November 10, 2009

Written Assignment Part III:

Essay

Social Assistance: A Bottomless Pit

Course Section: CAN190BB

Course: The Canadian Political System
Location: Seneca College, Newnham Campus
Program: Business Administration (Newnham)
Instructor: Marc Menard
Student: Radu Chendrean
Student #: 066-772-054
Radu Chendrean Social Assistance – A bottomless pit 2

“Poverty is hunger. Poverty is lack of shelter. Poverty is being sick and not being
able to see a doctor. Poverty is not having access to school and not knowing how to read.
Poverty is not having a job, is fear for the future, living one day at a time.”
The World Bank Organization

Ever since Confederation, and especially after the war, the government has made

transfer payments from the federal level to the provinces in order to assist with

administrative cost sharing and to ensure basic universal benefits throughout Canada

(McDonald 1). Large amounts of money were spent to ensure a minimum standard of

living for all the country’s citizens but as we will see later on, the large expenditures

made little or no difference in most cases. Aside from making no real difference to the

lives of the beneficiaries, the outcome translated into the creation of vicious circles that

further impoverished the receivers.

One attempt of aiding the poor was initiated in Toronto in 1949 and consisted of

government subsidized housing for “deserving workers” (Purdy 1). The buildings erected

on the 42-lot acre in Toronto were designed to accommodate workers unable to afford

housing in the city’s open housing market. Communities and the media quickly

recognized the good intentions behind the project, and the Toronto Star referred to it as

“Heaven” (Purdy 1). Just a few years after the opening, it became obvious that the

“Heaven” was turning into a “Neighborhood of exile” (Purdy 2). The inhabitants of the

Regent Park housing community were becoming more and more marginalized due to

their overall low average income. The main criteria set by the government to qualify for

subsidized housing was of course low income, so as a result, most of the inhabitants were

either unemployed and living on the welfare system, or employed but unable to make
Radu Chendrean Social Assistance – A bottomless pit 3

end’s meet. There was also the stereotypical factor, of course, as most of them were

either black or immigrants. With the lack of buying power, businesses slowly started to

close their doors as they were no longer profitable, and the last convenience store to stay

open had to outfit its windows with “special wire meshing to prevent break-and-enters

and to close at nine o’clock each night for security reasons” (Purdy 61). Often residents

of Regent Park were the targets of odium, which caused many employment doors to

close. The only income opportunities available to the inhabitants of the area now

regarded as a “slum” (Purdy 1) were unskilled general labor jobs that offered low pay and

no benefits. With the decreasing income per family and the cost of living on the rise (due

mainly to transportation costs that now had to be covered in order to reach businesses that

offered basic needs such as groceries), a new culture started to emerge. Life was so hard

that the “slum” artists began depicting it through poetry or songs such as “All I know is

that I live in Regent Park”:

An everytime yu slam the door

sey no job

discrimination injustice

a feel the whip lick An its

the same boat

the same boat

the same boat

Oh Lawd, Oh Lawd, Oh Lawd, eh ya.

Lillian Allen, “Rub a Dub Inna Regent Park” (Purdy 43)

Radu Chendrean Social Assistance – A bottomless pit 4

The stigma Regent Park residents were carrying started to have an effect on the

education of their children as well, often being marginalized and almost coerced into

following technical schools and giving up the idea of higher education. With such

external influence, inhabitants were not only marginalized, but any opportunity was taken

away from future generations as well. It didn’t look like there was any way out. Reliance

on the state’s support became inevitable on a larger scale, and since it was the only form

of income for most of them, various strategies were used to benefit from as much

assistance as possible. It was not uncommon for young girls to get pregnant just to

increase the amount on the welfare cheque by the few extra dollars offered for dependent

children (Purdy 47). Not much has changed since.

With no way out and no hopes for the future, money started to go towards the

purchase of alcohol and recreational drugs, which, many would agree, is still the case. In

November 2000, John Baird then Social Services Minister argued that “drug abuse

among welfare recipients has become so rampant that drastic measures [were] needed”

(Kondro). He attempted to implement a system of drug testing for welfare recipients and

have the ones that tested positive removed from the welfare payroll. He was then

ridiculed by the media that suggested they [Tories of which he was part of] had “all been

smoking something that confused their judgment” (Kondro). Indeed the drug problem

was, and so high among welfare recipients that such a decision would have had the

benefits revoked for one in ten recipients (Kondro).

