U.S. Poverty Rate Up, Income Down for Second Straight Year

Nearly 1.7 million people fell into poverty last year, ticking the official poverty rate up to 12.1 percent from the 2001 rate of 11.7 percent, the second straight year that poverty has increased in the United States, the U.S. Census Bureau reported today.

Nationally, median household money income fell 1.1 percent -- or by $500 -- between 2001 and 2002, to $42,409 from $42,900. After-tax income fell a slightly smaller 0.8 percent.

Since cash incomes peaked in 1999 at $43,915, household money income has dropped $1,506.

The poverty rate has risen from a trough of 11.3 percent in 2000 to the 2002 rate of 12.1 percent. In 2001 and 2002, 3 million Americans slipped beneath the official poverty line, which, for an individual under 65 is $9,359 a year and for a family of four is $18,244. By the end of last year, 34.6 million Americans lived in poverty. Among those, 12.1 million are children, up from 11.7 million in 2001.

EL -- So the average American makes $1500 less under Bush. Is the average American paying attention?