Census Bureau: Means-tested government benefits rose in 2008
In the third quarter of 2008, approximately 45 percent of U.S. residents lived in households in which at least one individual received government benefits, according to data released on April 15 by the U.S. Census Bureau. The benefits came from programs such as Social Security, Medicare and Medicaid.
According to the Census Bureau’s “Economic Characteristics of Households in the United States: Third Quarter 2008,” about 28.4 million households, or 24 percent of the U.S. total, received cash or noncash means-tested benefits — benefits from programs that provide cash or services to people who meet a test of need based on income and assets — in an average month during the quarter. Medicaid (21.1 million), free or reduced-price school meals (11.5 million) and food stamps (9.3 million) were the most widely received means-tested benefits. However, two non-means-tested programs, Social Security and Medicare, affected the largest number of households, with 33.6 million receiving Social Security or Railroad Retirement benefits and 30.8 million receiving benefits from Medicare.
In keeping with the economic downturn, participation rates for each means-tested program increased between May and November 2008. The percentage of households receiving any type of means-tested benefit climbed from 23.2 percent to 24.7 percent between May and November of that year, with the percentage receiving food stamps increasing from 7.6 percent to 8.8 percent, and the share of those receiving Medicaid rising from 17.5 percent to 18.5 percent.
The report examines the roles of government-sponsored benefit programs and the labor market during the recession. Specifically, it presents data on average monthly income, participation in government-sponsored social welfare or social insurance programs and labor force activity during the period.
Read more information or download “Economic Characteristics of Households in the United States: Third Quarter 2008.”
