Poverty in America

Action Alert: Modernize Poverty Measurement

Published August 11, 2009 @ 01:01PM PT

NAS vs. official poverty measures
Two bills have been introduced in Congress to update our federal poverty measure that is based on an extremely antiquated estimated proportion of a family's budget spent on food.  Both the House and Senate bills rely on National Academy of Science recommendations in which "the cost of food, clothing, housing, utilities and medical expenses be considered. Income from non-cash benefits, such as food stamps and government tax credits, should also be counted" in an updated poverty measure (right now, these social supports can tip people over the poverty line and deny them much needed assistance).

The linked news piece above shows that by following the NAS recommendations, the new poverty line for a family of 4 (2 adults, 2 kids) in 2007 $$ would jump from about $21k to almost $28k, an increase of almost 25%.  To my eye, it still looks extremely low.  We really need to make geographic considerations when tying assistance programs to estimated costs of living.

This reform is at the heart of the work we do as anti-poverty activists.  So far, the House bill, introduced in June, has 10 sponsors, all Dems, and has probably gone on to a quiet convalescence in the House Ways and Means and House Oversight and Govt. Reform Committees.  The Senate Bill is less than a week old, introduced by Dodd and co-sponsored by Sen. Bingaman of New Mexico (D).  It's gone on to the Senate Health (etc.) Committee, which might have its hands full right about now.

Healthcare reform or not, this is one issue that can't wait.  Contact Your Representatives (and Committee Members above) and tell them to support an updated poverty measure today!

(Difference in NAS and official poverty measures, from The Stanford Ctr for the Study of Poverty & Inequality)

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Comments (1)

  1. Kathryn Baer

    The House bill--the Measuring Poverty Act (H.R. 2909)--would establish a measure that took account of geographic differences. I haven't read the Senate bill yet, but assume it would too.

    BUT the new measure wouldn't be used to calculate either eligibility for or amounts of federal benefits. We'd have a better idea of how many poor people there are and a better fix on the inadequacies of our safety net. But we'd need further legislation to translate all this into reforms that would make a practical difference.

    Posted by Kathryn Baer on 08/11/2009 @ 02:30PM PT

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Leigh Graham

Leigh is a PhD candidate in urban planning at MIT, and a consultant on U.S. Gulf Coast recovery. She sits on the Board of the Allston-Brighton Community Development Corporation in Boston, and has worked with non-profits, foundations and local governments on policies and programs aimed at reducing urban poverty and inequality.

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