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Social Class & Poverty. Poverty Quiz: Which is true?. Poverty is the fault of the individual The poor do not want to work Poor people do not pay taxes Welfare rates are too generous Poor people need to be taught basic life skills like budgeting
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Poverty Quiz: Which is true? • Poverty is the fault of the individual • The poor do not want to work • Poor people do not pay taxes • Welfare rates are too generous • Poor people need to be taught basic life skills like budgeting • The welfare system is rife with cheating & fraud • Poor families are poor because they have too many children • We cannot afford the social programmes needed to eliminate poverty
Social Classes What social classes do we have in Canada? What percentage of Canada’s population do they represent? wealthy upper class 3-5% middle class 40-50% working class 30% poor 20%
What is poverty? • Absolute poverty • Not having essential resources • Relative poverty • Measuring yourself against people who have more
The LICO Line • Stats Canada: LICO line to determine poverty levels. • LICO = Low-Income Cut-Off • If you spend more than 55% of your annual income on food, clothing & shelter, you’re classified as falling below the LICO line (no $ for other necessities) • The average Canadian spends roughly 35% on these three items
The Living wage is different from the minimum wage, which is the legislated minimum set by the provincial government. • it reflects what people need to support their families based on the actual costs of living in a specific community. • This living wage calculation does not cover: • credit card, loan, or other debt/interest payments • savings for retirement or for children’s future education • owning a home • anything beyond minimal recreation, entertainment, or holiday costs • costs of caring for a disabled, seriously ill, or elderly family member • much of a cushion for emergencies or tough times What is a Living Wage?
Poverty Risk Factors • Young people • Single-parent families • Women • Older workers • People with disabilities • Children • the Maritimes or far North
Task: • Answer the questions on page 293: • #2, 3, 5 • Answer the questions on page 296: • #1, 2