Posts tagged with: poverty

detroit-neighborhood“The Bible has a rich desert theology…He will cause rivers to flow, even in desert conditions.” –Christopher Brooks

Pastor Christopher Brooks and Evangel Ministries have demonstrated a unique model of urban ministry in Detroit, focusing not just on meeting immediate needs through traditional channels, but on fostering a vision of long-term, whole-life discipleship.

In a talk for the Oikonomia Network, Brooks offers invaluable perspective from his years of ministry, concluding that the gospel has the power to bring economic flourishing to impoverished communities. Poor communities are very similar to deserts, Brooks explains, where people feel trapped by the elements and desperate from the thirst. “These feelings of fear and vulnerability, and feeling overwhelmed, is exactly what the poor feel on a daily basis,” he says.

The good news is that Christ brings life and liberty to all people and in all places. “We preach a gospel that tells people they don’t have to relocate in order to experience the blessing and flourishing that comes from being in Christ,” Brooks says. “In other words, you shouldn’t have to change zip codes for the gospel to work for you.”

Thus, Brooks and his church have sought not only to meet temporal needs, but to help communities see the gifts and resources they already have, harnessing and connecting them accordingly. This isn’t to say that it’s as easy as strolling into these communities and peeling open a Bible. It begins and continues with close and attentive relationships. (more…)

2014-03-19-piggyThe good news is that the pinging sound your car’s engine was making for the last month has finally stopped. The bad news is that the sound stopped because the engine stopped working. You take the car to a local mechanic who tells you it will cost $1,000 to repair.

How would you handle this type of unexpected emergency? Would you be prepared?

Only about 4 in 10 Americans (37 percent) say they would pay for an unexpected expense with savings, a Bankrate survey found. Almost a quarter more (23 percent) say they’d pay for an emergency by reducing spending on other things.

Credit cards would be an option for 15 percent and another 15 percent would borrow from family or friends. That leaves nearly 10 percent who have no idea what they’d do.
(more…)

government_is_the_problem_poster-r60410fd507e74984b86adfb78cccb9fd_a3l0_8byvr_324What is the worst problem facing America? According to a recent Gallup poll, most Americans agree with former President Reagan, who said government is not a the solution, government is the problem.

An average of 16 percent of Americans in 2015 mentioned some aspect of government—including President Obama, Congress, or political conflict—as the country’s chief problem. The economy came in second with 13 percent mentioning it, while unemployment and immigration tied for third at 8 percent.

While government takes the top slot, that’s still an answer given by fewer than one in five citizens. We can’t even seem to come to a consensus about our biggest problems. Indeed, 2015 is only the second time since 2001 (2014 was the other year) that no single issue averaged 20 percent or more for the year. Rather than being focused on a single issue, there is a broad range of concerns troubling us; more than a dozen issues received 2-6 percent of the vote for worst problem.
(more…)

cellphones-povertyFrom mass shootings to terrorist attacks, political incompetence to racial unrest, there has been no shortage of bad news stories in 2015. Death, destruction, and divisiveness tend to dominate the news cycle, leading us to despair over the direction our world is headed.

But our incessant focus on the negative can lead us to overlook or downplay the positive changes that are happening across the globe. That is especially true of the most important good news story of 2015, one few people have heard and fewer have grasped the significance.

The good news: For the first time in world history, less than 10 percent of the global population will be living in extreme poverty.
(more…)

consumptionWhat if told you that between 90-100 percent of Americans are living in “healthcare poverty.” You would probably object and say that while the country certainly has a healthcare crisis, my numbers are surely inflated. After all, most people in the U.S. have access to healthcare.

In reply, I explain that while it’s true most people are able to consume healthcare services, they are still in poverty since those services are paid for at least partially by the government or private insurance. You would probably respond that I seem very confused on this issue. And you’d be right.

Yet when we hear reports that between 14 and 16 percent of  Americans are living in poverty, few people bother to ask, “Are they talking about consumption or income?”

The reason it matters is the same reason that most Americans are not in “healthcare poverty”: they are able to consume more goods and services than they are able to pay for with their income. As James X. Sullivan, an economics professor at Notre Dame, has explained:
(more…)

Blog author: jsunde
Thursday, December 10, 2015
By

elvesIn “The Elves and the Shoemaker,” the famous fairy tale by the Brothers Grimm, a cobbler and his wife struggle to survive, barely making enough to eat (never mind investing in the future of their business).

One morning, however, they wake to find that their last scraps of leather have been turned into a remarkable pair of shoes. Not knowing the source of such craftsmanship — and apparently incurious — the cobbler sells them off at a higher price, gaining new capital to grow his business. Each night thereafter, the miracle continues, and the enterprise grows in turn.

Months later, they finally take an interest in the source of such help, staying awake through the night to spot two naked elves, each happily laboring to make more shoes. The wife sews clothes for the elves, who, after finishing their work, express their thanks and graciously depart, never to be seen again.

One can find several morals or lessons in the tale, but Jeffrey Tucker does a marvelous job of highlighting its themes on the meaning of work, the gift of exchange, and the glories of capitalism. (more…)

Blog author: jcarter
Monday, November 30, 2015
By

PoorTaxImagine you’re a single mom with one child who receives $19,300 a year in government benefits. A local business offers to hire you full-time at an hourly rate of $15 an hour. At 2,000 hours a year (40 hours for 50 weeks) you would earn $30,000. Should you take the job or stay on the government dole?

The additional $10,700 a year certainly sounds enticing. But because you would lose your benefits and have to pay taxes, your disposable income would be about 31 percent less, around $20,700. By working full-time you’d only earn $1,400 a year more than when you were on welfare. That means you are working full-time to earn an additional 70 cents more an hour than when you were unemployed. Why bother?

That 31 percent is the effective marginal tax rate for low- and moderate-income workers will face, on average, in 2016. The marginal tax rate is the percentage of an additional dollar of earnings that is unavailable to an individual because it is paid in taxes or offset by reduced benefits from government programs. As the Congressional Budget Office points out in a statement of the obvious, that rate affects people’s incentives to work: “In particular, when marginal tax rates are high, people tend to respond to the smaller financial gain from employment by working fewer hours, altering the intensity of their work, or not working at all.”

As Robert VerBruggen notes, that marginal rate remains high well above the poverty line:
(more…)