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Wednesday, July 20, 2011

An Abuse of the Word 'Research'

Chris Haworth, a friend of mine, posted a link to a study recently published by the Heritage Foundation.
The study was conducted by Robert Rector and Rachel Sheffield. It is an excellent example of the methods people use to corrupt the public discourse.

While I think the Heritage Foundation is an important voice, this particular study was conducted poorly. The study seeks to misinform. It is polemical and, in my judgment, unethical.

The study is labeled as a "Backgrounder on Poverty and Inequality." Its findings are primarily this: Most of the people who the US Census Bureau has labeled as individuals living "in poverty" should not be described as poor. This conclusion is based on 2005 survey data about the household appliances in homes of people who the Census Bureau categorizes as living below the poverty threshold.

The study is motivated by the fact that "in discussions about poverty... misunderstanding and exaggeration are commonplace." The researchers believe that "exaggeration has the potential to promote a substantial misallocation of limited resources for a government that is facing massive future deficits." They are concerned that Americans may have the wrong impression about the living conditions for a family of 4 earning less than $20,615/year.

The study's data show that in 2005, most families living in poverty have food security and a home. On top of that, most families living in poverty may have air conditioning, cable, or an Xbox (some may have all three). From this, the researchers conclude that in many cases, it is incorrect to describe a family of 4 earning less than $20,615/year as "poor."

I think the motivation for this study is interesting, and it deserves investigation. The way we label large portions of our population has huge potential impacts. Any investigation conducted, however, should seek as honest a depiction as possible.

Rector and Sheffield used data from 2005, despite the existence of a 2009 survey (they claim the microdata they need is not yet available). 2005 was at least two years before the economic crisis hit. At the time, credit was cheap and predatory lending was commonplace. In 2005, banks regularly were extending loans to people who couldn't afford to buy a home. 2005 was was a year when people thought they had money because they were living in an economic bubble. It is the wrong year from which to elicit data for this kind of study.

The study's conclusion quotes officials who the researchers believe are misinforming the  public about being poor in America. The researchers claim that Children’s Defense Fund President Marian Wright Edelman has it wrong when she says, “It is a moral outrage that in the wealthiest nation on earth there are still 12.8 million children living in poverty” and “inexcusable that 12.8 million children are forced to suffer through hardship every day.” Rector and Sheffield claim that it is an exageration to suggest that children living in poverty suffer hardship.

Here's the math:
A family of four earns $20,615 to spend per year.
That's $1,718 per month.
That's $429 per person per month.
That's $107 per person per week.

If a person plans to accumulate no savings, they have nearly $110 a week for housing, utilities, food, clothing, education costs, and transportation. To assume that such a budget does not create hardship because in 2005 most poor families had cable is an abuse of the research process. It is an attempt to misinform the public using the guise of reputable research.

This is why critical thinking skills are so crucial if we expect today's students to engage in the public discourse. The study looks and reads like reliable material, but it is empty rhetoric aimed at undermining efforts to address economic inequality in America.

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