Some believe that the social assistance programs are too generous, so people just

avoid work. Hard evidence to support the idea was brought forward by the “Self

Sufficiency Project” that was implemented in two provinces. (Michalopoulos). The

purpose of the project was to “see if temporary earnings supplements would entice
Radu Chendrean Social Assistance – A bottomless pit 5

welfare recipients into finding jobs” (Michapoulos). The government offered salary

supplements for those leaving the welfare system and finding full time jobs. Not

surprisingly, an average of 29% of the recipients were employed full time by the end of

the fifth quarter of the project (Michapoulos). Indeed it is not always a matter of lacking

the skills required for employment, but rather lacking the motivation to seek employment

and being complacent in a relatively comfortable situation. The result of the project also

indirectly implies that the government is wasting at least 29% of the public money with

the support of these programs.

One could argue that the outlay could be put to better use if directed elsewhere.

Indeed through social assistance programs the government does not only waste existing

resources but also as a direct consequence, promotes a practice that will require more

funding in the years to come. In a study on intergenerational reliance of social assistance,

results showed that the more parents rely on government assistance, the more likely it is

that their children in turn will rely on the same source of income for at least part of their

lives (Beaulieu). This is definitely not the outcome that would thrill the largest part of the

population, especially since it implies the ongoing use of their money to support a group

that chooses not to provide for itself. The report following the study shows that “two

main reasons may explain the presence of a causal link. First the participation of parents

may reduce the stigma felt by their children when they use the [social assistance]

program (a “conformity” effect). This factor may therefore reduce their reluctance to rely

on the program. Secondly, children may learn how to use the program while living with

parents receiving [social assistance] benefits (a “learning effect)” (Beaulieu). Another

interesting fact the study found was that in most cases “youths above 18 years old were

especially prone to be asked by their [social assistance] claiming parents to claim

Radu Chendrean Social Assistance – A bottomless pit 6

[assistance] if they dropped out of school. The greater the intensity of parental use (as

opposed to incidence), the more likely it is that parents will encourage their children to

claim [assistance benefits]” (Beaulieu).

Since “suffering is the sole origin of consciousness” (Foydor Dostoyevsky), we

can argue that consciousness is not available for these groups. Consciousness in the

context used here, implies getting out of poverty and living meaningful lives. Unless they

are forced into the real world where they have to find a way out, true change might not be

possible for them. Furthermore, as demonstrated before, the government pays a high

price to only cover up the misery and unhappiness that prevails in the lives of these

people, without offering a way out. The “covering up” implies using the money to get

numb with drugs or alcohol, instead of being used as temporary support on they way of

finding employment and a meaning of life. There is an urgent need for the government to

stop the waste of public money and find alternative ways of getting the disadvantaged out

of poverty, now that it is obvious the current approach is not feasible in the long run.
Radu Chendrean Social Assistance – A bottomless pit 7

Works Cited:

Beaulieu, Nicolas, et al. "Intergenerational reliance on social assistance: Evidence from

Canada." Journal of Population Economics 18.3 (Sep. 2005): 539-562. Academic Search
Premier. EBSCO. Accessed 22 Sep. 2009
http://search.ebscohost.com/login.aspx?
direct=true&db=aph&AN=18891918&site=ehost-live&scope=site

Gillespie, Kerry "Subsidized housing decays, need grows." Toronto Star (Canada) (n.d.).
Canadian Reference Centre. EBSCO. Accessed 22 Sep. 2009
http://search.ebscohost.com/login.aspx?
direct=true&db=rch&AN=6FP2714149428&site=ehost-live&scope=site

Kondro, Wayne. "Ontario to impose 'urinary witch-hunt'?." Lancet 356.9244 (25 Nov.
2000): 1829. Academic Search Premier. EBSCO. Accessed 22 Sep. 2009
http://search.ebscohost.com/login.aspx?direct=true&db=aph&AN=3798294&site=ehost-
live&scope=site

Michalopoulos Charles - “Welfare-to-Work in Canada." (Focus, Fall 1999). Literary

Reference Center. EBSCO. Accessed 22 Sep. 2009
http://search.ebscohost.com/login.aspx?direct=true&db=lfh&AN=3017164&site=ehost-
live&scope=site

Purdy, Sean. "Ripped Off' By the System: Housing Policy, Poverty, and Territorial
Stigmatization in Regent Park Housing Project” 1951-1991”. Labor / Le Travail 52
(Fall2003 2003): 45-108. Academic Search Premier. EBSCO. Accessed 22 Sep. 2009
http://search.ebscohost.com/login.aspx?
direct=true&db=aph&AN=41231828&site=ehost-live&scope=site

Sarlo, Chris.” Measuring Poverty in Canada”. Poverty & Welfare (July 1, 2001). Fraser
Institute Website. Accessed October 5, 2009
http://www.fraserinstitute.org/researchandpublications/publications/2558.aspx