The U.S. Census Bureau’s latest American Community Survey (ACS) data reveals that New York City’s poverty rate remained unchanged at 18.2% in 2023, marking the third consecutive year without improvement since 2019. Over 1.5 million New Yorkers lived at or below the federal poverty level, a significant rise from 2019, as the city struggles with the lingering impacts of the pandemic, high inflation, and soaring living costs.
Despite wage increases, rising prices eroded purchasing power, leaving New York’s median household income 1% lower than in 2022 and 5.3% less than in 2019. The ACS report emphasizes the growing economic challenges for many New Yorkers, as housing, food, transportation, and healthcare costs have become increasingly unaffordable.
The data also exposes persistent racial and ethnic disparities. While 24.8% of Hispanic and 21.7% of Black New Yorkers lived in poverty, the rate was significantly lower among White residents at 11.5%. The poverty rate for Asians also rose to 16.8%, making them the only group to experience an increase in poverty over the last year.
Rising housing costs continue to be a major barrier to poverty reduction. In 2023, the median gross rent in New York City increased to $1,748, with over half (51.9%) of tenants classified as rent-burdened, paying more than 30% of their income on rent. The city’s income inequality remains stark, with the top 20% of earners receiving almost 58% of the aggregate income, while the bottom 40% receive only 8%.
In the face of these challenges, the ACS data underscores the need for urgent policy interventions to address income inequality and the high cost of living in New York City. Recommendations include expanding child tax credits, increasing rental assistance, and implementing bold housing reforms to ensure affordability and reduce rent burdens.
As the city continues its uneven economic recovery, bold policy changes are essential to alleviate poverty and address the disparities revealed by this latest data.
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