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Chapter IB Income and Poverty Chapter 13 Income and Poverty ensus income and poverty data measure questions into a single question. Census 2000 counted general economic circumstances and pro Median Household Income, 1999 105.5 million households in the United States and col vide insight into one element of the lives lected data on income for the calendar year 1999. of Americans. Also, income and poverty are often Income from wages and salary, self-employment, inter related to other social and economic indicators, and est and dividends, Social Security, Supplemental some of the geographic patterns seen in this chapter’s Security Income, public assistance, retirement, and all maps echo those shown for other topics in earlier other sources were aggregated for all individuals in a chapters. household to form household income. Income Data The 1940 decennial census was the first to include a Median Income of Households and Families question about income. Later censuses expanded and Median household income in 1999 was $41,994, up $50,000 to $55,146 $41,994 to $49,999 $35,000 to $41,993 $14,412 to $34,999 refined approaches to collecting income data. The 7.7 percent from 1989 in real terms (after adjusting most recent refinements included adding a question for 30 percent inflation over the period). In 1999, 12.3 about Supplemental Security Income and combining percent of households had incomes over $100,000 separate farm and nonfarm self-employment income and 22.1 percent had incomes below $20,000. Median ($29,423). The median income for non-Hispanic family income in the United States in 1999 was White households was $45,367. The median income Figure 13-1. Median Household Income (thousands o f dollars) by Household Type, 1999 $50,046. Median family income tends to be higher for Hispanic households was $33,676. Asian house than median household income because many house holds also had the highest percentage (19.8 percent) holds consist of people who live alone (Figure 13-1). of households with incomes of $100,000 or more; About 15 percent of all families reported incomes of 10.0 percent reported incomes below $10,000. Black $100,000 or more. households had the highest percentage (19.1 per cent) of households with incomes below $10,000; A ll h o u se h o ld s Median Household Income by State 5.9 percent reported incomes over $100,000. Maps Median household income in 1999 ranged from Married-couple households Fem ale householders, no husband present Male householders, no w ife present 13-30 through 13-36 later in the chapter illustrate $29,696 in West Virginia to $55,146 in New Jersey. geographic patterns of median income by race and The relative standings of the states changed little F a m ily h o u se h o ld s Hispanic origin at the county level in 1999. between 1989 and 1999. The same four states ranked highest in median income in 1989 and 1999 (New Households with a householder 45 to 54 years old reported the highest median income ($56,300). Jersey, Connecticut, Maryland, and Alaska). New Jersey Median income was lowest among households with a climbed two places to replace Connecticut as the state householder 15 to 24 years old ($22,679) and house Female householders Fem ales living alone Male householders Males living alone holds with a householder 75 years old and older the lowest median incomes in 1989 (Louisiana, Non fa m ily h o u se h o ld s with the highest median income. The four states with ($22,259). Arkansas, Mississippi, and West Virginia) were also the lowest in 1999, with West Virginia falling one place to replace Mississippi as the state with the lowest median income (map 13-01). Median Household Income by Educational Attainment and Nativity of Householder Median household income also varies by the Median Household Income by Race and Hispanic Origin and by Age of