Why can't country solve the problem of poverty by giving every citizen money?

 
Why? Matthew Desmond, a sociologist at Princeton University, thoroughly examines the question. The book has serious flaws, but it offers a wake-up call.

Desmond reminds us that one in nine Americans is poor. He walks us through poverty and its daily assaults on stability, growth, health, and morale. It is expensive to be poor: fines accumulate on unpaid vehicle registrations; jobs are lost from unaffordable car repairs; mass incarceration kills income; the unbanked are saddled with high-interest payday loans; the poor are excluded from affluent neighborhoods, and stuck in a cycle of eviction and neglected housing; because public schools are financed by local property taxes, the poorest don’t get a good basic education; health insurance is tied to full-time work, so preventive care is often neglected, and medical catastrophe can lead to bankruptcy. 

To be sure, governments at all levels are spending — a lot — on poverty. The US welfare state (as a percentage of GDP) is the second biggest in the world, after France. But the welfare state is a sieve, and welfare programs are poorly designed and cumbersome.

Desmond is probably exaggerating the problem; it’s unclear whether he’s intentionally playing with statistics to bolster his case, or if — as a sociologist — he is more concerned with pathos than logos. For example, he pooh-poohs the drop in the price of almost everything, because “[y]ou can’t eat a cell phone.” Yet food expenditures fell from one third of income to 9 percent in the last century.