$2.00 a Day: Living on Almost Nothing in America

$2-a-day poverty has been an unintended consequence of the 1996 reform, but the authors argue that the solution is not to simply reinstate the old welfare system. AFDC did help people, but because it was at odds with American values—being seen as rewarding laziness and single motherhood—it also stigmatized those who received it, creating a “class of outcasts” (158). Edin and Shaefer instead recommend policies aimed at creating more work opportunities.

At present, there simply aren’t enough jobs for everyone who needs one. People living in extreme poverty are furthermore among the least likely to be extended a job offer due to their circumstances (see Chapter 2). More private sector jobs can be created through government subsidies, and more government jobs can be created as well, as was done during the Great Depression. There is no shortage of work needed to be done at national parks, daycare centers, public libraries, and addiction treatment centers, to name just a few services that are underfunded and in need of workers. The quantity of jobs needs to increase, but the quality needs to improve as well. Raising the minimum wage, doing more to combat wage theft, and mandating that employers provide guaranteed hours would do a lot to provide the poor with more financial security.