Hill Economic Facts #1

This is a new form of economic message that I call: Interesting Economic Facts. There will be no analysis; only thought provoking facts for you to consider. I’m interested in your comments.

Below, see what’s considered “poor” in every state, ranked from lowest to highest salary needed to be at the poverty line based on buying power and the Presidential vote 2016.  The following was taken from MSN.com and the nytimes.com. I combined the data.

  • Wage growth has been dismal for many American workers, despite signs of a strong economy.
  • The federal poverty line in America is $25,100, except in Alaska and Hawaii, where it’s $31,380 and $28,870, respectively.
  • To better understand what it means to be “poor” in each state, we calculated the income it takes to be at the poverty level in every state based on buying power.

Wage growth has been dismal for many American workers, despite signs of a strong economy.  According to the United States Census Bureau, 12.3% of the US population is living in poverty, which means they’re earning below $25,100, except in Alaska and Hawaii, where it’s $31,380 and $28,870, respectively.

But cost of living varies from state to state, so in order to better understand what it means to be “poor” in each state, we used data from the Bureau of Economic Analysis that indicates how far $100 goes in each state, known as buying power. For example, a person in New York needs to spend $115.60 to get the same goods that a person in Delaware pays $100 for, whereas a Mississippi resident would pay $86.  Based on this buying power, we then calculated how much a family of four actually to needs to make to be at the poverty line. Based on the example above, a New York family must earn $29,016 to have the buying power of a typical American family at the poverty line, whereas the threshold for a Delaware or Mississippi family is lower – $25,677 and $21,686, respectively.  Below, see what’s considered “poor” in every state, ranked from lowest to highest salary needed to be at the poverty line based on buying power.

