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Hunger & homelessness soar

By Heather Cottin
Freeport, N.Y.

In the gourmet boutiques of Westhampton, Long Island, shoppers decide whether to buy crabmeat or lobster for their guests. But in Mastic Beach, 10 miles away, a woman at a soup kitchen tells a social worker from Adelphi University: "Our welfare benefits were cut. My husband lost his job, so we can't pay our bills. ... Our housing was condemned and social services did not provide enough rent for new housing. ... When we lost our jobs, we lost medical insurance."

The new Fairway supermarket in Plainview offers hundreds of international cheeses to tease the palates of Long Island's North Shore residents who can afford these delights. But four miles away, in the Church of St. Kilian Outreach Center in Farmingdale, a parishioner says, "My biggest fear is not only going hungry, but ending up on the street because I can't afford to pay rent. My food stamps have been drastically reduced."

This was the picture long before the Sept. 11 disaster, according to the report "Poverty Amid Plenty," published by Catholic Charities and Adelphi School of Social Work in April 2001.

This is the new face of homelessness. According to Newsday, in June of 1999 suburban poverty was growing "at a significantly faster pace than urban poverty."

Community Advocates--a housing-assistance agency--noted in February that there were 50,000 homeless people on Long Island, 20,000 of them children. Newsday on Nov. 13 reported that "the homeless population of Nassau and Suffolk counties has sharply increased in recent months, the highest since the mid-1990s. There are also hundreds of families on the brink [of homelessness], including those who work, who have never been on public assistance."

But now Washington has confirmed that a full-blown recession is underway. Some 40 miles away, in New York City, the problem of hunger and homelessness has reached critical proportions.

Columnist Bob Herbert wrote in the New York Times of Nov. 22, "There are more than 1,000 soup kitchens and food pantries in the city, and they are stretched beyond capacity. Last year in New York, about 20 percent of the pantries in the city had to turn people away because they ran out of food. That figure is expected to reach 30 percent this year, according to Joel Berg, director of the New York City Coalition Against Hunger."

Four days later the Times editorialized, "Food for Survival, the city's largest supplier of emergency food, estimated that more than a million New Yorkers were relying on soup kitchens, food pantries and shelters to avoid going hungry. The New York City Coalition Against Hunger, which represents about 1,000 kitchens and pantries, reported a similar upsurge in demand. Unless more food becomes available, the coalition's members say they will be forced to turn away hundreds of thousands of hungry people."

People are hungry and homeless, and the situation is deteriorating in the recession. But these problems are not new.

On May 24, the Guardian of Britain did an analysis of poverty in the U.S. Food bank use back then was "up 75 percent in some American cities, [and] one in five U.S. children lives in poverty; 44.3 million are uninsured. ... According to several new reports, it turns out that the reason for deepening U.S. poverty is rather simple: it's all those rich people. Extreme wealth created in the top tier of the economy, rather than trickling down and making everyone better off, is having a direct negative impact on those living in extreme poverty at the bottom."

Ripping up safety net
for fun and profit

Meanwhile, corporate lobbyists are flooding Washington with a myriad of tax cut proposals that will save the big corporations billions.

The House on Oct. 26 voted to repeal the Alternative Minimum Tax on corporations. This is now part of the "economic stimulus" package before the Senate. The AMT has required profitable companies to pay at least some tax, no matter how many loopholes they can find.

If the Senate passes the House version, the repeal would be retroactive, so companies would get rebates of all the Alternative Minimum Tax they've paid over the last 15 years. The repeal would allow many companies to pay zero U.S. income tax in perpetuity.

Wouldn't we all like to get back the taxes we've paid over the last 15 years?

Plenty of economists agree that the claims these corporate tax cuts will "stimulate the economy" are bogus. They know full well that the corporate moguls have no intention of investing in an economy that is operating at a recession level.

In a recession, people don't buy much. Inventories are high and manufacturers still have excess capacity, so tax cut or no tax cut, capitalists won't invest in expanding production.

What this amounts to is robbery from the workers who don't have the loopholes that businesses do. These taxpayers will be obliged, according to the Nov. 18 New York Times, to give $1.4 billion to IBM, $833 million to General Motors, $671 million to General Electric, $572 million to Chevron Texaco, and $254 million to Enron.

What Congress has accomplished since ending "welfare as we know it" under Bill Clinton has been the whittling away of the meager welfare system that was created under the New Deal in the 1930s and expanded slightly under the War on Poverty in the 1960s. In both these periods, worker militancy pushed the government to do something for poor people.

But "supply side" economics, which is just code words for stealing from the poor and giving to the rich, has been promoted since the 1970s, and has accelerated in this declining economy.

Cutting assistance to poor families and failing to build sufficient low-income housing in the past 30 years has had a devastating effect on the poor. Housing costs are the single most expensive part of a worker's budget. The Adelphi/Catholic Charities report noted that poor families spend almost 60 percent of their pay on housing. Finding affordable housing is growing nearly impossible.

Even the paltry amount of assistance workers have received for housing is being cut. The federal program known as Section 8, which subsidizes low-income housing, is in grave danger. Congress, according to the Nov. 17 New York Times, is now unwilling to provide $800 million for the program. In the tri-state region around New York City alone, this program has enabled 62,000 households to afford apartments by offsetting rent costs. Its disappearance would lead to an exponential increase in homelessness nationwide, especially affecting the elderly and disabled.

The capitalist class has its program--maximize profits at any cost. The workers need to fight for their own program--one that would guarantee food and decent housing, day care, health care, culture and education for all.

Reprinted from the Dec. 6, 2001, issue of Workers World newspaper

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