Economic Immobility: Accelerating Poverty in America and GOP Obstructionism

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From The Nation:

When President Obama proposed his American Jobs Act back in September, he included $1.5 billion toward summer jobs and year-round employment for low-income youth ages 16–24. That was important, considering that just 49 percent of that age group was employed in July, the month when youth employment usually peaks, including only 34.6 percent of African-American youth and 42.9 percent of Hispanic youth.

The bill was dead-on-arrival given a GOP majority in the House and a filibustering Senate. So now President Obama is trying to use the bully pulpit to secure commitments from government, businesses and non-profits to hire “Opportunity Youth”—the 6.7 million young people ages 16-24 who are unemployed, not enrolled in school, and do not have a college degree. (They comprise 17 percent of the 39 million 16–24 year olds in the nation.) So far, employers have responded with 70,000 paid summer jobs and 110,000 unpaid summer or year-round work opportunities. The administration’s goal is to reach 250,000 jobs by summer, including 100,000 paid jobs and internships.

…

The White House is making the case that investing in these jobs saves money over the long-term. It estimates $93 billion in lost tax revenue and higher government spending to support these 6.7 million disconnected youth in 2011 alone. Without intervention, over their lifetime there will be “a $1.6 trillion burden to meet the increased needs and lost revenue from this group.”

The Vital Statistics

  • US poverty (less than $22,300 for a family of four): 46 million people, 15.1 percent.
  • Kids in poverty: 16.4 million, 22 percent of all kids.
  • Deep poverty (less than $11,157 for a family of four): 20.5 million people, 6.7 percent of population.
  • Impact of public policy, 2010: without government assistance, poverty twice as high—nearly 30 percent.
  • Impact of public policy, 1964–1973: poverty rate fell by 43 percent.
  • Number of Americans “deep poor,” “poor” or “near poor”: 100 million, or 1 in 3.

GOP: Welcome to South Carolina

  • Kids 8 and younger living in poverty: 28 percent, tied for fifth worst in the US (including DC).
  • People living in poverty: 18.2 percent, eighth worst.
  • High school graduation rate (2008): 61.9 percent, third worst.
  • Unemployment rate (avg. month, 2010): 11.2 percent, sixth worst.

[source: The Nation]

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