Sunday, March 9, 2014

PERSPECTIVE: THE WAR ON POVERTY


My last blog examined how well government does at running businesses. Regarding public education, we found that a third of the products government produces (i.e. graduates) fail to meet specifications. We found the Post Office bankrupt, and the Affordable Care Act looks like a train wreck. Now, it seems only logical to see how the government’s 50 year “War on Poverty” is doing.

The goal of that program, started in 1964, was to eliminate poverty for the 15% of the US population that was considered to be living in poverty in that year. Today, 15% of the population, or fifty million persons, are still considered to be living in poverty. Moreover, the records show that during this 50 year period we have spent about 20 trillion dollars on these 50 million persons. My fifth grade math teacher said the long division should be set up like this:

20,000,000,000,000 dollars = 8,000 dollars/person per year
50,000,000 persons x 50 years

So, during this 50 year period we tax payers spent $8,000 per person per year, and we still have about 50 million persons living in poverty. And it is getting worse. Last year all government t programs combined (Federal and State) aimed at this group totaled just short of one trillion dollars. That is about $20,000 per person

It is worth noting that in the second term of Clinton’s administration; legislation was passed that mandated that persons on the poverty program must find work within a two-year period. They even claimed it was the end to poverty. However, that plan was quickly amended because it was claimed that there were no jobs. Actually only about 3% on poverty had gotten work.

The problem was that digital technology and globalization began to replace US unskilled labor during this period, and the pace is increasing. Further exacerbating the issue is that a third of our public school students who have dropped out will be unable to get a job that pays above the poverty level. Realistically, it is not likely that we will ever reduce, let alone eliminate, poverty in the United States!

Now, a family of four can live quite well on the funds and ancillary programs available from the government so there really is little incentive to get off the program. For example a visit to Google shows that these folk have all the appurtenances that you have. Moreover, this group is entitled to a negative income tax, which means that they get a tax refund while paying zero tax. So, should we be shocked to learn that few if any living on these government funds would want to try to find work? Actually I wonder why we all shouldn’t want to get in on this deal!

A short list jobs that government in partnership with the private sector, could create that most members of the group have the skills for right now might include building the infrastructure to convert all our automotive fleet to environmentally friendly compressed natural gas to replace gasoline and diesel fuels. There are also public service jobs out there that many of the under skilled workers could do such as assisting teachers and assisting the elderly. But can you imagine trying to get this 50 million person group to do public service work in return for the government hand-out? You can’t, can you! But we could require work such as described above for the government handout. But since this group doubtless will vote for the hand that feeds it, can you imagine such a program having a chance of being enacted into law? Probably not!

It is ironic that we have two US Government Departments that deal with animals. The Agricultural Department providesfree food to 50 million human animals. The Interior Department provides food and shelter for countless millions of wild animals. It is curious that the Interior Department places signs in the parks instructing visitors to: “Please don’t feed the animals”.

What’s wrong with our current war on poverty is that it runs counter to the laws of nature. Feeding human animals, just like the animals in the park, makes them unable to “fend for themselves”. Christ said something that is terribly pertinent here:” Give a man a fish, and he is fed for a day; teach a man how to fish, and he is fed forever”.

Obama campaigned and won his elections on his idea to “Transform America”. What we did not know was that he was too late. America was transformed 50 years ago. We might as well get accustomed to understanding that 85% of the US population that works and pays taxes will be expected to provide a living wage for 15% of the population who will be in the program into perpetuity and will probably never work a day!

Now, we will be expected to celebrate this 50 year old program!! Celebrate it?? Are we serious? We should be ashamed at the harm we have done to our fellow man!