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Poverty And The Great Recession Essay

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Poverty has become a major issue all over the globe. In the United States the Poverty Line has increased since the Great Recession in 2008. The Poverty Line rose from 12.5% in 2007 to 15.0% in 2011, According to The Russell Sage Foundation and The Stanford Center on Poverty and Inequality’s Poverty and The Great Recession . The downfall of the economy in 2008 pushed many people in the U.S. into poverty. Systematic failures such as an unstable economy, societal factors such as race or ethnicity, and many would argue one of the greatest causes of poverty to be natural disasters. Two major accounts of economical instability are noted as “The Great Depression” which occurred in the 1930s and “The Great Recession,” in 2008. The two events sent many Americans into poverty. The Great Depression was a result of a stock market crash and a bad banking structure. Likewise the Recession was due to a stock market crash caused 8 trillion dollar housing bubble. According to Jim Puzzanghera, from The Los Angeles Times, approximately 8.7 million jobs were lost during …show more content…
Although we have advanced from slavery and segregation racial and ethnic groups continue to differ financially. The American Psychological Association(APSA) reports, “Research has shown that race and ethnicity in terms of stratification often determine a person’s socioeconomic status (House & Williams, 2000).” The American Psychological Association’s research also shows African American children are three times more likely to live in poverty than Caucasian children. The APA says, “Unemployment rates for African Americans are typically double those of Caucasian Americans. African American men working full time earn 72 percent of the average earnings of comparable Caucasian men and 85 percent of the earnings of Caucasian women “ The APA’s research proves race and ethnicity takes part in determining socioeconomic

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