The War on Poverty began in the mid to late 60s. The welfare state has not only failed to lower the poverty rate...

The War on Poverty began in the mid to late 60s. The welfare state has not only failed to lower the poverty rate, it actually killed the already existing downward trend. A hard to quantify but easy to observe effect of the welfare state is that it destroys families and communities. Its easy to point out that poverty goes hand in hand with dysfunctional communities and families. The response by the state for the last 40 years to this reality has been to continually expand the welfare state. This hasn't just not worked, its actually the root cause of many of the problems in these communities. Without the state trying to run everyones life, people are necessarily more codependent, which forms stronger communities.

Single parenthood is actually economically incentivized and sometimes directly subsidized by welfare programs. The decades of data we have on this suggests that prevalence single parenthood is a destructive force in society and should not be incentivized by the state. More than half of single mothers are classified as in extreme poverty. Single mothers are also significantly more likely to hit their kids. Children of single parents have lower incomes and education, more likely to commit violent crime, and exponentially grow the problem by being more likely to be single parents themselves. The statistical struggles of children from single parent households compounds from generation to generation. We have now ended up with areas of America where society is in complete disorder. Highly impoverished areas are pretty much ostracized from the rest of our culture due to their social dysfunction. If you really want to achieve a more egalitarian and integrated multicultural society then you have to address the fact that highly impoverished areas, especially of minorities are not currently compatible enough with the rest of the country to have successful integration.

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nationalreview.com/article/383528/self-defense-business-booming-detroit-amelia-hamilton
archive.4plebs.org/pol/thread/69617138
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The increased racial tensions over the last few years show how divided along racial lines people are right now. The absolute best long term solution to this problem is to drastically improve childhood conditions in these areas so that healthier social norms can form and real integration can occur. The state and all its distorting social incentives need to be taken out of the equation for this to happen.

The state kicks the poorest people while they are down. A mountain of economic regulations in tandem with horrifically misguided government economic programs have effectively deactivated the bottom rungs of the economy. Welfare states suffocate any productive economic activity that might have happened among the very people they seek to "help". Over time an entire class of people that are dependent on the state for survival forms. This class is always a net resource drain. People across the economy become poorer from this and the welfare class grows until it collapses under it own weight. The lack of white market economic activity in poor communities forces the development of black markets (to be clear, "white market" and "black market" don't refer to race). Black markets are very low trust which spawn more problems. They would be better off if commerce was just allowed to take place in the white market.

The War on Poverty combined with the War on Drugs have arguably subjected black Americans to the worst American tragedy since slavery. Multiple generations now have been systematically destroyed and ostracized from the rest of the US. This has happened at the hands of the government. It is long past the time when we should have been analyzing if the welfare state is working.

We have a perfect case study of what happens when governments try to do everything progressives want. Detroit is a progressive wet dream of a city. It has the highest minimum wage and the most comprehensive labor laws in the country. Rigorous regulation. Tons of spending on public infrastructure and public welfare. This has all been paid for with heavy taxation and debt. It was obviously unsustainable and very predictably has collapsed despite sucking up hundreds of billions of dollars in federal subsidies. Its conditions are easily worse off than many third world countries. Half of the population is illiterate. Detroit is such a depressing case study because they have done a complete 180 in the past 50 years. Detroit was the 4th largest city in the US and had the highest per capita income in the entire world. Income equality was much better and Detroit laborers were among the highest paid in the world. It was entirely built by free market capitalism during a massive surge of industrial innovation that created enough wealth to enrich the city and its residents. It was the economic boom from Detroit was the engine of the economy that made the US a global super power in the first place. But since the 60s the federal, state and local government have meddled so much in the economy that it has completely stalled destroyed what was once the most rapidly successful city in history. The government currently serves no purpose but to leech off the city. Such as the city taking people to court for not paying utility bills even though the city has been unable to consistently provide the utilities. The silver lining is that the government is so dysfunctional that its actually unable to do anything which has allowed a freer market to emerge that is trying to rebuild the city from the bottom up. Such as this private police force:

nationalreview.com/article/383528/self-defense-business-booming-detroit-amelia-hamilton

The reason Detroit is so relevant is because it parallels what has happened to the United States as whole. Its the same faulty economic policy on a different scale. The socialist Venezuelan prssident Maduro endorsed Bernie Sanders. This is worth noting because Bernies plan isnt functionally different than Venezuela. He quite obviously realizes this as he has totally declined to comment on the full-blown humanitarian crisis that is currently ongoing in Venezuela. Blindly pushing state power under the assumption that more state action is always good and never has the unintended consequences is insanity.

