MacoEconomics Poverty Mr. Odren. What is Poverty? The Poverty Threshold People considered in poverty...

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MacoEconomics Poverty Mr. Odren

Transcript of MacoEconomics Poverty Mr. Odren. What is Poverty? The Poverty Threshold People considered in poverty...

Page 1: MacoEconomics Poverty Mr. Odren. What is Poverty? The Poverty Threshold People considered in poverty if income falls below poverty threshold Also called.

MacoEconomics

PovertyMr. Odren

Page 2: MacoEconomics Poverty Mr. Odren. What is Poverty? The Poverty Threshold People considered in poverty if income falls below poverty threshold Also called.

What is Poverty?

The Poverty Threshold People considered in poverty if income falls below poverty thresholdAlso called the poverty lineCalculated based on costs of nutritious food, other necessities

Page 3: MacoEconomics Poverty Mr. Odren. What is Poverty? The Poverty Threshold People considered in poverty if income falls below poverty threshold Also called.

The 2009 Poverty Guidelines for the 48 Contiguous States and the District of Columbia

Page 4: MacoEconomics Poverty Mr. Odren. What is Poverty? The Poverty Threshold People considered in poverty if income falls below poverty threshold Also called.

What is Poverty?

The Poverty Rate Poverty rate—percent of people in households below poverty threshold

based on population as a wholePoverty does not hit all sectors of society equally. Most at risk:

Children, minorities; inner-city, rural, and single–mother families

Page 5: MacoEconomics Poverty Mr. Odren. What is Poverty? The Poverty Threshold People considered in poverty if income falls below poverty threshold Also called.

Factors Affecting Poverty

Education—the higher the level of education, the higher the income

Discrimination against minorities, women

sometimes face wage discrimination, occupational segregation

Demographic trends—single-parent families have more economic problems

Change from manufacturing to service jobs has resulted in lower wages for low-skilled workers

Page 6: MacoEconomics Poverty Mr. Odren. What is Poverty? The Poverty Threshold People considered in poverty if income falls below poverty threshold Also called.

General Antipoverty Programs

Social Security program pays benefits to retirees, survivors, disabledMedicare is government health insurance for seniorsUnemployment insurance helps laid-off workers while looking for jobFood Stamps: helps with groceriesMedicaid offers health care; funded by federal and state governments

Page 7: MacoEconomics Poverty Mr. Odren. What is Poverty? The Poverty Threshold People considered in poverty if income falls below poverty threshold Also called.

How Difficult is it to Live at the Poverty

Level?* You are head of a family of four with an income at

the poverty level of $20,000.

* Housing: $12,00

* Utilities: $2,400

* Bus to Work: $1,200

* Food: $4,200

* Health Care: $2,200

* Child Care: $2,400

BALANCE: ??

How much Money do you

have now?