The State of Working Families in Maryland has Deteriorated

The state of working families in Maryland has deteriorated, and the prospects for the future are shaky, unless state and national governments take strong action to promote a broadly-shared recovery.


The current economic downturn is notable not just for the severity of economic contraction but also for the length of decline.

Since 2000, median household income in Maryland increased only 6% in inflation-adjusted terms, from $65,325 to $69,272 (in 2009 dollars). The average annual increase was only 6/10 of 1% over the decade. Moreover, the median household income in Maryland actually declined in 2009 compared with 2008.

Over the last decade, the rate of poverty in Maryland has risen from 7.4% in 2000 to 9.1% in 2009. Maryland’s unemployment rate stands at 7.4% - the higher level since 1983. By numerous indicators detailed in this report, working families in Maryland are hurting, even as Maryland has retained its ranking as the wealthiest state in the nation.

Business profits and stock prices have recovered, but employment and median incomes have not. The national and state economies are on a path to a “jobless recovery.” The danger Maryland faces is that most of the gains of the economic recovery will flow to the wealthiest Marylanders. New jobs will be few, and those that emerge will have lower wages and fewer benefits than before the recession.

See the full report by Maryland Budget and Tax Policy Institute and Progressive Maryland Education Fund [PDF - 28 pages]. 12/28/2010