Comments on: 41 Million in U.S. Can’t Afford Basics http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/ A personal finance blog dedicated to discussing such topics as budgeting, asset allocation, 401K, IRA, cash flow, insurance, financial planning, portfolio management, and other areas in personal finance. Fri, 20 Nov 2009 19:56:44 -0800 http://wordpress.org/?v=abc hourly 1 By: Craig http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/comment-page-1/#comment-153919 Craig Wed, 17 Oct 2007 05:31:14 +0000 http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/#comment-153919 I live in Washington DC. I am sick and tired of sanctimonious lies saying drivel like "one needs $57,000 a year to live with 2 children in Washington DC and afford basic needs". That is a completely unrestrained and ridiculous lie. Basic needs are heating, electricity, water, and transportation. They can be met in Washington DC rather affordably. You wont be living like a king, and it WILL be more expensive than the rest of the country, but you are not dying. The people who are suffering are spending money on ridiculous crap like Jordan's for their sons and designer clothes for their daughters. My parents are well off and they STILL encouraged me to be frugal. I bought all of the clothing that I wore in highschool at thrift stores. Why? Because in Washington DC, thrift stores have some of the nicest clothes I've ever seen. People need to stop attacking capitalism. Profit leads to lower prices, not higher. If you seek higher prices through "price gouging" you lose, because people will not buy it. I live in Washington DC. I am sick and tired of sanctimonious lies saying drivel like “one needs $57,000 a year to live with 2 children in Washington DC and afford basic needs”. That is a completely unrestrained and ridiculous lie. Basic needs are heating, electricity, water, and transportation. They can be met in Washington DC rather affordably. You wont be living like a king, and it WILL be more expensive than the rest of the country, but you are not dying.

The people who are suffering are spending money on ridiculous crap like Jordan’s for their sons and designer clothes for their daughters. My parents are well off and they STILL encouraged me to be frugal. I bought all of the clothing that I wore in highschool at thrift stores. Why? Because in Washington DC, thrift stores have some of the nicest clothes I’ve ever seen.

People need to stop attacking capitalism. Profit leads to lower prices, not higher. If you seek higher prices through “price gouging” you lose, because people will not buy it.

]]> By: Pierluigi Rotundo http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/comment-page-1/#comment-152611 Pierluigi Rotundo Mon, 15 Oct 2007 13:15:26 +0000 http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/#comment-152611 I want to add also...the number of rich people is only a few % of all people in the world. Why not invest in Africa? Why not bet on poor people, helping them grow and succeed? Government programs have to focus on long term, not in just keeping them away from harversting for just 1,2 or 7 days. Thanks for your attention. Pierluigi Rotundo I want to add also…the number of rich people is only a few % of all people in the world. Why not invest in Africa? Why not bet on poor people, helping them grow and succeed?
Government programs have to focus on long term, not in just keeping them away from harversting for just 1,2 or 7 days.

Thanks for your attention.

Pierluigi Rotundo

]]> By: Pierluigi Rotundo http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/comment-page-1/#comment-152610 Pierluigi Rotundo Mon, 15 Oct 2007 13:13:04 +0000 http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/#comment-152610 What I really think is that we have to do a mea culpa. I'm not against capitalism, but sometimes it has conducted to "lookin for profit at all costs". Rising prices are an effect of this. Houses in cities are really expensive. But a charity program is not enough to save these people from poverty. We have to help them grow by themselves. What I really think is that we have to do a mea culpa. I’m not against capitalism, but sometimes it has conducted to “lookin for profit at all costs”. Rising prices are an effect of this. Houses in cities are really expensive. But a charity program is not enough to save these people from poverty. We have to help them grow by themselves.

