"Why the poor pay more for toilet paper — and just about everything else"

[FSogol]

There are several ways to save money on, say, a roll of toilet paper. You can reach for the cheaper version: the store brand, or the singly-ply TP, or the stuff that feels like packing paper. Or you can buy in bulk, saving on each roll per unit. Or you can stock up when the deal is good, like when the corner store offers two packs for the price of one.

The poor, who need all of these strategies, are much less likely to use the last two. They can't afford to, according to some revealing research by University of Michigan professor Yesim Orhun and Ph.D. student Mike Palazzolo (hat tip to Michigan Public Radio).

snip

When Orhun and Palazzolo compared households with similar consumption rates shopping at comparable stores — and controlling for two-ply TP — they found that the poor were less likely than wealthier households to buy bigger packages, or to time their purchases to take advantage of sales. By failing to do so, they paid about 5.9 percent more per sheet of toilet paper — a little less than what they saved by buying cheaper brands in the first place (8.8 percent).

Perhaps this sounds like a subtle discovery about minor household goods. But it supports a larger point about poverty: It's expensive to be poor. Or, to state the same from another angle: Having more money gives people the luxury of paying less for things.

Whole article by Emily Badger at WAPO
https://www.washingtonpost.com/news/wonk/wp/2016/03/08/why-the-poor-pay-more-for-toilet-paper-and-just-about-everything-else/

x-posted to GD

[djean111]

1. Absolutely true. n/t

[raging moderate]

2. To those who think the poor actually COULD do this, if they would only wise up:

I have BEEN POOR. Please listen to me: NO, THEY CANNOT. They are deliberately prevented from gaining access to any extra money or space. The whole Republicon scheme is to deliberately skin every extra penny out of the meager wages poor people are given, as well as every extra square inch out of the living space they are allowed to obtain.

In fact, having cashed in my life savings to move myself and hubby into a small shabby house that we can maintain in our declining years, I am reminded of HOW LITTLE SPACE THERE ACTUALLY IS IN A POOR HOUSE OR APARTMENT, in the first place. You really cannot stockpile anything.

It took me decades to work my way out of poverty, and that was with the help of many people who somehow saw just what a trap poverty really is. At this point, unless the Republicons succeed in snatching my pension as they have done to others, I will probably not really be poor again. But I know that is partly due to great and undeserved good luck. And I wish the same good fortune to anyone who is still poor and trying to keep body and soul together, get an education, and raise children. Believe me, these people need MONEY AND PROTECTION, not lectures.

[FSogol]

3. You obviously didn't read the article, there was no lecture aimed at the poor. n/t

[raging moderate]

5. I rec'd the post. I am only reinforcing what it says.

Sorry if I was a little strident. Being poor really hurt!

[bemildred]

4. Nobody fears the poor, they are easy to exploit. nt

[zipplewrath]

6. It just gets worse

Everything they are saying is true, but it gets worse. Bad working hours can mean they are buying things at the 7-11 and paying a premium for that "convenience". Major repairs to a car may have them paying for short term/temporary repairs that aren't really worth the long term cost. Worse, preventative maintenance is skipped/delayed resulting in more serious damages that are expensive to repair/replace. Limited assets mean that things like cars and trucks get used for purposes that have poor returns.

And there is the "deposit" problem. All manner of goods and services can come with a "demand" that something either be secured with a deposit, or some significant portion be paid "up front". This will mean a significant portion of their savings will be tied up in securing in essence other peoples assets.

And then there are the issues that cause income loss. A house that needs repairs so a working shift is skipped. A sickness that is ignored and then ends up in the ER with a shift loss or worse, a job loss. A major set back that causes one to dip into a 401K with the associated penalties.

The system is "rigged" in favor of those with means. And it ain't just wall street. There's more crime in low income areas. Think about that. The poorest are more likely to have stuff stolen. Not only can they least afford it, BUT THEY HAVE THE LEAST STUFF TO STEAL. "Rigging" doesn't have to be intentional to be a problem in need of a solution. It can be the unintentional reality of result of our culture. But it still needs to be addressed instead of just blaming those that are the victims of this reality.

[marble falls]

7. There is a heavy tax for being poor.