The Influence of Household Formation On Homeownership Rates Across Time and Race
Homeownership rates equal the number of households that own homes divided by the number of households in the population. For that reason, differences in the propensity to form a household, or the headship rate, have the potential to explain observed changes in homeownership rates over time in addition to longstanding racial gaps in homeownership. In this regard, it should be emphasized that “headship” refers to whether an individual is identified in the Census as a household head. Thus, for example, a spouse or child of the household head would both be considered members of the household, but not the household head. We examine these questions on an age-specific basis using data from the 1970 to 2000 public use micro samples (PUMS) of the decennial census.
|Date of creation:||Oct 2004|
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