Census: No Sign of Economic Rebound for Many in U.S.

census survey shows uneven recovery
Michael S. Williamson, The Washington Post/Getty Images

WASHINGTON -- Even as the economy shows signs of improvement and poverty levels off, new U.S. census data suggests the gains are halting and uneven. Depending on education, race, income and even marriage, not all segments of the population are seeing an economic turnaround.

Poverty is on the rise in single-mother families. More people are falling into the lowest-income group. And after earlier signs of increased mobility, fewer people are moving as homeownership declined for a fifth straight year.

"We're in a selective recovery," said William H. Frey, a Brookings Institution demographer who analyzed the numbers.

The annual U.S. survey of socioeconomic indicators covers all of last year, representing the third year of a post-recession rebound.

The figures, released Thursday, also show a slightly faster pace of growth in the foreign-born population, which increased to 40.8 million, or 13 percent of the U.S. Last year's immigration increase of 440,000 people was a reversal of a 2011 dip in the influx, when many Mexicans already in the U.S. opted to return home.

Many of the newer immigrants are now higher-skilled workers from Asian countries such as China and India. The number of immigrants in the U.S. with less than a high school diploma, who make up the bulk of the total foreign-born population, fell slightly in 2012 to 10.8 million. Immigrants with bachelor's degrees or higher rose by more than 4 percent to 9.8 million.

In all, 21 states saw declines last year in their Hispanic foreign-born population, led by New Mexico, Illinois and Georgia.

The number of Americans in poverty remained largely unchanged at a record 46.5 million. Single-mother families in poverty increased for the fourth straight year to 4.1 million, or 41.5 percent, coinciding with longer-term trends of declining marriage and out-of-wedlock births. Many of these mothers are low income with low education. The share of married-couple families in poverty remained unchanged at 2.1 million, or 8.7 percent.

By race, a growing proportion of poor children are Hispanic, a record 37 percent of the total. Whites make up 30 percent, blacks 26 percent.

The numbers also reflect widening economic inequality, an issue President Barack Obama has pledged would be a top priority of his administration to address. Upward mobility in the U.S. has been hurt by a tight job market and the longer-term disappearance of mid-skill jobs due to globalization and automation.

The new census data shows that lower-income households are a steadily increasing share of the population, while middle- to higher-income groups shrank or were flat.

In 2012, households earning less than $24,999 made up 24.4 percent of total households, up from 21.7 percent four years earlier. The share of households earning $50,000 to $99,999 slipped from 31.2 percent to 29.9 percent. Top-income households making more than $200,000 dipped less, from 5 percent to 4.6 percent over that period.

The still-weak economy also meant fewer household moves in 2012.

After showing signs of increased migration in 2011, fewer Americans were on the move, many because of few job opportunities or the inability to buy a home.

U.S. migration fell by 0.2 percent in 2012 after edging up the previous year. While the number of longer-distance moves remained steady at 2.3 percent, moves within a county edged lower to 9 percent, particularly among young adults 18-34.

Demographers say that suggests eroding career opportunities and a diminished ability to buy a home. Young adults typically make long-distance moves to seek a new career, while those who make local moves often do so when buying a home.

Homeownership declined for the fifth year in the row to 63.9 percent.

"Many Americans continue to think that a rising tide lifts all boats," said Sheldon Danziger, a University of Michigan economist. "But the bad news is that given the way economic growth trickles down now, the number of poor and disadvantaged will remain high unless we do more to help those in need."

With poverty remaining high, food stamp use continued to climb. Roughly 15.8 million, or 13.6 percent of U.S. households, received food stamps, the highest level on record. Just over half of these households, or 52 percent, were below poverty and 44 percent had one or more people with a disability.

By state, Oregon led the nation in food stamp use at 20.1 percent, or 1 in 5, due in part to generous state provisions that expand food stamp eligibility to families. Oregon was followed by more rural or more economically hard-hit states, including Mississippi, Kentucky, Maine, Michigan and Tennessee. Wyoming had the fewest households on food stamps, at 7 percent.

In 45 states and the District of Columbia, poverty rates remained steady at high levels. Mississippi, the poorest state in the nation, was one of just three states posting increases, from 22.6 percent to 24.2 percent. California and New Hampshire were the others.

