I found that the poverty level for a family of 4 in America is $22,050. (
http://aspe.hhs.gov/poverty/09poverty.shtml)
There is absolutely no
way I could maintain my family on that income; daycare alone for two children runs about $12,000 a year, groceries run us about $6,500 a year, medical care and insurance (that I pay) runs about $4,200 a year. Those three expenses alone are $22,700 a year, supposedly above the poverty line. That doesn't even count what we pay for housing, clothes, cars/transportation to get to work...
Maintaining/paying for a household is astonishingly expensive; I can totally believe that people can get tipped over that poverty line pretty easily.
There are a
lot of churches and charity organizations that help people out. There would be a lot more starving people otherwise.
There is something to be said for simplicity and appreciating the non-material things in life. Maybe we don't do that enough here. But... people sometimes imply that financial woes are all caused by wanting the lifestyle of the rich and famous... and folks, the lifestyle of the middle-class and boring is very pricey too. A fairly modest middle-class lifestyle is
not cheap in America, and you have to work hard and be able to get a good job in order to afford it.
I am not very familiar with how the middle-class lives in other developed countries, but from what I see they don't live too differently from here.