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Concentrated Poverty

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United<br />

16.8 8.7 16.4 8.2<br />

Kingdom<br />

United States 21.0 11.7 17.2 15.1<br />

Italy 30.7 14.3 19.7 9.1<br />

A study done by Columbia University found that since the beginning of the War on<br />

<strong>Poverty</strong>, the American poverty rate was reduced "from 26 percent in 1967 to 16 percent<br />

in 2012." However Kevin Drum has criticized the study for combining elderly (in which<br />

most of the reduction happened) with non-elderly poverty reduction which was much<br />

less significant.<br />

Opponents of Welfare Reducing <strong>Poverty</strong><br />

In the United States, members of both the Republican and Democratic Party (as well as<br />

third parties such as the Libertarians) have favored reducing or eliminating welfare. The<br />

landmark piece of legislation which reduced welfare was the Personal Responsibility<br />

and Work Opportunity Act under the Clinton administration.<br />

Conservative and libertarian groups such as the Heritage Foundation and the Cato<br />

Institute assert that welfare creates dependence and a disincentive to work, and reduce<br />

the opportunity of individuals to manage their own lives. This dependence is called a<br />

"culture of poverty" which is said to undermine people from finding meaningful work.<br />

Many of these groups also point to the large budget used to maintain these programs<br />

and assert that it is wasteful.<br />

In the book Losing Ground, Charles Murray argues that welfare not only increases<br />

poverty but also increases other problems such as single-parent households, and crime.<br />

Some socialists and Marxists argue that welfare states and modern social democratic<br />

policies limit the incentive system of the market by providing things such as minimum<br />

wages, unemployment insurance, taxing profits and reducing the reserve army of labor,<br />

resulting in capitalists having little incentive to invest; in essence, social welfare policies<br />

cripple the capitalist system and increase poverty. By implementing public or<br />

cooperative ownership of the means of production, some socialists believe there will be<br />

no need for a welfare state.<br />

Public Opinion<br />

In 2013, a NBC News/Wall Street Journal poll found that a plurality of Americans (24<br />

percent) said "too much government welfare that prevents initiative" was the leading<br />

cause of poverty.<br />

A January 2014 Pew Research poll found that 49% of Americans believe government<br />

aid to the poor does more good than harm as people can't escape poverty until basic<br />

needs are met, and 54% believe taxes should be increased on the wealthy and<br />

corporations to expand anti-poverty programs.<br />

Page 67 of 134

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