On September 17, 2015, Simeon Ari writes on Political Blindspot:
If you live in the United States, there is a good chance that you are now living in poverty or near poverty. Nearly 50 million Americans, (49.7 Million), are living below the poverty line, with 80% of the entire U.S. population living near poverty or below it.
That near poverty statistic is perhaps more startling than the 50 million Americans below the poverty line, because it translates to a full 80% of the population struggling with joblessness, near-poverty or reliance on government assistance to help make ends meet.
In September, the Associated Press pointed to survey data that told of an increasingly widening gap between rich and poor, as well as the loss of good-paying manufacturing jobs that used to provide opportunities for the “Working Class” to explain an increasing trend towards poverty in the U.S.
But the numbers of those below the poverty line does not merely reflect the number of jobless Americans. Instead, according to a revised census measure released Wednesday, the number – 3 million higher than what the official government numbers imagine – are also due to out-of-pocket medical costs and work-related expenses.
The new measure is generally “considered more reliable by social scientists because it factors in living expenses as well as the effects of government aid, such as food stamps and tax credits,” according to Hope Yen reporting for the Associated Press.
Some other findings revealed that food stamps helped 5 million people barely reach above the poverty line. That means that the actual poverty rate is even higher, as without such aid, poverty rate would rise from 16 percent to 17.6 percent.
Latino and Asian Americans saw an increase in poverty, rising to 27.8 percent and 16.7 percent respectively, from 25.8 percent and 11.8 percent under official government numbers. African-Americans, however, saw a very small decrease, from 27.3 percent to 25.8 percent which the study documents is due to government assistance programs. Non-Hispanic whites too rose from 9.8 percent to 10.7 percent in poverty.
“The primary reason that poverty remains so high,” Sheldon Danziger, a University of Michigan economist said, “is that the benefits of a growing economy are no longer being shared by all workers as they were in the quarter-century following the end of World War II.”
“Given current economic conditions,” he continued, “poverty will not be substantially reduced unless government does more to help the working poor.”
Meanwhile, the U.S. government seems to think that the answer is cutting more of those services which are helping to keep 80% of the population just barely above the poverty line, cutting Food Stamps since the beginning of the month. Democrats and Republicans are negotiating about just how much more of these programs should be cut, but neither party is arguing that they should not be touched.
http://politicalblindspot.com/us-poor/
This article is about Americans continuing to loose ground in terms of wage income. And this situation will persist and worsen as the march of technology and tectonic shifts in the technologies of production, compounded by global low-wage competition, continue to destroy jobs and devalue the worth of labor.
The solution is to connect workers and EVERY child, woman, and man to title ownership in the private property means of production. The democratization of money creation and capital credit is the “social key” to universalizing access to future ownership of productive wealth (particularly in corporate equity). This social key could enable every person, as an owner, eventually to gain income independence through the profits from one’s capital.
Today most political and business leaders and academic economists assume that the mass of people can only earn a living through their work, and where that is insufficient, through welfare or charity. They, like most people, remain blind to the reality that accelerating technological progress makes it possible, even necessary, to solve the income distribution problems of our economy through the widespread ownership of labor-saving technologies.
Most changes in the productive capacity of the world since the beginning of the industrial revolution can be attributed to technological improvements in our capital assets, and a relatively diminishing proportion to human labor. Capital does not “enhance” labor productivity, i.e., labor’s ability to produce economic goods. It makes many forms of labor unnecessary. Furthermore, productive capital is increasingly the source of the world’s economic growth and therefore should become the source of added property incomes for all.
In a democratic and just economy everyone should have an equal opportunity and equal access to the means to own shares in companies that use advanced technology. The United States economy, for example, should have programs that lift artificial tax and credit barriers to help every American become an owner of American Industry. Every family could then earn income from jobs and income from capital that every family member would own.
Most people have no legitimate ownership claim to, and have insufficient means to purchase, what technology’s phenomenal productive capacity can generate. On the other hand, the small minority of people who own and control most of the productive instruments of society end up producing more than they can humanly consume.
We desperately need to restructure the underlying system, balancing the demands of participative and distributive justice by lifting institutional barriers that have historically separated owners from non-owners. This involves removing the roadblocks preventing people from participating fully in the economic process as both workers and owners.
The Just Third Way paradigm offers a just free market system that economically empowers all individuals and families through the democratization of money and credit for new production. Widespread citizen access to money power would create universal access to direct ownership of wealth-creating and income-producing capital.
We need to require that inclusionary self-liquidating capital credit be made accessible to corporate employees and other current non-owners of productive capital in order to turn them into economically independent capital owners. And, in the same way that the currently wealthy use credit to increase their wealth, and thus their incomes, this would be done under a new comprehensive national expanded ownership strategy.
Support the Agenda of The Just Third Way Movement at http://foreconomicjustice.org/?p=5797, http://www.cesj.org/resources/articles-index/the-just-third-way-basic-principles-of-economic-and-social-justice-by-norman-g-kurland/, http://www.cesj.org/wp-content/uploads/2014/02/jtw-graphicoverview-2013.pdf and http://www.cesj.org/resources/articles-index/the-just-third-way-a-new-vision-for-providing-hope-justice-and-economic-empowerment/.
