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American families see drop in income due to COVID-19

chinadaily.com.cn | Updated: 2022-04-22 16:50
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A person pushes purchases in a shopping cart in a supermarket in Brooklyn, New York City, March 29, 2022. [Photo/Agencies]

The lower- and middle-income families are enduring more financial hardships caused by the COVID-19 pandemic in the United States, said Pew Research Center on Wednesday.

According to a new analysis of government data by the center, the median income of lower-income households fell by 3 percent from 2019 to 2020, and that of middle-income declined by 2.1 percent. However, upper-income remained the same.

The gap between upper-income and other households became wider, the authors said in the research. The median income of upper-income households rose 7.3 times greater than the median income of lower-income households in 2010, when the ratio was 7 times.

In a Pew Research Center survey conducted in January 2021, about 31 percent adults said their family's situation had worsened in 2020, and nearly one-in-five middle-income families reported receiving unemployment benefits, the article added, while the ratio was 10.7 percent in 2010.

According to the research, the labor force participation rate among lower-income adults was 42.4 percent, compared with 69.1 percent among middle-income adults and 78.8 percent among upper-income adults in March 2020. Lower-income adults are also more likely to be foreign-born, who may not be eligible. Besides, the unemployment benefits may not be reaching all who are eligible.

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