Income and Poverty across SMSAs: A Two-Stage Analysis
AbstractTwo popular explanations of urban poverty are the "welfare-disincentive" and "urban-deindustrialization" theories. Using cross-sectional Census data, we develop a two-stage model to predict an SMSAs median family income and poverty rate. The model allows the city's welfare level and industrial structure to affect its median family income and poverty rate directly. It also allows welfare and industrial structure to affect income and poverty indirectly, through their effects on family structure, education, and employment. The results give limited support to both the welfare-disincentive and urban-deindustrialization explanations of urban income levels and poverty rates.
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Bibliographic InfoArticle provided by Eastern Economic Association in its journal Eastern Economic Journal.
Volume (Year): 19 (1993)
Issue (Month): 1 (Winter)
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Find related papers by JEL classification:
- I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
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- Raymond S. Franklin, 1968. "A framework for the analysis of interurban negro-white economic differentials," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 21(3), pages 367-374, April.
- Danziger, Sheldon, et al, 1982. "Work and Welfare as Determinants of Female Poverty and Household Headship," The Quarterly Journal of Economics, MIT Press, vol. 97(3), pages 519-34, August.
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- John Iceland, 1997. "Urban labor markets and individual transitions out of poverty," Demography, Springer, vol. 34(3), pages 429-441, August.
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