We Can Cut the Deficit and Cut Poverty at the Same Time

Millions of American children and families depend on a federal safety net that offers nutrition assistance, job training and refundable tax credits. As Congress hammers out the details of next year’s federal budget and works to reduce the federal deficit ($965 trillion as of August 2012, according to the Congressional Budget Office), these programs -- and these families’ livelihoods -- are at risk. But do they have to be?

According to economists and policy experts, we don’t need to slash the safety net in order to grow our economy. In fact, the opposite may be true: reducing poverty may be critical to turning our economy around. We can reduce the nation’s rate of 22 percent of children in poverty and reduce the deficit at the same time. It’s a matter of the choices we make.

In a August 15, 2012 webinar sponsored by Half in Ten and other national organizations, economists and policy experts including Congressman Keith Ellison (D-MN) discussed the myths and realities of federal spending and the recipe for creating a budget that restores shared prosperity while addressing our long-term economic needs.

“People are working hard every day and doing the best they can to make ends meet,” Ellison says. “In the richest country in history of the world, we should regard [poverty] as a national crisis.”

The Center for American Progress (CAP) has created a budget plan with long-term investments to boost economic growth, create jobs and reduce the numbers of individuals in poverty by 3 million over 20 years. The areas for these investments include:

• Clean energy technology research and deployment
• Early childhood education
• Job training
• Pell and other post-secondary education grants
• Public education
• Transportation infrastructure

The CAP budget also includes immediate investments in federal programs that reward work and help families climb out of poverty, summarized below:

At least 8 million households lifted out of poverty.

The result? At least 8 million households lifted out of poverty. If that sounds like the right outcome to you, here’s how you can help policymakers recognize that we can grow our economy while supporting children and families:

• Share your story about how government safety net programs like nutrition assistance or refundable tax credits have helped you or the clients you serveand make an impact on the national debate.
   
• Use Half in Ten’s action toolkit to help change the national conversation by organizing a community event, mobilizing your network on social media, and holding candidates accountable for cutting poverty.
   
• Learn the details of the Center for American Progress’ federal budget plan.
   
• Listen to the full webinar recording, ”Budgeting for Shared Prosperity” and check out the handouts from Half in Ten that include strategies for integrating messaging, communications, and advocacy.

Julee Newberger is a freelance writer and contributing editor to SparkAction.