Ava White 5th Hour Poverty and Its Factors 45% of children are born into poverty each year.
In addition, the extension of federal unemployment insurance would have created 200,000 new jobs in 2014, according to the Congressional Budget Office.
Indeed, every $1 in benefits that flows to jobless workers yields more than $1.50 in economic activity.
Here are 10 steps Congress can take to cut poverty, boost economic security, and expand the middle class.
The best pathway out of poverty is a well-paying job.
There is usually a reason why people are poor in a country that has more opportunity than any other place on earth.
It almost always comes back to personal choice or circumstance. O’Riley stated, many Americans choose not to go out and create an opportunity for themselves so succeed.Had the minimum wage back then been indexed to inflation, it would be .86 per hour today, compared to the current federal minimum wage of .25 per hour.Raising the minimum wage to .10 per hour and indexing it to inflation—as President Barack Obama and several members of Congress have called for—would lift more than 4 million Americans out of poverty.President Obama and policymakers across the political spectrum have called for boosting the EITC in order to right this wrong.Importantly, this policy change should be combined with a hike in the minimum wage; one is not a substitute for the other.But there is nothing normal or inevitable about elevated poverty levels and stagnant incomes.They are the direct result of policy choices that put wealth and income into the hands of a few at the expense of growing a strong middle class.Furthermore, low- and middle-income workers have seen little to no income growth over the past decade, as the gains from economic growth have gone largely to the wealthiest Americans.With flat incomes and inequality stuck at historically high levels, one might assume that chronic economic insecurity and an off-kilter economy are the new normal and that nothing can be done to fix it.Nearly one in five children would see their parent get a raise.Recent action taken by cities and states—such as Seattle, Washington; California; Connecticut; and New Jersey—shows that boosting the minimum wage reduces poverty and increases wages.