One in eight Americans in poverty

WASHINGTON - In the world's biggest economy one in eight Americans and almost one in four blacks lived in poverty last year, the United States Census Bureau said today, releasing a figure virtually unchanged from 2004.

The survey also showed 15.9 per cent of the population, or 46.6 million, had no health insurance, up from 15.6 per cent in 2004 and the fifth increase in a row.

It was the first year since President George W Bush took office in 2001 that the poverty rate did not increase. As in past years, the figures showed poverty especially concentrated among blacks and Hispanics.

In all, some 37 million Americans lived below the poverty line, defined as having an annual income below around US$10,000 ($15,876) for an individual or US$20,000 for a family of four.

The last decline in poverty was in 2000, the final year of Bill Clinton's presidency, when it fell to 11.3 per cent.

"It shows that we are spending more money than ever on anti-poverty programmes and we haven't done anything to reduce poverty," said Michael Tanner of CATO Institute, a free market think tank in Washington.

Around a quarter of blacks and 21.8 per cent of Hispanics were living in poverty. Among whites, the rate edged down to 8.3 per cent from 8.7 per cent in 2004.

"Among African Americas the problem correlates primarily to the inner-city and single mothers," said Tanner, adding that blacks also suffer disproportionately from poor education and lower quality jobs.

Black median income, at US$30,858, was only 61 per cent of the median for whites.

Some 17.6 per cent of children under 18 and one in five of those under 6 were in poverty, higher than for any other age group.

Real median household income rose by 1.1 per cent between to US$46,326 from US$45,817 - its first increase since 1999.

The figures contained wide regional variations, ranging from a median household income of US$61,672 in New Jersey to US$32,938 for Mississippi.

Major cities with the highest proportions of poor people included Cleveland with 32.4 per cent and Detroit with 31.4 per cent under the poverty line.

- REUTERS