information for practice

news & new scholarship from around the world

August 28, 2006

How to assess tomorrow’s income and poverty numbers

Tomorrow, August 29, the Census Bureau will release findings regarding household income and poverty for 2005. It is possible these figures will show that median income increased in 2005 and poverty declined; that is the typical pattern for years well into an economic recovery. And if this is the case, Administration officials likely will hail the figures as good news (and seek to portray them as evidence of the success of Administration policies). But such an assessment would be much too simplistic. To assess the new poverty and income figures entails examining not only the changes that occurred between 2004 and 2005, but also the degree of progress (or lack thereof) in income and poverty during the current economic recovery, and comparing any such progress to the progress made during comparable periods of past recoveries.

Posted by Gary Holden at August 28, 2006 4:53 PM