Title: Cycle of poverty - Wikipedia
Headings: Cycle of poverty
Cycle of poverty
Contents
Causes of the cycle
Chronic general poverty
Non-circular causes of poverty
Factors maintaining personal poverty
Internal and external factors sustaining poverty
Systemic factors
Emotional factors – bias
Decision-making
Intergenerational
Medical factors – mental illnesses
Summary
Choices and culture
Discrimination and concentration
Generational poverty
Early childhood adversity and basic needs stressors contributing to the cycle of generational poverty
Family background
Lack of jobs due to deindustrialization
Effects of modern education
Culture of poverty
Life shocks
Tracking in education
Theories and strategies for breaking the cycle
General approaches
Two-generation poverty alleviation approach
Effects on children
Developing world
See also
References
External links

Content: The loss of a job or failure of a family-owned business
A health issue, which can result in lost wages, a permanent disability, or medical debt in countries without free universal health care
The death of a family member
An unplanned pregnancy
Short-term financial mismanagement of personal savings or debt
A breakup or divorce, if alimony does not compensate for the loss of one partner's income
A foreclosure or eviction
An automobile collision or other loss of a vehicle needed to get to work
Commission of a crime that results in a criminal record and difficulty obtaining work
Incarceration that results in loss of economic assets and social networks
Factors maintaining personal poverty
Once poor, people can experience difficulty escaping poverty because many things that would allow them to do so require money they don't have, such as: Education and retraining with new skills
Child care which would enable a single parent or second parent to work or take classes
Transportation to a distant job
Migration to an area with better economic opportunities
Starting a new business, which might require market research, technical assistance, and startup funding
Obtaining land for subsistence farming
Cure a health condition that prevents work, including diseases of poverty which don't affect people outside of the "cycle of poverty"
According to the United States Census, in 2012 people aged 18–64 living in poverty in the country gave the reason they did not work, by category: 31% - Ill or disabled
26% - Home or family reasons
21% - School or other
13% - Cannot find work
8% - Retired early
Some activities can also cost poor people more than wealthier people: Rent – If unable to afford the first month's rent and security deposit for a typical apartment lease, people sometimes must live in a hotel or motel at a higher daily rate. Food
If unable to afford an apartment with a refrigerator, kitchen, and stove, people may need to spend more on prepared meals than if they could cook for themselves and store leftovers. Buying in bulk (large quantities) is usually cheaper than buying small quantities in multiple transactions, but poor people are less likely to have cash on hand to finance a large purchase of food needed for the more distant future. Poor people are less able to afford delivery or automobile transport of quantities too large to carry on public transit or bicycle. People who live in food deserts without access to fast transportation may buy more expensive food from nearby convenience stores, and have more difficulty transporting perishable goods. Banking – People who cannot maintain a minimum daily balance in a savings account are often charged fees by the bank, whereas people with larger amounts of wealth can earn interest on savings and substantial returns from investments. Unbanked people must use higher-cost alternative financial services, such as check-cashing services for payroll and money orders for transferring to other people.