Census data show increased poverty rate in Michigan

Sep 13, 2011

The U.S. Census Bureau released more data today cataloging the nation's median household income, poverty rate, and the percentage of people without health insurance coverage.

Census officials say this data represents the first full calendar year after the December 2007-June 2009 recession.

For health insurance coverage, the differences between 2009 and 2010 were not significant. It's estimated that 16.3 percent of the population is without coverage - about 49.9 million people.

Real median household income in the U.S. in 2010 was $49,445, - a 2.3 percent decline from the 2009 median.

Not surprisingly, the nation's poverty rate was up. "Poverty" is defined by the number of people in a household vs. their income. For example, a family of four that includes two children is considered in "poverty" if  their income is below $22,113.

From the U.S. Census Bureau:

The nation's official poverty rate in 2010 was 15.1 percent, up from 14.3 percent in 2009 ─ the third consecutive annual increase in the poverty rate. There were 46.2 million people in poverty in 2010, up from 43.6 million in 2009 ─ the fourth consecutive annual increase and the largest number in the 52 years for which poverty estimates have been published (emphasis added).

This information covers the first full calendar year after the December 2007-June 2009 recession. See section on the historical impact of recessions.

The Detroit News broke down what the numbers mean here in Michigan. They point out that more numbers will be out next week, which could drive the numbers higher:

For Michigan, the numbers hint at a substantial rise in poverty. In 2010, the survey showed 15.5 percent of Michigan residents in poverty, up from 14 percent in 2009. Compared to all states, Michigan's poverty rate is 20th, same as last year.

However, the poverty numbers released Tuesday are from the annual Current Population Survey (CPS) of 100,000 households in the country. Although state-level poverty numbers are being released, more accurate statistics at the state level will come out next week with the release of the 2010 American Community Survey (ACS), which surveys 3 million nationwide. Last year, the CPS indicated that 14 percent of Michigan residents were living in poverty; the ACS revealed that far more, 16.5 percent, were.

Over the last five years, Michigan's poverty numbers from the ACS have trended higher than the CPS.