Structural causes of poverty and policy solutions in the United States

Poverty in the U.S.

Symptoms

Proponents of the "structural" view believe that the most reasons of poverty has innate linkages with economy and its interconnecting institutional practices, which have been bias towards certain segments of the people on the basis of gender, class or race. Work practices most institutions are inclined to maintain numerous hindrances to various segments of the people. Unemployment, median income and calculation of income inequality are considered as structural economic aspects. The impact of unemployment and escalation in median income are written-evidences and their link to poverty is obvious (Jordan, 2004).

As per 2003 statistics, 12.8% persons other than old age people and 17.6% children of the families with incomes lived below the poverty line. In 2003, the poverty rates of men and women were 11.7% and 13.9%, respectively; more probably women were poorer than men. This tiny difference is due to men and women living together in most families, therefore, they have same income and poverty levels. 7% was the poverty rate for people who were headed by the married person. On the other hand, 40.3% was the poverty rate of the families with persons, including children (5/6 were unmarried female heads). Lastly, in 2003 families with single head and without children had a rate of 17.9% (Hoynes, Page, & Stevens, 2006). This economic system is capitalism, based on excessive numbers of workers that also crates competition among workers for positions; this system boosts an ongoing process of skills development and performance, but wages remain low. The republican stance has another view; although the present form of American capitalism to some extent is based on the presence of a lower class, which is also a cause of poverty (Jordan, 2004).

Diagnosis

During the last several decades, policy makers, international funding agencies, researchers, non-governmental organizations (NGOs) and others, have been in a hurry to study the nature and reasons of poverty as much as possible to find out various remedies for declining and probably eradicating poverty.

Social Capital

Some analyst takes the concept of social capital as providing the likelihood for a clearer understanding of poverty, which can further set a new example. Most of the analysts having applied the concept of social capital say it shows the involvement and potential of the poor. It is discussed that agreeably, the poor, despite less approach to the other financial means, possess enormous social capital, like social connections and networking by getting organizations' membership, consumerism etc., making them able to handle livelihood problems and manage likelihood of capital accumulation in order to get rid of poverty (Kay, 2006).

Improving Education Outcomes for Poor Children

During the several last decades, the methodology of education-policy has evolved interestingly; now it is easy to find out reasonably-sized program effect within the intricate framework, which decides schooling results. The reasonable criterion of success for policy interference is to ensure that they produce maximum advantages instead of magical advantages. Education guidelines, which can improve the results of poor children, have their costs justified, even if these guidelines are not adequate in providing equal learning opportunities to children in America (Jacob & Ludwig, 2009).

Cure

Skill Demands for the Working Poor

Some economists argue that there is an increasing trend of technological advancement needs for workers with compatible skills; as a result, these low skilled workers get fewer wages. Our findings at the Economic Policy Institute shows that despite the element of technological advancement, which has always been a significant aspect in the labor market, in the recent past years, the degree of change has not increased (Bernstein, 2007). Ensuring the poor get more education is part of the solution. Apart from their level of skills, there should be an environment where workers can obtain benefits of their skills. It suggests that by combining protections, institutions, regulations and social standards, it is possible to keep away the opportunists from exploiting the working poor (Bernstein, 2007).

Prevention

State Policy and Program Options to Prevent Poverty

Poverty can be reduced through appropriate strategically made policies and programs so that lives of children and families can be improved. Head of states are desperately searching for ways that can make families self-reliant and create opportunities for children who are facing poverty (Golonka & Hoffman, 2008). States are providing important support services, like early education, quality child care, after-school programs and post-secondary education facility to the poor children to beat the disadvantages of poverty (Golonka & Hoffman, 2008).

Expand Safety-Net Options for Families in Crisis

Few possible reasons that can create economic hardships for the family with fewer resources are temporary job loss, a short-term health emergency and a necessary car repair. By making programs and policies, state policymakers can broaden safety-net options for families in consideration of short-term financial or employment assistance (Golonka & Hoffman, 2008).

They can:

• upgrade state unemployment insurance policies to enhance reach for part-time and low-income workers and formulate state family and medical leave policies: and • make welfare deviation programs that give lump-sum cash payments to families to handle emergency situation or support members of the family by finding employment to refrain from registration in Temporary Assistance for Needy Families (TANF) (Golonka & Hoffman, 2008).

Promote Savings and Asset Accumulation

Sources of wealth that gives a family higher economic strength cannot be provided only by income, but savings, retirement plans and home ownership. Physical health of the children, psychological development and socio-emotional behavior can be enhanced by parental wealth. Many families don't save money; nevertheless, the significance of asset accumulation is well-known. Over 25% U.S. families do not possess necessary savings to survive for more than three months equal or over federal poverty level in case of losing their earnings (Golonka & Hoffman, 2008).

The key community members or partners that you plan on contacting, with an explanation why these individuals or organizations make sense as potential partners

Social Workers

Practically across the world, concerns of social workers have expanded due to the past working experience with the disregard and people with scarcity of means being situations of poverty for them. As per routine practice at lower level, social workers who work creatively and innovatively, assess poverty and risk, make people (persons as well as communities) understand their scenario and ways of changing their conduct and surroundings (ISFW, 2012).