$2.00 A Day: Living on Almost Nothing in America

by Kathryn J. Edin

Shaefer immediately went to work to see if he could detect a trend in the SIPP data that matched Edin’s observations. First, though, he needed to determine what income threshold would capture people who were experiencing a level of destitution so deep as to be unthought-of in America. Accordingly, he borrowed inspiration from one of the World Bank’s metrics of global poverty in the developing world—$2 per person, per day. At the time, the official poverty line for a family of three in the United States worked out to about $16.50 per person, per day over the course of a year. The government’s designation of “deep poverty”—set at half the poverty line—equated to about $8.30 per person, per day. As far as Shaefer and Edin could tell, no one had ever looked to see whether any slice of the American poor fell below the even lower threshold of $2 a day for even part of a year.