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Fewer Kings County people living in poverty

Kings County's poverty rate last year took a sharp nose dive from 21.6 percent to 15.1 percent, one of the steepest drops in decades, according to 2007 census data released this week. A surge in farmwork hiring has pushed down what was once a stubbornly sky-high poverty rate, according to one expert. Another says Kings County's five largest employers -- retail, manufacturing, government, agriculture and health care -- have ballooned, helping the poverty rate tumble to a historic low this decade.

Renowned for its high poverty and low-wage workforce, Kings County has faced a five-year boom that has surprisingly lifted thousands of people out of poverty. The sizzling economy has also helped the county's median household income leap to an all-time high of $46,756, just a few thousand dollars less than the national figure.

The plunging poverty rate is in stark contrast to the slumping economy statewide, powered by the mortgage meltdown and housing crisis that has battered the Central Valley particularly hard. Spiking food and gas prices have hampered domestic consumption, which is roughly two-thirds of the national economy.

But some experts attribute rising food prices and a weakening dollar to stronger exports that have helped the agriculture sector reach record profits.

Indeed, the value of Kings County's crops hit a record high last year, at $1.76 billion, a whopping 36.7 percent increase from 2006. The dairy industry, which accounts for nearly half of the county's agricultural output, had earnings last year that mushroomed by nearly 69 percent from 2006. The earnings from vegetables alone last year spiked by 61 percent from 2006. Grocery shoppers' pinched pockets have been a boon for the agricultural sector.

Kings County currently exports 17 commodities, including cherries, nuts, cotton and wheat, to some 45 countries, led by the surging demands from Japan, Taiwan and the United Kingdom.

"Export-oriented agriculture is doing better, thanks to a weakening dollar and rising food prices," said Alex Whalley, an assistant professor of economics at UC Merced. "American exports have become more competitive. It's really good news."

As a result, the agricultural sector has hired droves of farmworkers and increased their working hours, helping to hammer down Kings County's poverty rate.

"There's an increase in labor demand with a weak dollar and increase in food prices," Whalley said.

Still, not everyone is convinced that Kings County's economy is vibrant. Some say Kings County lacks jobs.

"The economy is really tough now," said Dan Chin, vice-mayor of Hanford. Hanford's new IHOP was inundated with over 1,000 applicants vying for 45 open positions, he said. "The competition for jobs is at an all-time high."

But John Lehn, president of Kings County Economic Development Corporation, is more optimistic. He says agriculture and government, Kings County's two biggest employers, have boomed in the past five years, helping to inject more jobs into the local economy.

"As the worldwide demand for food continues, there's going to be an increased demand for processing and production in agriculture," Lehn said.

Kings County's red-hot manufacturing, retail and health care sectors have also dug many out of poverty, he added, particularly those who work entry-level jobs.

"The local economy has created more jobs, allowing people to move out of poverty, even for those with minimal skills," he said.

The reporter can be reached at 583-2423.

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The following are comments from the readers. In no way do they represent the views of the Hanford Sentinel

lack of jobs wrote on Aug 30, 2008 11:50 AM:

" Yes, the lack of jobs is going to hurt. And as more gets shut down due to lack of business, things are only going to get bad. "

ALEJANDRO wrote on Aug 30, 2008 4:44 PM:

" WOW!

Per this article, in the last FIVE years, REPUBLICAN ADMINISTRATION GEORGE BUSH YEARS (emphasis intended), look what happened:

" Kings County has faced a five-year boom that has surprisingly lifted thousands of people out of poverty."

"The sizzling economy has also helped the county's median household income leap to an all-time high of $46,756, just a few thousand dollars less than the national figure."

"The plunging poverty rate . . . "

"A surge in farmwork hiring has pushed down what was once a stubbornly sky-high poverty rate,"

"The local economy has created more jobs, allowing people to move out of poverty, even for those with minimal skills,"

So the current Administration was actually GREAT to us here in the Central Valley. (And not for those in Switzerland, I might add . . . you know, where they make those "Volvos").

Bush haters: try to negate this achievement if you dare. "

ex-Hanfordite wrote on Aug 30, 2008 7:34 PM:

" Geez,

I wish John McCain knew about the person responsible for this....he could make him/her VP. "

The Anti Right Winger wrote on Aug 30, 2008 8:07 PM:

" ALEJANDRO wrote on Aug 30, 2008 6:44 PM
Bush haters: try to negate this achievement if you dare. "

The problem with statistics like this is they do no accurately reflect poverty rates. Median incomes reflect just that. If you have 1000 people making $20,000 per year that adds up to 20,000,000. Add in 100 people making 200,000 per year it adds in another $20,000,000.

