Red States Outpace Blue States in Income Growth — Thanks to Food Stamps

robert l. bentham

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Americans love nothing more than a good Red-State-Vs.-Blue-State argument, especially during election time.
So a new story inUSA Today, looking at the changes in income, state by state, since the beginning of the Great Recession, of course breaks down the results into “red,” “blue” and “swing” states. It declares that red states have seen incomes grow 4.6 percent since 2007, adjusted for inflation, while blue states have only seen incomes grow 0.5 percent. In swing states? A little more than the blue states, about 1.4 percent.
But here's the kicker: that income growth in those red states? It comes, at least in the South, in large part to government benefits payments, like the Supplementary Nutrition Assistance Program, formerly known as food stamps. You know, the ones that Republicans like Newt Gingrich attempt to use as a club to beat Obama and Democrats with. They go mainly to people living under or close to the poverty line, which means that income growth thanks to public benefits is the government making life more bearable for those hit hardest by the recession, not exactly economic growth caused by the “low taxes and business-friendly regulation” that the right-wing ALEC representative the article quotes claims. As the Center on Budget and Policy Priorities notes, “The record-setting SNAP participation levels are consistent with the extraordinarily deep and prolonged nature of the recession and the weak, lagging recovery.”
http://www.alternet.org/news-amp-po...ipsV&rd=1&src=newsletter717829&t=7&paging=off
 
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