51. Mississippi (Trump 58%)

Money needed to buy $100 nationally: $86.40

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $21,686

50. Alabama (Trump 62%)

Money needed to buy $100 nationally: $86.60

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $21,73

49. Arkansas (Trump 61%)

Money needed to buy $100 nationally: $86.90

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $21,812

48. West Virginia (Trump 68%)

Money needed to buy $100 nationally: $87.60

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $21,988

47. Kentucky (Trump 63%)

Money needed to buy $100 nationally: $87.80

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,038

46. South Dakota (Trump 62%)

Money needed to buy $100 nationally: $88.30

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,163

45. Oklahoma (Trump 65%)

Money needed to buy $100 nationally: $89

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,339

44. Ohio (Trump 51%)

Money needed to buy $100 nationally: $89.30

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,414

43. Missouri (Trump 56%)

Money needed to buy $100 nationally: $89.50

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,465

42. Iowa (Trump 51%)

Money needed to buy $100 nationally: $90.20

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,640

41. Tennessee (Trump 61%)

Money needed to buy $100 nationally: $90.20

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,640

40. Indiana (Trump 57%)

Money needed to buy $100 nationally: $90.30

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,665

39. South Carolina (Trump 55%)

Money needed to buy $100 nationally: $90.30

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,665

38. Louisiana (Trump 58%)

Money needed to buy $100 nationally: $90.40

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,699

37. Kansas (Trump 56%)

Money needed to buy $100 nationally: $90.50

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,716

36. Nebraska (Trump 59%)

Money needed to buy $100 nationally: $90.50

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,716

35. North Carolina (Trump 50%)

Money needed to buy $100 nationally: $90.90

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,816

34. North Dakota (Trump 63%)

Money needed to buy $100 nationally: $91.50

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $22,96

33. Georgia (Trump 51%)

Money needed to buy $100 nationally: $92.10

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $23,117

32. Wisconsin (Trump wins with 47%)

Money needed to buy $100 nationally: $92.80

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $23,293

31. Idaho (Trump 59%)

Money needed to buy $100 nationally: $93

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $23,343

30. Michigan (Trump wins with 47%)

Money needed to buy $100 nationally: $93.30

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $23,418

29. New Mexico (Clinton wins with 48%)

Money needed to buy $100 nationally: $93.60

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $23,494

28. Montana (Trump 56%)

Money needed to buy $100 nationally: $94.10

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $23,619

27. Arizona (Trump wins 48%)

Money needed to buy $100 nationally: $95.90

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $24,071

26. Wyoming (Trump 56%)

Money needed to buy $100 nationally: $96.70

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $24,272

25. Texas (Trump 53%)

Money needed to buy $100 nationally: $96.90

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $24,327

24. Utah (Trump wins 45%)

Money needed to buy $100 nationally: $97.30

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $24,42

23. Nevada (Clinton wins 48%)

Money needed to buy $100 nationally: $97.40

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $24,4

22. Minnesota (Clinton wins 46%)

Money needed to buy $100 nationally: $97.50

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $24,473

21. Maine (Clinton wins 47%)

Money needed to buy $100 nationally: $98.40

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $24,698

20. Pennsylvania (Trump wins 48%)

Money needed to buy $100 nationally: $98.40

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $24,698

19. Illinois (Clinton 55%)

Money needed to buy $100 nationally: $98.90

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $24,824

18. Rhode Island (Clinton 54%)

Money needed to buy $100 nationally: $99.60

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $25,000

17. Florida (Trump Wins 49%)

Money needed to buy $100 nationally: $99.70

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $25,025

16. Oregon (Clinton 50%)

Money needed to buy $100 nationally: $99.80

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $25,050

15. Delaware (Clinton 53%)

Money needed to buy $100 nationally: $100.20

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $25,150

14. Vermont (Clinton 57%)

Money needed to buy $100 nationally: $101.60

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $25,502

13. Virginia (Clinton 50%)

Money needed to buy $100 nationally: $102.30

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $25,670

12. Colorado (Clinton wins 48%)

Money needed to buy $100 nationally: $103

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $25,853

11. Washington (Clinton 53%)

Money needed to buy $100 nationally: $105.50

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $26,481

10. New Hampshire (Clinton wins 48%)

Money needed to buy $100 nationally: $105.90

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $26,581

9. Massachusetts (Clinton 60%)

Money needed to buy $100 nationally: $107.80

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $27,050

8. Connecticut (Clinton 55%)

Money needed to buy $100 nationally: $108.70

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $27,280

7. Maryland (Clinton 60%)

Money needed to buy $100 nationally: $109.50

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $27,480

6. New Jersey (Clinton 55%)

Money needed to buy $100 nationally: $113.20

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $28,410

5. California (Clinton 54%)

Money needed to buy $100 nationally: $114.40

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $28,700

4. Hawaii (Clinton 62%)

Money needed to buy $100 nationally: $118.40

Poverty line: $28,870

Salary needed to be at poverty line based on buying power: $28,870

3. New York (Clinton 59%)

Money needed to buy $100 nationally: $115.60

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $29,016

2. Washington, DC ( Clinton)

Money needed to buy $100 nationally: $115.90

Poverty line: $25,100

Salary needed to be at poverty line based on buying power: $29,09

1. Alaska (Trump 51%)

Money needed to buy $100 nationally: $105.40

Poverty line: $31,380

Salary needed to be at poverty line based on buying power: $31,380

About Larry Hill

Dr. Larry Hill is Chair and Professor of Economics. Areas of interest include economic analysis, energy economics cost benefit analysis and economy. To subscribe to the email list of Dr. Larry Hill's Economic Memos, contact Tracey O'Brien at obrientr@lewisu.edu. Credentials include 1967 B.S., Indiana State University, 1968 M.S., Indiana State University, 1976 Ph.D., Northern Illinois University He is a member of honorary fraternities in economics and social science. He is currently writing a book on Managerial Economics and revising previous book, "The Basic Macroeconomics of the American Economy"

2 thoughts on “Hill Economic Facts #1

  1. April 29, 2019 at 10:26 pm

    There is no fixed standard of economy due to the difference of living cost among all countries in the world.

  2. March 2, 2019 at 2:12 am

    Great..
    Thank you for sharing this information

Leave a Reply

Your email address will not be published. Required fields are marked *