Source: Fortune
Summary
A new survey from the Federal Reserve of New York found that more Americans are experiencing food insecurity now than during the pandemic. The survey asked households about their spending habits and found that the percentages of economic hardships increased across the board. One-tenth of respondents reported not having enough food to eat or that their children missed meals, more than double the 4% who reported so in June 2020. The findings come as inflation reached 3.8% in April, the highest level seen in almost three years.
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The numbers tell one story. The Fed’s survey shows a remarkable increase in food insecurity, particularly among lower-educated and lower-income households and households with young children. One-tenth of respondents reported not having enough food to eat or that their children missed meals. More than a third of households reported dipping into savings to pay for groceries. The researchers say the findings show signs of a growing “K-shaped” economy, as lower-income Americans face financial stress and affordability issues.
The Trump administration’s cuts to SNAP benefits and other social programs have hit children and the elderly particularly hard. The One Big Beautiful Bill Act cut $186 billion from SNAP over 10 years, amounting to a 20% funding reduction. The cost of living for lower- and middle-income families has increased due to higher housing and food costs, and persistent inflation.
The situation can be reframed as: the economic recovery is leaving behind those who need it most.
Author: Evan Null
