5.2 Poverty and economic inequality
6 min read•august 15, 2024
Poverty and economic inequality are major risk factors for violence in communities. These issues create chronic stressors, limit opportunities, and weaken social controls that prevent crime. Studies show areas with high poverty rates have higher rates of violent offenses like assault and homicide.
Economic inequality fuels violence by eroding social cohesion and trust. Countries with larger income gaps tend to have more violence. Inequality breeds resentment and hopelessness while reducing upward mobility. This can motivate crime as an alternative path to resources and status.
Poverty and Violence
Defining Poverty and Its Prevalence
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Poverty in the United States, 2014: Key charts from the U.S. Census Bureau - Journalist's Resource View original
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Global Extreme Poverty - Our World in Data View original
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Poverty in the United States, 2014: Key charts from the U.S. Census Bureau - Journalist's Resource View original
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Top images from around the web for Defining Poverty and Its Prevalence
Poverty in the United States, 2014: Key charts from the U.S. Census Bureau - Journalist's Resource View original
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Global Extreme Poverty - Our World in Data View original
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Global Extreme Poverty - Our World In Data View original
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Poverty in the United States, 2014: Key charts from the U.S. Census Bureau - Journalist's Resource View original
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- Poverty is defined as the state of lacking sufficient financial resources to meet basic needs for food, clothing, and shelter
- The poverty threshold is the minimum level of income deemed adequate in a particular country
- Poverty is a widespread issue, affecting a significant portion of the global population
- In the United States, the official poverty rate in 2020 was 11.4%, meaning over 37 million people lived in poverty
Poverty as a Risk Factor for Violence
- Poverty is correlated with higher rates of violent crime
- Studies show that areas with high poverty rates tend to have higher rates of assault, robbery, and homicide compared to more affluent areas
- Poverty can lead to stressors like unemployment, food and housing insecurity, and lack of access to education and health care
- These chronic stressors are risk factors that increase the likelihood of violence
- Poverty is associated with neighborhood disadvantage, characterized by high population density, residential instability, family disruption, and low social cohesion
- These factors weaken informal social controls that help prevent violence
Impact of Poverty on Children and Future Violence
- Children raised in poverty are more likely to experience (ACEs) like abuse, neglect, and household dysfunction
- Exposure to ACEs is a strong predictor of future violence perpetration and victimization
- Poverty can limit access to quality education, health care, and social services for children
- Poor nutrition, environmental toxins, and chronic stress associated with poverty can negatively impact child development
- These early life disadvantages can set the stage for a cycle of poverty and violence across generations
Economic Inequality and Violence
Measuring Economic Inequality
- Economic inequality refers to the uneven distribution of income, assets and opportunities between different groups in society
- It is typically measured using the , which ranges from 0 (perfect equality) to 1 (perfect inequality)
- In 2020, the Gini coefficient for income inequality in the U.S. was 0.489, one of the highest levels among developed countries
- Other measures of economic inequality include the income share of the top 1%, wealth concentration, and the ratio of CEO-to-worker pay
Economic Inequality as a Driver of Violence
- High levels of economic inequality are linked to increased rates of violent crime
- Countries and communities with greater income gaps between rich and poor tend to have more violence
- Economic inequality erodes social cohesion and trust, which are protective factors against violence
- Inequality breeds feelings of resentment, hopelessness and alienation among disadvantaged groups
- Inequality reduces upward economic mobility and access to quality education and employment for low-income populations
- This limits opportunities to escape poverty and can fuel frustration and social unrest
Inequality, Public Goods, and Crime Incentives
- Economically unequal societies invest less in public goods and social programs that help buffer against the stresses of poverty
- This lack of a leaves vulnerable groups without support
- Underinvestment in education, health care, and community resources can exacerbate the risk factors for violence
- Income inequality incentivizes crime as a means of obtaining resources and status
- The perception of unfairness and relative deprivation can motivate individuals to pursue crime as an alternative path
- High inequality can also lead to more punitive approaches to crime, rather than addressing root causes
Social Welfare and Violence
