Categorized | Economics, Politics

Do people choose poverty?

No one chooses to live at or below the poverty level right?  Well, I didn’t think so, but the Census data may prove otherwise.

As of 2000, there are 106 million households in the US.  I am first going to break the country into quintiles from lowest income to highest income (which means that the bottom 20% or 21 million households earn the least, and so on).

Here are some stats (remember each quintile has 21 million people in it):

Number of people in the lowest quintile who work (part time or full time): 8 million

Number of people in the highest quintile who work (part time or full time): 19.5 million

Number of people in the lowest quintile who held full time jobs year-round: 5 million

Number of people in the highest quintile who held full time jobs year-round: 17.5 million

Number of people in the lowest quintile who did not work at all: 13.5 million

Number of people in the highest quintile who did not work at all: 2 million

Percent of people in the lowest quintile who have a job: 37%

Percent of people in the highest quintile who have a job: 91%

This says that for every 1 rich person who doesn’t work, there are 7 poor people not working.  Also, for every poor person working full time, there are more than 3 rich people working full time.

What all this data really says is that the people who make money are employed.

So are the people living at or below poverty doing so by choice?  I don’t know.  But they are choosing to be unemployed.

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This post was written by:

Ben Bennett - who has written 34 posts on The Freedom Factory.

Ben Bennett is not your typical hardworking American man. He's an extremist. Whether he's pushing his body to the extreme (5 marathons, 3 triathalons), pushing his portfolio to the extreme (value investor averaging 30% growth per year for 10 years running), or pushing his budget to the extreme (lives on less than most spend on clothes each month), Bennett believes life is best lived when you're constantly pushing yourself to new heights.

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