Recession Scars Linger no group unscathed

Recession Scars Linger no group unscathed

Renell WeathersOutreach Director

Michigan League for Public [email protected]

mailto:[email protected]

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The League’s Mission

To foster economic opportunity, independence and security for Michigan families by shaping public policy through objective data-driven research, education and advocacy

1223 Turner St. Suite G-1, Lansing, MI 48906-4369 (517) 487-5436Fax: (517) 371-4546 Web site: www.MiLHS.org

A United Way Agency

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Since the Recession

Michigan League for Public Policy

State EITC refunds drop

from $349 million to $105 millionUnemployment:

8.9% in December; 413,000

unemployed

1/837 homes foreclosure filing

in January

48% of kids receiving free and reduced price lunches

Cuts:2001 - $26 M 2012 - $2 M 2013 - $6 M

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And…


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One third of working families in Michigan are low-

incomeMore Michigan residents lost

more employer-sponsored insurance than anywhere in country in past decade (4.2 million to 3 million

covered)

Income disparity nationwide is at

highest levels since Great Depression, and Michigan has a big gap

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What does the number548,000 represent?

1223 Turner St. Suite G-1, Lansing, MI 48906-4369 (517) 487-5436Fax: (517) 371-4546 Web site: www.MiLHS.org

A United Way Agency

Family of

4

$24,000

Family of

3

$18,000

What is Poverty?


Poverty in Michigan Continuesto Rise

2007 2010 20110%

10%

20%

30%ChildrenFamilies with ChildrenAll People


2011 Poverty

Total

17.5%Children

24.4%Families with Children

20.9%


1 in 6 peoplelive in poverty

Total number of people living in poverty

1,693,294Michigan League for Public Policy

1 in 5 families with children live

in poverty

Number of families withchildren living in poverty

1,138,970Michigan League for Public Policy

1 in 4 childrenlive in poverty

Number of children livingin poverty

548,145


How Much Do KIDS COUNT in Michigan?

Michigankids in poverty would fill the UM Big House

5 times


-60 -50 -40 -30 -20 -10 0 10 20 30 40

5

1

3

18

31

28

14

5

11

8

2

33

55

28

Health

Family/Commu-nity

MichiganTrends in

Child Well-Being

2005-2010

Poverty, ages 0-17

Children 0-5 receiving food assistance

Children eligible for FRL

Low-birthweight babies

Infant mortality

Child/Teen deaths, ages 1-19

Births to teens, ages 15-19

Children in investigated families

Confirmed victims

Children in out-of-home care

MEAP Fourth grade reading

MEAP Eighth Grade Math

MME High School reading

Students not graduating on time

Worse Better

60 40 20 0 20 40

Economic Security

Education


Income from a full-time year-round minimum wage ($7.40 per hour) job does

not lift a family of four above poverty.

Young Children, Ages 0-5,

Eligible for Food

Assistance Program*

2011 (MI – 37.4%)


Change in Family Poverty, 2007 and 2011


Change in Poverty by Race/Ethnicity, 2007 - 2011


Poverty by Race/Ethnicity, 2011

13.3% white, not Latino


What Causes/Contributesto Poverty?


Jobs

400,000 Workers Unemployed Every Month in 2012.


Income

Michigan’s Median Income of $45,981 has dropped more than $6,000 since the beginning of the recession.


• Cuts to business taxes

• Shift the burden to individuals


Tax Changes

FOOD

MORTGAGE

CREDIT CARDS

UTILITIESSAVINGS

GAS

CAR PAYMENT

Michigan Earned Income Tax Credit Cut, 2011 vs. 2012


70% drop

$439$132

Fewer Children Kept Outof Poverty


20% = 14,0006% = 5,000

Policy Changes

• UI benefits

• Asset test for food assistance

• Restrictions on FIP


What Can We Do to ReduceEconomic Insecurity?

• Restore unemployment insurance benefits and index them for inflation.• Restore the state Earned Income Tax Credit for

low-income working families.• Raise the minimum wage to a level that lifts a

family of four above the poverty level ($23,000).• Raise the eligibility and adjust the sliding scale

for the child care subsidy.Michigan League for Public Policy


Advocacy 202: YOU CAN MAKE A DIFFERENCE

• Contact your legislators/ members of Congress

• Write letters to the editor/OpEds

• Provide stories of impact of policy decisions

You have the power!… Conscience asks the question "Is it right?" And there comes a time when one must take a position that is neither safe, nor politic, nor popular, but he must do it because Conscience tells him it is right.”

-- Dr. Martin Luther King, Jr.

“Never doubt that a small group of thoughtful, committed citizens can change the world. Indeed, it is the only thing that ever has”

-- Margaret Mead

Thank You!

[email protected]: www.mlpp.org

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Michigan League for Public Policy1223 Turner Street, Suite G-1

Lansing, Michigan 48906-4369Phone: (517) 487-5436

mailto:[email protected]

http://www.mlpp.org/

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Recession Scars Linger no group unscathed