'The Forgotten Half' study was conducted by the William T.
Grant Foundation in the late 1980s. It reported on the
school-to-work transition of youth and found the high school
system deficient in imparting vital work-related skills to the
youth. Secondly, about 50% of young Americans were not enrolled
in a 4-year college degree program. By not attending college and
without adequate vocational skills, members of this cohort are
more likely to end up within the 15% of Americans who today live
under the poverty line.
A follow up study found that about 66% of employers believe that
a high school diploma is not a valid indicator for requisite
skills for employment. The problem is all the more severe with
high school drop outs. Consequently, the Foundation reported that
a diminished set of economic opportunities are available for
those not headed for college.
Many countries such as Germany, provide vocational education in a
systematic manner to the non-college bound. Apprenticeship
programs in such fields as carpentry and plumbing ensure that
there is no deficit of skill sets. On the other hand, there
continues to be a relative absence of large-scale systematic
dispensation of skills in the U.S.
America has shifted its position on poverty at times. President
Lyndon B. Johnson's 'The Great Society' was a set of national
programs intended to eradicate poverty. Sen. Daniel Patrick
Moynihan suggested on the other hand, in 1969, that matters might
improve following a period of 'benign neglect'. Such confusion
regarding the poor persists to this date as was evident from the
recent Presidential campaign.
Without consistent clarity on school-to-work transition and with
the better paid jobs of the manufacturing sector shifting
overseas, the blue collar worker is facing increasing chances of
unemployment or of working for less money in service sector jobs.
This raises the population of the working poor.
The Federal Government continues to do its bit for the poor
through food stamps, tax credits and subsidized healthcare. Its
expenditure on food stamps was the highest ever last year. As a
result, demand for food did not plunge during the Great
Recession. We add that providing programmed and relevant
vocational skill sets may tackle a part of the persistent
problems of the poor.
The poverty stricken may visit Salvation Army for essentials.
Those who are value conscious may buy consumer staples at
Wal-Mart Stores Inc.
(
WMT
) and get a quick bite to eat at
McDonald's Corp.
(
MCD
).
Target Corp.
(
TGT
) offers goods that are both trendy and relatvely
inexpensive.
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WAL-MART STORES (WMT): Free Stock Analysis
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