Rep. McDermott Introduces Poverty Measure Fix
It will be difficult to create a policy goal to cut poverty in half, without an accurate measurement of who is actually in poverty. The current poverty measure just doesn’t cut it. It has been in use since 1959 and fails to account for changing living expenses, regional differences in price, and many of the forms of income assistance that can pull people out of poverty. On June 17, 2009, Rep. McDermott (D-WA) reintroduced the Measuring American Poverty (MAP) Act of 2009, or H.R. 2909.
The updated standards for this Modern Poverty Measure would derive from a study independently conducted by the National Academy of Sciences (NAS). Whereas the current measure sets the poverty threshold according to the cost of food required for a minimal diet, the new measure would more accurately reflect the rising cost of other “basic physical necessities” such as clothing, housing, health care, and child care. Improving the current measure, this legislation would also take into account income assistance (EITC, housing assistance, food stamps, etc.) and unavoidable expenses (due to taxes, work, medical bills), as well as adjust measurement based on regional differences in the cost of living.
In addition to an updated measurement standard, the MAP Act would commission the NAS to further develop a decent living standard and a medical care risk measure – to calculate people’s ability to pay for additional expenses and for necessary medical care, respectively. Rep. McDermott clarified, “”The current economic crisis has reminded every American just how vulnerable we all are and I think it has renewed our sense of pulling together as one nation and one people.“ Parallel legislation in the Senate will be sponsored by Senator Chris Dodd in the coming weeks.
Tags: Federal