In Minnesota and Texas, the percentage of people in poverty declined.

Among the 25 largest metropolitan areas, the Washington, D.C., area had the highest median household income in 2012 at $88,233, followed by the San Francisco and Boston metro areas. The Tampa-St. Petersburg metro area had the lowest median house income at $44,402.

Increase your money and finance knowledge from home

Economics 101

Intro to economics. But fun.

View Course »

Building Credit from Scratch

Start building credit...now.

View Course »

Add a Comment

*0 / 3000 Character Maximum


Filter by:

" Even as the economy shows signs of improvement and poverty levels off "........

LOL !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

September 19 2013 at 1:25 PM Report abuse rate up rate down Reply
Clarence Swinney

Obama campaigned on cutting Bush Deficit of 1400B by half in his first term.
It appears it will be 642B on 9-30-13 or end of his fourth budget.
Spending cuts helped but big item was increase in Revenues.
EXPENDITURES-(3777 Billion)
Social Security-Unemployment-Labor-33%
Medicare-Health Care—25%
Interest 5%
Vet Benefits-4%
Education- 2%
Energy % Environment-1%
International Affairs-1%
Government 1%

REVENUE—(3033 Billlion)
Individual Income Tax-46%
Payroll Tax—34%
Misc 5%
Custom duties—1%

Deficit-744 Billion—(2008 Budget last one under 1000B Deficit)
Recall fuss over Bush not budgeting two wars? 20143 Budget does not include Afghan War funding
Why cannot we pay our way with a 14,000B Income and 3777 outlays? Simple. Most of Income is at top and they have power ($$$$) to control Congress. Yes! They pay Most but lesser part (%) of income.

September 19 2013 at 11:41 AM Report abuse rate up rate down Reply

We must remember we are still reeling from the policies of the bush jr. administration. This article is one reason we must shore up social security and medicare. If you are on social security and medicare thank a democrat if you want to end these 2 fine programs vote republican. Remember, many children and senior citizens in this country is going to bed each night hungry.

September 19 2013 at 11:28 AM Report abuse rate up rate down Reply

Today's 35-50 year olds..will reach retirement with low savings/co. benefits. They will have to work till 80 or will need havy government assistance which will break our economy on a grand scale. Those retirees will not have inheritences coming their way also, because the current retirees are eating away their savings and assets already.

September 19 2013 at 11:13 AM Report abuse rate up rate down Reply

Face it, there is no such thing as a free ride. Most things that are free may look good at the time but usually aren't worth much in reality. The free money will catch up with the economy in the future. It's like the obese guy at the buffet, it's great gorging, but the heart attack comes eventually.

September 19 2013 at 10:43 AM Report abuse rate up rate down Reply

The Obama recovery.... how is all that Hope and change feeling now?

September 19 2013 at 10:23 AM Report abuse +2 rate up rate down Reply
1 reply to bchrist751's comment

Good compared too the great bush recession, Auto industry is up, housing is up, wall street is up, GDP is up, aerospace is up and my business is up.

September 19 2013 at 6:59 PM Report abuse +1 rate up rate down Reply

What BLEEPING economic recovery. After five years of Barack Hussein Obama's disastrous economic policies only the Wall St "fat cats" that he said he wasn't here to cater to are doing well.

His assistant Treasury Secretary has been artificially propping up the markets by creating billions of dollars of "monopoly" money making the dollar more and more worthless, but lining the pockets of Wall St.

In the meantime only 47% of those fortunate enough to have jobs, have full time jobs. The real unemployment rate continues to hover around 10%, while it is also artificially been driven down by the nearly 10 million people who have given up looking for jobs, rather than by people finding jobs.

Leave it to the sycophantic Administration Press to continue to shill for the hapless collectivist they helped get elected by refusing to divulge who this anti-Capitalist truly was and is.

September 19 2013 at 9:59 AM Report abuse rate up rate down Reply
1 reply to tmoschetti's comment

and it is only going to get worse with Obama care... the old 40 hr work week and health care benefits will be replaced by a 25 hr work week and a health care voucher from your employer if you are lucky...

Obama has killed the America life style! now, were can one buy a donkey and a chart? 3rd world here we come.

September 19 2013 at 10:26 AM Report abuse rate up rate down Reply