Poverty

Consequences of Poverty

Poverty's effect on individuals, families, and communities is a growing and deleterious problem. For instance, U.S. Census Bureau data show that in 2002, 8% of Whites were in poverty, unchanged since 2001. Among African Americans, 24.1% were in poverty, which was higher than the 22.7% reported in 2001. For Asian Americans, the poverty rate was 10.1%, unchanged from 2001. And for Latinos/as, the poverty rate remained unchanged from 2001 to 2002 at 21.8%. For children, the percentage in poverty remained unchanged at 16.7% from 2001 to 2002. The poverty rate for families rose from 4.9% to 5.3%, and the percentage of female households remained unchanged at 26.5%.

Factors that contribute to the rise in poverty include the decrease in real wages earned by lower-educated workers and the increase in single-parent families. Real wages may be considered the actual worth of income an individual receives after inflation and other adjustments are considered; unadjusted wages, for instance, may seem to be high, but considering the actual worth of the wage in relation to inflation, the unadjusted wage may be an erroneous figure. Furthermore, those with 12 or fewer years of schooling experienced the greatest decrease in their earning power. This group of the working poor, or those with regular employment but living in near-poor or poverty conditions, has increased by 35% from 1990 to 1998. For many families, limited income restricts their ability to invest in their children's education and future, thereby limiting children's future social class mobility and furthering the intergenerational transmission of poverty.

Research also suggests that poverty is overrepresented among recent immigrants; African, Latino/a, and Native American communities; women and single mothers; and children. The research shows overwhelmingly that transient and persistent (chronic) experiences of poverty have the most serious consequences for children and adolescents. Essentially, poverty creates an environment wherein risk factors converge. For instance, for children and adolescents in an unsafe or violent and crime-prone environment, options for exercise and outdoor play are limited. Consequently, children's health behaviors are affected, and outcomes may be increasing rates of sedentary behaviors, childhood obesity, and diabetes. Poverty also increases the exposure to other toxicities, such as lead poisoning and pesticides, and to low birth-weight—all related to later intellectual and social functioning. Other effects of poverty on children and their development may be evidenced in IQ scores, graduation rates, or adequate educational environments. Children who have experienced poverty may also exhibit higher aggression and conduct problems than children who have not experienced poverty, psychophysiological stress, and developmental delays. Additionally, experiencing poverty in preschool and early years decreases the probability that these children will graduate from high school when compared to experiencing poverty later in their education. Finally, for many children, there are deleterious effects of poverty on their mental health and emotional life. For instance, children who live in families experiencing financial stress also may have lower social competence.

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