Simply Politics & News

[sarals]

Average American Family Income Declines

<< so as the wealthiest few get wealthier... the average american family's income declines... and I'll bet the rise in net worth is due to the real estate bubble... >>

By MARTIN CRUTSINGER, AP Economics Writer
58 minutes ago

WASHINGTON - The average income of American families, after adjusting for inflation, declined by 2.3 percent in 2004 compared to 2001 while their net worth rose but at a slower pace.

The Federal Reserve reported Thursday that the drop in inflation-adjusted incomes left the average family income at $70,700 in 2004. The median, or point where half the families earned more and half less, did rise slightly in 2004 after adjusting for inflation to $43,200, up 1.6 percent from the 2001 level.

The median, or midpoint for net worth rose by 1.5 percent to $93,100 from 2001 to 2004. That growth was far below the 10.3 percent gain in median net worth from 1998 to 2001, a period when the stock market reached record highs before starting to decline in early 2000.

The Fed's results were published in the 2004 Survey of Consumer Finances, a document which provides a comprehensive view of how Americans are faring on such pocketbook issues as incomes and net worth.

http://news.yahoo.com/s/ap/20060223/ap_on_bi_ge/family_finances