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Hungry at Thanksgiving: A Fall 2020 update on food insecurity in the U.S.

The COVID-19 pandemic has shaped 2020 into a year characterized by public health and economic crises in the United States, destabilizing millions of families. One of the most striking and consistent indicators of ongoing hardship is an elevated level…

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By Lauren Bauer

The COVID-19 pandemic has shaped 2020 into a year characterized by public health and economic crises in the United States, destabilizing millions of families. One of the most striking and consistent indicators of ongoing hardship is an elevated level of food insecurity in American households. Food insecurity sits at the intersection of the economy and health; it is measure that a household lacks sufficient resources to provide adequate nutrition to its members.

This analysis provides evidence of an ongoing food insecurity crisis in the United States and current evidence on very low food insecurity among children by child age. I find that while fewer parents report that their children do not have sufficient food in October than earlier in the pandemic, two surveys both find that almost 10 percent of parents of young children – those who only have children between the ages of zero and five – report that their kids do not have sufficient food and they lack the resources to purchase more.

I also provide descriptive evidence on the relationship between income losses and nutrition assistance program receipt on the incidence of food insecurity during October 2020. Food insecurity is a leading indicator of economic distress; food insecurity tends to rise before poverty rates catch up. I find that low-income families with children are most likely to have experienced an income loss and most likely to have an income loss coincide with reporting very low food security among the household’s children. While the food safety net supports many families – the majority of low-income households report both nutrition assistance program participation and no very low food security among children – low-income families still struggle to make ends meet even with these supports.

Trends in Food Insecurity

Prior to the COVID-19 pandemic, the prevalence of moderate to severe food insecurity in the United States had continued its downward trajectory following the Great Recession. Since the onset of the COVID-19 pandemic, food insecurity has increased in the United States. Figure 1 shows that in 2020, food insecurity among all households and households with children remained elevated over 2019 levels and levels of food insecurity reported during the Great Recession. (Please see the accompanying technical appendix for additional detail.) Food insecurity rates have declined since summer due to income support remaining from federal fiscal support packages passed earlier in 2020, declining unemployment as states have reopened their economies in recent months, and some children returning to school in some states, expanding the reach of school meal programs.

Food Insecurity Among Households and Children

In 2019, in only about 0.5 percent of households with children did children ever experience reductions or disruptions in their food intake over the past 12 months. It is on this question– whether parents report that their children aren’t getting enough to eat due to a lack of resources – that there has been a spike since March. Figure 2 shows the share of parents (Census Household Pulse Survey; light green and light blue) and the share of mothers (Brookings Survey of Mothers with Young Children; dark green and dark blue) who responded that it was sometime or often the case that “The children in my household were not eating enough because we just couldn’t afford enough food.” (The time period about which the respondents were asked varied across surveys; please refer to the technical appendix for additional details. The green bars show rates for families where at least one school-age child is present while the blue bars are limited to families whose children are 5 and younger; these groups are exclusive.)

Very Low Food Security among Children in Select Months of 2020

From the onset of the pandemic to November, fewer mothers and parents are currently reporting that their children did not have enough to eat and they lacked the resources to purchase food.

  • In the Survey of Mothers with Young Children, twelve percent of mothers who only have children 5 and under reported that their children didn’t have enough to eat in April compared with ten percent in October and November.
  • In the Pulse survey, which has a larger sample and surveys both mothers and fathers, there has been a statistically significant decline in the share of parents reported that their children did not have enough to eat, both for parents of school-age children (17 percent in June to 12 percent in October) and parents who have children younger than school-age (12 percent to 10 percent).

However, even as food insecurity is declining, the share of parents, especially parents of children younger than five, who report that their children are not eating enough is quite high by historic standards.

Food Insecurity and Household Resources

A typical feature of recessions is that those who had fewer means before the downturn suffer more during downturns and for longer. Indeed, the loss of a job or income, as well as unstable child care arrangements are associated with the onset of food insecurity. The downturn instigated by the COVID-19 pandemic is also likely to increase food insecurity even more: the loss of child care, as well as meals provided at free or reduced cost at school and social distancing guidance that restrict movement outside the home.

