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Poverty has historically been defined as some form of expression for material and/or financial hardship that results in the inability to meet basic human needs. The most publicly acceptable versions are focused on income- or resource-based definitions of poverty. These definitions include the following: absolute poverty (insufficient income to meet basic human needs) and relative poverty (a level of income that does not allow for consumption that meets community standards or goes below a particular percentage threshold of the total population, e.g., 25% or less of median income).

Recent scholars have suggested that social exclusion be also included among the definitions of poverty. Social exclusion can be a result of racial/ethnic discrimination, gender discrimination, geographic isolation, educational attainment, or other such sociodemographic characteristics that are associated with social isolation.

Other scholars, such as Robert Chambers, have suggested that there are four clusters of definitions that have defined poverty historically: (1) income-poverty,(2) material lack or want, (3) capability deprivation, and (4) a multidimensional view with material wants as only one of several “mutually reinforcing dimensions” (p. 2).

Income poverty in this categorization relates to the previously mentioned absolute poverty threshold. For material lack or want, the conceptualization relates to not only income poverty but also the ability to secure such needs as clothing, shelter, transportation, and other essential assets. The third cluster of definitions, capability deprivation, relates to the aforementioned social exclusion. The ability of individuals to thrive is compromised as a result of restrictions on what one can and cannot do and what can and cannot be. The fourth cluster takes an ecological, systems-theory approach to poverty that incorporates multiple dimensions and processes.

Theories of Poverty

Ted Bradshaw has outlined what he believes are the five competing theories that drive antipoverty strategies:

  • Individual deficiencies
  • Cultural belief systems that support subcultures of poverty
  • Political–economic distortions
  • Geographical disparities
  • Cumulative and circumstantial origins

In the individual deficiencies framework, adherents suggest that poverty results primarily from a person's personal attributes (e.g., intelligence and diligence) or from poor choices (e.g., dropping out of school). In the individual deficiencies theoretical framework, poverty is the nexus between individual deficiencies that have been passed down from previous generations and inherent/genetic individual deficits. A suggestion by Richard Herrnstein and Charles Murray that the nexus between race and intelligence are tied to economic well-being has generated significant controversy and has been generally discredited. This set of theories, however, has a long history.

The Virginia Legislature in 1619 ordered any idle able-bodied person be bound over for compulsory labor, and early conceptualizations of poor persons categorized them into two groups: the “deserving” and “undeserving” poor. The undeserving poor were those who were deemed able to work but not currently working. They were believed to be poor as a result of their lack of initiative, intelligence, or some other personal deficit. Deserving poor were those who were poor through circumstances beyond their control; for example, orphans and the elderly.

The second theory, often referred to as the “culture of poverty,” suggests that over generations, belief systems, values, and skills have been transmitted to successive generations that perpetuate their poverty. Perhaps the most famous expression of this ideology was given by Senator Daniel Patrick Moynihan in his report from the U.S. Department of Labor titled, “The Negro Family: The Case for National Action,” or more popularly known as the “Moynihan Report.” The report's main tenet being that the “crumbling” of the “negro” family had substantially contributed to the “cycle of poverty.” The report met with scathing criticism from civil rights groups of the time for ignoring the social realities of African Americans at that time.

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