge issue. There are a lot of causes that leads to poverty such as discrimination and social inequality, war ...

  22. Cause And Effect Essay On Poverty

    Cause And Effect Essay On Poverty. Currently, one of the most significant issues in the world is poverty and it is leading to numerous problems. In addition, "The most widely held and understood definition of extreme poverty, established by the World Bank, defines poverty in strictly economic terms — earning less than $1.90 a day" (World ...

  23. Essay On Poverty in India: Causes, Effects and Solutions

    1. Effect on Health - one of the most devastating effects that poverty has is on the overall health of the nation. The most prominent health issue stemming from poverty is malnutrition. The problem of malnutrition is widespread in all age-groups of the country but children are most adversely affected by this.