During the COVID-19 pandemic, low-income families with children have been the most likely to have lost earned income during 2020. About 50 percent of families with school-age children and 44 percent of families only with children who are below school-age reported in October that they had experienced a loss of income during the pandemic. Of the parents reporting that their children do not have sufficient food, 73 percent of parents of school-age children and 71 percent of parents of only younger children also reported experiencing an income loss.

More families reported that there was an income loss and very low food insecurity among children than no income loss and very low food insecurity among children at every income level. Figure 3 shows the joint distribution of income losses and very low food security among children by 2019 household income using Pulse data from October 14 to 26, 2020. While one-third of households with children with 2019 incomes above $150,000 reported an income loss, about 60 percent of families making below $50,000 in 2019 did. One-third of households with children making less than $25,000 a year, more than one in five households with incomes between $25,000 and $50,000 and one in eight families with incomes between $50,000 and $75,000 reported very low food security among children. In addition to the direct relationship between diminished purchasing power and children having insufficient food, the loss of prepared school meals, supply chain issues, and rising food prices make it harder to stretch a dollar.

Distribution of Household Income Loss and Very Low Food Security among Children, by 2019 Income

Because this is both an economic and public health crisis, safety net programs have expanded to provide federal nutrition assistance resources to households. The Supplemental Nutrition Assistance Program (SNAP; formerly known as The Food Stamp Program) is the primary means through which the federal government addresses food insecurity. A new program – Pandemic EBT – is set up to function like SNAP. Pandemic EBT provides a voucher to purchase groceries for children who otherwise would have received free or reduced-price meals during school. These programs along with other children nutrition programs – such as the National School Lunch Program, Breakfast Program, and Summer Meals programs – WIC, and some smaller programs comprise the federal food safety net. Figure 4 shows 2020 monthly spending on nutrition assistance programs through October. Outlays accelerated after March and peaked in June, as the bulk of Pandemic EBT benefits were disbursed. Disbursements in October for both the child nutrition programs and for SNAP and Pandemic EBT were higher in October than in September.

Dollars Spent on Food and Nutrition Programs, by month

Figure 5 shows the distribution of mothers with children 12 and under who reported participating in at least one of the federal nutrition assistance programs – SNAP, Pandemic EBT, WIC, or prepared school meals – against whether or not they reported that their children were not eating enough and they lacked the resources to buy more food in October and early November. The majority of households with income below $49,000 report both food safety net participation and no very low food security among children; but among mothers who reported that their children did not have sufficient food, a higher share reported food safety net participation than not. That these families who receive benefits remain food insecure does not imply that the programs are ineffective, as those who are most in need of food assistance are most likely to enroll in nutrition programs. Furthermore, benefit inadequacy is more impactful among lower-income families; for those with incomes above $50,000, fewer households who availed themselves of the food safety reported that their children had inadequate food than those who did not.

Distribution of Food Safety Net Access and Very Low Food Security among Children, by month

Several policy responses to the COVID-19 pandemic have supported households’ food security. With my colleagues Diane Schanzenbach, Abigail Pitts, and Krista Ruffini, we evaluated the effect of Pandemic EBT on measures of food hardship. We found that Pandemic EBT reduced very low food security among children by 30 percent in the week after disbursements. Other scholars have found during COVID-19 that Unemployment Insurance receipt and SNAP emergency allotments also reduced food insecurity.

Conclusion

There are immediate and long-term health consequences to inadequate nutrition and limited access to food. Children born into food insecure households risk birth defects and children living in food-insecure households tend to have a lower health-related quality of life, higher rates of asthma, less nutritious diets, anemia, and cognitive and behavioral problems that affect well-being and school performance.

