THE MEASURE OF POVERTY

Technical Paper I

Documentation of Background Information

and Rationale for Current Poverty Matrix

 [This valuable Technical Paper collects a number of important articles and papers by Mollie 

Orshansky and others about the development and early history of the poverty thresholds. There were a 

few minor problems with the original Table of Contents: articles and papers were incompletely identified; 

there were some inconsistencies and errors in page numbers; and a few articles and papers were shown 

under the wrong heading. The following revised Table of Contents resolves these minor problems.] 

TABLE OF CONTENTS

 Page

PREFACE.......................................................................................................... v 

POVERTY STUDIES TASK FORCE [list of members]........................................... vii 

TECHNICAL PAPERS [list]................................................................................. viii 

INTRODUCTION................................................................................................ 1 

BACKGROUND ARTICLES................................................................................ [3] 

 [Mollie Orshansky,] “Children of the Poor,” [Social Security 

 Bulletin (July 1963)]...................................................................... ........ 5 

 [Mollie Orshansky,] “Counting the Poor: Another Look at the 

 Poverty Profile,” [Social Security Bulletin (January 1965)]....................... 16 

 [Mollie Orshansky,] “Who’s Who Among the Poor: A Demographic 

 View of Poverty,” [Social Security Bulletin (July 1965)]........................... [44] 

 [Mollie Orshansky,] “Recounting the Poor--A Five-Year Review,” 

 [Social Security Bulletin (April 1966)]..................................................... [75] 

 [Mollie Orshansky,] “More About the Poor in 1964,” [Social 

 Security Bulletin (May 1966)]................................................................. 94 

 [Mollie Orshansky,] “The Poor in City and Suburb, 1964,” [Social 

 Security Bulletin (December 1966)]....................................................... 130 

 [Mollie Orshansky,] “The Shape of Poverty in 1966,” [Social 

 Security Bulletin (March 1968)]............................................................. 146 
 [Mollie Orshansky,] “Counting the Poor: [Before and After Federal 

 Income-Support Programs,” paper submitted to the Subcommittee on 

 Fiscal Policy of the Joint Economic Committee (December 1967)]........... [176] 

 [Mollie Orshansky,] “The History of the Poverty Line” [memorandum 

 for Dr. Daniel P. Moynihan (July 1970)].................................................. [232] 

 [Perspectives on poverty 1: Dorothy K. Newman, “Changing 

 attitudes about the poor,”] Monthly Labor Review (February 1969) 

 [Note the box with the unofficial conceptual definition of poverty 

 on p. 243.]............................................................................................ [239] 

 [Perspectives on poverty 2: Mollie Orshansky, “How poverty is 

 measured,” Monthly Labor Review (February 1969)................................ 244] 

 [U.S. Bureau of the Census, Current Population Reports,] Special 

 Studies, [Series P-23, No. 28, Revision in Poverty Statistics, 

 1959 to 1968] (August 1969).................................................................. [249] 

 [U.S. Bureau of the Budget,] Circular No. A-46 (Transmittal 

 Memorandum [No. 9 and Exhibit L, “Definition of Poverty for 

 Statistical Purposes” (August 1969) (For the latest (1978) version 

 of this document, go to 

 <http://www.census.gov/hhes/www/povmeas/ombdir14.html>.)]).............. 256 

[OFFICE OF ECONOMIC OPPORTUNITY POVERTY GUIDELINES...................... 258] 

 Office of Economic Opportunity Instructions - 

 Income Poverty Guidelines [September 1968, September 1969, 

 December 1970, November 1971, and October 1972]............................... 258 

 “Poverty Thresholds: Their History and Future Development,” [by] 

 Israel Putnam [November 1970].............................................................. 272 

EXCERPTS FROM THE ECONOMIC REPORTS [OF] THE 

PRESIDENT: 1964-1969.................................................................................... 285 

 [Chapter 2,] “The Problem of Poverty in America” (January 1964) 

 [Although authorship of material in Economic Reports of the 

 President is not shown, it is known that the primary author of 

 this chapter was Robert Lampman.]......................................................... 287 

 Poverty (January 1965)........................................................................... 317 

 Civil Rights Laws and Economic Discrimination; 

 Reduction of Poverty (January 1966)....................................................... 325 

 Income Maintenance (January 1967)....................................................... 332 

 The Demography of Poverty (February 1968)........................................... 338 

 Combating Poverty in a Prosperous Economy (January 1969).............. .... 346 












































































































































































































































































































































































Technical Paper II

Administrative and Legislative Uses of the Terms

"Poverty," "Low-Income," and other Related Items

l; .S. Department of Health. Education. and Welfare
DEPARTMENT OF HEALTH, EDUCATION. AND WELFARE

OFFICE OF THE SECRETARY

WASHINGTON, D.C. 20201

September 1,1976

Virginia Trotter

Assistant Secretary for Education

Department of Health, Education,

and Welfare

William A. t".orrill

Assistant Secretary for Planning

am Evaluation

Department of Health, Education,

and Welfare

I am pleased to issue Technical Paper II, "Administrative and

Legislative Usages of the Terms 'Poverty', 'Low Income', and Other

Related Items". It contains supporting data for the report

entitled The Measure of Poverty which was prepared in compliance

with section 823 of the Education Amendments of 1974. This paper

is a compilation by the Poverty Studies Task Force of the major

Federal, legislative, administrative and statistical uses of

Poverty terminology.

