Full Citation
Title: Cost of Living Variation, Nonmetropolitan America, and Implications for the Supplemental Poverty Measure
Citation Type: Journal Article
Publication Year: 2022
ISBN:
ISSN:
DOI: 10.1007/s11113-022-09702-w
NSFID:
PMCID:
PMID:
Abstract: Poverty scholarship in the United States is increasingly reliant upon the Supplemental Poverty Measure (SPM) as opposed to the Official Poverty Measure of the United States for research and policy analysis. However, the SPM still faces several critiques from scholars focused on poverty in nonmetropolitan areas. Key among these critiques is the geographic adjustment for cost of living employed in the SPM, which is based solely upon median rental costs and pools together all nonmetropolitan counties within each state. Here, we evaluate the current geographic adjustment of the SPM using both microdata and aggregate data from the American Community Survey for 2014-2018. By comparing housing costs, tenure, and commuting, we determine median rent is likely an appropriate basis for geographic adjustment. However, by demonstrating the wide variability between median rents of nonmetropolitan counties within the same state, we show that the current operationalization of this geographic adjustment could be improved through the use of more-specific categories such as metropolitan adjacency or Rural Urban Continuum Codes.
Url: https://doi.org/10.1007/s11113-022-09702-w
User Submitted?: No
Authors: Mueller, J. Tom; Brooks, Matthew M.; Pacas, Jose D.
Periodical (Full): Population Research and Policy Review
Issue:
Volume: 41
Pages: 1501–1523
Data Collections: IPUMS USA, IPUMS NHGIS
Topics: Housing and Segregation, Poverty and Welfare
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