SOCIOL 1101 Chapter Notes - Chapter 10: Ken Auletta, Negative Income Tax, Deindustrialization
13 Jul 2016
School
Department
Course
Professor
Document Summary
Is poverty a cause or effect? o. Perhaps it is neither cause nor effect but rather a proxy for an underlying social disease-namely inequality and economic segregation. Culture of poverty- the argument that poor people adopt certain practices that differ from those of middle-class, mainstream society in order to adapt and survive in difficult economic circumstances o. Examples might include illegal work, multigenerational living arrangements, multifamily households, serial relationships in place of marriage, and the pooling of community resources as a form of informal social insurance. In the negative income tax experiment, the government wrote checks to low-earning households in order to ensure that they had a certain minimum amount of income available. Once the households crossed the predetermined earning threshold, they were expected to start paying positive taxes o. Statistics suggested that as much as 50 to 60% of the money paid to two-parent families under a negative income tax would replace earnings so that people would work less.
