Question
CALCULATING THE LINE OF POVERTY. 1) Federal Poverty thresholds are based on the assumption that a family of 4 spends 1/3rd of its income on
CALCULATING THE LINE OF POVERTY.
1) Federal Poverty thresholds are based on the assumption that a family of 4 spends 1/3rd of its income on food. (2adults/2kids)...
(use the 2020 document, it should download a chart)
https://www.census.gov/data/tables/time-series/demo/income-poverty/historical-poverty-thresholds.html
2.Based on the government's estimate, what is the annual cost of food for a family of 4? (federal estimate 3)
3.Assume the government revises the poverty calculations on the assumption that a family of 4 spends 15% (or 1/7th) of its income on food. How much does a family need to purchase food and everything else it needs? The adjusted federal estimate is ...... (cost of food from question #2 x 7)
4.What if the government used other factors - childcare or housing costs - to calculate the poverty line?
- In California, fair market rent for a 2 bedroom apartment costs $1446 per month
https://www.rentdata.org/states/california/2020
- a California family pays an average of $760 per month in preschool childcare costs (that's $1520 for 2 kids!)
https://www.americanprogress.org/issues/early-childhood/reports/2018/11/15/460970/understanding-true-cost-child-care-infants-toddlers/
5.If the federal estimate was based on housing costs, not food, the poverty line would be. (rent per month x 12 months per year x 3)
6.If the federal estimate was based on childcare, not food, the poverty line would be....(childcare per month [2kids] x 12 months per year x 3)
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- What is wrong with how we calculate poverty in the U.S.? Identify and explain at least 2 flaws.
- The government knows the poverty line is no longer accurate. Why might the government be hesitant to correct its formula for calculating poverty?
- How does the government attempt to alleviate poverty? Pick 2 anti-poverty programs and explain 1) when were they created, 2) who qualifies, 3) how much money is in the program
https://poverty.ucdavis.edu/article/war-poverty-and-todays-safety-net-0
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