Go to usdebtclock.org. In the bottom left you can see unfunded liabilities. This refers to the future entitlement obligations the US has. $102 Trillion is over five times the entire GDP. The liability per citizen $855,000. 60% of US citizens receive more money from government than they pay in. So the actual productive portion that manages to have a net-positive effect on wealth have a share of debt of over $2 Million per taxpayer. I saw an estimation recently that unfunded liabilities would be $127 Trillion by 2030. This far outpaces GDP growth. How is this sustainable? We don't have the right to burden future generations with debt slavery. What could possibly indicate that the United States has the capacity to massively expand social welfare? The reality is that these entitlements will never be paid. The US will default and having a spiraling depression long before most of these liabilities are even due. This is why it literally does not matter what Bernie Sanders promises. He is just expanding a system that already can be shown to be mathematically impossible to sustain. It will collapse sooner rather than later.

US deficit spending amounts to hundreds of billions annually. Most of this deficit spending is paid for by inflation. Debasing a currency is in effect a tax on savings. Taxing savings is unbelievably counterproductive. Savings are the backbone of an economy and are needed for economic growth to take place. Consuming savings is analogous with a subsistence farmer eating next year's seed corn.

Printing currency to cover debts is often the final move of failed states. Its a futile effort to prop up a sinking economy. This has been happening in the US since 1971, with the end of the Bretton-Woods system. The USD global reserve status was created with global peg to a gold backed dollar. The US was going bankrupt in the early 70s from the Vietnam War and entitlement spending so they began to debase the gold-backed dollar in order to siphon wealth from other countries. When other nations started to feel the effect of this, they began redeeming their gold backed notes. The US would have defaulted but Nixon "suspended" the redemption of gold. The US has followed the path of other failed states and implemented a fiat currency. The introduction of the Federal Reserve Note unhinged the expansion of the federal government. However, the devaluation of the USD was ending the reserve status. The massive inflation in the 70s was a result of the crashing dollar value. The dollars value was propped up by creating the Petrodollar system. It is a deal to sell Saudi Arabia weapons and support its regional agenda in exchange for agreeing to only trade oil in dollars. Saudi Arabia created OPEC to enforce this across the whole region. The resulting demand for dollars stabilized the inflation and gave the US the mechanism to "export" future inflation.

Normally an economy propped up by currency debasement would collapse from hyperinflation. But the unique position of the petrodollar making the USD a reserve currency have allowed this to continue on for decades. The Federal Reserve exports inflation by devaluing dollar-denominated savings. Other countries all need to buy oil and have no choice but to use the USD even though value is being extracted from them just by using it. The foreign savings siphoned to the US are liquidated to cover liabilities.

Realize than when you propose to enact more trillions of dollars of social welfare you are actually burdening foreigners with financing our lifestyle. This is why industrialized export-driven economies get stuck in the third world for decades despite GDP growth on paper. They are barely able to capture the value they produce because in the long run their dollar savings are devalued by the Fed. In the last few years China has taken measures to detach itself from this system. They are creating a more independent currency and financial system. China and Russia are eventually going to kill the petrodollar because the US and NATO have overplayed their hand in the middle east. That is really why the US is still in the middle east. Pressure to be allowed to sell oil in currencies other than the USD has been growing for years. In fact, a huge rallying cry for ISIS that the media ignores is actually to reestablish the gold dinar then have dinar denominated oil trade. Many middle easterners actually do realize that the US is extracting wealth. The currency war also was the motivation for the US's multi-decade effort to neuter Ghadaffi's power. He wanted Libya to create a gold-backed African currency that would be used for oil trade. The US has gotten so desperate in the middle east because it seems to be ultimately losing the currency war.