In the first five years of life – the foundational years for brain and physical development – food insecurity directly and indirectly impedes healthy development. That parents of children younger than five are reporting such high rates of very low food security among their children, almost 10 percent in two surveys fielded in October, is of urgent public concern.

Deteriorating economic conditions caused by the COVID-19 pandemic have made it even more difficult for many low-income households, including those with children, to afford groceries. While federal nutrition assistance programs have expanded as families have lost income and through Congressional action, elevated levels of very low food security among children necessitate additional action.

While Congress reauthorized Pandemic EBT to operate during the 2020-21 school year, the US Department of Agriculture did not issue guidance regarding state plans until November 16. A delay in implementing Pandemic EBT for this school year is exacerbating food insecurity issues in households as COVID cases accelerate and more students are engaged in remote learning. School districts, states, and USDA should work together to hasten timelines for distributing benefits, starting with SNAP-eligible households. Furthermore, while lump sum payments will be necessary in the beginning to make up for the current gap in coverage, efforts should be made to allow for monthly Pandemic EBT disbursements through September 2021.

In addition to increasing the maximum SNAP benefit by 15 percent, Congress should consider introducing a young child multiplier, which Diane Schanzenbach and Hilary Hoynes provide evidence for in a policy proposal for the Washington Center for Equitable Growth. This would increase SNAP benefits for families with children below the age of five and would fill a gap the Pandemic EBT’s welcome extension does not completely.

The technical appendix is available here

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Low Iron Levels In Blood Could Trigger Long COVID: Study

Low Iron Levels In Blood Could Trigger Long COVID: Study

Authored by Amie Dahnke via The Epoch Times (emphasis ours),

People with inadequate…

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Low Iron Levels In Blood Could Trigger Long COVID: Study

Authored by Amie Dahnke via The Epoch Times (emphasis ours),

People with inadequate iron levels in their blood due to a COVID-19 infection could be at greater risk of long COVID.

(Shutterstock)

A new study indicates that problems with iron levels in the bloodstream likely trigger chronic inflammation and other conditions associated with the post-COVID phenomenon. The findings, published on March 1 in Nature Immunology, could offer new ways to treat or prevent the condition.

Long COVID Patients Have Low Iron Levels

Researchers at the University of Cambridge pinpointed low iron as a potential link to long-COVID symptoms thanks to a study they initiated shortly after the start of the pandemic. They recruited people who tested positive for the virus to provide blood samples for analysis over a year, which allowed the researchers to look for post-infection changes in the blood. The researchers looked at 214 samples and found that 45 percent of patients reported symptoms of long COVID that lasted between three and 10 months.

In analyzing the blood samples, the research team noticed that people experiencing long COVID had low iron levels, contributing to anemia and low red blood cell production, just two weeks after they were diagnosed with COVID-19. This was true for patients regardless of age, sex, or the initial severity of their infection.

According to one of the study co-authors, the removal of iron from the bloodstream is a natural process and defense mechanism of the body.

But it can jeopardize a person’s recovery.

When the body has an infection, it responds by removing iron from the bloodstream. This protects us from potentially lethal bacteria that capture the iron in the bloodstream and grow rapidly. It’s an evolutionary response that redistributes iron in the body, and the blood plasma becomes an iron desert,” University of Oxford professor Hal Drakesmith said in a press release. “However, if this goes on for a long time, there is less iron for red blood cells, so oxygen is transported less efficiently affecting metabolism and energy production, and for white blood cells, which need iron to work properly. The protective mechanism ends up becoming a problem.”

The research team believes that consistently low iron levels could explain why individuals with long COVID continue to experience fatigue and difficulty exercising. As such, the researchers suggested iron supplementation to help regulate and prevent the often debilitating symptoms associated with long COVID.

It isn’t necessarily the case that individuals don’t have enough iron in their body, it’s just that it’s trapped in the wrong place,” Aimee Hanson, a postdoctoral researcher at the University of Cambridge who worked on the study, said in the press release. “What we need is a way to remobilize the iron and pull it back into the bloodstream, where it becomes more useful to the red blood cells.”

