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Poverty is widespread and will touch the majority of Americans at some point during their lifetimes. This review of the literature on the causes of poverty reveals a picture of a heterogeneous poor population with different triggers for entry into poverty. Forces largely seen as outside of the control of individuals have dramatic impacts on income, earnings, and poverty.
This deeper look at causes of poverty provides a solid jumping off point for policy and system change. By understanding the specific triggers that increase the likelihood that someone will experience poverty, we can better target our interventions and investments. There is a spectrum of solutions that should be considered, including prevention, human capital development, immigrant integration, economic development, income supports, and asset development, that can directly impact the lives of millions of Americans.