More in isles
living in povertyA census report shows Hawaii
is one of five states to see
weaker economic conditions
Median family incomes in Hawaii suffered the second-worst drop in the nation last year and more isle residents lived in poverty, a U.S. Census Bureau report shows.
The number of people living below the poverty level increased to about 11.4 percent of Hawaii's population between 2001 and 2002, a jump of about 1.2 percentage points, a census report released yesterday shows.
Meanwhile, the median state household income dropped 6.4 percent, or $3,262, to a two-year average of $47,748 in 2001-2002, compared with $51,010 in 2000-2001, the report said. Median means half of all households in Hawaii earned more than that amount, and half earned less.
Hawaii's 6.4 percent drop in median income was the second-highest percentage decrease in the nation, behind Mississippi. And it was the largest dollar-amount drop in the nation, according to the Census Bureau.
Nationwide, median household income declined 1.1 percent between 2001 and 2002.
Hawaii was one of only five states to see both a decrease in median income and an increase in poverty. The others were Mississippi, Florida, Michigan and Illinois.
The census report comes despite recent signs of an economic recovery in Hawaii, led by a booming construction and real estate market.
But Irving Lauber, president of Aloha United Way, said he is not surprised by the census report.
"The economic upswing is not benefiting everybody," he said.
His charity has seen requests for food jump 74 percent in the last year and requests for shelter spike 63 percent, he said.
Local economists said the aftermath of the terrorist attacks of Sept. 11, 2001, is a major factor in the decline in income and the increase in poverty.
Still, average personal income rose in Hawaii during the same period, suggesting that "some people get a better share of the growth than others," said Khem Sharma, an economist with the state Department of Business, Economic Development and Tourism.
Paul Brewbaker, an economist with Bank of Hawaii, said job growth often lags economic growth and he expects next year's census figures will reflect the better economy.
Brewbaker said an estimated 15,000 jobs were lost in Hawaii after Sept. 11, 2001, and the state's recovery didn't occur until mid-to-late 2002.
Hawaii's median income is above the national average of $42,409 last year, and the poverty rate is below the national average of 12.1 percent and in the middle of the pack among states.
Nationally, the number of people living in poverty increased by 1.7 million to nearly 34.6 million.
Most of the people who live in poverty, 12.1 million, are children.
The poverty threshold differs by the size and makeup of a household. The average poverty threshold for a family of four was $18,392 in annual income in 2002.
It's the second straight year that poverty has increased nationally.
Before the two years of increase, poverty had fallen for nearly a decade to 11.3 percent in 2000, its lowest level in more than 25 years.
With President Bush seeing declining approval ratings 13 months before the next election, White House aides yesterday called for passage of virtually his entire domestic agenda, from increased involvement in federal programs by religious groups to legislation limiting personal injury lawsuits.
"The economy is moving in the right direction," Bush spokesman Scott McClellan said. "But the president is not satisfied. ... It's important to create the conditions for job growth and that's why the president continues to say that there's more that we can do."
House Minority Leader Nancy Pelosi said the tax cuts that had been pushed by Bush weren't creating jobs.
"It has only created obstacles for Americans working hard to get ahead," the California Democrat said.
The latest estimates are the government's official measures based on a survey of 78,000 households taken each March.
The Census Bureau did not provide year-by-year statistics for individual states, saying the two-year averages were more reliable.
The Associated Press contributed to this report.
