Wednesday, March 3, 2010

Gov't adopts formula that doubles elderly poor

By HOPE YEN

The government took steps Tuesday to highlight the increasing numbers of poor Americans, adopting a revised formula that is expected to double the number of older people classified as living in poverty to nearly 1 in 5.

Under the new formula, overall poverty is expected to increase from 13.2 percent, or 39.8 million people, to 15.8 percent, or 47.4 million, mostly due to rising expenses from medical care and other factors.

The new measure will not replace the official poverty rate but will be published alongside the traditional figure next year as a "supplement" for federal agencies and state governments, according to the directive announced Tuesday by the Commerce Department and White House.
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