The median income for this group would be $36,363 even though 90% of the people make 20,000 per year.

The rich get richer, the poor make the same or less.
A better gauge would be a comparison of the percent of the population making less than $30,000 per year. It is only when this number is reduced that real progress is being made.

Imagine figuring the average pay at Microsoft if you were to factor in Bill Gates annual income! Everyone who works for the company would be a millionaire statistically.

Corn, wheat and other commodity prices are at record highs. A handful of local ag interests have seen record profits boosting the average. When these prices fall so will average income. "

Scott Tucker wrote on Aug 31, 2008 6:22 AM:

" Alejandro,

Your flatttery never ceases, does it? It's nice to know that I am always in your thoughts.

With much guy-love from across the sea. Forever yours,

Scott "

mackinmama1 wrote on Sep 4, 2008 6:28 AM:

" Alejandro:
FYI from a "Volvo" employee in the USA on the East Coast........ Volvo's are made in SWEDEN NOT Switzerland...... Just wanted to clarify......... Have a good day "

Con Carne wrote on Sep 4, 2008 7:16 AM:

" Anti-right-winger: Nice try with the "Gore Math", but you need to look up "median" before you spew your nonesense. It's not the same as mean or mode. Hey I remember something from statistics. "

NotHomeGrown wrote on Sep 4, 2008 10:28 AM:

" To Con Carne, way to go, you are absolutely right, the Anti-Right-Winger put down average, not median, and median is difined as the number that has the most "hits", so his/her median would be $20,000.00 since there were 1000 hits on it. So with a median of $46,000 that means there are more families reporting that income than any other, and that is the reason that Real Estate uses median cost when they report Home Costs, otherwise as AWR mentions with average, then one Million dollar house would inflate all of those 100,000 homes. "

THEREALDOG wrote on Sep 4, 2008 10:37 AM:

" To Scott Tucker

Stay over seas....

p.s please

thanks THEREALDOG "

The Anti Right Winger wrote on Sep 4, 2008 10:42 PM:

" Median income --- Median income is the amount which divides the income distribution into two equal groups, half having incomes above the median, half having incomes below the median. The medians for households, families, and unrelated individuals are based on all households, families, and unrelated individuals, respectively. The medians for people are based on people 15 years old and over with income.

Source - US Census Bureau
http://www.census.gov/hhes/www/poverty/definitions.html "

Mrs.D wrote on Sep 4, 2008 11:20 PM:

" What has the Bush Crime Family done in the last 8 years? Nothing. What has the Bush Crime Family accomplished in the last 8 years? More jobs for people in the headstone business. What has the Bush Crime Family done the previous administrations budget surplus? They turned it into a deficet. What programs have the Bush Crime Family cut in the last 8 years? All of the ones Pres. Clinton(the last successful president)created to help people of low income to receive care for their children who suffer from respitory problems. What is the one thing the Bush Crime Family has done to the reputation of the United States of America? They ruined it!

Nothing good has come to the valley since Bush has been in the White House. "

Scott Tucker wrote on Sep 5, 2008 4:35 AM:

" Realdoggy, Why do you detest American citizens so much? I may disagree with your politics, but NEVER would I ask you to leave the United States, a country of which (I am assuming here) you are a citizen. A country where we are allowed to express our opinions openly. But then again, I guess that is the difference between people who actually care about America and its citizens (me) as opposed to people who hate them (you). Way to show your true colors. "

NotHomeGrown wrote on Sep 5, 2008 12:19 PM:

" To AntiRightWinger, Below is a better example to show that you were wrong with your bit about $46,000 being the average. Again median is a statistical figure different than average. This is from Wikepedia. The difference between the median and the mean is illustrated in this simple example:

Suppose 19 paupers and 1 billionaire are in a room. Everyone removes all the money from their pockets and puts it on a table. Each pauper puts $5 on the table; the billionaire puts $1 billion (i.e. $109) there. The total is then $1,000,000,095. If that money is divided equally among the 20 people, each gets $50,000,004.75. That amount is the mean amount of money that the 20 people brought into the room. But the median amount is $5, since one may divide the group into two groups of 10 people each, and say that everyone in the first group brought in no more than $5, and each person in the second group brought in no less than $5. In a sense, the median is the amount that the typical person brought in. By contrast, the mean is not at all typical, since nobody in the "

