from: www.wsws.orgby:Jerry White
Some six million Americans—one in 50 people in the US—are living on
no income other than $100 or $200 a month in food stamps, according to
an analysis of state data by the New York Times. The number
of people who reported that they are unemployed and receive no cash
aid—neither welfare, nor unemployment insurance, pension benefits,
child support or disability pay—the newspaper reported, has jumped by
50 percent over the last two years, as the recession has taken hold. According
to the January 3 article, the number of people reporting no income
tripled in Nevada over the past two years, doubled in Florida and New
York, and increased nearly 90 percent in Minnesota and Utah. In Wayne
County, Michigan—which includes Detroit, where half the population is
unemployed or underemployed—one out of every 25 residents reports an
income of only food stamps. In Yakima County, Washington, the figure is
one out of every 17. The figures reveal the vast scale of human
suffering in the US as the new decade begins and puts the lie to talk
of an economic “recovery.” The 6 million people in households reporting
no income—which includes 1.2 million children—is equivalent to the
entire population of Indiana or Massachusetts, or the combined
populations of Los Angeles, Philadelphia and Boston. Such a
social catastrophe underscores the indifference of the Obama
administration, which has done virtually nothing to provide relief to
those who have lost their jobs, homes and livelihoods—even as it spares
no expense to shore up the fortunes of the financial elite and fund its
ongoing wars. The number of people without an income has been on
the rise since 1996, when Democratic President Bill Clinton and the
Republican Congress ended welfare as a universal entitlement, a status
the federal relief program had enjoyed since its inception in the
1930s. Pledging to “end the cycle of dependency,” the Democrats and
Republicans imposed lifetime limits on benefits, drastically reduced
the level of cash assistance, and imposed restrictive “workfare” and
other requirements on further aid.Despite the increased need
for relief, Obama has opposed any additional funding for what remains
of the welfare program, called Temporary Assistance for Needy Families.
Since their peak in the 1990s, welfare rolls are down nearly 75
percent, the Times reported. “Many of those who would
have received cash assistance in past recessions are not getting it
now,” Judy Putnam, a spokesperson for the Michigan League for Human
Services, told the World Socialist Web Site. “Only a third of
the state’s children living in poverty are getting cash assistance
compared with two-thirds before ‘welfare reform’ in 1996. People in
Michigan are heavily dependent on food stamps.” With jobless
benefits covering only half of the unemployed, food stamps—which
provide an average of $1 per meal per person, or around $100 per person
each month for individuals or families earning up to 130 percent of the
official poverty level—have become the safety net of last resort. A
record 36 million people—one in eight people and one in four
children—now rely on the food stamp program. The joint federal-state
Supplemental Nutrition Assistance Program (SNAP) is expanding by 20,000
people per day, but is still estimated to serve only two-thirds of
those who qualify. An earlier Times study showed there
are more than 200 US counties where food stamp usage shot up by at
least two-thirds, including Riverside County, California, most of
greater Phoenix and Las Vegas, a ring of Atlanta suburbs, and a
150-mile stretch of southwest Florida from Bradenton to the Everglades.
The study found there are over 800 counties where food stamps feed one
third of all children.Late last year, researchers at Washington
University in St. Louis released a study showing that 50 percent of all
children and 90 percent of African American children will receive food
stamps at some point before their 20th birthday. “Rather
than being a time of security and safety,” said Mark Rank, Ph.D., one
of the authors of the report, “the childhood years for many American
children are a time of economic turmoil, risk, and hardship.” The January 3 Times
report focused on Florida, where the number of people with no income
beyond food stamps has doubled in two years and more than tripled along
the southwest coast, where a housing boom turned into a bust of
foreclosed and abandoned homes. According to state data, those without
income were split evenly between families with children and
individuals. Those affected were also racially mixed—about 42 percent
white, 32 percent black, and 22 percent Latino—with whites making up
the fastest growing segment during the recession. This plunge into destitution has affected wide layers of the population. The Times
article cites a middle-aged mother of two, Isabel Bermudez, who moved
from a Bronx housing project to sell real estate in Florida. Once
enjoying a six-figure income, a house with a pool and investment
property, she lost her job and home and ran out of unemployment
benefits. Ms. Bermudez’s sole income is now $320 a month in food
stamps. “I went from making $180,000 to relying on food stamps,” she
told the newspaper, adding that without the program she wouldn’t be
able to feed her children.The increasing reliance on meager
food stamp allowances exposes the absence of anything that can properly
be called a social safety net in the US. The situation will only get
worse, as both the Democrats and Republicans prepare to slash what
remains of publicly funded programs in order to pay for the
multitrillion-dollar Wall Street bailout and expansion of US military
action around the world. The theme of Obama’s State of the Union
address—expected early next month—will be long-term deficit reduction
and a further demand that the American people reduce their consumption.
The White House is backing a bipartisan commission to recommend major
cuts in basic social programs along with regressive taxes on
consumption, and Obama’s budget director, Peter Orszag, has said the
administration will take measures to reduce the deficit in its next
budget due out in February. Such actions will throw millions more into
poverty. The social crisis facing working people—depression
levels of unemployment, home foreclosures, the growth of hunger,
poverty and homelessness—is the most graphic expression of the failure
of capitalism, an economic system that benefits the wealthy few at the
expense of the vast majority. In the midst of this worsening
situation for the working population, it was reported last week that
the top three banks—Goldman Sachs, JPMorgan Chase and Morgan
Stanley—which received tens of billions in public funds under the
Troubled Asset Relief Program—will hand out $49.5 billion in
end-of-year cash bonuses and stock awards. All told, US banks will
dispense an estimated $200 billion in total compensation. The
Obama administration is continuing and accelerating the transfer of
wealth from working people to those who are responsible for
precipitating the worst economic breakdown since the Great Depression.Nearly
a year after his inauguration, President Obama has demonstrated he is
nothing but a tool of the financial oligarchy. The very future of the
working class depends on the development of a mass socialist movement
against this administration, both big business parties, and the profit
system which they defend.