Homelessness is primarily a poverty problem. The persistence of poverty in the United States reflects more than a simple aggregation of individual failures. Structural factors, such as how we understand and define poverty, the inherent characteristics of our economic system that produce income inequality, social inequalities, and our policy responses to these problems shape current trends. Economic changes had the strongest association with trends in overall rates, regardless of how poverty is measured. Poverty rates are high among minority groups, children and female-headed households (Iceland, 2003). According to the Icelandic professor's research, extreme poverty rates are highest among children and African Americans and lowest among whites, Asians and the elderly. Among families with children, married couples were less likely to be poor (6.9%) than single-parent males (17.5%) and single-parent females (35.3%). There are many things that can lead to a person becoming homeless, but this research will focus on the two main reasons, insufficient financial resources and affordable housing. Other causes include lack of education, domestic violence, mental illness, substance abuse etc. Insufficient Financial Resources The root cause of homelessness is largely explained by economics: People who become homeless do not have sufficient financial resources to obtain or maintain housing. Data from the U.S. Census Bureau's 2010 American Community Survey (ACS) shows that 75 percent of households below the poverty line are severely housing cost burdened. Unexpected financial crises would jeopardize housing stability and lead to an increased risk of homelessness. New York has the 25th highest poverty rate in the United States. According to America... middle of paper... those who live in poverty, those who lack sufficient economic resources, those who lack affordable housing, those who have health problems, and those who face unfair racial prejudice (criminal justice system). We also looked at the home situation of the homeless and how minorities fare in terms of education. Unless these racial disparities and inequities are addressed at all levels, including employment, housing, health, criminal justice, mental health, domestic violence and as well as other disparities that exist in this society, we would continually be a greater number of minorities who are homeless in New York City. There are many other factors that lead to homelessness besides those mentioned above, but for this research two factors will be examined; insufficient economic resources and lack of affordable housing.