Paul wrote on Sep 5, 2008 1:07 PM:

" The sizzling economy, gee, I wonder WHY neither bush or cheney (should I mention Arnold?)weren't at the convention to showcase that FACT and pass the torch on to MCsame.
Here's some news for some of you:

U.S. Payrolls Fell 84,000 in August; Unemployment Rate Increases to 6.1% The U.S. lost more jobs than forecast in August and the unemployment rate climbed to a five- year high of 6.1 percent, a sign that the economic slowdown is WORSENING two months before Americans elect their next president.

Mortgage Foreclosures in U.S. Highest in at Least 29 Years as Values Drop Foreclosures accelerated to the fastest pace in almost three decades during the second quarter as interest rates increased and home values fell, prompting more Americans to walk away from homes they couldn't refinance or sell.
I'm sorry I failed to mention that all THAT great economic news was brought to you by the "REPUBLICAN ADMINISTRATION GEORGE BUSH YEARS." Guys you need to read newspapers outside your hometown to get an accurate view of the world around you. "

HammerHead wrote on Sep 5, 2008 1:18 PM:

" While it is great that fewer people are living in poverty, and employment opportunities are up, it is still another example of the haves vs. the have nots. Of those 45 people that got the job at IHOP, how many can afford healthcare? How many of their children have seen increasing classrooms, while the farmer down the street can find loopholes to save on his RV taxes due to a loophole that Republican Legislators in California failed to close.

As a self-professed libertarian, I love how the Republicans shout victory for George Bush when something goes right, but claims sour grapes and blames a Democratic Senate when things don't go their way. Deflecting blame has never been more obvious during the administration of Bush. "

wrote on Sep 5, 2008 1:39 PM:

" Get real here for a minute people. How much credit OR blame can really go to the President's office for this topic? Why not look at a story like this for our local folks who deserve credit for a job well done or for what EACH OF US can do locally to improve. Shifting blame or credit to Whoever is in Washington, D.C. misses the point entirely! "

Con Carne wrote on Sep 5, 2008 5:19 PM:

" My bad! Sometimes I forget I'm in the county wherein only 6.4% have a college degree. Mean=statistical average, median=the center or middle of a group of numbers, mode=the most commonly repeated number in a group of numbers. Statistics lesson over. MRS. D! Do you really think this is an appropriate venue to wank about a decrease in public assistance? Do you have any idea how much government spends on public assistance? Or in other words giving people money for nothing? Take a guess how much of the counties budget goes to public assistance. I'll get back with you later. "

Bart T. wrote on Sep 5, 2008 10:49 PM:

" Let's see,

86,000 jobs lost in August, a bank in Nevada is the 11th bank now to fail or be taken over by the feds and this weekend the feds are expected to take over Fannie Mae and Freddie Mac, which could cost the taxpayers BILLIONS. Meanwhile, the oil companies are making BILLIONS in profits thanks to bush and cheney who are, of course, PRO OIL.

1,000 people show up for a shot at 45 jobs at an IHOP. Man, are we ever moving in the direction of "technical" jobs. And of course, that's a good sign that the economy is fundamentally "SOUND."

And can someone tells us how many TRILLIONS we are in debt now???? Talk about fiscal responsibility. Oh yeah, that's the FAULT of the Democratic Congress right??

God why doesn't everyone in America live here in Kings County where THOUSANDS are being LIFTED out of poverty and where household incomes are "leaping."

And of course, the above mentioned is brought to you courtesy of the, "REPUBLICAN ADMINISTRATION GEORGE BUSH YEARS (emphasis intended)" "

Alihandero wrote on Sep 12, 2008 7:01 PM:

" Of course, everyone knows that it's the Democrat-controlled congress that didn't do squat for the country in terms of jobs, the economy, or the price of oil.

Yep...all the President's fault. Makes perfect logic.

Just wait till we get another Democrat like Jimmy Carter in office. At least he had some sense of our dangerous dependence on foreign oil way back then.

Carter: A man before his time. A visionary. Religious too.

Yep...it's all the President's fault.

Right on. "




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