Thursday, December 1, 2022
Hawai'i Free Press

Current Articles | Archives

Monday, April 16, 2012
How America Spends Nearly $1 Trillion a Year Fighting Poverty -- and Fails
By NCPA @ 12:42 PM :: 4189 Views :: National News, Ethics

How America Spends Nearly $1 Trillion a Year Fighting Poverty -- and Fails

From NCPA

Forty-eight years after President Johnson declared war on poverty, the number of poor people in the United States remains stubbornly high. Various administrations have increased the number of programs helping those with incomes below the poverty line, but no such institution has had much success, says Michael Tanner, a senior fellow with the Cato Institute.

This trend is particularly surprising because of the rapid increase in spending and the number of programs that has occurred over the time period in question. Since Johnson's time, dollars allocated to fighting poverty at both the federal and state level have increased rapidly, but to no avail.

  • Total welfare spending in constant 2011 dollars (including state and local funds) has risen from $256 billion in 1965 to $908 billion today.
  • Measured as a percentage of gross domestic product (GDP), total welfare spending nearly tripled from 2.19 percent of GDP to 6 percent.
  • In 2011, there were 126 antipoverty programs administered by seven different cabinet agencies and six independent agencies.

Measured in per capita terms, the dollar figures make it clear that in terms of fighting poverty, the government is clearly doing something wrong.

  • Combined with state and local spending, government spends $20,610 for every poor person in America, or $61,830 per poor family of three.
  • Given that the poverty line for that family is just $18,530, poverty should theoretically have been wiped out many times over.
  • According to Obama administration projections, over the next 10 years, federal and state governments will spend $250,000 for every American currently living in poverty.

The answer to this gross inefficiency is that programs should not focus on making poverty more comfortable. Instead, they should focus on helping the poor to climb their way out of poverty. To this end, they should emphasize:

  • Education -- high school dropouts make significantly less money and are much more likely to live in poverty.
  • Not having children out of wedlock -- roughly 63 percent of all poor children reside in single-parent families.
  • Sticking to a job -- only 2.6 percent of full-time workers and 15 percent of part-time workers are poor.

Source: Michael Tanner, "The American Welfare State: How We Spend Nearly $1 Trillion a Year Fighting Poverty -- and Fail," Cato Institute, April 11, 2012.

Links

TEXT "follow HawaiiFreePress" to 40404

Register to Vote

2aHawaii

808 Silent Majority

ACA Signups Hawaii

Alliance Defending Freedom

Aloha Pregnancy Care Center

American Council of Trustees and Alumni

AntiPlanner

Antonio Gramsci Reading List

A Place for Women in Waipio

Astronomy Hawaii

Back da Blue Hawaii

Ballotpedia Hawaii

Better Hawaii

Broken Trust

Build More Hawaiian Homes Working Group

ChinaTownWatch.com

Christian Homeschoolers of Hawaii

Cliff Slater's Second Opinion

DVids Hawaii

FIRE

Fix Oahu!

Frontline: The Fixers

Genetic Literacy Project

Grassroot Institute

Habele.org

Hawaii Aquarium Fish Report

Hawaii Aviation Preservation Society

Hawaii Catholic TV

Hawaii Christian Coalition

Hawaii Cigar Association

Hawaii Coalition Against Legalized Gambling

Hawaii ConCon Info

Hawaii Credit Union Watch

Hawaii Crop Improvement Association

Hawaii Debt Clock

Hawaii Defense Foundation

Hawaii Family Forum

Hawaii Farmers and Ranchers United

Hawaii Farmer's Daughter

Hawaii Federalist Society

Hawaii Federation of Republican Women

Hawaii Future Project

Hawaii Gathering of Eagles

Hawaii History Blog

Hawaii Homeschool Association

Hawaii Jihadi Trial

Hawaii Legal News

Hawaii Legal Short-Term Rental Alliance

Hawaii Life Alliance

Hawaii March for Life 

Hawaii Matters

Hawaii's Partnership for Appropriate & Compassionate Care

Hawaii Public Charter School Network

Hawaii Rifle Association

Hawaii Shippers Council

Hawaii Smokers Alliance

Hawaii State Data Lab

Hawaii Together

HIEC.Coop

HiFiCo

Hiram Fong Papers

Homeschool Legal Defense Hawaii

Honolulu Navy League

Honolulu Traffic

House Minority Blog

Imua TMT

Inouye-Kwock, NYT 1992

Inside the Nature Conservancy

Inverse Condemnation

Investigative Project on Terrorism

July 4 in Hawaii

Kakaako Cares

Keep Hawaii's Heroes

Land and Power in Hawaii

Legislative Committee Analysis Tool

Lessons in Firearm Education

Lingle Years

Malulani Foundation

Managed Care Matters -- Hawaii

Malama Pregnancy Center of Maui

MentalIllnessPolicy.org

Military Home Educators' Network Oahu

Missile Defense Advocacy

MIS Veterans Hawaii

NAMI Hawaii

Natatorium.org

National Christian Foundation Hawaii

National Parents Org Hawaii

NFIB Hawaii News

No GMO Means No Aloha

Not Dead Yet, Hawaii

NRA-ILA Hawaii

Oahu Alternative Transport

Obookiah

OHA Lies

Opt Out Today

OurFutureHawaii.com

Patients Rights Council Hawaii

PEACE Hawaii

People vs Machine

Pritchett Cartoons

Pro-GMO Hawaii

P.U.E.O.

RailRipoff.com

Rental by Owner Awareness Assn

ReRoute the Rail

Research Institute for Hawaii USA

Rick Hamada Show

RJ Rummel

Robotics Organizing Committee

Save Dillingham Airfield

School Choice in Hawaii

SenatorFong.com

Sink the Jones Act

Statehood for Guam

Talking Tax

Tax Foundation of Hawaii

The Real Hanabusa

Time Out Honolulu

Trustee Akina KWO Columns

UCC Truths

US Tax Foundation Hawaii Info

VAREP Honolulu

Waagey.org

West Maui Taxpayers Association

What Natalie Thinks

Whole Life Hawaii

Yes2TMT