" "-)

/-\.~..(~7i: /l7 t2~"~~-"L.-<-;t

Bette Mahoney, Chairman

Poverty Studies Task Force
Contents

~

Preface. 1. vi

Overy iew 1

fvbst CoImk)nly Used Poverty Definitions 1

4

Department of COImIercei Bureau of the census ~..' 7

Conununity Services Administration ~ 15

Department of Health, Education, and Welfare 1 22

Social and Rehabilitation Services 1

22

Social Security Administration.. 1... 29

Office of Human Development 1

31

Education Division .1. 33

i Public Health Service ~ 51

Department of Housing and Urban Development ~ 66

Department of Labor ~ 72

DeparbTlent of Agriculture ~... 105

Department of Treasury

Department of State .1 121

Departmen t of Inter ior 1. 122

Small Business Administration .1...

I ACTION. i.

Veterans Administration .1...

Footnotes to Technical Paper II

v
PREFACE

Section 823 of the Education Amendments of 1974 CPL 93-380)

requires a thorough study of the manner in which the

relative measure of poverty for use in the financial

assistance program, authorized by Title I of the Elementary

and Secondary Education Act of 1965, may be more accurately

and currently developed.

That financial assistance program is administered by the Commissioner

of Education, through the Office of Education, Department of Health,

Education, and Welfare. An important feature is the use of a formula

prescr ibed by Section 103 of the Elementary and Secondary Education Act

for the annual distribution of Federal funds to school districts. A

significant factor in the formula is the nurnnber of school-age children

5 to 17 in poor families within each school district. The measure of

poverty which is used, and which is the subject of the study mandated

by Section 823, is the Federal government's official statistical definition

of poverty (also known as the Orshansky, OMB, Census Bureau, or Social

Security poverty lines).

Other work related to poverty measurement has been called for in

recent legislative acts. In the Comprehensive Employment and Training

Act, the Secretary of Labor is directed to develop and maintain comprehensive household budget data at different levels of living, including

a "level of adequacy." Any such review of the level of adequacy must

necessarily be closely related to measures of poverty. The Housing and

Community Development Act of 1974 gives the Secretary of HUD authority

to adjust the poverty measure to reflect local variations in the cost

of living. The Conference Report accompanying it directs the Secretary

to develop or obtain data with respect to the "extent of poverty" by

metropolitan areas and to submit such data to the Congress as part of

a March 31,1977, report.

Because of the broad scope of the subject matter, coverage of the

study of the measure of poverty mandated by Section 823 of the Education

Amendments of 1974 was extended to include implications of the study

findings for the poverty-related programs of all affected Federal

departments and agencies. The Title I program of the Elementary and

Secondary Education Act was given the most detailed treatment, to meet

the legislatively-mandated specifications for the study as well as to

serve as a primary example of application of the concepts of poverty

measurement to Federal programs. The findings of the study are published

in a report entitled, "The Measure of Poverty." An important objective

of the study was full discussion and documentation of the major elements

of currently applied and potentially usable poverty measures. Mater ial

containing essential supporting documentation for the study was assembled

as technical papers. These have been written to stand alone as complete

technical treatments of specific subjects.

vi
The study was performed under the direct guidance of a Poverty

Studies Task Force of the Subcommittee on the Education of the Disadvantaged and Minorities, Federal Inter-Agency Committee on Education.

Technical papers were prepared at the request of, under the direction

of, and subject to review by the Task Force members. Some papers

are primarily the work of one or two persons; these are attributed to

their authors. Others result from the collective input of Task Force

members or advisors and no specific attribution is given except to

the Task Force, as a whole.

The following listings show members of the Poverty Studies Task

Force by appropriate Federal departments and agencies, and the titles

and authors of the technical papers.

This report contains Technical Paper II, Administrative and

Legislative Usages of the Terms "Poverty," "Low Income," and Other

Related Terms. It was prepared under the general supervision of

Geo.rge Grob, Staff Director, Poverty Studies Task Force. Ellen Kraus

Contractor, Bernice Cravin, Research Assistant, Killalea Associates,

Contractor, and members of the Poverty Studies Task Force assisted in

the preparation.

