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What is a new poor?

 

             NEW POOR?.
             The transformation of the economy brought about by new technologies, the globalization of the economy, capital flight, and de-industrialization has profoundly affected individuals, families, and communities (WFT pg. 97). Joseph Schumpeter (1950) described a process inherent to capitalism that he called "creative destruction." He believed that as the economical structure develops, there are some segments that suffer and some that flourish. As technology developed, robots and automation replaced many blue-collar workers. Furthermore, the rise of microelectronics such as computers, software, fiber optics and robotics created demands of new kind of skills. The jobs created by these advancements needed specialized education that the displaced blue-collar workers were not able to meet. As these technological sectors expanded, there were many workers that were out of jobs. Some of these displaced found jobs in other sectors but usually with lower pay, and some could not find jobs at all. Those 15 percent, who did not find jobs, constitute the "new poor" who, unlike "old poor", had little hope for breaking out of poverty.
             These new poor are trapped in poverty because hard physical labor is not usually needed in a high-tech society and many of these misplaced workers believe that they are too old to go to school to learn the new high-tech skills. Just as Bronfenbrenner Ecological Systems Theory explains, different systems are interconnected with each other and change in one level causes change in the other. So, the change in economy disrupts the way families" function. In order to combat economical, hardships families employ different coping strategies. Women who stay at home and look after the kids get a job that in turn increases their workload since they are expected to take care of the household too. In a crisis younger families may delay having children and older children may move in with their parents or vice versa.


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