Householder educational attainment of the householder. Median household income in 1999 for households main tained by people without a high school diploma was 212 Median income in 1999 was highest for Asian house $23,449. The comparable figure for households holds ($51,908) and lowest for Black households maintained by someone who completed high school U.S. Census Bureau Median Household Income, 1999 H o useh o lde rs W ith o u t a H igh S cho o l Diplom a only was $36,764, and for households maintained 21.1 million households had incomes higher by someone who completed college, it was than $79,663. $62,248. Maps l 3-02 through l 3-04 illustrate state-level patterns in median household income The Poverty Rate for these three educational categories. In 1999, 12.4 percent of the U.S. population, or Median income in l 999 for foreign-born $23,449 to $32,093 $17,440 to $23,448 33.9 million people, were living in poverty, down households (those with a foreign-born householder) from 13.1 percent in 1989. (The glossary provides was $39,444, while the median income for native more information on the poverty definition and households was $42,299. The state-level geo poverty thresholds.) Poverty rates declined for most graphic patterns for median income by nativity— age groups (Figure 13-2). The poverty rate for chil seen in maps l 3-05 and l 3-06—appear broadly dren declined by 1.7 percentage points, from 18.3 similar to the overall national pattern. $8,857 (P R ) percent in 1989 to 16.6 percent in 1999. The poverty rate for people 75 and older fell from 16.5 Changes in Median Household Income by Region and State Median Household Income, 1999 H o useh o lde rs Co m pleted O n ly H igh School All regions and nearly all states posted increases in real median household income between l 989 and percent in 1989 to 1 1.5 percent in 1999. Median Household Income, 1999 N a tive H o useh o lde rs 1999. The Northeast had the highest median household income in l 999 ($45,481), followed by the West ($45,084), the Midwest ($42,414), and the South ($38,790). From 1989 to 1999, real median $40,000 to $45,624 $36,764 to $39,999 $30,000 to $36,763 $14,541 to $29,999 household income grew more in the South and the $45,000 to $56,000 Midwest than in the Northeast or the West. In the $42,299 to $44,999 South and Midwest, median income increased by $14,200 to $34,999 $35,000 to $42,298 11.4 percent; the West and Northeast posted gains of 7.6 percent and 3.6 percent, respectively. All states showed an increase in median household income with the exception of Alaska, Connecticut, Hawaii, and Rhode Island. The District of Columbia also did not show an increase in real Median Household Income, 1999 median household income. Colorado and South Median Household Income, 1999 H o useh o lde rs W ith a B achelor's D egree or Higher Dakota experienced the largest increases in real F o reign -B o rn H o useh o lde rs median household income (21 percent each). New Jersey and Connecticut had the largest proportions of high-income households in 1999. Thirty-two percent of households in New Jersey $75,000 to $87,080 $62,248 to $74,999 $50,000 to $62,247 $35,696 to $49,999 and 30 percent of Connecticut’s households had household income above $79,663 (the eightieth percentile figure for the United States). West Virginia, while not statistically different from Arkansas, Mississippi, Montana, North Dakota, and South Dakota, had the lowest concentration of high-income households, at 9 percent. Nationally, U.S. Census Bureau 2 13 Chapter 13. Incom e and P overty The child poverty rate in 1999 exceeded rates for adults, in 1999, the poverty rate for people aged 18 to 64, for example, was 11.1 percent, and Fig u re 1 3-2. United States, with a considerable proportion of those Percent in Poverty by Age Group, 1989 and 1999 counties also showing college completion rates below the national