,. To obtain copies of the report, "The Measure of Poverty," or any

of the technical papers, please write to:

Office of the Assistant Secretary for Planning and Evaluation

Department of Health, Education, and Welfare

200 Independence Avenue, S.W.

Roam 4430 -South Portal Building

Washington, o. c. 20201

vii
Federal Interagency Cannittee on Education

Subcannittee on Education for the Disadvantaged and Minorities

rovERIY 5'IUDIES TASK FOI(:E

Chairman

Bette S. Mahoney

Office of the Assistant Secretary

for Plaru1ing aOO Evaluation

Depar~nt of Health, Fducation, and Welfare

Co-Chairman for Fducation j

At»ul Khan

Office of the Assistant Secretary for Fducation

Depar~nt of Health, Fducation, and Welfare

David Arnaudo

Social aOO Fehabilitation Services

DepartIlEnt of Health, Education, aOO welfare

Richard B. Clemrer

Office of the Assistant Secretary

for Policy Developrent aOO Fesearch

DepartIlEnt of Housing aOO Urban Developrent

Genev ieve O. Dane

Office of Education

Depar~nt of Health, Education, and welfare

William Dorfman

National Center for Educational Statistics

Department of Healt.~, Education, aOO Welfare

Alan L. Ginsburg

Office of the Assistant Secretary

for Planning aOO Evaluation

Department of Health, Education, aOO welfare

George E. Hall

Social Statistics Branch

Office of Managel1B1t aOO Bud:Jet

Eva Jacobs

Bureau of Labor Statistics

~par~t of Labor

Jane Lampnann

Office of the Assistant Secretary

for Hunan ~velopnent

~partllent of Health, Education, and Welfare

Daniel Levine

Bureau of the Census

~par~nt of Camlerce

Neloon McClUlXJ

Office of Tax Analysis

~partlTe1t of the Treasury

June O'Neil

Council of Econanic Advisors

Mollie Orshansky

Social Security Administration

~par~nt of Health, Education, and welfare

Israel Putnam

Community Services Administration

Stephen Hiemstra

Food and Nutrition Service

Departllent of Jiqriculture

Robert L. Rizek

Agricultural Research Service

DepartDe1t of Agriculture

Gooloo ~erlich

Office of the Assistant Secretary for Health

Department of Health, Education, and Welfare

Paul T. Hill

National Institute for Education

Department of Health, Education, and Welfare

Staff Director

George F. Grob

Office of the Assistant Secr~tary

for Planning ard Evaluation

viii
TFX:HNlCAL PAPERS

Mollie Orshansky

Social Security Administration

I. Documentation of Background Information

and Rationale for Current Poverty Matrix

II. Administrative and Legislative Usages of

the Terms "Poverty," "Low Income," and

Other Related Terms

Poverty Studies Task Force

with assistance from Ellen Kraus

III. A Review of the Definition and

Measurement of Poverty

IV. Bureau of Labor Statistics Family

Budgets Program

v. The Consumer Price Index

Urban Systems Research

am Engineering, Inc.

I Mark Sher~ J

Bureau of Labor I tatistics

Jill King

Mathe!natica, Inc.1

VI Wealth and the Accounting Period in

the Measurement of ~Ieans Nelson l1cClung and Eugene Steuerle

Department of the Treasury

Janice Peskin

Health, Education and Welfare

Jill King

Mathematica, Inc. i

Connie Citro, Mathematica, Inc.

Bureau of the Census

VII. In-kind Income and the Measurement of

Poverty~II. 

The 1972-73 Consumer Expenditure

Survey

IX. Inventory of Federal Data Bases RelateJ

to the Measurement of Poverty

(a) Non-Census Data Bases

(b) Census Data Bases

X. Effect of Using a Poverty Definition \

Based on Household Income

Jack McNeil, Doug Sater, Arno Winard

Bureau of the Census

XI Update of the Orshansky Index Mollie Orshansky

Social Security Administration

XII. Food Plans for Poverty Measurement Betty Peterkin I

Department of AgriCfulture

Jack McNeil I

Bureau of the Cens~s

aIr. 

Geographic Differences and Relative

Poverty

XIV. Relative Measure of Poverty Stanley Stephenson

Health, Education, and Welfare

XV. Analytic Support for Cost-of-Living

Differentials in the Poverty Thresholds

XVI. Implications of Alternative Measures

of Poverty on Title I of the Elementary

and Secondary Education Act

Thomas Carlin i

Department of Agriculture

Abdul Khan and Herman Miller

Health, Education, and Welfare

XVII. The Sensitivity of the Incidence of

Poverty to Different Measures of

Income: School-age Children and

Families

Survey Research Centtr

University of Michig~

XV1II. 

Characteristics of Lo~Income

Populations Under Alternative

Poverty Definitions

Lawrence Brown

Health, Education, and Welfare

ix
OVERVIEW

This paper describes the various administrati.ve and legislative uses

of the terms poverty, low income, and related expressions. Different

agencies within the Federal Government were asked to submit material

regarding four different categories of poverty terminology. The first

category was administrative guidelines. Those agencies or components within agencies which had issued administrative guidance on the uses of the

terms "poverty," "low income," etc., were asked to describe the guidelines,

paraphrasing and quoting where appropriate. Copies of the relevant administrative guidelines or passages were requested.

The second category requested was general legislative ~ses. When

general legislative definitions of poverty terms were used extensively to

define or describe the overall purposes or activities of an agency, or any

portion thereof, that agency was asked to identify the appropriate legislation and to provide a paraphrase, quotation, or copy of it.

.The third category requested was programs for low-income persons.

