The tragedy of poverty in the US

screen_shot_2015-03-20_at_5.37.29_pmThe largest economy in the world. A technological leader in many industries. Land of the free. Despite all this, poverty in the US remains widespread, affecting about one in seven people, according to the International Monetary Fund (IMF) and as reported by the BBC here.

Growth by itself is not enough. If it is not more equitable and accompanied by rising productivity, then there is no scope for wages to rise even as profits are maintained. Without rising wages for the majority alongside continued strong employment growth, the most vulnerable will continue to face exclusion. No wonder populism and the rejection of some of the elements of globalization (free movement of goods, services, capital and labour) have been on the increase.

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One thought on “The tragedy of poverty in the US

  1. Pingback: The tragedy of poverty in the US — The Political Economy of Development – Forwardeconomics

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