average. By 2000, the West had fewer the rates for people 65 to 74 years old and those counties with median household incomes at or above 75 and older were 8.5 percent and 1 1.5 percent, the national figure. Many counties with higher respectively. incomes and college completion rates were in metro Poverty Rates by Race and Hispanic Origin tan areas often also had median incomes at or above At 8.1 percent, non-Hispanic Whites had the lowest below the U.S. percentage. politan areas. Counties on the periphery of metropoli the national median but college completion rates Median household income in 1999 by census poverty rate in 1999. Poverty rates were higher for Asians and for Pacific Islanders (1 2.6 percent and tract for the most populous metropolitan areas is 17.7 percent, respectively) and among Blacks and shown in maps 13-15 through 13-23. A general pat the American Indian and Alaska Native population tern emerges, with many of the lower household (24.9 percent and 2 5.7 percent, respectively). income tracts found in the largest cities of metropoli Hispanics had a poverty rate of 22.6 percent. tan areas and many of the tracts with high median household incomes seen in suburban areas. Poverty rates also varied by family type and the presence and number of children. The poverty Map 13-24 reveals the ratio of median earnings rate for all married-couple families in 1999 (4.9 per of younger workers (16-to-44-year-olds) to older cent) was lower than the rate for male-householder workers (45-to-64-year-olds). The ratio for the country families with no spouse present (1 3.6 percent) and as a whole was 0.73 in 1999. female-householder families with no spouse present All people Under 18 18 to 64 65 to 74 75 and older (26.5 percent). Among the latter group, the poverty Another series of maps, 13-43 through 13-46, presents counties classified by poverty rates for 1969, rate for those with related children under 18 was 1979, 1989, and 1999. While counties shift in and out 34.3 percent in 1999, down from 42.3 percent This Chapter’s Maps in 1989. The maps in this chapter provide a close look at the number of counties with higher rates of poverty is geographic distributions of income levels and poverty visible. Regional and State Poverty Rates rates in the United States. A number of the maps of the various categories over time, a decline in the The geographic distribution of poverty within Census 2000 found differences in poverty rates examine income and poverty by various characteris the largest metropolitan areas in 1999 is seen in among the four U.S. regions. Overall, the South had tics, such as age, family structure, or citizenship maps 13-48 through 13-56. Echoing the geographic the highest poverty rate in 1999 (1 3.9 percent), fol status. patterns seen in median household income within lowed by the West (1 3.0 percent). The Northeast Trends in median household income at the metropolitan areas, the tracts with the lowest poverty had a lower poverty rate (11.4 percent), with the county level from 1969 through 1989 can be seen in rates are generally in suburban areas, while the tracts with the highest poverty rates are usually found in the Midwest experiencing the lowest rate among the maps 13-09 through 13-11. In all three maps, the four regions (10.2 percent). Poverty rates at the incomes were adjusted to current (1 999) dollars. central city or cities. In 1999, the overall poverty rate state level varied from a low of 6.5 percent in New When viewed in conjunction with the chapter’s county- for central cities of metropolitan areas was 17.6 per Hampshire to a high of 19.9 percent in Mississippi. level map on median household income in 1999 (map cent, while the rate for suburbs (the areas inside met The poverty rate in the District of Columbia— 20.2 13-08), changes over time in geographic patterns are ropolitan areas but outside the