The New York Times reported Aug. 31 that the report also found that U.S. household incomes failed to rise again last year -- the fifth straight year that has happened.

The report estimated that 16 percent of Americans have no health insurance, about the same as in previous years. But fewer had employer-provided coverage, while the ranks of enrollees in Medicaid and military health programs grew.

Rising healthcare costs, coupled with growing competition from overseas and increased use of technology, were blamed for stagnant income levels. Median pay for men dropped 2 percent in 2004, to $40,800, and fell 1 percent for women, to $31,200. Many workers took on more hours to maintain their household income.

The poverty rate rose from 12.5 percent in 2003 to 12.7 percent in 2004.

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