Respondents were asked to identify programs which are directed toward lowincome persons, which distribute funds to low-income populations, or which

use poverty as a criterion of eligibility for benefits. It was realized

that "program" can be used in a number of ways, e.g.: as a title, section,

or complete law; an appropriation; the activity of one or several components of an agency; a "program" in the Catalogue of Federal [X)mestic

Assistance Programs; or any other definition of a "program" used by an

agency. Respondents were asked to provide program identification (name,

law, section, title, appropriation, Federal Domestic Assistance Catalogue

name and number, name of organizational component, or other explicit identification); program description (a few sentences of program description);

definition of terms (paraphrase, quote, or copy of passages using lowincome terminology, identifying, if appropriate and if possible, whether

the passages quoted and poverty terminology are used in defining the purpose of the program, eligibility for participation, or as a formula for

distribution of funds).

The final category of information requested was programs targeted to

needy populations. These are programs directed toward needy populations

which, although not identified explicitly as being poor, contain a disproportionately high number of low-income persons.

The information submitted as a result of these requests was immensely

varied in format and content, reflecting agency differences in the quantities and qualities of available information, as well as inconsistencies in

the definition of poverty used for Federal programs and in the treatment of

poverty and low-income terminology in various laws and administrative

documents. The var iety in format and content of information stems from a

number of factors. First, the controlling mechanism for definition of

low-income target groups differs from agency to agency and program to

program. In some cases, a law, such as the Education Amendments of 1974

1
to the Elementary and Secondary Education Act of 1965, specifies a definition of poverty and provides a detailed formula for distributing funds

based on that definition; in other cases, such as the Child Nutrition programs, the legislation requires the Secretary of a Department or Director

of an agency to set guidelines specifying dollar levels for eligibility

purposes. In still other cases, the intent to help "needy" or "low-income"

persons is noted in authorizing legislation without further elaboration.

Another major cause of variety in usage stems from a distinction

between poverty "lines" or "thresholds" used for statistical purposes and

those used for administrative, legislative, or pr'ogr~i~purposes.

Interest by the public, by Congress, and by the Federal Executive branch

in knowing the number, characteristics, and location of the poor has led

to the adoption of a single official statistical definition of poverty by

the Federal government. This definition has generalized features, is based

on cash income, and is suitable for analysis of data which are routinely

collected by the Census Bureau. Administrative, programmatic, or legislative definitions, although frequeni:.:y related to the statistical definition,

are not general in nature, having features designed to reach a specific

subpopulation of the poor or low-income groups. For example, Food Stamp

eligibility guidelines seek to ensure nutritional adequacy and thus employ

standards not used by a purely statistical definition. The statistical

and administrative usages of poverty terminology are not unrelated, however,

because the extensive analysis done on Census data with the statistical

definition of poverty providing a convenient framework for the other usages.

Consequently, this paper covers statistical uses of poverty terminology

along with administrative, programmatic, and legislative usages.

The paper has been written so that it may be useful to program analysts needing information about poverty guidelines in use throughout the

Federal government. The reader should be cautioned to examine specific

poverty definitions in the context of their intended use. There is a

natural temptation to look for or desire uniformity in the various definitions of poverty. Most major poverty-related programs, however, have

adapted statistical or other definitions of poverty in order to target

more accurately on the populations deemed to be in need of the specific

program benefits. Furthermore, the effects of using a statistical

definition of poverty for program eligibility purposes, or of using eligibility guidelines in a formula designed to distribute a fixed amount of

furns, ~e very co~x.

Readers are also cautioned to examine carefully the definition of

income associated with various poverty definitions. For example, the

poverty thresholds used by the Labor Department for its Comprehensive

Employment and Training Act (CETA) program are identical to those

promulgated by the Community Services Administration, but the income

definition is different.

It should also be noted that this paper does not list all programs

which significantly benefit the poor --only those that make use of

2
poverty terminology. For example, Social Security benefits are not described, even though their effect on the poor is sign~ficant.

Because the uses of poverty terminology vary so widely, it is not

possible to organize the material submitted by the various Federal departments and agencies in a single, uniform manner that avoids obscuring the

real differences. On the other hand, a mere listing of the submissions

would impose a burden on the reader. This paper, therefore, presents the

material in two ways. The next section summarizes the most commonly used

definitions of poverty, so that the reader obtains some insight into the

commonalities of usage across departments and agencies. The remainder of

the paper is organized by department or agency and descr ibes, for each,

the major poverty-related programs and their administrative guidelines

and legislative usages.

3
MOST COMMONLY USED POVERTY DEFINITIONS

THE OFFICIAL STATISTICAL POVERTY DEFINITION

The Census Bureau, in compiling statistical information about lowincome populations, uses a system of 124 separate poverty thresholds (based

on income) which take into account factors such as family size and composition, and farm or non-farm residence. These poverty lines are adjusted upward each year according to changes in the Consumer Price Index. The set

of poverty lines is fully described under Department of Commerce, Census

Bureau usages immediately following this section. It was first developed

by Mollie Orshansky of the Social Security Administration in 1964 and subsequently designated by the Office of Management and Budget in 1969 as the

official system of poverty thresholds to be used for all statistical purposes within the Federal government. It is variously identified by anyone

of the phrases noted in the Preface. Because the poverty index has so many

distinct thresholds, it is seldom used directly for administrative purposes.

