Poor choice

8 November 2011 By Christopher Swann

Revamped poverty data show an extra 3 mln Americans barely scraping by. Yet the figures also suggest that federal programs targeted by cost-cutters do actually help. Trimming help for the poorest risks worsening poverty and stoking the disquiet evident in Wall Street protests.

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The number of Americans living in poverty reached a record 49.1 million in 2010, according to a new study released by the U.S. Census Bureau on Nov. 7. That’s an increase of 3 million over earlier figures, released in September, that were based on an official poverty measure.

The new measure is designed to provide a fuller picture of poverty by allowing for the government benefits that poor people receive and the expenses they pay. The official benchmark focuses more narrowly on cash wages.

The new figures also set the poverty line at an annual income of $24,343 for a family of two adults and two children, compared with $22,113 under the official standard.

The study shows the national poverty rate at 16 percent of the population, compared to 15.1 percent reported under the official definition in September.

The latest report shows lower poverty rates for children and black people but higher rates for whites, Asians, Hispanics and elderly people with high medical expenses.

Context News

The new figures also set the poverty line at an annual income of $24,343 for a family of two adults and two children, compared with $22,113 under the official standard.

The study shows the national poverty rate at 16 percent of the population, compared to 15.1 percent reported under the official definition in September.

The latest report shows lower poverty rates for children and black people but higher rates for whites, Asians, Hispanics and elderly people with high medical expenses.

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