central city) was 8.4 percent— was not statistically different from the evident. Much of the South was in the lowest income percent. The poverty rate for nonmetropolitan terri poverty rate for Mississippi (map 13-07). category in 1969 and moved into higher income cate tory in 1999 was 14.6 percent. gories by 1999. Likewise, the major metropolitan areas in Texas are more prominent at the end of the Maps 13-60 and 13-61 compare the geographic distributions of children living in poverty and children period as more of their counties moved into higher living in high-income households. In 1999, 16.6 per income categories. At the same time, the higher cent of children were in poverty, while 8.1 percent income counties in the Northeast’s urban corridor and lived in households with incomes of $125,000 or the Great Lakes area in the Midwest are prominent in more (roughly 3 times the U.S. median household 1969 and less so by 1999, as incomes in counties income). The geographic pattern on the map of chil throughout the country increased. dren in poverty is similar to that of map 13-41, the Maps 13-12 and 13-1 3 illustrate income levels map of overall poverty. The map of children living in and education levels in 1950 and 2000. Each county gether. Aside from the Boston to Washington area and hold income and higher or lower on education (rela coastal California, metropolitan areas are more promi tive to the U.S. national percentage that completed nent than regions. Counties with high percentages of college). In 1950, many rural counties in the West had children in high-income households are generally met median incomes at or above the median for the 214 high-income households has a different pattern alto was categorized as higher or lower on median house ropolitan and are often suburban. U.S. Census Bureau Chapter 13. Incom e and Poverty According to Census 2000, the median household income in the United States in 1999 was $41,994, indi cating that half of all households had income above that figure and half had income below it. For individual coun ties, the median household income varied. As shown in the map above, counties with rela tively high median household income in 1999 are located in several parts of the country, with one area stretching U.S. Census Bureau across the heavily populated area in the Northeast, from southern Maine to northern Virginia, and a second large band found in the Midwest, from Ohio to Wisconsin. Other areas with higher median household income include Colorado, Utah, and California. One area of coun ties with relatively low median household income is found in eastern Kentucky and West Virginia; a second group of counties with lower household income hugs the lower Mississippi River in Arkansas, Mississippi, and Louisiana. Median household income in 1999 in metropolitan areas ($44,755) was higher than in nonmetropolitan coun ties ($33,687), and counties with higher median house hold income are often located within metropolitan areas. This pattern can be seen in Texas, north Georgia, Oregon, and Washington. 21 5 Chapter 13. Incom e and P overty Median Household Income, 1979 Median Household Income, 1989 I ■ $60,000 to $76,942 $60,000 to $71,291 $50,000 to $59,999 $50,000 to $59,999 $40,000 to $49,999 M edian household incom e in 1999 dollars U.S. median $35,822 to $39,999 Median household incom e in 1999 dollars U.S. median $39,009 to $49,999 $39,009 $35,000 to $39,008 $30,000 to $34,999 $25,000 to $29,999 Less than $25,000 216 $30,000 to $35,821 $25,000 to $29,999 $35,822 Less than $25,000 U.S. Census Bureau Chapter 13. Incom e and Poverty Median fam ily incom e (1949) and householder com pletion of 4 years of college (1950), relative to 1950 national levels; higher incom es and college com pletion values are at or ab ove U .S . values INCOME Low er Higher Higher m EDUCATION Low er Data not comparable M edian fam ily