The United States is a land of plenty. Even poverty.
The U.S. Census Bureau estimated in 2021 that there were 16 million poor non-Hispanic whites, 11 million poor Hispanics or Latinos, 9 million poor blacks or African Americans and 1 million poor American Indians and Alaska Natives.
To estimate the rate of poverty among these groups we take into consideration their total population. In 2021, the total population was 196 million non-Hispanic whites, 63 million Hispanics or Latinos, 45 million blacks or African Americans and 4 million American Indians and Alaska Natives.
Dividing the number of people in poverty by their total population gives the poverty rate. For non-Hispanic whites it was 8.1%, Hispanic or Latino 17%, black or African Americans 20% and American Indian and Alaska Native 25%.
America’s poor are white, brown and black, yet poverty occurs at higher levels in communities of color. What might be the reason? Let’s talk about how America estimates poverty first.
The U.S. government uses income to estimate individuals and families in poverty. “If a family’s total income is less than the family’s threshold, then that family and every individual in it is considered in poverty.” The poverty level income in 2023 for an individual is $14,880.
Such low income means a person may not be capable of owning a vehicle. Since it’s common in the United States for people to live far from supermarkets, lack of transportation can cause food insecurity. Yet a person without a car may not experience similar transportation constraints in a rural setting as a larger city. In a rural setting tight-knit relationships may enable a person to seek help from family or friends, but living in an urban setting may mean lack of support in times of need.
Amartya Sen, a Harvard Economics and Philosophy Professor and Nobel Laureate, warns us not to see poverty just as reduced income, but also the “deprivation of basic capabilities.” From the context of philosophy, capabilities are like the freedom to travel, eat sufficient and nutritious food, obtain an education and live in a community of their choice. The lack of economic freedom makes a person less capable of enjoying real freedoms.
Let’s now bring in my AI partner, ChatGPT, to talk about poverty and its causes in the context of the United States. ChatGPT’s summarized responses are in italics.
What is poverty?
Poverty is a state of extreme financial deprivation and lack of basic necessities, such as food, shelter and clothing, due to insufficient income or resources to meet one’s essential needs. It often leads to reduced quality of life and limited opportunities for individuals and communities.
Who experiences poverty?
Poverty affects various demographic groups, including low-income individuals, families and children, as well as minorities and individuals with disabilities.
Who among the various demographic groups experiences more poverty?
Statistically, minority populations, particularly African Americans and Hispanics, tend to experience higher poverty rates in the United States compared to the majority white population.
What contributes to poverty in communities of color?
Historical discrimination, lower educational opportunities, limited access to well-paying jobs, systemic inequalities and housing disparities. These factors create barriers to economic advancement, perpetuating higher poverty rates within these communities.
Why does systemic inequality exist?
Historical and structural biases in institutions and policies that disadvantage certain racial, ethnic, or socioeconomic groups. Discriminatory practices, unequal access to education, employment opportunities and resources, as well as biases in the criminal justice system.
What can humans do to eradicate poverty?
- Implement fair labor practices, minimum wage laws and progressive taxation.
- Improve access to quality education, vocational training and adult literacy programs.
- Strengthen social welfare programs and provide a safety net for vulnerable populations.
- Encourage job growth and support small businesses.
- Promote gender equality to empower women economically.
- Ensure affordable health care to reduce medical-related poverty.
- Invest in infrastructure and technology for economic development.
- Involve communities in decision-making and development.
- Raise awareness and advocate for poverty eradication.
What can AI do to help eradicate poverty?
- Streamline the administration of social welfare programs, ensuring efficient and equitable distribution of benefits to those in need.
- Identify affordable housing opportunities and optimize urban planning to address housing shortages.
- AI-powered personalized learning tools can improve educational outcomes, especially in underfunded schools and underserved communities.
- AI-powered telemedicine and diagnostic tools can enhance health care access, particularly in remote or low-income areas.
- AI-driven financial tech solutions can expand access to banking and credit for marginalized communities, promoting economic empowerment.
- Optimize food distribution networks, reducing food deserts and ensuring access to affordable, nutritious food.
- Analyze data to predict poverty risks, enabling proactive interventions and policy adjustments.
- Assist in identifying opportunities for economic development and revitalization in impoverished neighborhoods.
What would a poverty-free America look like?
A poverty-free America would represent a society where every individual’s basic needs are met, where opportunity is truly equal and where social and economic disparities have been significantly reduced or eliminated. It would require a concerted effort from governments, businesses, communities and individuals to address systemic issues and ensure a more equitable and prosperous future for all.
I agree, ChatGPT, but sadly, some humans just don’t care.
