One of the more contentious issues of the modern age is how to handle society’s poor.
The standard left-wing argument is that government should confiscate money from working taxpayers and redistribute it to the poor with little or no limitations. To not do this, they say, is selfish and not compassionate.
The standard right-wing argument is that the government should leave the poor more or less alone, barring perhaps some minor help, and that the poor should “pull themselves up by their bootstraps” and work hard and become not-poor.
Who’s right? As usual, the answer lies somewhere in the middle.
As always, we need to start with the facts. Here’s a few.
- America’s poverty rate has been between 10-15% since the mid 1960s.
- Since the mid 1960s, American taxpayers have spent $22 trillion dollars on anti-poverty programs. When adjusted for inflation this is more money spent on every war America has ever fought since the American Revolution.
- After all that spending, America’s poverty rate is still between 10-15%.
Therefore, what is factual and not a matter of opinion is that A) the United States taxpayer is paying a staggering, mind-boggling amount of money on the poor, and B) it’s not helping anyone become less poor. To deny that last sentence is to deny the facts.
To be fair, just because we’re spending too much on the poor (or wasting too much, as the case may be) doesn’t necessarily mean we should be spending zero, right? The answer is, it depends.
Two Types of Poor
Often ignored in “the poor” debate is that there are two distinctly different types of poor people. From the outside looking in, they look the same. In all the statistics, they look exactly the same. The problem is they’re extremely different, to the point of almost being opposites.
The two types of poor people are the Can’ts and the Won’ts.
A Can’t person is someone who is poor for one of two reasons:
1. He/she physiologically lacks the ability to attain and maintain a steady source of income. Examples would be someone who is severely mentally retarded or someone who can’t physically move because of sickness, injury, or unlucky genetics (a person born with no arms or legs for example). These people have little to no income because they more or less can’t support themselves.
2. He/she is a 100% innocent victim of some unavoidable external catastrophe and temporarily can’t pay his or her bills. An example would be a small business owner who gets seriously harmed in an accident caused by someone else, and who can’t work (thus earn income) for a temporary but extended period of time.
It’s important here to understand what “100% innocent” and “unavoidable external catastrophe” means. Many, if not most people in this debate often purposely confuse this issue. This means something happened to you that was 100% external and 100% unavoidable. If you choose to be 70 pounds overweight and smoke cigarettes your entire life, and then are suddenly incapacitated from a heart attack or lung cancer, and now can’t work and thus become poor, then guess what? You are not 100% innocent and this was not an unavoidable external catastrophe. It’s a catastrophe to be sure, but one of your own choosing that you could have avoided with responsible behavior.
A Can’t person is someone who can’t pay their bills because they’re either physically unable to or because they fell prey to an isolated, random event they couldn’t prevent. It’s not someone who has any financial difficulty for any reason whatsoever.
Alright, those are the “Can’t poor,” whom you might call the “innocent poor.” There’s another kind of poor, and these are the Won’t poor; a very different animal.
The Won’t poor are people who don’t earn enough money to pay their bills because they won’t. They could, but they choose not to. Instead, they choose to spend their time doing things like watching TV, playing video games, smoking weed, having babies they can’t afford, sleeping in every day, going to school way, way longer than is required, traveling, engaging in political activism, farting around on the internet, or whatever.
These people are fully physically and mentally able to get a job and keep one, even if a low-paying job. But for whatever reason, they choose to not work at all, very little, or very sporadically. Thus, by choice, they are poor and unable to pay their own bills, often for decades. In many cases, Won’t poor have kids they can’t afford who grow up to become Won’t poor adults, thus perpetuating the cycle forever.
Very unlike the Can’t poor, the Won’t poor are lazy. They don’t want to work. They think you should be forced at gunpoint to pay their bills…possibly forever.
The Can’t poor are innocent and deserve help. The Won’t poor are not innocent and don’t. Whenever you talk about helping the poor, it’s extremely important to separate these two categories. The trick is whenever you look at poverty stats or whenever a politician or pundit talks about “the poor,” these two categories are never, ever broken out. Instead, people lump the Can’t poor and the Won’t poor into the same gigantic category called “poor.”
And that’s bullshit. There is a radical and stark difference between these two groups of people, and society should deal with each group very differently. I’ll get into more specifics in part two of this post.
