The Poverty Industry: The Exploitation of America's Most Vulnerable Citizens

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NYU Press, Jun 21, 2016 - Law - 288 pages
3 Reviews
Government aid doesn’t always go where it’s supposed to. Foster care agencies team up with companies to take disability and survivor benefits from abused and neglected children. States and their revenue consultants use illusory schemes to siphon Medicaid funds intended for children and the poor into general state coffers. Child support payments for foster children and families on public assistance are converted into government revenue. And the poverty industry keeps expanding, leaving us with nursing homes and juvenile detention centers that sedate residents to reduce costs and maximize profit, local governments buying nursing homes to take the facilities’ federal aid while the elderly languish with poor care, and counties hiring companies to mine the poor for additional funds in modern day debtor’s prisons. In The Poverty Industry, Daniel L. Hatcher shows us how state governments and their private industry partners are profiting from the social safety net, turning America’s most vulnerable populations into sources of revenue. The poverty industry is stealing billions in federal aid and other funds from impoverished families, abused and neglected children, and the disabled and elderly poor. As policy experts across the political spectrum debate how to best structure government assistance programs, a massive siphoning of the safety net is occurring behind the scenes.In the face of these abuses of power, Hatcher offers a road map for reforms to realign the practices of human service agencies with their intended purpose, to prevent the misuse of public taxpayer dollars, and to ensure that government aid truly gets to those in need.

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LibraryThing Review

User Review  - kvrfan - LibraryThing

This is an important book that deserves a wide readership. While a widespread myth persists of poor folks who rip off the government by taking advantage of various welfare programs, the author reveals ... Read full review

LibraryThing Review

User Review  - rivkat - LibraryThing

Written with more passion than style, this somewhat repetitive and awfully depressing book explores how private contractors and state governments wring money out of the federal government by gaming ... Read full review


Povertys Iron Triangle
Mining Foster Children for Revenue
Medicaid Money Laundering
Poverty Industry Taking Child Support
The Expanding Web of the Poverty Industry
Restoring Agency Purpose

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About the author (2016)

Daniel L. Hatcher is Professor of Law at the University of Baltimore.

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