The Census Bureau publishes simplified "weighted average" threshold tables

which statistically reduce the number of lines for purposes of easy reference or for statistical studies based on data which cannot distinguish

various family types. References to these official poverty thresholds are

frequently ambiguous. H)wever, it is the most extensively used poverty

measurement system throughout the government, and most other major systems

are derived from it or are related to it.

PHOGRAM GUIDELINES OF THE COW1UNITY SERVICES ADMINISTRATION

In August 1967, the Office of Economic Opportunity issued uniform

income guidelines for all programs it then funded which used income to

determine eligibility. These program eligibility guidelines were based on

the Orshansky definition. The Community Services Administration, formerly

the Office of Economic Opportunity, now publishes annual updates of these

program guidelines based on changes in the Consumer Price Index. Other

major programs targeted to low-income populations, such as the Labor

Department's employment programs and the Agriculture Department's Free and

Reduced-Price Meals and Free Milk programs, use these guidelines, derivatives of them, or guidelines similar to them.

For purposes of clarity and consistency, the income guidelines

published by the Community Services Administration will be referred to as

the CSA program guidelines, except where direct quotations use its former

name; then the income guidelines will be called OEO guidelines. These

guidelines are described in detail in the section entitled "Community

Services Administration." Whereas the poverty index used by the Census

Bureau is the official statistical definition of poverty, the CSA program

guidelines, probably because they were the first such administrative guidelines and are easily adapted for general use, are sometimes referred to as

the official program definition of poverty.

4
PUBLIC ASSISTANCE

A number of Federal programs for low-income persons define eligibility in terms of receipt of public assistance or independent eligibility !n

another welfare program. Thus, a person is considered to be poor if he is

on welfare. For example, regulations for the Comprehensive Employment and

Training Act define an economically disadvantaged person as "a person who

is a member of a family 1) which receives cash welfare payments; or 2) whose

annual income in relation to family size does not exceed the poverty level

determined in accordance with criteria established by the Office of Management and Budget." Similarly, eligibility for Food Stamps is based on

income and resource guidelines issued by the Labor Department or on receipt

of public assistance or Supplemental Security Income.

Nonmally, cash welfare payments or public asistance means participation in the Aid to Families with Dependent Children (AFDC) program, the

Supplemental Security Income (SSI) Program, or other state or Federal

welfare programs. Thus, guidelines promulgated with respect to eligibility

for- AFDC and SSI become important in a discussion of poverty tenminology.

The criteria for AFDC eligibility vary considerably among the various

states, a fact which may be viewed by some as causing great inconsistencies

and inequities and by others as providing for needed adjustments to various

cQnditions within different areas. The AFDC guidelines are described in

detail under the section dealing with the Social and Rehabilitation

Services. The SSI standards are found under the section dealing with the

Social Security Administration. Both sections are contained in this study

under the general heading of Department of Health, Education, and Welfare.

OTHER COMMONLY USED TYPES OF POVERTY GUIDELINES

In addition to the specific poverty measurement or income-related

program eligibility systems identified previously, the following general

types of poverty guidel ines are used.

.A single dollar aIIDunt for all families. A person is considered

to be poor if he is a member of a family whose total income is

less than a specified amount which does not vary by family size.

Such a definition was originally used as the official Federal

statistical and progranmatic measure which set the "poverty line"

at $3,000. (The poverty line for unrelated individuals was set

at $1,500.) This type of definition was also once used for distribution of funds under Title I of the Elementary and Secondary

Education Act of 1965, and it is currently used (at a higher dollar amount) for distribution of funds to state and local governments under the Comprehensive Employment and Training Act, as well

as in a number of other programs.

5
~igh;r percen!:ages o~~!;.!:!~ offici~l Federal or CSA poverty lines.

The Census Bureau publishes statistics 9howing characteristics of

low-income persons whose incomes are less than 125 percent of the

official Federal poverty lines. These are sometimes referred to

as the "near poor" population. Statistics based on higher percentages are also available. Funds for some programs, such as those

of the Children's Nutrition Programs which use 195% of the official

poverty lines, are distributed using higher income lines as eligibility criteria. !

.Percentage of median incolne. Two recently enacted laws, Title XX

of the Social Security Act and the Housing and Community Development Act of 1974, use percentages of median income (80 percent to

115 percent of median family income in each state in the case of

Title XX of the Social Security Act, and SO percent and 80 percent

of median family income of the "area" for the Housing and Community

Development Act of 1974). The use of income eligibility criteria

based on median income is a relatively new developnent in Federal

programs, although these are precedents in the case of social

service programs.

.Unspecified eligibi!ity criteria. Administrative and legislative

references abound in terms which target Federal programs to the

"disadvantaged," "economically disadvantaged," "unemployed,"

"underemployed," "needy," "dependent," "individuals whose income

and resources are insufficient," etc., without further elaboration.