incom e (1999) and householder college com pletion (2000), relative to 2000 national levels; higher incom es and college com pletion values are at or ab o ve U .S . values INCOME Low er Higher Higher Lo w er EDUCATION m U.S. Census Bureau 217 Chapter 13. Incom e and P overty METROPOLITAN AREAS San Francisco-Oakland-San Jose, CA Median Household Income, 1999 Largest Metropolitan Areas $200,000 and over $100,000 to $199,999 U .S. m ap b y county; m etropolitan area m aps b y census tract $70,000 to $99,999 U.S. median $41,994 $41,994 to $69,999 $25,000 to $41,993 Less than $25,000 No households LosAngeles-Riverside- *> Orange County % *© \ o. 0 100 mi \ 0 7 GalvestonBrazoria \t v_ \ 200 mi i 1 0 100 mi 13-14 Los Angeles-Riverside-Orange County, CA 218 Houston-Galveston-Brazoria,TX U.S. Census Bureau Chapter 13. Incom e and Poverty METROPOLITAN AREAS Chicago-Gary-Kenosha, IL-IN-WI Boston-Worcester-Lawrence-Lowell-Brockton, MA-NH Dallas-Fort Worth, TX r O lt W orth New York-Northern New Jersey-Long Island, NY-NJ-CT-PA Dallas Philadelphia-Wilmington-Atlantic City, PA-NJ-DE-MD New York ’hiladelphia* N EW JE R S E Y ‘Atlantic City At anta. GA D IST R lA " o f O O I^ JM B IA ? Washington; D ELA W A R E Atlanta Washington-Baltimore, DC-MD-VA-WV U.S. Census Bureau 219 Chapter 13. Incom e and P overty Median Earnings Ratio, 1999 Ratio of m edian earnings of the population 16 to 44 years old to the population 45 to 64; includes part-time and seasonal w orkers Younger population earned more 1.00 to 4.42 0.80 to 0.99 U.S. 0.73 to 0.79 0.73 0.60 to 0.72 0.50 to 0.59 Older population earned more 0.16 to 0.49 Median Earnings, 1999 Older Working Age - cr> - $30,000 to $32,976 M edian earnings fo r the population 16 to 44 years old; includes part-time and seasonal workers $30,000 to $49,115 $25,000 to $29,999 $25,000 to $29,999 $20,000 to $24,999 U.S. median $15,999 $15,999 to $19,999 M edian earnings fo r the population 45 to 64 years old; includes part-time and seasonal workers U.S. median $21,900 $21,900 to $24,999 $15,000 to $21,899 $10,000 to $14,999 $2,499 to $9,999 220 $10,000 to $15,998 $2,499 to $9,999 U.S. Census Bureau Chapter 13. Incom e and Poverty Ratio of m edian earnings of w o m en to m en for the population 16 and older w h o worked year-round and full-time 1.18 to 1.41 1.00 to 1.17 0.85 to 0.99 U.S. ratio 0.73 0.73 to 0.84 0.60 to 0.72 0.45 to 0.59 Men earned more Less than 0.45 No women worked year-round and full-time Median Earnings, 1999 Median Earnings, 1999 Men Women I C I o - ? ' $45,000 to $70,063 M edian earnings fo r men 16 and older w h o worked year-round and full-time U.S. median $37,057 $37,057 to $44,999 $25,000 to $37,056 $20,000 to $24,999 $12,097 to $19,999 $35,000 to $46,014 M edian earnings fo r w o m en 16 and older w h o worked year-round and full-time U.S. median $27,194 $27,194 to $34,999 $20,000 to $27,193 $11,648 to $19,999 No women worked year-round and full-time U.S. Census Bureau 221 Chapter 13. Incom e and P overty Median Household Income, 1999 White Non-Hispanic Householders • £3>- $70,000 and o ver $40,000 to $49,999 $29,423 to $39,999 $15,000 to $29,999 $45,367 $50,000 to $69,999 $40,000 to $45,366 - $70,000 and over $45,367 to $69,999 $30,000 to $39,999 U.S. $15,000 to $29,422 Less than $15,000 Less than $15,000 No Black householders Median Household Income, 1999 Median Houshold Income, 1999 American Indian and Alaska Native Householders Asian Householders I :- .v - ■L $70,000 and o ver $70,000 and o ver $50,000 to $69,999 U.S. $40,000 to $49,999 U.S. median $30,599 $51,908 - $51,908 to $69,999 $40,000 to $51,907 $30,599 to $39,999 $15,000 to $29,999 Less than $15,000 222 $30,000 to $39,999 $15,000 to $30,598 j ■ Less than $15,000 No AIAN householders No Asian householders U.S. Census Bureau Chapter 13. Incom e and Poverty Median Household Income, 1999 Median Household Income, 1999 Pacific Islander