Indiana Experiences One of the Highest Poverty Rate Increases in the Country in 2010
Indianapolis, IN—The release of Income, Poverty, and Health Insurance Coverage by the U.S. Census Bureau provides a look at just how damaging the recent recession and jobless recovery have been as more Americans are now living in poverty ($18,310 for a family of three in 2010). Data released today from the Current Population Survey shows that Indiana’s poverty rate has increased from 13.1 percent in 2007-2008 to 16.2 percent in 2009-2010.1 This increase is not only statistically significant, but is the sixth highest increase in poverty rate in the country.
Additionally, Indiana now has a higher poverty rate than all of its neighboring states, except Kentucky whose poverty rate is 17.4 percent (Illinois-13.7, Michigan-14.8, Ohio-14.3, and Wisconsin-10.3).2 Indiana has the 14th highest poverty rate in the country. “Indiana is considered to be faring the recession better than our neighboring states due to our ability to amass a state surplus, however, these new poverty numbers show this is not the case. Indiana’s poverty rate is higher than those of our neighboring states and more Hoosiers are struggling to support their families and make ends meet,” said Lisa Travis, Program Manager with the Indiana Institute for Working Families.
The number of Hoosiers in poverty has grown substantially since 2000, when 7.7 percent of the state’s population earned less than poverty. Ten years later the poverty rate has skyrocketed by 8.5 percentage points to reach 16.2 percent. One in six Hoosiers lived in poverty in 2010, up from 1 in every 13 persons in 2000.
“Maybe now is the time to consider putting that state surplus to use to give Hoosiers the hand up they need to get out of poverty including increasing access to work supports and education and job training needed to obtain jobs that pay higher wages,” said Travis.
Poverty has become more prevalent in Indiana than in the nation as a whole in 2010, as the national poverty rate stands at 15.1 percent. The nation’s poverty rate in 2010 was the highest since 1993 and is up about a percentage point from 14.3 percent in 2009. Nationwide, 46.2 million people were in poverty, up from 43.6 million in 2009, according to the Census Bureau this is the fourth consecutive annual increase in the number of people in poverty.