GENERAL OBSERVATIONS

It should be noted that some programs use more than one type of

definition of poverty. An example is the Comprehensive Employment and

Training Act of the Labor Department. Some funds for this program are

distributed to local government units based on the number of families with

incomes less than a specified dollar threshold. These funds are then

provided by local sponsors to needy persons based partially on income

guidelines adjusted for family size. Welfare recipients are also eligible

(if they meet other employment-related criteria).

The effect of almost all adaptations of the statistical poverty lines

for program purposes is to reach a "poverty" population larger than that

wh"ich is defined by the official poverty levels. Usually, this is the

result of an increase in the poverty line or the inclusion of welfare

recipients above the poverty line.

6
DEPARTMENT OF COMMERCE

BUREAU OF THE CENSUS

INTRODUcrION

The Census Bureau is responsible for calculating and =or publishing

the official statistical series relating to poverty in the United States.

The series was developed over time with participation by other Federal

agencies, mainly the Social Security Administration. The following

material describes the early development of the series, the theoretical

basis for the series, current poverty thresholds, and the major standard

reporting systems using the thresholds.

FARLY DEVEWPMENT OF THE STATISTICAL roVERrY SERIES

The Report of the Council of Economic Advisors announced a "War on

Poverty" in January 1964. The Council designated as poor any family of

two or more persons with income for the year of less than $3,000, and any

person living alone (or with nonrelatives) on an income of less than$1,500. 

The Council cited a Social Security Administration (SSA) study

which estimated $3,165 as a minimum income needed (in 1961) for a nonfarm

family of two adults and two children as the rationale for making $3,000

and $1,500 the critical thresholds delineating poverty.

Mollie Orshansky, working for the Social Security Administration,

published an article "Counting the Poor" in January 1965, in the Social

Security Bulletin. The poverty population was considered as families

having an income below that required to purchase a minimal cost adequate

diet in keeping with American family expenditure patterns. She used a

sliding scale of income requirements centered around family size and composition, rather than the traditional single income cut-off or some

measure counting a constant proportion of the population.

Using a special tabulation of 1963 incomes from the March 1964

CurrenE Population Survey, Orshansky demonstrated that although the total

number of poor calculated using the sliding scale was about the same as

the number calculated using the single income cut-off, the two populations

differed radically. In her total poor group, small families with incomes

less that $3,000 were excluded, and families with many children and with

requirements exceeding $3,000 were now included.

Orshansky's statistical definition of poverty was published just as

the Economic Opportunity Act of 1964 was being put inbo effect. The

Research Division of the Office of Economic appo:tunity adopted Miss

Orshansky's poverty measure (also known as the SSA po~erty measure) as a

working tool for budget and planning purposes and also as an administrative guideline for program purposes. I

The poverty measures and the poverty population they del ineated remained

quasi-official numbers until August 1969. Then, the Bureau of the Budget,

7
now the Office of Management and Budget (OMB), designated them as the official statistical series to be published regularly ~y the Census Bureau.

THEO~ICAL BASIS FOR THE SERIES

The poverty measure used by the Census Bureau, based on the definition developed by Mollie Orshansky of the Social Security Administration in

1964 and adopted as the official statistical standard by the Office of

Management and Budget in 1969, is an attempt to sp=cify in dollar

terms a minimum level of income adequacy for families of different types,

in keeping with American consumption patterns. The Department of Agriculture's 1961 Economy Food Plan, which was suitable for emergency use or when

funds were temporarily low, was specified as the minimum adequate diet.

Orshansky adapted this plan to various family sizes and types. The final

step was to estimate non-food expenses, and this was based on a 1955

survey of food consumption. This survey found that one in every three

dollars of income was spent on food by the average Am,rican family.

Thus, for famil ies of three or more persons, the smallest acceptable income

was set at three times the cost of the three-member family Economy Food

Plan. For smaller families and persons residing alone, the cost of the

economy food plan was multiplied by factors greater than one to compensate

fOr the relatively higher fixed expenses of these smaller households.

The Social Security Administration poverty cut-onfs were also corrected

for the fact that farm families customarily obtain their housing as well

as their food as part of the farm business operation rather than by direct

expenditure of net family income. On the basis of ava~lable data, a farm

family needed only 70 percent as much cash as a nonfarm family. The 1969

Federal Interagency Committee revised the farm-nonfar~ differential to 85percent. 

I

The Social Security Administration criteria were originally developed

in terms of 1963 income and prices. They were extended forward through

1967 and backward to 1959, modified only by pr ice revisions based on

changes in the cost of food in the Economy Food Plan. During the 1960's"

however, the cost of the economy food plan did not increase as much as the

overall cost of living. Thus, general price changes between 1959 and 1968

were not reflected by comparable changes in the poverty threshold. To

remedy this, a Federal Interagency Committee proposed, in 1969, that annual

adjustments in the low-income thresholds be based on changes in the

Consumer Price Index. I

CURRELW roVERl'Y THRESHOLDS

The income thresholds used by the Bureau of the Census to determine

the low-income status of families and unrelated individuals consist of a

set of 124 thresholds arranged in a four-dimensional matrix consisting of

family size (from one person to seven-or-rore-person famil ies), presence

and number of family members under 18 years old (from ~o children present

to six-or-rore-children present), sex of head, and farm-nonfarm residence

(Table 1). The farm thresholds are set at 85 percent of the nonfarm

8
Table 1 .Income Thresholds at the Poverty Level in 1974 by Sex oflHead. Size of Family,

and Number of Related Children Uncer 18 Years Old. by Farm-Npnfarm Residence

Number of related children under 18 years old

Size of f..ily unit

None 1 2 3 4 5 6 or more

NONFARM

Male Head

$2.6~8

2,387

I person (unrelated lndlv.):