Householders Two or More Races Householders ■r r ? § - o $70,000 and over $70,000 and o ver $50,000 to $69,999 $50,000 to $69,999 U.S. median $42,717 U.S. median $35,587 $42,717 to $49,999 $30,000 to $42,716 $35,587 to $49,999 $30,000 to $35,586 $15,000 to $29,999 $15,000 to $29,999 Less than $15,000 Less than $15,000 No Pacific Islander householders 1 I____ I No Two or More Races householders Median Household Income, 1999 Hispanic Householders - EZ&t $70,000 and o ver $50,000 to $69,999 $40,000 to $49,999 U.S. median $33,676 $33,676 to $39,999 $15,000 to $33,675 Less than $15,000 No Hispanic householders U.S. Census Bureau 223 Chapter 13. Incom e and P overty 224 U.S. Census Bureau Chapter 13. Incom e and Poverty U.S. Census Bureau 225 Chapter 13. Incom e and P overty Percentage of population in poverty 40.0 to 68.0 30.0 to 39.9 20.0 to 29.9 u .s. percent ~ 12.4 12.4 to 19.9 8.0 to 12.3 0.0 to 7.9 Percentage of population 65 and older in poverty 40.0 to 67.1 30.0 to 39.9 20.0 to 29.9 15.0 to 19.9 U.S. percent 9.9 226 9.9 to 14.9 0.0 to 9.8 U.S. Census Bureau Chapter 13. Incom e and Poverty Poverty, 1969 40.0 or m ore Percentage of population in poverty; U .S . percentage 13.7 20.0 to 39.9 Percentage of population in poverty; U.S. percentage 12.4 Less than 20.0 40.0 or m ore Percentage of population in poverty; U .S. percentage 13.1 20.0 to 39.9 Less than 20.0 U.S. Census Bureau 40.0 or m ore 20.0 to 39.9 Less than 20.0 Percentage of population in poverty; U.S. percentage 12.4 40.0 or m ore 20.0 to 39.9 Less than 20.0 227 Chapter 13. Incom e and P overty METROPOLITAN AREAS San Francisco-Oakland-San Jose, CA Poverty, 1999 Largest Metropolitan Areas 30.0 or more Percentage of population in poverty; U.S. m ap by county, metropolitan area m aps by census tract 20.0 to 29.9 U.S. 12.4 to 19.9 12.4 6.0 to 12.3 3.0 to 5.9 Less than 3.0 No population Boston-WorcesterLaw re nee-LowellBrockton PhiladelphiaW ilm ingtonA tla n tic City Detroit-Ann Arbor-Flint, Chicago-Gary-| \ Kenosha S a n Francisco O akland-San Jo s e NewYorkN orthern N e w JerseyLong Island W ashington. Baltim o re Los Angeles-RiversideO range C o u n ty * A tla n ta' DallasF o rtW o rth | 'H o u sto n GalvestonBrazoria 228 U.S. Census Bureau Chapter 13. Incom e and Poverty METROPOLITAN AREAS Chicago-Gary-Kenosha, IL-IN-WI Boston-Worcester-Lawrence-Lowell-Brockton, MA-NH W IS CO NS I N EW HAMPSHIRE MAINE Lawrence Lowel MASSACHUS Boston Worcestei Brockton, L IN O IS CONMECTJCUT Dallas-Fort Worth, TX New York-Northern New Jersey-Long Island, NY-NJ-CT-PA TEX MASSA NEW YORK Fort Wol CONNECT Newark Philadelphia-Wilmington-Atlantic City, PA-NJ-DE-MD New York S Y L V A NI A NE W JE R S E Y ‘Wilmington M-A R Y/L A Atlantic City Baltimore Atlanta, GA D ELA W A R E Washington-Baltimore, DC-MD-VA-WV U.S. Census Bureau 229 Chapter 13. Incom e and P overty Percentage in poverty am ong m arried couples with children 60.0 to 68.8 45.0 to 59.9 30.0 to 44.9 15.0 to 29.9 U.S. percent - 6.6 6.6 to 14.9 0.0 to 6.5 60.0 or m ore Percentage in poverty am ong m ale householders with children and no w ife present 60.0 or m ore 45.0 to 59.9 45.0 to 59.9 30.0 to 44.9 U.S. percent 17.7 17.7 to 29.9 5.0 to 17.6 Percentage in poverty am ong fem ale householders w ith children and no husband present U.S. percent 34.3 34.3 to 44.9 15.0 to 34.2 5.0 to 14.9 Less than 5.0 □ 230 Less than 5.0 No male one-parent families with children No female one-parent families with children U.S. Census Bureau Chapter 13. Incom e and Poverty Percentage o f population under 18 in poverty 50.0 to 81.3 30.0 to 49.9 20.0 to 29.9 U.S. percent - 16.6 16.6 to 19.9 10.0 to 16.5 0.0 to 9.9 Percentage of population under 18 in households with incom es of $125,000 and over 20.0 to 36.2 15.0 to 19.9 u .s. 8.1 to 14.9 percent 8.1 5.0 to 8.0 0.0 to 4.9 O U.S. Census Bureau 231
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