The research team pointed out that iron supplementation isn’t always straightforward. Achieving the right level of iron varies from person to person. Too much iron can cause stomach issues, ranging from constipation, nausea, and abdominal pain to gastritis and gastric lesions.

1 in 5 Still Affected by Long COVID

COVID-19 has affected nearly 40 percent of Americans, with one in five of those still suffering from symptoms of long COVID, according to the U.S. Centers for Disease Control and Prevention (CDC). Long COVID is marked by health issues that continue at least four weeks after an individual was initially diagnosed with COVID-19. Symptoms can last for days, weeks, months, or years and may include fatigue, cough or chest pain, headache, brain fog, depression or anxiety, digestive issues, and joint or muscle pain.

Tyler Durden Sat, 03/09/2024 - 12:50

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Walmart joins Costco in sharing key pricing news

The massive retailers have both shared information that some retailers keep very close to the vest.

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As we head toward a presidential election, the presumed candidates for both parties will look for issues that rally undecided voters. 

The economy will be a key issue, with Democrats pointing to job creation and lowering prices while Republicans will cite the layoffs at Big Tech companies, high housing prices, and of course, sticky inflation.

The covid pandemic created a perfect storm for inflation and higher prices. It became harder to get many items because people getting sick slowed down, or even stopped, production at some factories.

Related: Popular mall retailer shuts down abruptly after bankruptcy filing

It was also a period where demand increased while shipping, trucking and delivery systems were all strained or thrown out of whack. The combination led to product shortages and higher prices.

You might have gone to the grocery store and not been able to buy your favorite paper towel brand or find toilet paper at all. That happened partly because of the supply chain and partly due to increased demand, but at the end of the day, it led to higher prices, which some consumers blamed on President Joe Biden's administration.

Biden, of course, was blamed for the price increases, but as inflation has dropped and grocery prices have fallen, few companies have been up front about it. That's probably not a political choice in most cases. Instead, some companies have chosen to lower prices more slowly than they raised them.

However, two major retailers, Walmart (WMT) and Costco, have been very honest about inflation. Walmart Chief Executive Doug McMillon's most recent comments validate what Biden's administration has been saying about the state of the economy. And they contrast with the economic picture being painted by Republicans who support their presumptive nominee, Donald Trump.

Walmart has seen inflation drop in many key areas.

Image source: Joe Raedle/Getty Images

Walmart sees lower prices

McMillon does not talk about lower prices to make a political statement. He's communicating with customers and potential customers through the analysts who cover the company's quarterly-earnings calls.

During Walmart's fiscal-fourth-quarter-earnings call, McMillon was clear that prices are going down.

"I'm excited about the omnichannel net promoter score trends the team is driving. Across countries, we continue to see a customer that's resilient but looking for value. As always, we're working hard to deliver that for them, including through our rollbacks on food pricing in Walmart U.S. Those were up significantly in Q4 versus last year, following a big increase in Q3," he said.

He was specific about where the chain has seen prices go down.

"Our general merchandise prices are lower than a year ago and even two years ago in some categories, which means our customers are finding value in areas like apparel and hard lines," he said. "In food, prices are lower than a year ago in places like eggs, apples, and deli snacks, but higher in other places like asparagus and blackberries."

McMillon said that in other areas prices were still up but have been falling.

"Dry grocery and consumables categories like paper goods and cleaning supplies are up mid-single digits versus last year and high teens versus two years ago. Private-brand penetration is up in many of the countries where we operate, including the United States," he said.

Costco sees almost no inflation impact

McMillon avoided the word inflation in his comments. Costco  (COST)  Chief Financial Officer Richard Galanti, who steps down on March 15, has been very transparent on the topic.

The CFO commented on inflation during his company's fiscal-first-quarter-earnings call.

"Most recently, in the last fourth-quarter discussion, we had estimated that year-over-year inflation was in the 1% to 2% range. Our estimate for the quarter just ended, that inflation was in the 0% to 1% range," he said.