The next challenge is the issue of exactly how long you should help the poor. Is there a limit?
Help With No Limit
Let’s say you have a friend who is a good guy. He comes to you one day, explains that he got fired from his job (for sleeping at his desk when he was supposed to be working), and asks you for $100 so he can pay his electric bill. You want to help him out, so you give him the $100. It’s not a loan; you give it to him as a gift.
A month later he asks you for money again, this time $200, again to pay some more bills. You ask him what he did with the $100 last month, and he sheepishly admits that he spent it on his girlfriend for Valentine’s Day. You scold him, saying that you expected him to spend that on his bills, like he said he would. He apologizes profusely and swears that this time he’ll use the new $200 to pay his bills. You’re a compassionate person and you want to help him out, so you give him $200.
Another month later he comes back and asks for $200 again. Again you ask him what he did with the money last month, and again he admits he blew it on something stupid rather than paying his bills. You ask him if he’s been looking for new jobs, and he says no, giving you some song and dance about how he’s been “too busy with his girlfriend.” However, once again, he swears that this time he will be responsible and pay his bills with your money.
He’s truly a Won’t poor. He might be a nice person, but he’s also lazy and irresponsible. You start to figure out that if you keep giving him money, he’ll probably never get his act together.
Now here’s the question: How long do you keep giving him free money?
At what point do you cut him off and stop giving him anything, knowing that he might end up on the street if you do this? Three months? Six months? Three years?
How about never? Do you keep giving him free cash forever, with the thought that you’d rather give him the money forever than have him become a bum?
Or do you eventually cut him off, knowing that it will probably spur him to get a job and get his finances under his control at least to some degree?
Do you cut him off, and if so, when do you do it?
This is a question of supreme importance and yet another aspect of this debate that is rarely discussed. Most food stamp programs in the United States such as SNAP and EBT last forever, with no end date. This is also true of many more expansive welfare programs in Europe. As long as you’re poor, the taxpayers are required by law to give you free money forever, regardless if you’re a Can’t person or a Won’t person.
I personally know people who’ve had zero income for two years or longer, who live in decent apartments with air conditioning (via subsidized housing), always have plenty of food (via food stamps), their kids, if they have them and they usually do, have an Xbox or PlayStation, a huge flat screen TV, and a computer (via welfare, which never expires when you have kids, even after Clinton’s welfare reform in 1996), and have all of their healthcare costs covered (via Medicaid).
To be fair, they don’t live rich by any means, often don’t have a car, and do experience financial stress. But they’re not living very bad either. The reason they’ve had no income for years on end is because they honestly don’t feel motivated to get a job. They sometimes even admit as much. The system encourages them to be Won’t people, even if they started out as Can’t people.
In part two of this post I’ll cover more aspects of this argument that are often not discussed, as well as some possible solutions.
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Tony
Posted at 06:02 pm, 4th March 2015I’ve often thought about this too, although I approached it slightly differently than you have. On the liberal side, you want to make sure you cover everybody who truly needs it (the Can’ts in your post) without leaving anybody out to dry. On the conservative side, you want to limit the number of people who don’t need it (the Won’ts in your post) from getting it. The more expansive the program, the more Can’ts you cover, but you also waste more money on the Won’ts. However, if you organize it a little differently you can cover almost all the Can’ts while purging the vast majority of the Won’ts. The program goes roughly in 3 tiers:
1. Everybody gets 6 months with no questions asked. That way if your small business fails, or you lost your job, or you’re a construction worker who got injured, you will get covered. If you go your whole life without needing it, you can use it for retirement if you like.
2. After you use up your 6 months you can still get assistance, but now we start asking questions. You can either go in the permanent disability route (which are the Can’ts you desribe in #1) or the work route. The permanent route would require you to go in front of some sort of panel that determines if you truly are unable to work. This would be set up in a way that it’d be very difficult to succeed at. The work route would be a government program that would be like a career center that would help you find a job. This would be similar to the career centers a lot of colleges have where they help you with resumes, help connect with potential employers, give you information about what you need to do to go into a certain career, etc. This organization would be available to every citizen, but anybody who exhausted their 6 months would be required to go through it to continue receiving benefits. This would also last about 6 months.
