Despite the fact that the US economy continues to grow, homelessness is a problem that simply refuses to go away. Recent estimates state that the number of homeless people in the country is around 550,000!
Furthermore, that’s minus the people forced to live with their relatives into account. Once you factor that variable into the equation, the number of homeless people in the country shoots up to 7.4 million!
But how can the problem of homelessness persist in a country where the economy has had a resurgence of sorts? Join us as we try to answer that very question.
The Economy is Thriving, Right?
In a word, yes! Make no mistake about it; the United States economy has made a remarkable comeback in recent years. All factors used to measure our success in recent years point toward an economy that’s progressing in leaps and bounds.
For starters, the Gross Domestic Product is up. Similarly, the unemployment rate is going down and is the lowest it has ever been in a long time. Furthermore, homes in the United States are selling which means that the middle class can finally start living the American dream.
But That Doesn’t Explain the Homelessness!
The problem arises when you start taking a closer look at the share of global income. For the longest time, the top 1% of people in the world have been taking larger and larger portions of the world’s economy. Consequently, the bottom 50% have to be content with a smaller and smaller share of the pie!
Houses Are Not Affordable:
We all love to hear the baby boomers talk about the time they could earn enough to buy a house by working a decent job for six months. But ask yourself this; when was the last time you heard a millennial make the same claim?
The answer is simple. House prices have skyrocketed in recent years while people’s average income has stagnated over time. With adequate housing becoming more and more unreachable, many people have no other option but to call the cold, hard floor their bed!
What’s the Solution?
There’s no outright solution to the problem of homelessness. That being said, countless experimental solutions are being tried. For example, in Denmark and Finland homelessness has fallen at an exponential rate thanks to the Housing First Movement. More information about this proposed model can be found here.
This movement serves as a sign that things are finally getting better and that we might be able to end this heartbreaking problem, sooner rather than later!
About Free Rein Report:
We’re a news outlet that aims to bring the facts to the people. We provide quick updates on the US economy, business news, and latest political events. Feel free to contact us for any queries or questions!