Tag: Homelessness

Silicon Valley Addresses Homelessness by Picking at the Scab

It’s frustrating to see homelessness documented in my beloved Silicon Valley, not only because homelessness is regretable, but because of the way it’s documented in this Bill Moyers piece.

Homelessness exists “in the shadow of Google, in the shadow of Oracle, in the shadow of Apple Computer,” says AP writer Martha Mendoza, whose story inspired the Moyers video. And there’s certainly editorial in the video’s images of wealthy neighborhoods and manicured corporate campuses: Wealth causes poverty, it appears.

But would Teresa Frigge really be doing better if Larry Ellison had been held to middle class wealth? In an alternate universe where Larry Page and Sergey Brin co-own the McDonalds at El Camino and Santa Cruz in Menlo Park, how is Teresa better off?

Rather than dumb juxtaposition, look for actual causes of inequality. Is it the loss of chip manufacturing? That was already declining in 1987.

Housing is hard to find in the Valley. Fifteen years ago, “for every five jobs they were adding, they were building two units of housing,” Mendoza reports.

Disambiguate “they.” For every five jobs Silicon Valley businesses were adding, Silicon Valley builders were building two units of housing.

The reason why? Zoning laws are strangling Silicon Valley. (Liberals agree.) The cap on housing artificially raised the cost of labor, driving chip manufacturing out of Silicon Valley, which still designs chips for manufacture elsewhere. The result is class striation.

But zoning reform is nowhere to be found in the reporting on this issue. Instead, Mendoza features San Jose’s increase in the minimum wage—from $8 to $10. That means that people who cannot provide well more than $20,000 in value per year to prospective employers may not work legally in that city.

The laws say that you may not work in this area if you’re not skilled, and you may not live there if you’re not rich. I don’t think it’s wealth that’s causing this homelessness.

Homeless Scare Numbers

The National Center on Family Homelessness has generated headlines today by releasing a report that claims “one in 50 children is homeless in the United States every year.” That would be a total of 1.5 million homeless children, a truly shocking figure. The number is all the more shocking because the U.S. Department of Housing and Urban Development says there actually only 671,000 people were homeless in 2007 (the last year for which data is available), of which only about 249,000 were people in families. Assuming even one adult per family would mean there were around 166,000 homeless children, far too many, but also far fewer than 1.5 million.

What accounts for the discrepancy? First, the National Center uses an incredibly broad definition of homeless. For example, in addition to those we usually think of as homeless (those living in shelters or on the streets), they also include people “Sharing the housing of other persons due to loss of housing, economic hardship, or a similar reason.” Under this definition, when your out-of-work in-law crashes on your couch, he’s homeless. The National Center also includes people “living in motels, hotels, trailer parks, or camping grounds,” children awaiting foster care placement, and children of migratory farm workers. And, a child needs only to fall into one of these categories for a single day to qualify as homeless.

Second, this study, like the HUD study as well, are not actual counts of the homeless, but estimates and extrapolations based on reports by various government agencies. The Census Bureau does attempt to do an actual head count of the homeless (170,000 in 2000), but that estimate is both out-of-date and generally criticized as an undercount. Still, going from that estimate to 1.5 million homeless children seems quite a stretch.

Homelessness is clearly a problem, and for the children involved, a tragedy, but scare headlines are a poor substitute for thoughtful public policy.