Poverty declines in most states in 2016
The American Community Survey (ACS) data released today shows that the decline in the national poverty rate was felt in nearly every state. The poverty rate decreased in 43 states and remained unchanged in three states. While there were slight increases in the poverty rate in four states and the District of Columbia, the only statistically significant increase occurred in Vermont. In only two states, Louisiana and Mississippi, was the poverty rate above 20 percent.
Overall, the national poverty rate, as measured by the ACS, fell 0.7 percentage points, to 14.0 percent. Oregon saw the largest decline in its poverty rate (-2.1 percentage points), followed by Arkansas (-1.9 percentage points), Alabama (-1.4 percentage points), Hawaii (-1.3 percentage points), Montana (-1.3 percentage points), and South Carolina (-1.3 percentage points). There were increases in poverty in Vermont (1.7 percentage points), the District of Columbia (1.3 percentage points), Louisiana (0.6 percentage point), Oklahoma (0.2 percentage point), and Wyoming (0.2 percentage point). In Kentucky, Maryland, and West Virginia the rate remained essentially unchanged between 2015 and 2016.
Income growth at the national level and an increase in the number of jobs pulling workers off the sidelines accounted for a drop in the poverty rate in many states. While the federal minimum wage sits at $7.25, many states and localities have increased their minimum wages, which helps lift workers out of poverty. At the same time, government programs including Social Security, refundable tax credits, and Supplemental Nutrition Assistance Program (SNAP) are directly responsible for keeping tens of millions out of poverty across the country. A significant drop in the poverty rate for the second year in a row is a positive sign, but lawmakers should be careful to protect these recent gains with policies that raise wages for working families.
Poverty rate by state, 2016
State | Poverty rate, 2016 | Change in poverty rate, 2000 to 2016 | Change 2007 to 2016 | Change in poverty rate, 2015 to 2016 | 2016 poverty rate relative to national average |
---|---|---|---|---|---|
Alabama | 17.1% | 1.5% | 0.2% | -1.4% | 3.1% |
Alaska | 9.9% | 0.8% | 1.0% | -0.4% | -4.1% |
Arizona | 16.4% | 0.8% | 2.2% | -1.0% | 2.4% |
Arkansas | 17.2% | 0.2% | -0.7% | -1.9% | 3.2% |
California | 14.3% | 0.6% | 1.9% | -1.0% | 0.3% |
Colorado | 11.0% | 2.3% | -1.0% | -0.5% | -3.0% |
Connecticut | 9.8% | 2.1% | 1.9% | -0.7% | -4.2% |
Delaware | 11.7% | 2.4% | 1.2% | -0.7% | -2.3% |
Florida | 14.7% | 1.9% | 2.6% | -1.0% | 0.7% |
Georgia | 16.0% | 3.4% | 1.7% | -1.0% | 2.0% |
Hawaii | 9.3% | 0.5% | 1.3% | -1.3% | -4.7% |
Idaho | 14.4% | 3.0% | 2.3% | -0.7% | 0.4% |
Illinois | 13.0% | 1.9% | 1.1% | -0.6% | -1.0% |
Indiana | 14.1% | 4.0% | 1.8% | -0.4% | 0.1% |
Iowa | 11.8% | 1.8% | 0.8% | -0.4% | -2.2% |
Kansas | 12.1% | 2.6% | 0.9% | -0.9% | -1.9% |
Kentucky | 18.5% | 2.1% | 1.2% | 0.0% | 4.5% |
Louisiana | 20.2% | 0.2% | 1.6% | 0.6% | 6.2% |
Maine | 12.5% | 2.4% | 0.5% | -0.9% | -1.5% |
Maryland | 9.7% | 0.4% | 1.4% | 0.0% | -4.3% |
Massachusetts | 10.4% | 0.8% | 0.5% | -1.1% | -3.6% |
Michigan | 15.0% | 4.9% | 1.0% | -0.8% | 1.0% |
Minnesota | 9.9% | 3.0% | 0.4% | -0.3% | -4.1% |
Mississippi | 20.8% | 2.6% | 0.2% | -1.2% | 6.8% |
Missouri | 14.0% | 2.8% | 1.0% | -0.8% | 0.0% |
Montana | 13.3% | -0.1% | -0.8% | -1.3% | -0.7% |
Nebraska | 11.4% | 1.8% | 0.2% | -1.2% | -2.6% |
Nevada | 13.8% | 3.9% | 3.1% | -0.9% | -0.2% |
New Hampshire | 7.3% | 2.0% | 0.2% | -0.9% | -6.7% |
New Jersey | 10.4% | 2.5% | 1.8% | -0.4% | -3.6% |
New Mexico | 19.8% | 1.8% | 1.7% | -0.6% | 5.8% |
New York | 14.7% | 1.6% | 1.0% | -0.7% | 0.7% |
North Carolina | 15.4% | 2.3% | 1.1% | -1.0% | 1.4% |
North Dakota | 10.7% | -0.9% | -1.4% | -0.3% | -3.3% |
Ohio | 14.6% | 3.5% | 1.5% | -0.2% | 0.6% |
Oklahoma | 16.3% | 2.5% | 0.4% | 0.2% | 2.3% |
Oregon | 13.3% | 0.1% | 0.4% | -2.1% | -0.7% |
Pennsylvania | 12.9% | 2.4% | 1.3% | -0.3% | -1.1% |
Rhode Island | 12.8% | 2.1% | 0.8% | -1.1% | -1.2% |
South Carolina | 15.3% | 0.9% | 0.3% | -1.3% | 1.3% |
South Dakota | 13.3% | 1.8% | 0.2% | -0.4% | -0.7% |
Tennessee | 15.8% | 2.3% | -0.1% | -0.9% | 1.8% |
Texas | 15.6% | 0.5% | -0.7% | -0.3% | 1.6% |
Utah | 10.2% | 1.4% | 0.5% | -1.1% | -3.8% |
Vermont | 11.9% | 1.2% | 1.8% | 1.7% | -2.1% |
Virginia | 11.0% | 1.8% | 1.1% | -0.2% | -3.0% |
Washington | 11.3% | -0.3% | -0.1% | -0.9% | -2.7% |
Washington D.C. | 18.6% | 1.1% | 2.2% | 1.3% | 4.6% |
West Virginia | 17.9% | -0.7% | 1.0% | 0.0% | 3.9% |
Wisconsin | 11.8% | 2.9% | 1.0% | -0.3% | -2.2% |
Wyoming | 11.3% | -0.1% | 2.6% | 0.2% | -2.7% |
Source: EPI Analysis of American Community Survey data
Enjoyed this post?
Sign up for EPI's newsletter so you never miss our research and insights on ways to make the economy work better for everyone.