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NC Budget and Tax Center, Poverty and Policy Matters

At a time when ensuring that all students receive a quality education is more important than ever, students from low-income families are increasingly less likely to experience academic success and educational opportunities than their affluent peers. In fact, students from affluent families are 10 times more likely to graduate from high school and go on to earn a college degree by age 24 compared to students from low-income families.

This skewed outcome alone is startling, but what it projects for North Carolina’s future is even more troubling. With an increasing number of jobs in the state, and nationally, expected to require some level of postsecondary education, we need more of our students from low-income families – who now represent a majority of students in our public schools – graduating from high school and going on to earn a postsecondary credential.

The United States is one of the few advanced nations where more educational resources tend to flow to schools serving better-off children than schools serving poor students, a recent New York Times article highlights. Read More

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Speaking of anniversaries, the fine advocacy group Action for Children North Carolina celebrated its 30th last week. Executive Director Deborah Bryan sent us the following essay in contemplation of the event.  

Supporting Our Children’s Past, Present and Future

Since 1983, North Carolinians have raised millions of children–and we have millions more to go. Each in a small but real way holds the state’s future in his or her hands. Action for Children North Carolina exists to give them every opportunity to succeed. The last 30 years points the way for the decades to come.

Action for Children’s network of support has ensured that the voices of our children are heard in local and state government, school districts and even our state’s juvenile and adult correctional facilities.

Our advocates have worked tirelessly to:

*expand Health Choice to cover more than 140,000 children;

*ensure the passage of critical child safety laws like the booster seat law and the child bicycle safety act;

*orchestrate the ban of corporal punishment in nearly all of North Carolina’s school districts; and

*help lift nearly 300,000 North Carolinians, half of whom were children, above the federal poverty line through passage of the Earned Income Tax Credit–all successes we achieved together.

Even with all of these accomplishments, our work is far from complete. Read More

NC Budget and Tax Center, Poverty and Policy Matters

Poverty remains elevated in North Carolina and the nation as we continue to deal with the painfully slow recovery. As I explained back in September, new Census Bureau data on poverty and income confirm that the economic recovery is continuing to bypass middle- and lower-income families. The little economic growth that is taking place is also sidestepping certain demographic groups, including children, communities of color, and women. A snapshot of these disparities, as well as how poverty varies across the state, is captured in a new infographic released today by the NC Budget and Tax CenterRead More

NC Budget and Tax Center

For decades, policymakers and economists alike have all assumed that a growing economy automatically translates into increased prosperity and improved quality of life for a majority of citizens. This is the theory that “a rising tide lifts all boats.” As the American economy continues to transition in the 21st century, however, it is increasingly clear that economic growth by itself neither lifts all boats nor delivers the benefits to America’s working families that have long been promised.

In a point echoed by a recent BTC report, economic growth just isn’t enough—positive change in Gross Domestic Product (GDP) no longer translates into increased prosperity for all.

In fact, the opposite is true. As shown in the following charts developed by Demos, decades of economic growth have yielded little in the way of increased incomes for working families;

Personal_Income_Lags_Behind_Growth_1

…. or meaningful reductions in poverty.

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NC Budget and Tax Center

This Friday, approximately 1.7 million North Carolinians—including 51,000 veterans—will see their food assistance cut when a temporary boost in Supplemental Nutrition Assistance Program (SNAP) benefits ends, according to the Center on Budget and Policy Priorities (CBPP). Such cuts will be another blow to Tar Heel families trying to make ends meet and get a foothold on the economic ladder. Of those receiving SNAP (formerly known as food stamps) in North Carolina, 85 percent are households with children, older adults, or people with disabilities (see this chart).

SNAP benefits are very modest now, with an average monthly benefit of $121.37 per person in North Carolina. The looming benefit cut will vary depending on family size, ranging from $36 a month for a family of four to $11 a month for a single person. These are deep cuts, equating to about 16 “thrifty” meals per month for a family of three, according to the CBPP report. Read More