]]> By: DK http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/comment-page-1/#comment-150665 DK Sat, 13 Oct 2007 03:41:33 +0000 http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/#comment-150665 I am very sure that our family would be part of this study. The answer is not more government programs. The answer is stop taxing my husband so much from his paycheck. While we don't pay taxes on the $167.00 EBT/food stamps per month, we do pay taxes on everything else. We pay over $500.00 a month for medical, dental and vision for two adults and the children. Co-pay for medical is $20.00. $10.00 for prescriptions. The insurance premiums go up every January. My teen son recently was thought to have a genetic disorder. He does not have it, but it was $8000.00 in tests and specialists. (His doctor gave me a ball park figure). As for Lisa observation - I would bet those folks did not "own" there cars or big TV's. They bought them on credit. Then they pay sky high interest rates because of poor money management. Don't be fooled by their false wealth. I am very sure that our family would be part of this study.

The answer is not more government programs.

The answer is stop taxing my husband so much from his paycheck. While we don’t pay taxes on the $167.00 EBT/food stamps per month, we do pay taxes on everything else.

We pay over $500.00 a month for medical, dental and vision for two adults and the children. Co-pay for medical is $20.00. $10.00 for prescriptions. The insurance premiums go up every January.

My teen son recently was thought to have a genetic disorder. He does not have it, but it was $8000.00 in tests and specialists. (His doctor gave me a ball park figure).

As for Lisa observation – I would bet those folks did not “own” there cars or big TV’s. They bought them on credit. Then they pay sky high interest rates because of poor money management. Don’t be fooled by their false wealth.

]]> By: Lisa http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/comment-page-1/#comment-150488 Lisa Fri, 12 Oct 2007 18:05:45 +0000 http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/#comment-150488 Every year, a number of my coworkers used to "adopt" a poor family for the holidays. They would cook a full holiday dinner, buy gifts for the entire family, and deliver them to the family's home. They eventually stopped because these poor families had nicer cars, bigger TVs and more electronics and toys than my coworkers. I'm sure these families were counted as part of the 41 million because they're on food stamps and Medicaid. Maybe there are many families that can't afford the basics, but it doesn't mean they're living all that poorly. Every year, a number of my coworkers used to “adopt” a poor family for the holidays. They would cook a full holiday dinner, buy gifts for the entire family, and deliver them to the family’s home. They eventually stopped because these poor families had nicer cars, bigger TVs and more electronics and toys than my coworkers.

I’m sure these families were counted as part of the 41 million because they’re on food stamps and Medicaid. Maybe there are many families that can’t afford the basics, but it doesn’t mean they’re living all that poorly.

]]> By: Aaron http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/comment-page-1/#comment-150464 Aaron Fri, 12 Oct 2007 16:38:56 +0000 http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/#comment-150464 Healthcare is probably the most overpriced necessity in America. Sure it seems like everything is overpriced, but nothing hurts the overall health of our economy and our people more than the healthcare sector. Healthcare is probably the most overpriced necessity in America. Sure it seems like everything is overpriced, but nothing hurts the overall health of our economy and our people more than the healthcare sector.

]]> By: Adam http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/comment-page-1/#comment-150362 Adam Fri, 12 Oct 2007 08:04:43 +0000 http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/#comment-150362 I never understood the logic of someone working a string a fast food jobs and wondering why they can never get ahead. It just amazes me that some of these people never figure out they were never going anywhere to being with. If someone isn't happy in a capitalistic society, they are either overly complacent or lazy. I do agree that something is wrong with health care, but the solution is more capitalism, not less and more government. Something in which prices are not advertised, every provider nearby is likely owned by the same company, you have no say so and are simply billed for whatever they want, and if they don't run every test (and of course on your dime) they might get sued out of business... well, that sounds more like the mob to me, definitely not the way it's supposed to work. Good start of a simple soultion: put all the lawyers on a boat, sink it, then.... well, that's all I've got right now. I never understood the logic of someone working a string a fast food jobs and wondering why they can never get ahead. It just amazes me that some of these people never figure out they were never going anywhere to being with. If someone isn’t happy in a capitalistic society, they are either overly complacent or lazy.

