Category Archives: Uncategorized

Katz – “From Underclass to Entrepreneur” || Response

In the excerpt, “From Underclass to Entrepreneur: New Technologies of Poverty Work in Urban America”, Katz talks about how the expression “underclass” evolved over time. During the late twentieth century, “underclass” was used to describe the poor, especially poor black women. The term also described the life of drugs, crime, high poverty, and urban decay. And thus, America’s inner cities were deemed as “a terrain of violence and despair”. I personally think that these characteristics actually describe just being “underclass” and not poverty. One can choose a life of drugs and crime and not necessarily be poor. One can choose to ignore education. That is what I define as “underclass”.

At the turn of the century however, these same people are seen as highly motivated and ambitious. Because of their low social status, they wanted to prove to everyone that they were not a lower class of people. Katz states that the label essentially became a metaphor of social transformation. Formerly described as “underclass”, these individuals jumped at any opportunity and became entrepreneurs. Market-based technologies certainly helped the poor obtain this newfound status.

Katz discussed exactly how market-based technologies gave the poor a boost. Four market-based strands were intertwined with poverty work, including “place-based initiatives that intended to unleash poor people as consumers by rebuilding markets in inner-cities; microfinance programs that turned poor people into entrepreneurs; asset-building strategies that helped poor people accumulate capital; and conditional cash transfers that focused on deploying monetary incentives to change behavior.” As a business major and psychology minor, I found these ideas to be very interesting. These market-based brands mixed aspects of business and psychology together to obtain a positive result.

Other points I found interesting was when Katz talked about Clinton’s presidency and Muhammad Yunus. Throughout my studies in American History before college, I have never heard of the Enterprise Zone or the Empowerment Act of 1998. Although it ultimately did not succeed, the Clinton administration did try hard to revitalize the inner-city. This act called for nine empowerment zones and ninety-five enterprise communities, both of which were allowed tax breaks and “other incentives” to help the poor. Clinton also added eligibility to social services and community-based programs. On the other hand, Yunus’ Grameen program proved successful. He was more inclined to help women because he felt that they were more likely to do good for their families compared to men. He also believed that that was the main reason for the program’s success. Although it may come off as a little unfair to men, I do agree with Yunus and his method of helping the poor.

Overall, I found this reading to be very informative and insightful. As a New Yorker exposed to a variety of entrepreneurial ideas, I certainly do see a great deal of talent and motivation coming from individuals who are less wealthy. But how exactly is the government dealing with poverty today? I do believe that our government is doing an adequate job (considering the economic circumstances) assisting the poor today. There are many social services including food stamps, Medicare, Social Security, etc. With that said, there is always room for more improvement.

“Underclass to Entrepreneur” Response

In Katz’s “From Underclass to Entrepreneur: New Technologies of Poverty Work in Urban America,” the underclass is a group of people defined not by poverty but by characteristics like drugs, crime, teenage pregnancy and high unemployment. Over time, those qualities became synonymous and the poor became the underclass. I think that was inevitable because they overlap, so it makes sense, but it’s a little too general for my liking.

There was one particular description of the underclass that I found very interesting: the categorization of the poor. Ken Auletta organized poor people into groups that he labeled as the passive poor, the hostile, the hustlers, and the traumatized. I like this approach because it helps to differentiate the people who are making the best and the worst of the same situation. Naturally, we see the bad things and then assume that everyone in that predicament is doing them. Not every poor person is a criminal, but many people, including myself sometimes, perceive them all that way. This categorization can change that. Although it might be true to a certain extent, it is still unfair to say that every poor person is a dropout or an addict. If that can be eliminated, then a lot of issues regarding stereotypes can too.

Something that comes up is that the concept of the underclass supports the practice of blaming the victim. I believe this happens a lot to those involved with drugs, delinquency, and pregnancy out of wedlock. This isn’t to say that it is never their fault, but it seems that people ignore the possibility of external factors. For example, a drug addict may not have chosen to become one of his or her own free will. However, all we see is a poor life choice. Nobody considers what could have driven that person to that point and whether or not it had anything to do with him or her at all. Instead, we cast these people aside as the underclass. With this logic, people in that type of situation may never be able to find a way out.

