The Official Poverty Line

The Official Poverty Line - fall below the poverty line....

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The Official Poverty Line The poverty line , the official measure of poverty in the United States, is set at three times a low-cost food budget. Henslin (2006:201) argues that in the 1960s, when the poverty line was determined, poor people spent roughly a third of their income on food. In the U.S., families who earn less than three times the cost of food are considered "officially poor." This status could influence the distribution of social welfare dollars from Washington. The poverty rate refers to the percentage of people in the united states who
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Unformatted text preview: fall below the poverty line. The entire Official poverty measure in inadequate. Currently, poor people spend no more than a fifth of their budget on food. It one wanted to know the "real" level of poverty in terms of 1960s standard, one should multiple the low-cost food budget by five, not three. By, multiplying by three, the percentage of the population is grossly underestimated. As a result of underestimating poverty, Washington makes fewer funds available to support poor people....
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