Types and Goals of Social Welfare Programs
- Social welfare programs are government initiatives designed to protect vulnerable populations and ensure access to basic needs
- Examples include housing assistance (Section 8 vouchers), nutrition programs (SNAP/food stamps), health insurance (Medicaid), and income support (TANF)
- These programs aim to alleviate poverty, reduce inequality, and promote stability and well-being
- Social welfare is based on the idea that society has a responsibility to care for its most vulnerable members
Welfare Programs and Violent Crime Reduction
- Empirical research shows that social welfare spending is associated with reductions in violent crime
- U.S. states that spend more on welfare have lower homicide rates, controlling for other factors
- Welfare programs alleviate the acute economic stressors that can precipitate violence, such as inability to afford food, housing, and medical care
- They provide a buffer against material hardship and deprivation
- Programs like housing vouchers allow low-income families to relocate to safer neighborhoods with more resources and opportunities
- This disrupts the cycle of concentrated poverty that can fuel violence
Welfare Critics and Program Effectiveness
- Critics argue that welfare programs disincentivize work and create dependency
- However, research shows that when coupled with job training and placement, welfare does not reduce employment
- Access to health care services through Medicaid or other programs enables treatment for mental illness and substance abuse which are risk factors for violence perpetration and victimization
- While not a panacea, a robust social safety net is an important tool for addressing the economic drivers of violence
- To be most effective, welfare programs must be adequately funded, efficiently administered, and connected to other social services
Strategies for Addressing Economic Risk Factors
Minimum and Living Wage Laws
- Minimum wage laws mandate a base level of pay for workers
- Research indicates that higher minimum wages are associated with lower rates of violent crime, as they improve the economic security of low-wage workers
- However, the federal minimum wage of $7.25 has not increased since 2009 and has failed to keep pace with inflation
- Living wage ordinances go beyond the minimum wage to ensure that full-time workers earn enough to meet a basic standard of living for their area
- These laws aim to reduce working poverty as a driver of crime and promote self-sufficiency
Income Supports and Tax Credits
- Earned Income Tax Credits (EITC) provide tax refunds to boost the incomes of low-wage workers
- Studies show that EITC expansions are linked to reductions in violent crime, child abuse and intimate partner violence
- The (CTC) provides additional support to low and middle-income families with children
- During the COVID-19 pandemic, the U.S. expanded the CTC and delivered it monthly, lifting millions of children out of poverty
- These types of direct cash transfers give families flexibility to meet their specific needs and have been shown to improve child well-being and reduce financial stress
Place-Based Initiatives and Community Investment
- Place-based initiatives target investment, resources and services to high-poverty neighborhoods
- Programs like and aim to comprehensively address the economic and social determinants of violence
- They involve partnerships between government, non-profits, and private sector to improve housing, education, job access, and public safety
- (CDFIs) provide access to capital and financial services in underserved markets
- These initiatives aim to build community wealth, resilience, and social cohesion as protective factors against violence
Workforce Development and Restorative Justice
- Job training and placement programs provide skills and connect the chronically unemployed to work opportunities
- Participation is correlated with reduced recidivism among former offenders
- Ban the Box policies remove conviction history questions from job applications to reduce hiring discrimination
- Restorative justice models, such as offender-victim mediation, allow offenders to make amends and develop empathy
- These programs show promise for reducing violent re-offending, possibly by improving future economic prospects
- Connecting at-risk individuals to economic opportunity and pro-social relationships can disrupt cycles of violence
Key Terms to Review (26)
Adverse Childhood Experiences: Adverse childhood experiences (ACEs) refer to traumatic events that occur during childhood, such as abuse, neglect, or household dysfunction. These experiences can have profound and lasting effects on an individual's mental and emotional health, potentially leading to a higher risk of violence in various forms. Understanding ACEs helps in examining how early trauma shapes psychological development, influences personality traits, and correlates with socio-economic factors like poverty and inequality.
Child Tax Credit: The Child Tax Credit is a tax benefit designed to help families with children by providing financial assistance in the form of a direct tax reduction. It aims to alleviate poverty and reduce economic inequality by offering support to low- and middle-income households, ultimately allowing them to have more disposable income for essential needs like education, healthcare, and basic living expenses.