I do agree that something is wrong with health care, but the solution is more capitalism, not less and more government. Something in which prices are not advertised, every provider nearby is likely owned by the same company, you have no say so and are simply billed for whatever they want, and if they don’t run every test (and of course on your dime) they might get sued out of business… well, that sounds more like the mob to me, definitely not the way it’s supposed to work.

Good start of a simple soultion: put all the lawyers on a boat, sink it, then…. well, that’s all I’ve got right now.

]]> By: www.influenzaadvice.info » 41 Million in US Can’t Afford Basics http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/comment-page-1/#comment-150325 www.influenzaadvice.info » 41 Million in US Can’t Afford Basics Fri, 12 Oct 2007 06:09:11 +0000 http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/#comment-150325 [...] JLP wrote a fantastic post today on “41 Million in US Can’t Afford Basics”Here’s ONLY a quick extractBetter wages and improved employment-based benefits for health care, retirement, and paid time off could make every job a good job. But there is a critical role for public work supports. Work supports must reach all families who need … [...]

]]> By: sam http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/comment-page-1/#comment-150178 sam Thu, 11 Oct 2007 22:11:21 +0000 http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/#comment-150178 When I see these sorts of studies, I am pretty skeptical of the results. The reports are usually done to promote the agenda of group that sponsored the study. In this case, the organizations sponsoring this study (see http://www.bridgingthegaps.org/aboutus.html)appear to be non-profit organizations, lobbying groups, and/or governmental groups promoting increased government involvement in solving social problems. So no surprise that their report recommends increased government involvement in solving social problems. When people see a study sponsored by corporation, they are understandably skeptical of the results being biased by the sponsorship. Likewise, studies sponsored by lobbying and non-profit groups should be subject to the same skepticism. When I see these sorts of studies, I am pretty skeptical of the results. The reports are usually done to promote the agenda of group that sponsored the study. In this case, the organizations sponsoring this study (see http://www.bridgingthegaps.org/aboutus.html)appear to be non-profit organizations, lobbying groups, and/or governmental groups promoting increased government involvement in solving social problems. So no surprise that their report recommends increased government involvement in solving social problems.

When people see a study sponsored by corporation, they are understandably skeptical of the results being biased by the sponsorship. Likewise, studies sponsored by lobbying and non-profit groups should be subject to the same skepticism.

]]> By: Christina http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/comment-page-1/#comment-150166 Christina Thu, 11 Oct 2007 21:12:49 +0000 http://allfinancialmatters.com/2007/10/11/41-million-in-us-cant-afford-basics/#comment-150166 There are many reasons why people born and raised in poverty in the nation's most expensive cities don't move including moving costs (much higher than a minimum wage worker can afford), job market stability (markets in urban areas tend to be more stable and resilient), need for public transportation (car ownership is expensive) and support of friends and family (which reduces the cost of childcare). I am definitely not in support of the current government support system nor am I in support of handing out more money as it does not provide the proper incentives, but I don't think the answer is to tell people who are struggling to up and move. It is important to understand why people live the way they do and create program that offer the proper incentives. There are many things we don't take into consideration because we have been lucky enough to have not experienced them. Also - a single mother with two children making $57,000 in DC is not eligible for food stamps (Source: Food Stamp Website calculator) There are many reasons why people born and raised in poverty in the nation’s most expensive cities don’t move including moving costs (much higher than a minimum wage worker can afford), job market stability (markets in urban areas tend to be more stable and resilient), need for public transportation (car ownership is expensive) and support of friends and family (which reduces the cost of childcare).

I am definitely not in support of the current government support system nor am I in support of handing out more money as it does not provide the proper incentives, but I don’t think the answer is to tell people who are struggling to up and move. It is important to understand why people live the way they do and create program that offer the proper incentives.

There are many things we don’t take into consideration because we have been lucky enough to have not experienced them. Also – a single mother with two children making $57,000 in DC is not eligible for food stamps (Source: Food Stamp Website calculator)

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