The example that Katz makes of Muhammad Yunus, who distributed money on the idea that the poor are inherently entrepreneurial, brought a few questions to my mind. How true is that statement? We hear stories all the time of people who came from nothing and now have everything, but how often does that actually happen? If the poor really are such fervent entrepreneurs, how successful are they? Clearly there is some truth to this statement, or else Katz would not have written this chapter, but I wonder if it still holds true today. All we’ve been hearing about in the news lately is the rich getting richer and the poor getting poorer. Maybe it was the time period and the need to oppose racism that encouraged them back then, but I’m not so sure that poor people nowadays have that ambition or opportunity.

Even so, the micro-finance method sounds effective. I don’t expect everyone to climb to the top with this bit of help, because that’s just impossible, but it’s better than nothing. At the very least, it supports saving, which can eventually assist the elimination of the underclass. The question is not if they should be saving but how the government can help them save. I think people are definitely capable of that, and they should absolutely be aided in doing so. Sadly, in today’s economy, I can’t say that the government is doing such a great job of that.

From Underclass to Entrepreneur – Katz

From Katz’s piece, it sees as though the term “underclass” went through a metamorphosis of meanings. From the 1970s to the 21st century, it found associations with everything from negativity and pity to spirited hope amidst adverse conditions.

To begin, I found that a key part of defining or even mentioning the underclass in academia, newspapers, and other media stemmed from the allocation of funds through public policy.  Where public money is spent, there follows harsh criticism and a need for evaluation. It is almost as though an entire social science category was born out of the need to explain the question of poverty in regards to culture, environment, and the distribution of money (welfare). The result of integrating research and public policy is the polarization of perceptions because even amidst objective research, results are skewed by private agendas (whether conservative or liberal) to advocate a cause. The direct result of such polarization is likely the reason our “underclass” in the 21st century carries a different meaning than the “underclass” forty years ago.

In the 1970s, the underclass was typically viewed as undeserving poor whose circumstance was a function of their own behavior. Researchers attempted to explain that social isolation, or lack of supervision and role models, bred a culture of poverty. In addition, the most common image of poverty was of an African American woman raising her children through the support of welfare. As much as anthropologist tried to remove the image and supplant it with an objective framework to judge the cause of poverty, private agendas continued to anchor perceptions. A prime example is the work of Oscar Lewis, who discussed the “culture of poverty” in hopes of stirring activists for his cause. He achieved no such feat and the term became a speaking point that advocated punitive public policy. Yet, we now live in a culture where the underclass is labeled as undeserving poor, but rather, as those lacking the right opportunity to escape their circumstance.

To continue, the emergence of new springboard projects that give those in poverty a means of overcoming is the product of a changing perception. Whether the tool is microfinance or government supported initiatives, people in adverse economic situations have proven their capacity to progress. With this in mind, true characterization of the poor can only be attributed after opportunity is granted. Hence, it is imperative that programs be in place because it is then that behavior truly becomes responsible for a person’s economic circumstance.

Katz- Response

In Katz’s reading, what caught my attention was the categorization of the poor. Katz wrote how Ken Auletta wrote an article about four types of poor: passive, hostile, hustler, and traumatized. Each category of the poor seems to degrade them in general. However, Auletta does not focus on those who are poor because they are immigrants, do not have much education in America, but are still working hard to move upward. Auletta, in my opinion seems to criticize all the poor in general, and saying how lazy, violent, unlawful, and useless they are. But there are many people who are poor that do not deserve that kind of harsh criticism.

What was interesting was the New York City’s Charity Organization Society, which wanted to deal with the issue of poverty. It said poverty must be drained and purified rather than “walling it about.” However, I am not quite sure what this means, though I do agree poverty should be dealt with. I believe there is no way to completely wipe out poverty, but it can be diminished and the negative affects that come with it can be lessened as well. In Peopling of New York City, my class kept mentioning the importance of education, which I also agree is the foundation and support which without can lead to poverty.

Katz finally mentions two categories of poor: undeserving and deserving. What I still do not understand is why are the widows under deserving poor? They do try their best to keep work and raise children. The only Katz mentions is that they failed to save money for possible situations of losing a spouse (“episode of dependence”). If that is true, but the widows are still trying to find a job to have an income and try to raise a family simultaneously, I do not think the widows are deserving of poverty. To me, deserving poor are the ones who choose to not get an education, choose to get involved in drugs and illegal activities, and those who do not work hard.

To continue on about importance of education, Katz even mentions how the War of Poverty targeted schooling rather than helping people in the labor market. This reminds me of the quote “Give a man a fish and you feed him for a day. Teach a man to fish and you feed him for a lifetime.” If you help provide cheap yet helpful education to people, they can learn and develop skills that can help them in the labor market. Instead of finding them one job, education and skills can help people get multiple of jobs. In addition, this method helps people to not be so dependent on the government. People still have to work hard in school to get where they want to go in life.

