California is #1 in Poverty

The People's Republic

Importing Poverty while exporting the Middle Class

(Sacramento Bee)  -  Newly released federal estimates show California’s poverty rate remained the highest in the nation, despite a modest fall, and the state’s falling uninsured rate slowed for the first time since before Medicaid expansion.

According to the Census Bureau, the share of Californians in poverty fell to 19 percent — a 1.4 percent decrease from last year. However, policy experts warned that in spite of the good news more than 7 million people still struggle to get by in the state.

The poverty figures released Wednesday are said to paint the best picture of life for California’s working poor since it encompasses income from government programs and factors in the high cost of living in some corners of the state.

Although California has a vigorous economy and a number of safety net programs to aid needy residents, it’s often not enough to forestall economic hardship for one out of every five residents, the data show.

The high cost of living, primarily in housing, is a strong counterweight to many of the state’s efforts, said Caroline Danielson, policy director at the Public Policy Institute of California.

“We do have a housing crisis in many parts of the state and our poverty rate is highest in Los Angeles County,” she said, adding that cost of living and poverty is often highest in the state’s coastal counties. “When you factor that in we struggle.”

The portion of uninsured residents dropped from 7.3 percent to 7.2 percent. The one-tenth of a point decrease was a significantly smaller decline than the last four years.

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