Growth Has Been Good for Decades. So Why Hasn’t Poverty Declined?

Conservatives tend to attribute the persistence of poverty, even amid economic growth, to the perverse incentives that a welfare state creates against working.

But the reality is that low-income workers are putting in more hours on the job than they did a generation ago — and the financial rewards for doing so just haven’t increased.

.. That’s the real lesson of the data: If you want to address poverty in the United States, it’s not enough to say that you need to create better incentives for lower-income people to work. You also have to devise strategies that make the benefits of a stronger economy show up in the wages of the people on the edge of poverty, who need it most desperately.