The United States is the richest in the world, but its poverty rate is also the highest among the developed countries. In the United States, problems such as poverty, hunger and homelessness are quite serious, and the economic, social and cultural rights of working people are not guaranteed.

A study of eight advanced countries by London School of Economics in 2005 found that the United States had the worst social inequality, Reuters reported on April 25, 2005. The poverty rate of the United States is the highest in the developed world and more than twice as high as in most other industrialized countries (Newsweek, The Other America, Sept. 19, 2005). In recent years the fortunes of the rich have continued to rise in the United States. According to two new studies by Spectrem Group, a Chicago-based wealth-research firm, and the Boston Consulting Group, millionaire households (excluding the value of primary residences) in the United States controlled more than 11 trillion dollars in assets in 2004, up more than 8 percent from 2003 (Millionaire Ranks Hit New High, Wall Street Journal, May 25, 2005). Meanwhile, the income of ordinary employees in the United States has seen a sharp decline, causing the increase of poor population. The data issued by the U.S. Census Bureau said that the nation's official poverty rate rose from 12.5 percent in 2003 to 12.7 percent in 2004, with the number of people in poverty rising by 1.1 million from 35.9 million to 37 million, which means one in eight Americans lived in poverty. Poverty rates in cities such as Detroit, Miami and Newark exceeded 28 percent. The New York Times reported on Nov 22, 2005 that in 2004 3.9 million families had members who were undernourished.

Homelessness is a serious problem. The USA Today reported that a snapshot tally conducted in June 2005 found 727,304 homeless people nationwide, meaning about one in 400 Americans were without a home (National Count of Homeless Puts Issue In Human Terms, USA Today, Oct. 12 2005). According to a survey by the United States Conference of Mayors in 24 cities including Chicago, Boston and Los Angeles, requests for emergency shelter in 2005 increased in the survey cities by an average of 6 percent from a year earlier, with 71 percent of the cities registering an increase. Requests for emergency food assistance increased by an average of 12 percent, with 76 percent of the cities registering an increase. More than 3,100 families with nearly 6,000 children apply for emergency shelter in Washington D.C. annually, with many sleeping on the streets or in cars or bus stations (Lifting up the Poor, Letters To the Editor, Washington Post, Oct. 28, 2005). The Los Angeles Times reported on June 16, 2005 that Los Angeles County has become "the homeless capital of America," with the average number of vagabonds or people in shelters hitting 90,000 a day, including 35,000 people chronically homeless.

The rights of American labor are not guaranteed. According to statistics from the U.S. Department of Labor, in November 2005 the number of unemployed persons in the United States was 7.6 million, with an unemployment rate of 5 percent. Nearly 20 percent of the unemployed had been out of work for six months or more (Union: Job Cuts at GM 'Unfair', USA Today, Nov. 22, 2005). And about 3.6 million people were out of unemployment insurance (The New York Times, Jan. 1, 2005). Low pay, inadequate work conditions and lack of work protection are also a problem. The Washington Post reported on Aug. 3, 2005 that employees in American meatpacking plants face hard work in tough settings, and they suffer cuts, amputations, skin disease, permanent arm and shoulder damage, and even death from the force of repeated hard cutting motions. The China Press in New York City reported on Nov. 1, 2005 that employees in most New York restaurants lacked basic labor protection. They usually work overtime, with low pay and have hardly any health insurance. About 38 percent of them have been burned or scalded, and nearly half have experienced cut injuries. On Oct. 31 last year, transit workers in southeastern Pennsylvania of Philadelphia went on strike, due to disputes over health care insurance with the employer. In New York City, the transit workers union began a citywide strike on Dec. 20 last year after failing to reach a deal with the Metropolitan Transportation Authority in negotiations on wage and pension issues.

Per capita medical expenses in the United States are higher than in any other countries, however, the crisis of health insurance for workers is quite prominent. Statistics show that in 2004, the overall costs of health care increased 8.2 percent over 2003, but 45.8 million people or 15.7 percent of the total population were out of health insurance coverage, an increase of 800,000 people from the previous year. New York City alone had nearly two million residents without health insurance, with two thirds of them on payrolls. Each year 18,000 Americans die due to lack of medical treatment. A survey released by Kaiser Family Foundation in September 2005 found that only 60 percent of employers offered health insurance coverage, down from 69 percent five years earlier. In 2005 the average annual premium for family coverage hit 10,880 dollars. In coming years rising health care costs will price more and more people out of coverage. On Nov. 21,2005 U.S. House of Representatives passed a bill of budget reduction by 50 billion dollars, including funding for health care, food aid to the poor and support to children's projects, which suggests worsening of living conditions for the poor.