With that in mind, I do not think the government today is helping in that way. Tuition rates constantly rise, with no additional benefits. Adding on to that, it is more and more difficult to get a job when one graduates from college, and thus it makes sense that there was and is the constant dilemma of the large economic class gap. More people are falling into the middle and lower class, and some still in the poverty level because of family circumstances, than moving upward. Action truly must be taken by the government to fix this situation, or I believe poverty might worsen.

“Underclass to Entrepreneur” Response

In “From Underclass to Entrepreneur: New Technologies of Poverty Work in Urban America,” Katz talks about the transformation of the term “underclass.” It started out as a derogatory term used towards black people dominating the crumbling core of the nation’s inner cities. It eventually grew as being the culture of the poor. However, I find it interesting that Katz is celebrating the entrepreneurial energy and talent within poor people who were waiting for the chance to improve their lives. This transformation resulted from the increase in support and aid given to the poor. This help gave them the ability to focus on making something out of themselves rather than remain in poverty.

The example of Muhammad Yunus and his support for people in poverty is a perfect way of helping them climb out of their unfortunate circumstance. I also agree with the rejection the belief that the underclass hurt the safety, health, and prosperity of America’s inner cities. Instead, I think that these effects are brought about by a lack of effort to help the people in poverty, which sometimes causes them to use alternative methods in making a living.

I think that many of the issues that defined the underclass at the time are still persistant today. For example, prominent drugs, crime, teenage pregnancy, and high unemployment, not necessarily poverty, defined the underclass. The people who are thought of as being underclass are also very similar. They are usually young and minorities. All of these qualities of the urban underclass would make anyone to think that they would make up the highly disproportionate number of the nation’s juvenile delinquents, school dropouts, drug addicts and welfare mothers, and much of the adult crime, family disruption, urban decay, and demand for social expenditures.

The programs set in place for the underclass played a large role in why it took so long for them to rise from poverty. The poorhouses that were put in place to despise and neglect the underclass. Even the public schools that were created to educate the children of the urban underclass were not effective. They were less effective than the the smaller schools of the past were. I feel like the struggles that these people faced were a big reason why the current underclass is so willing to work hard to get out of poverty.

I think that the idea of micro-finance is very good since it recognizes the importance of saving to poor people. According to me, the U.S. government tries to help build individual assets, but it is not as effective as it probably can be. It helps the people who already in the upperclass increase their wealth, such as paying interest on mortgages being tax deductible and since the upperclassmen tend to have higher mortgages, they benefit from such a program. I think that there should be more programs that direct their help specifically to the people who are in poverty and are trying to better their living conditions.

Response to Freeman

Freeman analysis of the gentrification of New York is a rather non-conventional outlook of an often demonized topic. Freeman also used an interest technique to develop and contexualize his ideas. Freeman treats gentrification as a metaphor for america’s once great frontier. Just as America’s frontier was once conquered by intrepid pioneers so too were the once desolate urban neighborhoods now undergoing gentrification. While I believe the metaphor served its purpose in describing gentrification and paralleling it with the history of American expansion, I am still at odds with Freeman’s assertion that features of gentrified neighborhoods actually encompassed elements of the old west.

Gentrification is still an ever-present phenomena and is still hotly debated today. The idea is relatively simply. The process occurs when individuals of means move into low-income neighborhoods. While generally the neighborhood sees many material improvements, often as a result these neighborhoods experience a rise rents or home values, which push less fortunate individuals out. The end result is a more prosperous neighborhood, yet with a very new and different culture and demographic.

In many ways neighborhoods that became gentrified were quite similar to the wild west or new frontier. These areas were relatively underdeveloped nor well understood. In addition, they share many of the same elements of danger such as high crime. Even less access to basic health resources pervade both areas. “The taming of the wild west” is a commonly used refrain by Freeman, which works well with how gentrified neighborhoods take on more docile persona. Just as the old west was once dominated by bandits and criminal though slowly materialized into orderly cities and communities, so to a gentrified neighborhood usually rids itself of its criminalized past.

I was in way kind of baffled by Freeman’s assertion that gentrified neighborhoods literally internalized elements of the old west. Freeman repeatedly points to locations, business establishments, and public places in gentrified neighborhoods which bare names which reference the old west. Additionally, he uses a source which identifies new residences of gentrified neighborhoods as “urban cowboys.” While this may make for an interesting point, I can see no scientific reason for these references, other than the fact that residences enjoy their appearances as pioneers. The argument seems to me rather a coincidence than an reliable fact concerning gentrified neighborhoods.

