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2020/02/03

A Fascinating Insight Into The Relationship Between Poverty And Policies

Presidents and government ministers are judged on factors like employment rates and the economy, but perhaps the most important indicator of success for many voters is support for those in need. There is a great deal of debate about poverty in the US, and discussions may suggest that governments are failing. Despite the heated exchanges and criticism, there have been major strides in the fight against poverty.

As the infographic below indicates, poverty rates have fallen in the US, with the proportion of those living in poverty dropping from 27.3% in 1959 to 21.1% in 2014. These figures are representative of improvements across all demographics, with rates falling among children, adults and over 65s. Since 1970, the average personal income has also increased by over $12,000 per year. 

When people are living below the poverty line, policies will always come under scrutiny, and it’s true that some measures have been much more effective than others. There is a long way to go to eradicate poverty, but there have been several successful schemes introduced in the last 70 years. Franklin D. Roosevelt’s Social Security Act of 1935 is perhaps one of the most influential policies in US history. The aim of this act was to provide support for vulnerable individuals and low-income families. During his presidency, Roosevelt also invested in work programs, which benefited more than 2.5 million men, and construction projects. In total, the government spent more than $4 billion on building educational facilities, community buildings and public health centers.

In 1965, Lyndon B. Johnson amended the Social Security Act, introducing Medicare and Medicaid, programs that have revolutionized healthcare in the US. As a result of Medicare, at the age of 65, adults are 35% less likely to experience problems covering healthcare costs. Seniors enrolled in the program are also less likely to need to borrow money to cover medical bills. 

As you can see from the infographic, more recent policies have also had a positive impact. Social Security helped to lift over 21 million Americans out of poverty in 2012. 

Created By Norwich University

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Filed Under: News Tagged With: money

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