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America’s 10 Poorest States:.
The U.S. Census Bureau released two pieces of widely followed data Tuesday — one on poverty and the other on median income for 2010. The most interesting findings in this release were the state-by-state figures, especially when compared to national averages. A closer look at the statistics shows that a relatively small number of states suffer such widespread levels of low income and poverty that they skew the national numbers downward.
The national poverty rate last year was 15.1%. That is up from 11.3% in 2000 and is the highest it has been since 1993. Over 46 million people lived below the poverty line in 2010. The cut-off for that line is households of four people who made under $22,314. The other troubling news was that median income per household nationwide was an inflation-adjusted $49,445. This is about the same as in 1989 and down 2.3% from 2009. Economists fear that Americans are not consumers. It is easy to tell why when their real income has been frozen in place for more than two decades.
10. North Carolina
Median income: $43,275
Poverty rate: 16.1% (tied for 9th highest)
Without health insurance: 16.7% (13th highest)
Unemployment: 10.1% (9th highest)
9. Alabama
Median income: $42,218
Poverty rate: 16.1% (tied for 9th highest)
Without health insurance: 14.4% (21st highest)
Unemployment rate: 10.0% (10th highest)
8. Kentucky
Median income: $42,091
Poverty rate: 17.3% (6th highest)
Without health insurance: 15.5% (18th highest)
Unemployment rate: 9.5% (13th highest)
7. South Carolina
Median income: $42,059
Poverty rate: 14.9% (16th highest)
Without health insurance: 17.6% (12th highest)
Unemployment rate: 10.9% (4th highest)
6. Montana
Median income: $42,005
Poverty rate: 13.4% (24th highest)
Without health insurance: 16.3% (16th highest)
Unemployment rate: 7.7% (18th lowest)
5. Louisiana
Median income: $41,896
Poverty rate: 18% (4th highest)
Without health insurance: 18% (11th highest)
Unemployment rate: 7.6% (17th lowest)
4. West Virginia
Median income: $40,824
Poverty rate: 15.7% (12th highest)
Without health insurance: 13.9% (25th highest)
Unemployment rate: 8.1% (tied for 24th lowest)
3. Tennessee
Median income: $40,026
Poverty rate: 16.1% (11th highest)
Without health insurance: 14.7% (20th highest)
Unemployment rate: 9.8% (11th highest)
2. Arkansas
Median income: $38,600
Poverty rate: 16.5% (8th highest)
Without health insurance: 18.5% (9th highest)
Unemployment rate: 8.2% (25th highest)
1. Mississippi
Median income: $36,850
Poverty rate: 21.3% (the highest)
Without health insurance: 18.7% (8th highest)
Unemployment rate: 10.4% (7th highest)
Nearly all these states are in the south, with a high rate of minorities, and with traditional industries such as clothing, textile and others leaving due to cheap foreign imports from low wage nations, these individuals do not have the job opportunities they used to have, with just a high school education or less.
NAFTA in some ways is causing this increasing poverty. It has benefited high tech and large international U.S. firms by allowing free trade and tariff barriers lowered, making sales overseas profitable, but has killed traditional industries that used to employ those who were non-skilled to skilled in factory work. Appliance and TV, radio makers, for example, such as Wirlpool, Zenith, RCA and others are now all outsourced to Asian, low cost nations. We import nearly all our electronics, for example, once made here. We are paying a high price!
So, we pay a price for a government too, that seems to favor certain industries, and our high corporate tax rate and regulations which lead to fewer start ups which employ Americans, along with the welfare state. We are becoming the New Europe. Socialism always impoverishes states and nations which do not keep free markets, small government and low taxes, and governments which encourage the private sector with legislation that is not too restrictive.