U.S. poverty rate rises 4th straight year

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http://www.iht.com/articles/2005/08/30/news/census.php

 

 

U.S. poverty rate rises 4th straight year

The Associated Press

 

WEDNESDAY, AUGUST 31, 2005

WASHINGTON The U.S. poverty rate rose to 12.7 percent of the

population last year, its fourth consecutive annual increase, the

Census Bureau said Tuesday.

 

The percentage of people without health insurance did not change.

 

Overall, 37 million people were living in poverty, 1.1 million people

more than in 2003.

 

Asians were the only ethnic group to show a decline in poverty, from

11.8 percent in 2003 to 9.8 percent last year. The poverty rate among

the elderly declined as well, from 10.2 percent in 2003 to 9.8 percent

last year.

 

The last decline in the overall poverty rate was in 2000, when 31.1

million people, or 11.3 percent of the population, lived under the

threshold. Since then, the poverty rate has increased steadily,

reaching 11.7 percent in 2001, when the economy slipped into

recession, and 12.5 percent in 2003.

 

The number of people without health insurance grew from 45 million to

45.8 million. At the same time, the number of people with health

insurance coverage grew by two million.

 

Charles Nelson, an assistant division chief at the Census Bureau, said

the percentage of uninsured had remained steady because of an

" increase in government coverage, notably Medicaid and the state

children's health insurance program, that offset a decline in

employment-based coverage. "

 

The median household income, meanwhile, stood at $44,389, unchanged

from 2003.

 

Among racial and ethnic groups blacks had the lowest median income and

Asians the highest. Median income refers to the point at which half of

households earn more and half earn less.

 

Regionally, income declined only in the Midwest, down 2.8 percent to

$44,657. The South was the poorest region and the Northeast and the

West had the highest median incomes.

 

The increase in poverty came despite strong economic growth, which

helped create 2.2 million jobs last year.

 

" I guess what happened last year was kind of similar to what happened

in the early 1990s, where you had a recession that was officially over

and then you had several years after that of rising poverty, " Nelson said.

 

Tim Smeeding, an economics professor at the Maxwell School of Syracuse

University, said the nation had experienced a shift from earnings

income to capital income and capital gains, which was not reflected in

the Census Bureau's latest numbers.

 

" Most of that growth in the economy over the last couple of years has

gone to higher income people and has taken the form of capital income

- interest, rents, dividends, " Smeeding said.

 

The poverty threshold varies according to the sizes and makeups of

households. For instance, a family of four with two children was

considered to be living in poverty if income was $19,157 or less. For

a family of two with no children, it was $12,649. For a person 65 and

over living alone, it was $9,060.

 

The estimates on poverty, level of insurance and income are based on

supplements to the bureau's Current Population Survey, and are

conducted over three months, beginning in February, at about 100,000

households nationwide.

 

 

WASHINGTON The U.S. poverty rate rose to 12.7 percent of the

population last year, its fourth consecutive annual increase, the

Census Bureau said Tuesday.

 

The percentage of people without health insurance did not change.

 

Overall, 37 million people were living in poverty, 1.1 million people

more than in 2003.

 

Asians were the only ethnic group to show a decline in poverty, from

11.8 percent in 2003 to 9.8 percent last year. The poverty rate among

the elderly declined as well, from 10.2 percent in 2003 to 9.8 percent

last year.

 

The last decline in the overall poverty rate was in 2000, when 31.1

million people, or 11.3 percent of the population, lived under the

threshold. Since then, the poverty rate has increased steadily,

reaching 11.7 percent in 2001, when the economy slipped into

recession, and 12.5 percent in 2003.

 

The number of people without health insurance grew from 45 million to

45.8 million. At the same time, the number of people with health

insurance coverage grew by two million.

 

Charles Nelson, an assistant division chief at the Census Bureau, said

the percentage of uninsured had remained steady because of an

" increase in government coverage, notably Medicaid and the state

children's health insurance program, that offset a decline in

employment-based coverage. "

 

The median household income, meanwhile, stood at $44,389, unchanged

from 2003.

 

Among racial and ethnic groups blacks had the lowest median income and

Asians the highest. Median income refers to the point at which half of

households earn more and half earn less.

 

Regionally, income declined only in the Midwest, down 2.8 percent to

$44,657. The South was the poorest region and the Northeast and the

West had the highest median incomes.

