CEPR Explains Inequality and Poverty
|Written by Nicole Woo|
|Thursday, 30 September 2010 17:24|
CEPR senior economist John Schmitt testified on Thursday in front of the Congressional Out of Poverty Caucus on "An Emergency Response to the Crisis of Poverty in America: Understanding the Crisis and Refocusing the Fight." In his testimony, (see his full statement here) John pointed out that:
[E]ven before the Great Recession, the poverty rate was high by historical standards... at the peak of the last business cycle in 2007, one in eight people in this country had an income that we would have considered to be poor a half a century ago. Over the last thirty years, even as the economy grew by almost 70 percent per person, the share of the population that we judge to be poor has actually increased....
This is just the latest of CEPR's recent work to educate the public about poverty and inequality in the United States. Earlier this month, when the Census Bureau released their latest poverty numbers, CEPR's Shawn Fremstad provided an important focus on a "make ends meet" standard:
According to the report, in 2009 one in three Americans had incomes that fall below the amount most Americans and various budget estimates show is necessary to “make ends meet” -- $45,000 to $50,000 for a family of four.
Fremstad argues that the current poverty threshold is unrealistic.
For more, check out CEPR's Inequality and Poverty issue page.