Saudi Arabia has been able to give a huge middle finger to the Obama administration because the US is losing leverage and running out of time. Saudi Arabia is openly flaunting the power they have over the US since it is Saudi Arabia that really controls the petrodollar system.

The US losing in the middle east would result in a massive drop in demand for USD which will flood the domestic economy, returning the exported inflation. China and Russia are preparing for this event. The chinese yuan is building to a position to swoop in as soon as the USD starts to stumble. The US, along with the western world is inevitably declining because of disgustingly arrogant government policy.

The warfare state and welfare state depend on each other. When the right is in power they never reduce the welfare state because they are allied with the warfare state's military-industrial complex. The need to constantly enforce a parasitic currency allows the excuse for a perpetual state of war. When the left has power they do not reduce the warfare state because they need it to continue funding their entitlement spending. The federal government has been able to maintain entitlement payments without crashing the economy only because of geopolitical and military strength enforcing the dollar empire.

In 60 years the US has gone from the strongest economy in the history of the world to a parasite that can only survive by leeching off 3rd world countries. This is theft on an unprecidented scale

strange how penalizing the productive by stealing their work and giving it to layabouts who do nothing but breed results in more poverty, as the productive have a reduced incentive to work hard, and the numbers of poor grows exponentially

this is all pretty interesting, but it is kinda a huge wall of text

maybe put a tl;dr after or before each section?

>Most of this deficit spending is paid for by inflation. Debasing a currency is in effect a tax on savings. Taxing savings is unbelievably counterproductive.
yep, I found this graph shocking when I first saw it

>wants a tl;dr
You are a microcosm of the problem.

Good point. Ill do that if I repost it ever

I ain't no fucking microcosm, you cheeky wanker

I can assure you there are no problems in that department

have you got one on central banking, i.e. privately owned entities having a monopoly on money creation from nothing then getting 6% interest on it?

fractional reserve banking allowing a single deposit to be enlarged by a factor of 10

and fiat currency being fraud?

another point is that the OP of a post can't double bump, so it might me better to just post one section per OP post, or wait until you get a reply before the next one

Yeah I have another one that goes much more in depth about central banking and how the Federal Reserve has put our entire currency into a financial bubble that is starting to pop. Ill see if I can find the thread

this is all useful info, I might start posting it every now and then

archive.4plebs.org/pol/thread/69617138

cheers

>Posting everything except the effect of welfare on poverty
Blatant plutocrat shill lies. Next.

Thank you OP, I will now use this pasta as answer when some other burger asks me why the world hates USA so much.

By the way, Detroit isn't a "liberal wet dream". Detroit is one of the most purely African cities in America. It has absolutely nothing to do with muh libruls. Subsaharan African cities are always shit. The West Coast is intensely liberal and yet they're not Detroit. Seattle is doing wonderfully. Of course it's also majority White.

This is specifically about the US. From my first post you can set most of the reduction in povery was done pre-1965, which is arguably the beginning of the welfare state

You realize America is included in the chart, right? I mean I understand if you can't read a chart, since most Murricans can't.

>It has absolutely nothing to do with muh libruls.

Sure it does. Liberal policies cater to niggers with handouts and appeasement. California is going to shit as is portland and Seattle they are just a few years behind detroit

Youre thd one that cant read the chart. The welfare state in the US began in the mid to late 60s. There already was a trend of plummeting poverty rate. All the state has done is take credit for this trend. Within a few years the trend of declining poverty had complete reversed itself.

We have clear data that the trillions in welfare over the last 5 decades have been completely wasted resources with no significant improvement. And certainly not enough improvement to even remotely justifying how insolvent it has made the entire US

how is the poverty level calculated?

you don't know, do you?

what a meaningless statistic if you can not explain how it is calculated

40% of median household income?

the lowest 40% are poor?

what is this fucking nonsense?