 

The increase in poverty came despite strong economic growth, which

helped create 2.2 million jobs last year.

 

" I guess what happened last year was kind of similar to what happened

in the early 1990s, where you had a recession that was officially over

and then you had several years after that of rising poverty, " Nelson said.

 

Tim Smeeding, an economics professor at the Maxwell School of Syracuse

University, said the nation had experienced a shift from earnings

income to capital income and capital gains, which was not reflected in

the Census Bureau's latest numbers.

 

" Most of that growth in the economy over the last couple of years has

gone to higher income people and has taken the form of capital income

- interest, rents, dividends, " Smeeding said.

 

The poverty threshold varies according to the sizes and makeups of

households. For instance, a family of four with two children was

considered to be living in poverty if income was $19,157 or less. For

a family of two with no children, it was $12,649. For a person 65 and

over living alone, it was $9,060.

 

The estimates on poverty, level of insurance and income are based on

supplements to the bureau's Current Population Survey, and are

conducted over three months, beginning in February, at about 100,000

households nationwide.

 

 

WASHINGTON The U.S. poverty rate rose to 12.7 percent of the

population last year, its fourth consecutive annual increase, the

Census Bureau said Tuesday.

 

The percentage of people without health insurance did not change.

 

Overall, 37 million people were living in poverty, 1.1 million people

more than in 2003.

 

Asians were the only ethnic group to show a decline in poverty, from

11.8 percent in 2003 to 9.8 percent last year. The poverty rate among

the elderly declined as well, from 10.2 percent in 2003 to 9.8 percent

last year.

 

The last decline in the overall poverty rate was in 2000, when 31.1

million people, or 11.3 percent of the population, lived under the

threshold. Since then, the poverty rate has increased steadily,

reaching 11.7 percent in 2001, when the economy slipped into

recession, and 12.5 percent in 2003.

 

The number of people without health insurance grew from 45 million to

45.8 million. At the same time, the number of people with health

insurance coverage grew by two million.

 

Charles Nelson, an assistant division chief at the Census Bureau, said

the percentage of uninsured had remained steady because of an

" increase in government coverage, notably Medicaid and the state

children's health insurance program, that offset a decline in

employment-based coverage. "

 

The median household income, meanwhile, stood at $44,389, unchanged

from 2003.

 

Among racial and ethnic groups blacks had the lowest median income and

Asians the highest. Median income refers to the point at which half of

households earn more and half earn less.

 

Regionally, income declined only in the Midwest, down 2.8 percent to

$44,657. The South was the poorest region and the Northeast and the

West had the highest median incomes.

 

The increase in poverty came despite strong economic growth, which

helped create 2.2 million jobs last year.

 

" I guess what happened last year was kind of similar to what happened

in the early 1990s, where you had a recession that was officially over

and then you had several years after that of rising poverty, " Nelson said.

 

Tim Smeeding, an economics professor at the Maxwell School of Syracuse

University, said the nation had experienced a shift from earnings

income to capital income and capital gains, which was not reflected in

the Census Bureau's latest numbers.

 

" Most of that growth in the economy over the last couple of years has

gone to higher income people and has taken the form of capital income

- interest, rents, dividends, " Smeeding said.

 

The poverty threshold varies according to the sizes and makeups of

households. For instance, a family of four with two children was

considered to be living in poverty if income was $19,157 or less. For

a family of two with no children, it was $12,649. For a person 65 and

over living alone, it was $9,060.

 

The estimates on poverty, level of insurance and income are based on

supplements to the bureau's Current Population Survey, and are

conducted over three months, beginning in February, at about 100,000

households nationwide.

 

 

WASHINGTON The U.S. poverty rate rose to 12.7 percent of the

population last year, its fourth consecutive annual increase, the

Census Bureau said Tuesday.

 

The percentage of people without health insurance did not change.

 

Overall, 37 million people were living in poverty, 1.1 million people

more than in 2003.

 

Asians were the only ethnic group to show a decline in poverty, from

11.8 percent in 2003 to 9.8 percent last year. The poverty rate among

the elderly declined as well, from 10.2 percent in 2003 to 9.8 percent

last year.

 

The last decline in the overall poverty rate was in 2000, when 31.1

million people, or 11.3 percent of the population, lived under the

threshold. Since then, the poverty rate has increased steadily,

reaching 11.7 percent in 2001, when the economy slipped into

recession, and 12.5 percent in 2003