Knowledge Graph

Poverty in America

19th century–present
#political-economy#inequality#race#american-thought#policy

The United States is the wealthiest large country in the history of the world. It also has, among affluent democracies, one of the highest rates of poverty, the weakest social safety net, the widest gap between rich and poor, and the lowest rates of upward mobility. These facts coexist without contradiction — they are, as the literature below documents, structurally related. American poverty is not a residual problem left over after prosperity has done its work; it is produced by the same political and economic arrangements that produce American wealth.

The official U.S. poverty measure, set in 1963 and based on a formula that multiplied a minimum food budget by three, is widely regarded as inadequate — too low, too crude, and insensitive to regional cost differences, medical expenses, and the value of non-cash benefits. The Supplemental Poverty Measure introduced in 2011 corrects some of these defects. By either measure, roughly 37–40 million Americans are poor in any given year, and many more cycle in and out of poverty. Child poverty was cut roughly in half in 2021 by the temporary expansion of the Child Tax Credit and rose back to its prior level when the expansion expired in 2022 — a natural experiment that demonstrated, as clearly as any policy experiment can, that American poverty is a policy choice.

Amartya Sen's capability approach reframed the question: what matters is not income alone but what a person is actually able to do and be — to be adequately fed, sheltered, educated, to participate in the life of their community, to appear in public without shame. Two people with the same income may have very different capabilities depending on disability, location, and surrounding institutions.

Annotated bibliography

The reporting tradition

The most important American writing about poverty has come from journalists and reporters who went and looked. The tradition begins with Jacob Riis and runs through Harrington, Ehrenreich, and Desmond.

Race and poverty

American poverty cannot be understood apart from American racism. The racial wealth gap — white families hold roughly eight times the wealth of Black families — is the cumulative result of slavery, Jim Crow, redlining, exclusion from New Deal programs, and continuing discrimination in housing, credit, and employment.

Rural poverty and the working poor

The structural and policy analysis

The religious and moral tradition