Galanti made clear that inflation (and even deflation) varied by category.

"A bigger deflation in some big and bulky items like furniture sets due to lower freight costs year over year, as well as on things like domestics, bulky lower-priced items, again, where the freight cost is significant. Some deflationary items were as much as 20% to 30% and, again, mostly freight-related," he added.

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Walmart has really good news for shoppers (and Joe Biden)

The giant retailer joins Costco in making a statement that has political overtones, even if that’s not the intent.

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As we head toward a presidential election, the presumed candidates for both parties will look for issues that rally undecided voters. 

The economy will be a key issue, with Democrats pointing to job creation and lowering prices while Republicans will cite the layoffs at Big Tech companies, high housing prices, and of course, sticky inflation.

The covid pandemic created a perfect storm for inflation and higher prices. It became harder to get many items because people getting sick slowed down, or even stopped, production at some factories.

Related: Popular mall retailer shuts down abruptly after bankruptcy filing

It was also a period where demand increased while shipping, trucking and delivery systems were all strained or thrown out of whack. The combination led to product shortages and higher prices.

You might have gone to the grocery store and not been able to buy your favorite paper towel brand or find toilet paper at all. That happened partly because of the supply chain and partly due to increased demand, but at the end of the day, it led to higher prices, which some consumers blamed on President Joe Biden's administration.

Biden, of course, was blamed for the price increases, but as inflation has dropped and grocery prices have fallen, few companies have been up front about it. That's probably not a political choice in most cases. Instead, some companies have chosen to lower prices more slowly than they raised them.

However, two major retailers, Walmart (WMT) and Costco, have been very honest about inflation. Walmart Chief Executive Doug McMillon's most recent comments validate what Biden's administration has been saying about the state of the economy. And they contrast with the economic picture being painted by Republicans who support their presumptive nominee, Donald Trump.

Walmart has seen inflation drop in many key areas.

Image source: Joe Raedle/Getty Images

Walmart sees lower prices

McMillon does not talk about lower prices to make a political statement. He's communicating with customers and potential customers through the analysts who cover the company's quarterly-earnings calls.

During Walmart's fiscal-fourth-quarter-earnings call, McMillon was clear that prices are going down.

"I'm excited about the omnichannel net promoter score trends the team is driving. Across countries, we continue to see a customer that's resilient but looking for value. As always, we're working hard to deliver that for them, including through our rollbacks on food pricing in Walmart U.S. Those were up significantly in Q4 versus last year, following a big increase in Q3," he said.

He was specific about where the chain has seen prices go down.

"Our general merchandise prices are lower than a year ago and even two years ago in some categories, which means our customers are finding value in areas like apparel and hard lines," he said. "In food, prices are lower than a year ago in places like eggs, apples, and deli snacks, but higher in other places like asparagus and blackberries."

McMillon said that in other areas prices were still up but have been falling.

"Dry grocery and consumables categories like paper goods and cleaning supplies are up mid-single digits versus last year and high teens versus two years ago. Private-brand penetration is up in many of the countries where we operate, including the United States," he said.

Costco sees almost no inflation impact

McMillon avoided the word inflation in his comments. Costco  (COST)  Chief Financial Officer Richard Galanti, who steps down on March 15, has been very transparent on the topic.

The CFO commented on inflation during his company's fiscal-first-quarter-earnings call.

"Most recently, in the last fourth-quarter discussion, we had estimated that year-over-year inflation was in the 1% to 2% range. Our estimate for the quarter just ended, that inflation was in the 0% to 1% range," he said.

Galanti made clear that inflation (and even deflation) varied by category.

"A bigger deflation in some big and bulky items like furniture sets due to lower freight costs year over year, as well as on things like domestics, bulky lower-priced items, again, where the freight cost is significant. Some deflationary items were as much as 20% to 30% and, again, mostly freight-related," he added.

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