Robert J. Samuelsen writes on economic issues in the Washington Post and Newsweek. Unlike many columnists with an axe to grind, he makes a big deal about facts and figures. The government's annual poverty statistics were released last week, indicating poverty, as they measure it, had fallen three tenths of a point, to 12.3%.
Samuelsen looks behind the figures and makes a convincing case that the poverty level is stuck for a simple reason - the rise in immigration is responsible for the maintenance of the poverty level.
Robert J. Samuelson - Importing Poverty - washingtonpost.com
The standard story is that poverty is stuck; superficially, the statistics support that. The poverty rate measures the share of Americans below the official poverty line, which in 2006 was $20,614 for a four-person household. Last year, the poverty rate was 12.3 percent, down slightly from 12.6 percent in 2005 but higher than the recent low, 11.3 percent in 2000. It was also higher than the 11.8 percent average for the 1970s. So the conventional wisdom seems amply corroborated.
It isn't. Look again at the numbers. In 2006, there were 36.5 million people in poverty. That's the figure that translates into the 12.3 percent poverty rate. In 1990, the population was smaller, and there were 33.6 million people in poverty, a rate of 13.5 percent. The increase from 1990 to 2006 was 2.9 million people (36.5 million minus 33.6 million). Hispanics accounted for all of the gain.
Consider: From 1990 to 2006, the number of poor Hispanics increased 3.2 million, from 6 million to 9.2 million. Meanwhile, the number of non-Hispanic whites in poverty fell from 16.6 million (poverty rate: 8.8 percent) in 1990 to 16 million (8.2 percent) in 2006. Among blacks, there was a decline from 9.8 million in 1990 (poverty rate: 31.9 percent) to 9 million (24.3 percent) in 2006. White and black poverty has risen somewhat since 2000 but is down over longer periods.
Only an act of willful denial can separate immigration and poverty. The increase among Hispanics must be concentrated among immigrants, legal and illegal, as well as their American-born children. Yet, this story goes largely untold. Government officials didn't say much about immigration when briefing on the poverty and income reports. The American Enterprise Institute, a conservative-leaning think tank, and the Center on Budget and Policy Priorities, a liberal advocacy group for the poor, both held briefings. Immigration was a common no-show.
Why is it important to get this story straight?
One reason is truthfulness. It's usually held that we've made little, if any, progress against poverty. That's simply untrue. Among non-Hispanic whites, the poverty rate may be approaching some irreducible minimum: people whose personal habits, poor skills, family relations or bad luck condemn them to a marginal existence. Among blacks, the poverty rate remains abysmally high, but it has dropped sharply since the 1980s. Moreover, taking into account federal benefits (food stamps, the earned-income tax credit) that aren't counted as cash income would further reduce reported poverty.
We shouldn't think that our massive efforts to mitigate poverty have had no effect. Immigration hides our grudging progress.
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