Sunday, August 16, 2015

POVERTY; SEEK AND YE SHALL FIND


The article by Margot Roosevelt, a prominent American journalist and direct descendant of President Theodore Roosevelt, cannot be ignored.  She pinpoints Orange County, California, where I reside, as an area with “. . . poverty growing dramatically, along with income inequality, homelessness and overcrowded housing.”  Her claims are shocking; I’ve lived here for decades and never seen what she reports.

Of concern to Ms. Roosevelt is the “opportunity gap,” by which the children of the affluent enjoy “abundant supports and resources” while those of the lower-income and less educated receive “stalled or declining social mobility.”  This she attributes to “a dire housing shortage for the middle class and the poor,” the result of a “two-tiered economy, with more and more wealth concentrated in fewer and fewer families.”

Equally dire is an “educational disparity,” wherein “the percentage of high school dropouts and high school graduates living in poverty is rising sharply.”  That 72% of students from fashionable Laguna Beach Unified School District are eligible to attend UC and USC schools, while only 39% from low income Anaheim Unified, is the result of a masking of “vast racial, ethnic and geographical gulfs,” while acknowledging that  “less than half of low-income students are proficient in English.”

The subject of health is then introduced, with an admission that “obesity-related diseases are on the rise.”  The only recommendation is that the trend is “likely to continue if we don’t find ways to reduce childhood obesity.”

The final two sentences of the article seem to encapsulate Ms. Roosevelt’s grasp of the particulars: “Some of these issues can’t be solved by charity.  We need the leadership of elected officials.”

In response, I’ll offer a testimonial.  I grew up during the Great Depression.  During most of my youth my parents and I lived in an unfashionable 1-bedroom apartment in St. Paul, Minnesota.  Money was always in short supply, but that didn’t cause me to fail in the classroom or stuff myself into obesity.  There were other students whose parents appeared to be more prosperous, but I never envied them nor felt I was entitled to what they had.  I got by adequately and my father always managed to see I had the required dime so I could join my friends each Saturday at the movie matinee.

Many times in my life I’ve been “broke,” but never once have I been “poor.”  Broke is a financial condition; poor is a mental condition.  And finally, I’m convinced that few, if any, problems can be solved by charity—and even fewer by elected officials.
 

Al Jacobs, a professional investor for nearly a half-
century, issues a monthly newsletter in which he
shares his financial knowledge and experience.

 

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