Overall, I enjoyed Freeman exploration of gentrified neighborhoods as a metaphor for the new frontier and the parallels it shares with the old west. Freeman made several intriguing points, and rather cleverly paints the metaphor well. Yet, I am still rather skeptical regarding the internal perception of gentrified neighborhoods as pioneers. In fact, I feel the label is rather disrespectful to the original residences of these areas.

Smith “Building the Frontier Myth”

From this class reading “Building the Frontier Myth” by Neil Smith, I noticed some interesting features that I have never learned before.

First, what is interesting is the way New York looked at the City back then, when it was yet to be developed, as a “frontier” and new settlers, as “urban pioneers.” It was amazing to see the way people, or rather newspaper, with their news-breaking titles and articles, look at “unknown” neighborhood with curiosity and fear: “Ludlow Street. No one we know would think of living here. No one we know has ever heard of Ludlow Street.” Even with neighborhood so familiar to us today, such as W 42nd St, was regarded by the “new settlers” as the untamed “Wild Wild West” that was to be “domesticated” by “trailblazers.” The Western Territory point of view in old cowboy movie made New York a more mythical place to live in, thus drove flocks of curious pionniers to explore the new frontier back then, making New York City the fully-and-over-capacity place that it is today. Throughout the first 2 pages of the articles, references of old cowboy movies like “Crocodile Dundee” proliferated: “optimism,” “hostile landscapes,” “natives,” “wilderness,” and the most outstanding reference of all – “manifest destiny.”

Second was the analogy made by the author about myth, as an event that achieves its long standing in history through the removal of historic and geographical context, altogether making up a cliche. The frontier myth of New York was becoming increasingly prevalent among the new settlers due to the erection of buildings named “The Dakota Apartments,” “Colorado,” “Savannah,” and “New West” with no comment about the consistency between New York and the Wild Wild West.

Third was the integration of businesses into the myth. The fable of the Wild Wild West transformed not only the buildings and facades of the City, but alo its businesses. Introduction of Tex-Mex restaurants, desert decor, and cowboy chic intoxicated the consumption of the day, along with SoHo stores selling Navajo Indian rugs, Santa Fe jewelry, terra-cotta pottery with plain store signs in front as if they were pieces of wood indifferently painted over by white paint (like in the movie). New Yorker did not only look “Western” but ate and dressed that way too.

Fourth was the fact that the frontier myth was also regarded as a “naturalization of urban history” and a place where nature was taken back to its original state.

I thought to myself that if I were to live during such an interesting episode of New York City, I would be wearing full brown leather clothes completed with boots and cowboy hat, with a toothpick half-chewed on my mouth. It would be hilarious. Yet from reading article I realized that the whole facade of the “frontier myth” was only a way for age-old New Yorkers of the day to escape “modernization” and “capitalist development” of the New World, deliberately ignoring contemporary social conflicts for the sake of “urban harmony” back in the days. It was pitiful.

Building the Frontier Myth – Neil Smith

Neil Smith’s “Building the Frontier Myth” addresses how frontier ideology wildly distorts and rationalizes social differentiation. At first glance, the frontier myth appears playful, optimistic, and even idyllic. However, the underlying incongruences that stems from displacing historical and geographical quality is quite dangerous.

The media has a lot of pull in establishing what we know as the “frontier myth” because of their happy-go-lucky portrayal of urban pioneers. Movies became a source of  “fact,” and stories quickly stretched beyond their original context. Soon enough, history and even geography were distorted, reframed, and applied to different situations. The Old West frontier myth began to move east, where cities began its physical and demographic transformation. Whites ventured to new wilds (the City) where they infused middle class culture and ideals in places such as Ludlow and 42 Streets. Hence, the optimistic image of soaring real estate values that is commonly associated with the frontier myth ignores the exclusion that occurs below the surface.

With this in mind, Smith suggests that frontier ideology serves to tame the wild city and rationalize social differentiation. With the new urban frontier focused on nature and fads, there still remains an exaggeration of context (both historical and geographical) that classifies the ideology as “myth.” Smith believes such line of thinking displaces both class and race. People conform to social norms and those who refuse to follow are viewed as uncivil. Hence, in regards to social differentiation, classifying the poor and working class as “uncivil” is justified through the lens of frontier ideology because they cannot afford to conform. As a result, the happy-go-lucky image portrayed in movies, newspapers, and other sources of information is met with an image of exclusion and displacement that attempts to socialize an ideology.

