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Whether they exist or not, the fact that the normal working population don't have to see or deal with it sounds like a significant upgrade.

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So, it's perfectly okay for the poor to suffer terribly as long as it's out of your sight.

Got it.

I'm saying that it sounds like they are suffering equally in both environments, so living in a place where it is hidden is a net benefit for everyone.

well, it is a net benefit for those who are not suffering from poverty, not everyone

How is it benefiting the people suffering?

Because they don't have to suffer in public and deal with the shame.

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