Choice neighborhoods: Choice neighborhoods are specific urban areas targeted for revitalization and improvement, aiming to enhance the living conditions and opportunities for residents, particularly those from low-income backgrounds. The initiative focuses on providing resources and support to create safer environments, better housing, and improved access to essential services like education and employment. This approach recognizes the importance of place in addressing poverty and economic inequality, as it seeks to empower communities through comprehensive planning and investment.
Collective Efficacy: Collective efficacy refers to a community's ability to work together to achieve common goals, particularly in maintaining social order and reducing violence. It emphasizes the shared beliefs and social cohesion within a community, which can influence the likelihood of violent behavior and the effectiveness of prevention efforts.
Community development financial institutions: Community development financial institutions (CDFIs) are specialized organizations that provide financial services and support to underserved communities, aiming to promote economic development and reduce poverty. CDFIs offer loans, investments, and financial education, focusing on those who typically lack access to traditional banking services, such as low-income individuals and small businesses in economically distressed areas.
Community revitalization: Community revitalization refers to the process of improving and restoring the social, economic, and physical aspects of a community, particularly those that have experienced decline. This concept often involves strategies aimed at reducing poverty, enhancing economic opportunities, and fostering social cohesion, ultimately aiming to create vibrant and sustainable neighborhoods. Efforts in community revitalization seek to address the systemic issues that contribute to poverty and economic inequality, ensuring that all community members can benefit from growth and improvement.
Conflict perspective: The conflict perspective is a sociological approach that views society as composed of groups competing for limited resources, emphasizing the inherent inequalities and power struggles within social structures. This viewpoint suggests that social order is maintained through coercion and domination rather than consensus, shedding light on how systemic issues like bullying, cyberbullying, poverty, and economic inequality manifest in society.
Domestic Violence: Domestic violence refers to a pattern of abusive behavior by one partner against another in an intimate relationship, which can manifest as physical, emotional, sexual, or psychological harm. This form of violence is often rooted in power and control dynamics and significantly affects the individuals involved and their families, highlighting its prevalence and impact in society, as well as its connections to family dynamics, economic disparities, and gender-based violence.
Earned income tax credit: The earned income tax credit (EITC) is a refundable tax credit designed to benefit low-to-moderate income working individuals and families, by reducing the amount of tax owed and potentially providing a refund. This credit not only incentivizes work but also aims to alleviate poverty and reduce economic inequality by providing financial support to those who earn income through employment, especially for families with children. The EITC is known for its role in improving the financial stability of low-income households, effectively increasing disposable income and encouraging workforce participation.
Economic empowerment: Economic empowerment refers to the process of increasing the economic independence and financial autonomy of individuals and communities, enabling them to make informed choices about their livelihoods. This concept is crucial in addressing poverty and economic inequality, as it allows marginalized groups to access resources, opportunities, and support that can enhance their economic status and overall well-being.
Economic marginalization: Economic marginalization refers to the process by which certain groups or individuals are pushed to the fringes of economic participation, limiting their access to resources, opportunities, and wealth creation. This often affects marginalized communities, including those based on race, ethnicity, gender, or socio-economic status, leading to increased poverty and economic inequality as they struggle to secure a stable livelihood and improve their circumstances.
Elijah Anderson: Elijah Anderson is a prominent American sociologist known for his research on urban communities, particularly focusing on the dynamics of race, violence, and social inequality. His work, especially in areas like the 'code of the street,' highlights how poverty and economic inequality can shape behavior and social interactions within disadvantaged neighborhoods, offering insights into the underlying causes of violence in urban settings.
Food assistance programs: Food assistance programs are government-sponsored initiatives designed to alleviate hunger and improve nutrition among low-income individuals and families. These programs provide financial support or direct food aid to help those in need, aiming to address food insecurity that often arises from poverty and economic inequality. By offering various forms of assistance, these programs play a crucial role in ensuring access to adequate nutrition for vulnerable populations.
Gang violence: Gang violence refers to criminal acts committed by members of organized groups, often in pursuit of control over a specific territory or illegal activities. This type of violence can manifest in various forms, including physical assaults, drug trafficking disputes, and turf wars. The prevalence of gang violence poses significant threats to community safety, contributes to societal instability, and often correlates with underlying social issues such as poverty and economic inequality.
