American Economy-Whether the great depression has created many poors?

 

    American Economy: Are the people becoming poor?

 

I am shocked on reading a report published in a Kannada daily in India. That report is the abridged form of one published in ‘The New York Times’. I am publishing this hub based on  certain points in that article to know whether it is actually true or not. It deals with the after effects of great depression in American economy.

 

         It is said that the Economic recession in America has affected many people in a pitiable manner .Lakhs of people have come to streets in the past two years.60 lacks of people in America virtually have no income at all, as a result of this recession. Of these, children alone count to 12 lakhs. That means, in some states, one out of every 50 Americans is living in utterly poor standard. Their only source of livelihood is-the ‘food stamps’ ( of the value of $300 per month) .These food stamps can provide just food for the family. But what about other expenses? All these people are now jobless  people. They have lost their jobs as their employers have closed down their establishments. These people are not having any insurance protection ,unemployment allowance or childcare allowances etc.Till economic recovery, the situation-it seems,should inevitably continue.

 This is the condition in some of the states in USA.

     It is said in Florida, that the number of people who have nothing except food stamps, has doubled in last two years .In Minnesota provience,it has increased by 90%.In Ven County area, which includes Detroit, everyone out of 25, dependes on food stamps..

     It is said that, Florida state administration has done better efforts  to take care of people who have no income at all.Food ration has been fecilitated here to the needy.

American government is giving food instead of giving cash with the only idea that , people may spend money for purposes other than purchasing food,But people everywhere need money for other expenses also.But they are not in a position to earn, eventhough they are ready to work.

    The said report( the translated version doesn’t mentions the date of publication of original report)  Quotes the instance of one lady by name Mrs. Isabella Bermudez( I’m not sure of the correctness of the spelling) who was the owner of famous ‘GULF COAST HOMES’ enterprise.She was very rich before recession and had employed many. But now, she herself is a poor lady and searching for job.! We donot know how many others are suffering like this!

   I am very much upset by this report. We all had known that economic recession has costed employments of many, business shops are closed down, etc. But we had not known that it has sent so many people into such pitiable condition.It is said that such condition is in some parts of America only. May be; but even that is not  an expected thing.

If it is real, I only wish this tough time to  end soon.Let Economic recovery come faster, and people get apeaceful life!

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Comments 9 comments

hafeezrm profile image

hafeezrm 6 years ago from Pakistan

This is real. I have friends from USA who used to accompany me in world tour year after year but have gradually withdrawn as both property and share markets have taken a nose-dive.

I am lucky as I had been investing in Government Bonds and was quick to change to hard currencies when I saw the trouble ahead.


prasadjain profile image

prasadjain 6 years ago from Tumkur Author

Thank you Mr. Hafeezrm.Your experienced comment is very valuble.


H P Roychoudhury profile image

H P Roychoudhury 6 years ago from Guwahati, India

Thank you for bringing in front the greatest recession picture of the highly economically sound country and the inconvenience to its citizens which brings a concern of sympathy for every one of the Globe as the America so to say is the only nation in the Globe that thinks for the every Nations of the Earth and its citizen. I was first heartened by reading the Articles of James A Watkins, a hub page member who had written “Home for Sale, Owner Bankrupt”- an unthinkable story commands love and sympathy from every corner. Thanks for sharing.


Ten Blogger profile image

Ten Blogger 6 years ago

This is definitely true that the income levels have gone down in USA. The unemployment averages at around 10% so far in most states. Detroit Michigan has worst empployment pictures due to trouble with auto industry. People have lost home values and 401K ( retirement plan) investment. BUT most believe that worst is over now.. and slowly economy will pick up from here.. it is a very uphill task for next few years.. recovery wont be quick but it is happening.


prasadjain profile image

prasadjain 6 years ago from Tumkur Author

Thank you both,Mr.Roychoudhury and Tenblogger,for adding valuble points to this blog, in the form of these comments.


v_kahleranderson profile image

v_kahleranderson 6 years ago from San Jose, California

We are one of the many families that faced losing our jobs, home, and even pride and dignity. We have faced much in the past twelve years. Presently, I have been out of work for over 1 year now. So I/we are hoping for the best. I especially hope for my children.

Thank you, prasadjain, for talking about this.


prasadjain profile image

prasadjain 6 years ago from Tumkur Author

It is so sad that, people with good earning ,status, and respectsa, had to loose them for no fault of theirs.If the policy makers lack clear vision, nothing worst than this, can happen!


prasadjain profile image

prasadjain 4 years ago from Tumkur Author

ADDITIONAL NOTE

After publication of this hub nearly two years ago,it is sad to note note that the condition has still worsened.It is reported that Prof. Robert Moffit of John Hopkins University has stated that The Economic recession has affected all in America, except the rich class.This may be temporary. Butfamilies who have lost their employment now are under great suffering.If if highly difficult for the people to come out of the present crisis.People are moving towords smaller towns as it is difficult to live in big cities. Even there, they are passing days with difficulty.Skilled emploees from other countries are returning to their mother land because of unemployment problem.This is not good for the development of the country'.

Authentic reports have stated that more than 2.5 crores of people in America have become very poor.'In 1990s percentage of poors in urban America was 11.2.Now it is15.1. Percentage of poors has increased in cities like California,Los Vegas,Florida etc-Says a survey report by Brooking organisation.It is stated that for every 15 Americans, one is poor.

Lets hope things to improve at the earliest.


prasadjain profile image

prasadjain 4 years ago from Tumkur Author

ADDITIONAL NOTE

Almost 18 months after the first publication of this hub,now it seems the situation has improved.American has considerably recovered from its economic tightness and getting back its hold oh world economy.

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