2 persons: Under 65 years 65 years and OYer 

6 7 3 45or persons Head prsonsea Hed aore under 65 persons yeara 65 years and over '53,724

3,724

3,996

5,178

6,232

7,087

8,972

3,324

2,985

3,870

5,103

6,158

7,063

8,896

$4,223

5,000

6,032

6,937

8,796

.is,2S2

5,881

6,786

8,645

$6,006

6,585

8,445

$6,686

8,142 $8,068

V-ale Head

$2,458

2,357

1 person (unrelated lndlv.):

2 persons: Under 55 year. 65 and years over 

6 3 4 57Head or Head prsons persons .ore under 65 persons years 65 years and over .t3 ,353

3,353

3,568

5,075

6,058

6,987

8,746

3,072

2,948

3,745

4,900

5,881

6,862

8,619

t3,946

5,053

6,032

6,937

8,720

$5,000

5,982

6,886

8,645

$5,781

6,660

8,419

t6,457

8,244 $7,841

FARM

Male Head

$2,258

2,030

.$3,165

3,165

3,397

4,402

5,298

6,024

7,627

1 person (unrelated indiv.):

2 persons: Under 65 years 65 years and over 

3 67 45 or Head Head persons .ore under 65 persons years 65 years and over 2,825

2,537

3,291

4,338

5,235

6,003

7,562

$3,590

4,249

5,127

5,897

7,477

$4,465

4,998

5,768,

7,348

.t5,106

5.597

7.179

$5,683

6,921 $6,858

Fe..le Head

$2,089

2,002

1 person (unrelated lndlv.):

2 persons: 65 years and over Under 65 years 

Head under 65 years 2.611 .t2,851

Head 65 years and over 2.506 2.851

3 persons 3,183 3,033 $3.355

4 persons 4.165 4,313 4,294 $4,249

5 persons 4,998 5.149 5.127 5.085 .t4,914

6 persons ~.832 5,939 5.897 5,853 5.662 $5.489

7 or more persons 7,325 7,435 7.412 7.348 7,156 7,007 $6,665

9
thresholds. 

Unrelated individuals and two-person families are further

differentiated by age of head (under 65 years and 65 years and over). The

total family income of each family in the sample is compared with the

appropriate dollar threshold. If the family's total income i3 less than

that threshold, the family is classified as poor.

Table 2 presents the thresholds more simply than Table 1; the numberof-children categories have been collapsed into weighted averages. For

each three-dimensional category in Table l'(size of family, sex of head, and

place of residence), the weighted average threshold for a specific family

size is obtained by mul tiplying each number-of-chil~ren threshold by the

total number of such families of all incomes in that family size category in

the u.s. population, and dividing the aggregated products by the number of

families of that size.

Since family composition varies by farm-nonfarm residence, the weighted

average thresholds at the low-income level for farm families, as shown in

Table 2, will not be exactly 85 percent of nonfarm levels. Also, since the

distribution of families by composition may vary somewhat from year to year,

the weighted average thresholds do not reflect identically the change in the

Consumer Price Index which is applied uniformly to each of the 124 thresholds.

"Table 2. Weighted Average Thresholds at the Poverty Level in 1974 by Size of

Family and Sex of Head, by Farm-Nonfarm Residence

Nonfarm Farm

Size of family unit Total Male

head1

Female

head1

Malehead!Female

head1 Total Total

$2,

2,

2,

3,

3,

2,

3,

5,

5,

6,

8,

.$2,

2,

2,

3,

3,

2,

3,

5,

5,

6,

8,

$2,610

2,658

2,387

3,220

3,329

2,984

3,957

5,040

5,957

6,706

8,2.78

$2,092

2,197

2,013

2,707

2,819

2,535

3,331

4,302

5,057

5,700

7,018

~2,158

2,258

2,030

2,711

2.824

2,535

3,345

4,303

5,057

5,700

7,017

$2,029

2,089

Z,OO2

2,632

2,706

2,533

3,133

4,262

5,072

5,702

7,066

6 4 2 53 7 1 persons persons 65 Head 14 persons Head person years to 14 65 64 (unrelated years to oryears and more 64 over years and over individual) $2,413

2,458

2,357

3,167

3,230

2,966

3,822

5,014

5,882

6,642

~,O79

IFor one person (i.e. unrelated individual), sex of the individual.

MAJOR STANDARD REroRrING SysrEMS

Currently, there are two major sources of data relating to the povertypopulation: 

the March Current Population Survey and the Decennial Census.

10

487

557

352

191

294

958910008912651165

495

562

364211312

982

936038

950

699253
Current Population Su!:vey

The Current Population Survey (CPS) is a national 'sample survey of

approximately 47,000 households which is conducted every month. In March

of each year data are collected on income received in the previous year.

