A time of bad debts

June 21, 2009 / Barbara Ehrenreich on the effect of the recession on America’s poor.

Barbara Ehrenreich, in the introduction to her book Nickel and Dimed (2001), wrote this of her research experience in the late-nineties:

With all the real-life assets I’ve built up in middle age—bank account, IRA, health insurance, multiroom home—waiting indulgently in the background, there was no way I was going to “experience poverty” or find out how it “really feels” to be a long-term low-wage worker. My aim here was much more straightforward and objective—just to see whether I could match income to expenses, as the truly poor attempt to do every day. Besides, I’ve had enough unchosen encounters with poverty in my lifetime to know it’s not a place you would want to visit for touristic purposes; it just smells too much like fear.…

I make no claims for the relevance of my experiences to anyone else’s, because there is nothing typical about my story. Just bear in mind… that this is in fact the best-case scenario: a person with every advantage that ethnicity and education, health and motivation can confer attempting, in a time of exuberant prosperity, to survive in the economy’s lower depths.

That was back when things in America looked relatively rosy, viewed from the top down. She writes again, a week ago, in a New York Times op ed entitled “Too Poor to Make the News:”

The recession of the ’80s transformed the working class into the working poor, as manufacturing jobs fled to the third world, forcing American workers into the low-paying service and retail sector. The current recession is knocking the working poor down another notch—from low-wage employment and inadequate housing toward erratic employment and no housing at all. Comfortable people have long imagined that American poverty is far more luxurious than the third world variety, but the difference is rapidly narrowing.

Maybe “the economy,” as depicted on CNBC, will revive again, restoring the kinds of jobs that sustained the working poor, however inadequately, before the recession. Chances are, though, that they still won’t pay enough to live on, at least not at any level of safety and dignity. In fact, hourly wage growth, which had been running at about 4 percent a year, has undergone what the Economic Policy Institute calls a “dramatic collapse” in the last six months alone. In good times and grim ones, the misery at the bottom just keeps piling up, like a bad debt that will eventually come due.

Comments are closed.


Zero to One-Eighty contains writing on design, opinion, stories and technology.