An increasing number of American households have struggled to afford enough food since 2020 due to rising economic strains, according to a new analysis released by the Federal Reserve Bank of New York on Wednesday morning.
The report, based on results from the New York Fed's monthly Survey of Consumer Expectations, found a significant increase in people who said they dipped into their savings from June 2020 to February. This margin was even more pronounced for non-white households or those with children.
What the Right Is Saying
Conservative economists and Republican lawmakers have cautioned against viewing the data in isolation. They note that overall employment remains near historic highs and argue that temporary pandemic relief created artificial baselines. Senate Budget Chairman Lindsey Graham said the report reflects "transitional challenges" rather than systemic failure, pointing to rising wages and job creation as signs of underlying economic strength. Some Republicans have argued that work requirements for safety net programs help ensure assistance reaches those most in need while encouraging workforce participation.
What the Left Is Saying
Progressive economists and Democratic policymakers have pointed to the report as evidence that economic recovery remains uneven. The New York Fed economists noted in their analysis, "We find a remarkable increase in food insecurity, particularly among lower-educated and lower-income households and households with young children." Democrats have argued that pandemic-era safety net expansions, including expanded SNAP benefits, helped mitigate these trends during the public health emergency but expired before many families had recovered financially. House Minority Leader Hakeem Jeffries has called for renewed investment in nutrition assistance programs as a cornerstone of economic policy.
What the Numbers Show
The New York Fed data shows 10 percent of households reported struggling to obtain enough food for their home, with some people reporting missing meals. This represents a 6-point increase from 4 percent in June 2020. Among non-white households, 19.1 percent reported not having enough food, up from 4.5 percent in 2020. The report is part of the New York Fed's analysis of what economists describe as a "K-shaped" economy, where higher-income Americans benefit from rising stock prices and home equity while lower-income households face rising costs of living. Consumer sentiment dropped to 53.3 percent in March from 56.6 percent in February, according to the University of Michigan, falling further to 49.8 percent in April.
The Bottom Line
The New York Fed report adds quantitative weight to concerns about economic stratification that has persisted since the pandemic era. Researchers noted these consumer sentiment figures are "near or below the low levels seen during the Great Recession and pandemic." Since the survey data was collected, U.S.-Israel strikes on Iran in late February have driven up energy costs globally, potentially exacerbating domestic cost-of-living pressures. Policymakers on both sides of the aisle will likely cite these numbers as they debate safety net funding levels ahead of the next budget cycle.