Altogether, I found it interesting that Smith connected the frontier myth with the topic of gentrification (or social differentiation) because the connection is often overlooked. While his ideas are logically consistent and his criticism of the frontier myth seems justified, I question whether the resulting consequence was intended or simply a byproduct of urban pioneering.

In Re In Rem – Frank Braconi

Frank Braconi points out that New York’s in rem housing policy holds semblance to no other in the country. Beginning in the 1970s, the program was intended to be a temporary solution in light of disinvestment and abandonment. However, new tax policies and changes in demographics forced the City to continue standing in the gap. When disposition programs finally commenced, there was huge controversy over who should acquire the City’s large portfolio of abandoned buildings.

The origin of in rem housing lies directly in abandonment and disinvestment of buildings by working class whites. When these middle income families moved out of inner city neighborhoods into more appealing housing, they sparked the deterioration of buildings they left behind. With the wealthier families moving out, remaining residents were typically those who struggled to find jobs and pay the rent. Hence, buildings lost their best tenants and in the face of rising cost, could not afford proper maintenance. The city anticipated problems but only made them worse by altering the tax code. As a result, those who were delinquent in their payments for a single year were evicted, causing more abandonment. With the problem spiraling out of control, the City had no choice but to acquire the troubled buildings for the time being.

Although the program was intended to be temporary, problems persisted and the City found itself in the business of managing properties. Personally, I think the Housing Preservation Department was very efficient in their approach. They focused on consolidating housing and managed to increase occupancy from 40% to 85% while getting rid of 1900 buildings. In addition, they enacted rent regulation policies and cut costs by contracting maintenance jobs. Hence, while it was not their intention to manage housing, the City seemed surprisingly effective in handling them.

When the time came to dispose of the City’s huge housing portfolio, there was controversy over whether ownership should belong to tenants, nonprofits, or private parties. Tenant ownership seemed to foster low rent and anti-landlord rhetoric, both of which were bad for maintaining a building. The local nonprofit ownership appealed to many, but it proved to reveal no clear cost efficiencies. Nonprofits were found to set initial rents too low and as a result, struggled to make up their costs. The final and most controversial disposition program supported private ownership. Activists were outspoken against these parties, citing gentrification and the incompatibility of profit making and low-income housing. With such controversy circling disposition programs, it took until the Guiliani administration before the City could substantially deplete its in rem housing.

Hence, the longevity of New York’s in rem housing distinguishes it from any other city across the country. In the face of disinvestment and abandonment, the City managed to effectively consolidate housing and sap up tax revenue. Nonetheless, the program’s continuation (and even its end) stirred controversy and discontent from all groups, making it a burden to the City.

Response to “Government Can’t Help? Tell That to the South Bronx”

I have never heard the Bronx described as beautiful before. I mean no offense to anyone from the Bronx but people generally don’t hear very good things about the Bronx. It isn’t exactly how Manhattan is considered beautiful at all. When I read of the description of how the Bronx was before, I guess it has become a lot more beautiful. There was usually a lot of garbage out on the sidewalk and unusable buildings but the area has become much better.

It is nice to hear of the new buildings that are up now given the garbage that was there before. Honestly the buildings aren’t as grand as the ones say in Manhattan. There are skyscrapers but instead retail stores and supermarkets. However, the activities the residents get to enjoy are vastly more important. There is a community garden and a place where old men can play dominos. It isn’t a lot compared to construction in Manhattan but it is a vast improvement from before.

People do give Bloomberg a lot of hate for taking a third semester but according to this article, Bloomberg’s administration has helped out the city very much. I had no idea that such an enormous amount, 8 billion dollars, into public housing. I guess the project that we heard about in the museum trip will bear fruit depending on whose plan is chosen. People can be unsatisfied with their living conditions but when if they think about those who are homeless, their situations are a lot better.

I thought the jab at Obama at his plan was kind of unprofessional though. Honestly, it was a joke I laughed at but the article isn’t about Obama but about the Bronx. It felt unnecessary to me and the author shouldn’t have written it unless this was a critique of his presidency.

The old lady with the 21-year-old son was definitely a touching part of the article. She was living in a homeless shelter with her son for eight years. Now, she is able to live in a home. So other kids wouldn’t need to live without a family, she even took in two children from foster care. It is very sweet to hear because she was saved by the city, she wanted to save children.