Gini Coefficient: The Gini coefficient is a statistical measure of income inequality within a population, ranging from 0 to 1. A Gini coefficient of 0 indicates perfect equality, where everyone has the same income, while a coefficient of 1 indicates extreme inequality, where one person holds all the income. This measure helps illustrate the disparity between different income groups and is often used to assess economic inequality in various societies.
Job training programs: Job training programs are structured initiatives designed to equip individuals with the skills and knowledge needed for specific occupations or industries. These programs aim to improve employability, reduce poverty, and address economic inequality by providing participants with hands-on experience, vocational training, and career counseling.
Longitudinal Studies: Longitudinal studies are research designs that involve repeated observations of the same variables over a long period, allowing researchers to track changes and developments over time. This type of study is especially useful for examining trends, relationships, and causations in complex social issues, as it provides a richer understanding of how factors evolve. By monitoring the same individuals or groups, longitudinal studies help identify patterns and predict future behaviors related to various social issues, including violence, substance abuse, peer influences, and economic conditions.
Promise Zones: Promise Zones are designated areas in the United States that aim to combat poverty and economic inequality through targeted federal support and investment. These zones focus on empowering communities by providing resources for education, job training, and economic development, fostering a collaborative approach among local, state, and federal governments as well as community organizations. By addressing the root causes of poverty, Promise Zones seek to create lasting change and uplift communities facing significant challenges.
Relative Deprivation Theory: Relative deprivation theory suggests that individuals or groups feel deprived when they perceive themselves to be worse off compared to others, leading to feelings of resentment and frustration. This perceived disparity can provoke social unrest, as those who feel deprived may mobilize to demand change, influenced by their social context and expectations.
Social Disorganization Theory: Social disorganization theory suggests that a person's residential location is more significant than the individual's characteristics when it comes to predicting criminal behavior. It emphasizes how neighborhoods with weak social structures, such as high poverty levels, residential instability, and a lack of community cohesion, can lead to increased rates of violence and crime. This theory connects various aspects of societal dynamics, explaining how factors like economic inequality and community disarray contribute to violence.
Social justice: Social justice refers to the concept of ensuring equal rights and opportunities for all individuals, focusing on the distribution of wealth, opportunities, and privileges within a society. It aims to address issues of inequality, discrimination, and marginalization, advocating for fair treatment and access to resources for everyone, particularly for those historically disadvantaged. This principle often underlines the importance of collective responsibility in creating a more equitable society.
Social safety net: A social safety net refers to a collection of services and programs designed to provide financial support and assistance to individuals and families in need, especially during times of economic hardship. These programs are crucial for reducing poverty and economic inequality, ensuring that basic needs such as food, shelter, healthcare, and education are met. By offering a safety net, society aims to protect its most vulnerable members from falling into deeper poverty and to promote economic stability.
Structural functionalism: Structural functionalism is a sociological perspective that views society as a complex system whose parts work together to promote stability and social order. This theory emphasizes the interconnectedness of societal institutions and structures, suggesting that each component, whether it's family, education, or economy, serves a specific function that contributes to the overall functioning and equilibrium of society. By understanding these functions, one can analyze how social phenomena, like poverty or violence, manifest and impact individuals and communities.
Structural Inequality: Structural inequality refers to the systemic disadvantages experienced by certain groups in society due to established laws, institutional practices, and social norms that perpetuate inequality. This concept highlights how social structures—like the economy, education, and healthcare—are designed in ways that benefit some while marginalizing others, often based on factors such as race, class, gender, or geography. Understanding structural inequality is essential for addressing interconnected issues like poverty and violence prevention.
Surveys: Surveys are research tools used to gather data and insights from a specific population by asking questions. They play a crucial role in understanding patterns, behaviors, and attitudes related to violence across various contexts, such as family dynamics, intimate relationships, peer interactions, economic factors, and social influences.
William Julius Wilson: William Julius Wilson is an influential American sociologist known for his work on urban poverty, race, and social policy, particularly in the context of the challenges faced by disadvantaged communities. His research emphasizes the interplay between structural factors, such as economic inequality and neighborhood conditions, and individual outcomes in urban settings, shedding light on how these issues contribute to persistent cycles of poverty and social isolation.