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City's Poverty Rate Rises, Federal Rate Falls
By
Jaya Saxena
Published Mar 3, 2010
Modified Mar 3, 2010
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By
Jaya Saxena
Published Mar 3, 2010
Modified Mar 3, 2010
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According to a new standard based on research by the National Academy of Sciences, the number of people classified as "poor" in New York city rose by nearly 160,000 from 2005 to 2008, from 20.6% of the population to 22%. This new standard takes into account things like housing, medical and child care expenses. However, the federal census reports a decline in poverty for the city between 2005 and 2008, from 19.1% to 17.6%. So what's with the difference?
The Times reports that one of the major factors is the rising cost of housing in the city. City officials raised the limit of what defines "poverty" 25% for a family of four. Now any family of four with an annual income below $30,419 is considered poor, and even that number is still low. The federal threshold in 2008 was $21,834. The recession also hit the city hard, and one in five families failed to earn enough to escape poverty. Many elderly citizens also fell into poverty by not being reimbursed for medical expenses.
Yesterday, the Obama administration said it would adopt a poverty standard similar to the city's standard, which would take into account things like food stamps and the varying costs of living across America. However, officials still think the city's poverty rate may have risen for 2009. “People aren’t necessarily losing their jobs,” said Mark K. Levitan, the director of poverty research for the Center for Economic Opportunity, “but are moving down the job ladder.”
Tagged
census
obama administration
poverty
Jaya Saxena
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