Poverty, the Welfare State, and the Failure of Centralized Government

Centralize everything in DC’s hands, if you want to achieve perfect mediocrity.

International Liberty

As we get deeper into an election season, many politicians feel compelled to discuss how to deal with poverty.  And some of them may even be serious about trying to improve the system.

This hopefully will lead to big-picture discussions of key issues, such as why the poverty rate stopped falling in the mid-1960s.

If so, it helps to look past the headline numbers and actually understand the scope of the problem.

Nicholas Eberstadt of the American Enterprise Institute explains that the official poverty data from the Census Bureau overstates the number of poor people.

…the official poverty rate is a positive embarrassment today. The poverty rate manifestly cannot do the single thing it was intended for: to count the number of people in our country subsisting below a fixed and absolute “poverty line.” Among its many other shortcomings, this index implicitly assumes that a family’s annual reported income…

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