How Does Homelessness Affect the Economy: Critical Essay

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How Does Homelessness Affect the Economy: Critical Essay

One of Americas long-standing social and economic issues, homelessness primarily afflicts veterans, drug and alcohol addicts, the mentally ill, and ex-convicts. While homelessness isnt a new issue, it began to rise to light in the 1980s. Wartime, and the subsequent decades, gives way to an era of prosperity in America. This was no different after World War II, and through the 1960s. In the 1970s, however, the economy shifted completely from a manufacturing-based economy to one of service. Because many industries were cut down, people had to completely start over, often at minimum wage. This forced many to abandon their once lavish lifestyles for a life of grit and dissatisfaction. Further hindering the hardships for many was the termination of millions of low-income houses and apartments. This combination effectively allowed for people to not be able to afford housing. The 1980s was also the beginning of the deinstitutionalization of centers treating and housing those with mental illnesses. People who had been treated were supposed to begin to work with community mental health centers, but the centers never materialized in sufficient numbers to address the need. Those who needed care the most ended up without any and many have ended up in

county jails, as there is nowhere else for them to go. The explosion of substance use, and abuse, ensnared millions of Americans. Rehabilitation centers couldnt grow and sustain at the rate at which they were needed to, and many of these people, while waiting for treatment, ended up in jails for drug possession, distribution, and manufacturing. Again, while waiting for treatment, these individuals were digging themselves deeper into a pit, and each day in, making it harder to climb out. Many of those who did get into treatment facilities couldnt cover the financial aspect of it, and they too were sent to fend for themselves. While the minimum wage has increased, and technology and treatment methods have improved, the number of homeless people has only increased.

The American government has made attempts to circumvent the housing crisis in America. One of the United States programs to keep low-income people in homes is Federal Rental Assistance. The FRA consists of three programs: the Housing Choice Voucher Program, Section 8 Project-Based Rental Assistance, and the Public Housing Program.

According to the Center on Budget and Policy Priorities, as a whole, Federal Rental Assistance makes housing affordable for about 10 million people. People who qualify for support from these programs must be low-income. The Wisconsin Department of Health Services reports that the low income for a single-person household in 2018 is $1005 per month. For a family of four, low income is $2,050 per month. These programs also require some extremely low incomes, meaning that their income must be less than 30% of the federal poverty line. While these programs cannot cover every person that applies for aid, they have been effective in helping millions maintain decent housing.

Because of these programs, families are able to afford housing and avoid homelessness. Limiting housing costs also leaves families with more resources for other necessary expenses, like child care, transportation, food, and medicine. For frail seniors and people with disabilities, federal rental assistance programs often provide services as well as affordable units, enabling them to remain in their home communities and avoid or delay moving into nursing homes or other institutions that are much more costly for state and federal governments. Also, when assistance enables families to live in low-poverty neighborhoods, children are significantly more likely to attend college, have lower rates of teenage pregnancy, and have higher incomes as adults.

Over 17 million at-risk renter households eligible for rental assistance do not receive the money they need, due to funding limitations. Sixty-three percent of these households have children or are headed by a person who is elderly or has disabilities. According to the Marketplace, there are around 900,000 evictions every year (around 2.3 million people), many of which end up being unable to find housing and become homeless. Even though there are programs in place to help those in need, many are still left without the provisions they need.

Because the government funds these housing programs, there is a sense of instability that accompanies relying on them. From December 2018 to January 2019, the United States government shut down for thirty-five days. People, who rely on the United States Department of Housing and Urban Development (or HUD) to cover their rent, were left without that support. Landlords, already pressed for money, demanded that these tenants make up the costs; knowing that many could not. While independent relief organizations stepped in for some, many were left without the means to pay and were subsequently evicted. These people, without a house, were left to attempt to keep their jobs and care for their families because of an uncontrollable situation. These individuals then had to start the process of finding somewhere to live all over again, with the added strain of lower credibility, due to their recent eviction. The government, shut down over a fiscal dispute, left people without any means to pay rent or even buy food for their families.

According to the Substance Abuse and Mental Health Services Administration, 20 to 25% of the homeless population in the United States suffers from some form of severe mental illness, while only 6% of Americans are severely mentally ill (National Institute of Mental Health, 2009). Forty-five percent of the homeless250,000 individualshad any mental illness. Serious mental illnesses can prevent ones ability to complete everyday tasks; things as simple as keeping up with personal hygiene and keeping up with ones household. These afflictions can also hinder people from forming and maintaining positive relationships. A combination of these makes it difficult for someone with a mental illness to keep a reliable job, and house. The stereotypes that come with having a mental illness (erratic behavior, potentially dangerous, cannot be reasoned with, etc.) can also cause landlords to hesitate when presented with an application from someone who happens to have one.

If one with mental illness does happen to become homeless, the consequences of them being physically unable to care for themselves can have disastrous consequences. In addition to any mental illness they may be faced with, these people may not protect themselves against easily preventable diseases. Because they may not have any source of income or simply cannot will themselves to go, they may not stay up to date on vaccines, putting others, in addition to themselves, at risk. In addition to these, respiratory diseases, tuberculosis, skin sores, and bacterial infections are also somewhat common among these individuals.

Even if homeless individuals with mental illnesses are provided with housing, they are unlikely to maintain stability until they are provided with continuous access to treatment and services. Supported housing programs are programs that place people with mental illnesses among people who dont. These arrangements then teach tolerance to those who do not have mental illness and help those who do learn how to cooperate and live with people who do. These programs can offer services such as fitness programs, education, psychological help, and employment opportunities (National Mental Health Association, 2006). While these services are exponentially helpful, a lack of funding restricts the success of them. There are programs run by HUD, as well as the Projects for Assistance in Transition from Homelessness (PATH). Additionally, the American Recovery and Reinvestment Act (ARRA) was passed in February 2009. This Act includes $1.5 billion for homelessness prevention and re-housing (National Alliance to End Homelessness, 2009). While there is an effort being made, these simply do not, and cannot, cover the expenses that these programs require.

Because people who are homeless dont have access to many things that middle and upper-class citizens take for granted, they are forced to break the law in order to survive. Most stores enforce the phrase no shoes, no shirt, no service, which leaves many homeless people without a way to purchase food, get clean, or even use the bathroom. These people must then break the law to do so. Public urination is among the top offense against people who are without a home. After being cited, these people are expected to go to court to explain the situation and hopefully lessen the punishment. However, these people often cannot afford the cost of transportation it takes to get to the courthouse, let alone the fee that they will eventually have to pay. If unable to make their hearing, homeless individuals will have a warrant out for their arrest. Once arrested, they will be taken to jail and the incident will be put on their record. In extreme cases, some have to register as sex offenders (as displaying genitalia is considered a sexual offense). This, in addition to other charges (sleeping on a bench, possibly stealing food), makes it harder for these individuals to be hired or find housing, starting a difficult cycle to break.

While homelessness is defined as the state of having no home, the homeless arent just people that live on the streets. People who are constantly couch-surfing from house to house with no place to go are homeless. People who move to a new apartment after just getting evicted from their old one over and over again are homeless. People whose parents or roommates kicked them out and are just waiting for them to let them come back to live with them are homeless.

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