3. If you went the work route and still failed to get a job, you would then be forced to participate in a second new government program, this one guarantees a job to anybody who wants one. However, these jobs are not meant to be permanent, and should be created with the idea that they really suck. Anybody is free to take one of these jobs, but you would have the option of working part time while spending several hours a day continuing the program in #2. You can stay in part 3 as long as you want, since you’re a productive member of society so we don’t mind paying you.
I’m interested to see what your solution is. As a liberal, I’m sure mine is more government-oriented than yours.
Caleb Jones
Posted at 06:39 pm, 4th March 2015I dislike any government welfare program, but as those kinds of things go I liked aspects of your plan, but the more I read the less I liked.
I really liked your 6 months thing, but as I kept reading your 6-month thing turned into a 12-month thing, which turned into a part-time forever thing, which turned into a communistic/Japanese-like “everyone WILL have a job” thing, even if the government hands people useless make-work jobs like candy.
If you start at your #1 then stop right after you say “This would be set up in a way that it’d be very difficult to succeed at,” then I kinda like it.
Tony
Posted at 06:45 am, 5th March 2015The idea behind the guaranteed employment is to be able to deal with people who simply can’t find a job in that time. Instead of trying to make a judgement call of whether or not they really tried or not, we just say “Fine, have one of these shitty jobs then and we’ll continue to help you find a real one”. This way we give support to those who are honestly looking while preventing those who aren’t trying from mooching.
And these jobs should be set up in such a way that even minimum wage jobs would be preferable. The main way would be that the pay for these jobs would be less than minimum wage, so that there’s an automatic incentive for somebody in the program to find employment elsewhere.
So while you could be in the program forever, but there’s no real reason why you’d want to.
Caleb Jones
Posted at 09:58 am, 5th March 2015Principle 5 of government states that any new government program will eventually, not immediately but eventually, be abused, misused, ineffective, and full of waste. If government started handing out make-work jobs, it would end up being a complete cluster-fuck regardless of your good intentions for starting such a program. It would end up costing hundreds of billions more than planned and would not make any real dent in the real unemployment rate in and of itself. Most Won’t people wouldn’t even go for it, and if they did, they would bail out after a few months. If you simply limited the amount of time they could get free cash from the taxpayer, that would much more effective.
Jeff
Posted at 09:38 am, 6th March 2015Some people would argue that there simply aren’t enough good paying jobs to accommodate all people.
Caleb Jones
Posted at 12:50 pm, 6th March 2015True. Whether using free market or communism, you can’t have 100% of the population all being high-paid doctors, technicians, attorneys, etc.
How to Handle the Poor - Part 3 - Caleb Jones
Posted at 05:03 am, 15th April 2015[…] part 1 of this post, I discussed the different types of poor (the Can’t poor and the Won’t poor), and […]
PK
Posted at 07:32 am, 22nd January 2018Here are a couple of examples I know of regarding someone who is a Won’t Poor versus someone who isn’t. By the way, both are women.
Woman #1: She is the ex of a good friend of mine. I used to work with her years ago in the field of IT, where she was a software developer and making a good salary. Once her and my friend had a child, she decided to be a stay-at-home mom. This of course took her out of the IT field for a number of years. After they split up, she lived off alimony and child support for a while. Then once alimony ended, she moved to be closer to her parents and took a bullshit low-paying job as a waitress. She is still doing that kind of work now, relying on food stamps to get by. My friend said she even bypassed an offer to get free, government-paid training/schooling to help her reestablish a career but chose not to.
Woman #2: She’s a friend of mine who was as stay-at-home mom for about 20 years, and prior to that was also an IT developer. Once she moved out from her Ex, she got a job selling real estate — something she had never done before. She also kept her side hustle doing TaskRabbit type jobs (small home repairs and cleaning, running errands, etc). She furthermore even got an online gig doing Business Analyst work in the field of IT again. So, she busted her butt and used her creative talents and is doing okay for herself.
Amazing the contrast between these two women. I should add as a final note that Woman #1 is now a bitter, jaded person and Woman #2, while struggling at times, has a fairly good disposition and outlook on life.
Steven C.
Posted at 09:00 pm, 9th August 2020See my comment on your article about “The Purge”