I was in a meeting this morning and I was confronted by the question, “Why does ending poverty matter to me?”
I was shocked. “What do you mean? ”
“I mean, why is it important to end poverty?”
In my most high and mighty retort, “Its the right thing to do.”
“Maybe. Maybe not. Why should I give United Way money to invest in programs that help poor people?”
I was losing some of my patience. “People in poverty don’ t have the opportunities that wealthier people have. They don’t have food, they don’t have health care, they don’t have the same education.”
“There were times in my life, when I struggled, and no one helped me. I just want to know why it is important that poor people should have health care, should have food, or should have an education. That’s all.”
Well, this was a conversation that I was losing and losing quickly, because I didn’t have the answer. I couldn’t move beyond my own belief that it is the right thing to do. So, I poked around, as I’m apt to do, to make sure I have the answers and can really talk about why ending poverty is important to all of us and here is what I found.
I discovered that there are some true economic costs to poverty, particularly to children as they grow up in poverty. It seems that when children grow up in poverty they are more likely to have poor health care later in life when compared to those children who are not poor. When compared to non-poor children, children in poverty are somewhat more likely to have lower earnings and are a bit more likely to engaging in crime.
So what?
Well, the “so what” is that economists have been able to quantify these costs. It seems that the costs associated with childhood poverty total about $500 billion each year. That is close to the equivalent of 4 % of the Gross Domestic Product.
Who cares about the Gross Domestic Product? Why does that matter to me?
Remember that Gross Domestic Product is correlated with the standard of living. So as Gross Domestic Product goes down, our own standard of living goes down. When Gross Domestic Product goes up, our standard of living goes up. The economists were able to demonstrate that worker productivity and output related to poverty reduces GDP by 1.3%, raises the cost of crime by 1.3% and increases health care costs by 1.2%. These are not costs that you or I have control over, they are underlying costs that are within the current economic system and the only way to really improve our own standard of living is to invest in programs that help eliminate poverty and raise the GDP.
Huh?
I mean that when people are poor in my community, I pay for them one way or another. I might pay for it in terms of tax dollars that are needed to incarcerate people. I pay for it in terms of higher insurance premiums to balance the health care costs that are incurred when people are uninsured and receive health care. However, the problem is, I can’t fix the situation by improving my own income. Making more money will not decrease my taxes or health care costs. The problem can only be fixed by helping those around me who have not had the same opportunities as I have. It means helping them achieve their potential so that they can contribute to the economy by improving their own situation, and in turn, improve my situation.
As a donor, it is nice to know both outputs and outcomes!
Stan, I share your belief that it's just "the right thing to do" and often get frustrated when I'm challenged on that. Having been in that meeting, I'm so glad that you wrote this blog to explain the benefits to the common person so that I will be able to better explain it – and so maybe a few people out there will adopt it as their personal belief as well. You are an inspiring person!
i think that two
Provides a simple way to put aside any value judgement and just look at the issue of ending poverty in a logical way. It makes sense to me!
Wisdom throughout the generations has taught that it is the right thing do – "Our failure to care for for the weak among us will lead to the demise of those who are strong."
In one of Aesop’s fables a woodsman heads into the forest to find a handle for his axe head. The woodsman comes into a gathering of trees, informs them of his need and inquries of the best tree to use for an axe handle. The strong trees conspire against the smaller trees surrounding them. Assuming authority over the weaker trees, they devise a plot to give away an Ash tree. The older trees inform the woodsman that he is free to take the Ash tree to carve his axe handle as long as they are spared. The woodsman soon returns with his newly affixed axe. He does not limit his hackery to the Ash trees; he cuts down the Oaks, the Redwoods and all the other grand trees that were spared before.
Stan, thanks for reminding all of us that poverty is indeed a community issue that warrants and is worthy of a community response.
One of the "blessings" of this current economic depression, is that persons from every walk of life have seen that poverty can touch everyone. It has caused many successful families and individuals to step back and look at what can happen to even the most prosperous.
Many are starting to save and put away money for a rainy day and retirement. They see their neighbors and associates in foreclosure or without a job. They may also do a personal inventory and find that their family and friends are the most important… not another gadget. This awakening to put their own house in order is a benefit. For the first time, many have experienced or see firsthand that many are just a paycheck away from the street.
United Way and member agencies give hope to persons who have none. This time it may be the other person who needs help…next time it may be you. The families and individuals helped by United Way agencies are not just nameless individuals…they are your neighbors, the person standing next to you in an elevator, the family you sit next to at church, and more.
The "What's in it for me?"…"Nobody helped me" attitude speaks more loudly about that individual. Those who give get more in return. When a door shuts, a window is opened….every one of us can be part of opening that window…give hope where there is none. I think I would schedule some outings to some of your United Way agencies so your "out of touch" committee members can help out firsthand and see what it is all about.