Trudi J. Renwick - Poverty And Single Parent Families: A Study of Minimal Subsistance Household Budgets (Children of Poverty)

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CHILDREN OF POVERTY

STUDIES ON THE EFFECTS OF SINGLE PARENTHOOD, THE FEMINIZATION OF POVERTY, AND HOMELESSNESS

edited by

STUART BRUCHEY

ALLAN NEVINS PROFESSOR EMERITUS COLUMBIA UNIVERSITY

POVERTY AND SINGLE PARENT FAMILIES

A STUDY OF MINIMAL SUBSISTANCE HOUSEHOLD BUDGETS

TRUDI J. RENWICK

First published 1998 by Garland Publishing, Inc.

This edition first published in 2021 by Routledge

605 Third Avenue, New York, NY 10017

and by Routledge

2 Park Square, Milton Park, Abingdon, Oxon 0X14 4RN

Routledge is an imprint of the Taylor & Francis Group, an informa business

Copyright 1998 Trudi J. Renwick

All rights reserved. No part of this book may be reprinted or reproduced or utilised in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage or retrieval system, without permission in writing from the publishers.

Notice:

Product or corporate names may be trademarks or registered trademarks, and are used only for identification and explanation without intent to infringe.

Publishers Note

The publisher has gone to great lengths to ensure the quality of this reprint but points out that some imperfections in the original copies may be apparent.

Disclaimer

The publisher has made every effort to trace copyright holders and welcomes correspondence from those they have been unable to contact.

Library of Congress Cataloging-in-Publication Data

Renwick, Trudi J., 1952

Poverty and single parent families : a study of minimal

subsistance household budgets / Trudi J. Renwick.

p. cm. (Children of poverty)

Includes bibliographical references and index.

ISBN 0-8153-3172-X (alk. paper)

1. Single-parent familyEconomic aspectsUnited States.

2. Single parentsEmploymentUnited States. 3. Welfare

recipientsEmploymentUnited States. 4. Public welfare

Government policyUnited States. 5. Urban poorUnited States.

6. IncomeUnited States. 7. United StatesSocial policy.

8. United StatesEconomic policy. I. Title. II. Series.

362.8294dc21

98-8511

ISBN 13: 978-1-03-216591-2 (hbk)

ISBN 13: 978-1-03-216738-1 (pbk)

ISBN 13: 978-1-00-324972-6 (ebk)

DOI: 10.4324/9781003249726

For Aldo, Deborah and Ariana

Contents

• List of Tables
• Preface
• Acknowledgments
• Chapter 1 Introduction
• Chapter 2 The Official Poverty Count
• Chapter 3 A Conceptual Framework for Measuring Economic Poverty
• Chapter 4 Basic Needs Budgets for Single Parent Families
• Chapter 5 Counting the Poor: The Mechanics of the Poverty Count
• Chapter 6 Conclusions: The Incidence of Poverty Among Single Parent Families
• Appendices

List of Tables

• Table 2.1: Official Poverty Thresholds: 1996
• Table 3.1: Final BLS Family Budgets: 1981
• Table 3.2: USDA Annual Expenditures on a child by single-parent families: 1996
• Table 3.3: Orshansky/OMB Equivalence Scales
• Table 3.4: BLS Equivalence Scales
• Table 3.5: Equal Utility Equivalence Scales
• Table 3.6: National Research Council Panel Equivalence Scales
• Table 4.1: Expenditure Standards
• Table 4.2: Cost of Food at Home: Low-cost Food Plan
• Table 4.3: Monthly Cost of Transportation: 1996
• Table 4.4: Health Care Expenditure Standard
• Table 4.5: Monthly Cost of Goods and Services Included in the Basic Needs Budgets: 1996
• Table 4.6: Monthly Cost of Goods and Services: Adjusted for Age of Children
• Table 4.7: Family Size Adjustments
• Table 4.8: Monthly Shelter Costs and Weekly Transportation Cost by Location and Region
• Table 4.9: Adjustments for Noncash Benefits Received Comparison of BNB Expenditure Standards with CEX Average Expenditures
• Table 4.10: Annual Before Tax Income Required to Purchase the Goods and Services Included in the Basic Needs Budgets: 1996
• Table 4.11: Comparison of BNB to the Official Poverty Line: No Noncash Benefits
• Table 4.12: Comparison of BNB to the Official Poverty Line: All Possible Noncash
• Table 4.13: Comparison of the BNB to the Official Poverty Line: Medicaid and Employer Contribution of 2/3 Health Insurance Premium
• Table 4.14: Comparison of BNB with BLS Family Budget: 1996 dollars
• Table 4.15: Comparison of BNB and CEX Average Total Expenditures and Before Tax Incomes
• Table 4.16: Comparison of BNB Expenditure Standards with CEX Average Expenditures
• Table 4.17: USDA Expenditures on Children compared to BNB
• Table 4.18: Comparison with Edin and Lein Survey
• Table 6.1: Poverty Statistics for Single Parent Families
• Table 6.2: Poverty Rates for Major Demographic Subgroups
• Table 6.3: Poverty Rates by Location of Residence
• Table 6.4: Poverty Rates by Region of Residence
• Table 6.5: BNB Poverty Rates for Single Parent Families: 1983, 1989, 1995
• Table 6.6: Impact of Public Assistance on Poverty Rates
• Table 6.7 : Characteristics of Poor Families
• Table 6.8: Work vs. Welfare Decision for Single Parent Families
• Table 6.9: Changes in the Cost of Goods and Services Included in the BNB Budgets for Single Parent Families: 1983 and 1996

Preface

In August 1996 Congress passed welfare reform legislation designed to end welfare as we know it. The people most affected by this radical transformation of the public assistance system are families headed by single parents. Unfortunately, misinformation regarding single parent families is widespread. Too often public policy, such as the 1996 welfare reform, has been based on stereotypes and misperceptions rather than facts. I hope that this book helps to elucidate the struggle faced by single parents trying to provide a decent standard of living for their children.

When I first began work on this subject in 1989, my primary objective was to show how the official measures of poverty underestimate the extent of material hardship in single parent families. While that continues to be true, in 1997 the more significant shortcoming of the official poverty measure is its underestimation of the extent of poverty among employed single parent families. The 1996 welfare reform was premised on the assumption that work not public assistance is the key to combating poverty. The facts, as developed in this book, show that for most single parent families income from employment is not sufficient to support a decent standard of living.

Acknowledgments

I want to particularly thank Dr. Barbara Bergmann whose suggestion started me off on this endeavor and whose patience and intelligence helped me finish my original dissertation. I would also like to thank Dr. Harold Watts and Dr. Timothy Smeeding who have each encouraged me to continue my research in this field.

I would like to thank my employer, the Public Utility Law Project of New York, Inc. for granting me the extended leave during 1997 without which it would have been impossible to complete this updated version of my dissertation. I would like to thank my editor at Garland Press, Tania Bissell. A special thanks to Sue Stein for going through the boxes in my basement to find the electronic version of my dissertation; Chris DeLucia for making sure I could read the diskettes; Midge DeChiro for sending me my statistics program and Shirley Smith for copying and sending me several journal articles. Thanks to Lisa Aronson for encouraging me to finish this project. I would also like to thank my many friends who are single parents for encouraging me to pursue this research.

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