The sample is spread out over 461 areas compr ising 923 counties and independent cities with coverage in each of the 50 States and the District of

Columbia. The poverty data have been published annually in the Curre~t

Population Reports Series P-60, thus giving us a continuous series of data

for the past 15 years (1959 to 1974).

Definition of Income. For each person 14 years old and over in the

sample; questions were asked in March 1975 on the amount of money income

received in 1974 from each of the following sources: I

Money wages or salary.

Net income from nonfarm self-employment.

Net income from farm self-employment.

(4) Social Security or Railroad Retirement

(5) Supplernen tal Secur i ty income.

(6) Public assistance or welfare income.

7 Interest on savings or bonds.

(8)

Dividends, 

net rental income, or income from estates or trusts.

Veterans' payments, unemployment compensation~ or workmen'scompensation. 

I

10) Private pensions or annuities, military retirement, or government employee pensions.

Alimony or child support, other regular contributions from

persons not living in hou~ehold, and other periodic income.

Data on income collected in the CPS are 1 imited to money income received before payments for personal income taxes, Social Security, union

dues, Medicare deductions, etc. The receipt of money income does not reflect the fact that many families receive part of their income in the form

of nonmoney transfers such as food stamps, health benefits, and subsidized

housing; that many farm families receive nonmoney income in the form of

rent-free housing and goods produced and consumed on the farm; or that nonmoney incomes are also received by some nonfarm residents which often take

the form of the use of business transoortation and facilities, full or partial payments by business for retirem~nt programs, medica t and educationalexpenses, 

etc.

11
Ques~ionnaire and Procedural Changes. While the income concept used in

the annual supplement to the March Current Population Survey has remained

baSiCal lY unchanged, Irodifications made in the method of collecting and l

processing of income data may affect comparability of poverty counts from

one yea to the next. In recent years changes have been made in sample and

estimation procedures; in the wording of the questionnaire; in the method of

collecting the income data; and in the processing of the data --particularly i the editing of the income data and in the treatment of income nonrespons s. Following is a summary of the major changes made between 1959

and 197 .in collecting and processing of the income data:

pr ror to the March 1962 CPS, the distributions by income levels had

be n based only on those cases which reported complete income informa ion. Beginning with the March 1962 survey, when a respondent did

not answer one or IrK>re of the income items, all of his income data were

imputed; starting in March 1966, only the unanswered income items were

imputed. Also commencing with the March 1966 CPS, the income data were

co t lected from the full CPS sample, whereas prior to that time the data

on income were obtained only from three-fourths of the sample. In

Ma ch 1968 the Bureau of the Census introduced improved income edit and

allocation procedures: (1) the set of social and economic character istifs within which the imputations are made were expanded; (2) inconsistent reporting was eliminated; and (3) a new imputation procedure

whtch assigns missi'lg earnings entries first and then utilizes the

ea nings information to assign missing sources of income other than

ea nings was implemented. I

Improvements in the procedures used to collect income data were made in

the March 1969, 1970, and 1971 Current Population Surveys. These included

(1) eXJ nSion of the interview period to accomodate household respondents

who ne ed more time to obtain the required income information; (2) the addition f "yes-no" circles to the questions on income other than earnings

in orde to ascertain whe.ther the respondent received or did not receive

income; (3) the simultaneous collection of information on work experience

and income for the full sarrple (in previous years, work experience was

collected separately from income data); and (4) training instructions for

interviewers were strengthened by including more detailed explanations and

more examples. 1.

In the March 1975 CPS, several modifications in the design and content

of the uestionnaire were introduced to allow for more detailed questioning

of cert in income items. Because of their relevance to the current efforts

being m de to improve the data on poverty, a detailed descr iption of these

changes follows: I

1. In the March 1974 CPS, income from aid to ~amilies with dependent

childr , old age assistance, and aid to the blind or totally disabled were

asked' one combined question on welfare payments. Beginning in January

1974, e programs for old age assistance and aid to the blind or totally

disabl were replaced by the Supplemental Security program. Therefore, in

March 75 a separate question was asked for the receipt of supplemental

12
security income. Income from aid to families with dependent children or

any other assistance was asked under the general category of public assistance or welfare payments.

2. In the March 1974 CPS, income from interest, net rental income or

income from estates, trusts, or dividends was asked in one question. In the

1975 CPS these income types were asked as two questions with income received

from interest on savings accounts or bonds included in one question and income from estates, trusts, or dividends in the other.

3. In the r~arch 1974 CPS, income received from private pensions was

asked along with alimony and certain other income items while income from

government employee pensions was asked along with veterans' payments, unemployment compensation and workmen' s compensation. In the March 1975 CPS,

income received from both private and government employee pensions (including military retirement) were extracted from their previous categories

and asked as one combined question.

In order to expedite processing of the March 1975 CPS data, it was

decided to tabulate the income data according to the same income groupings

used from the March 1974 CPS data. The new information on supplemental

security income was tabulated along with public assistance since it replaced

old age assistance and aid to the blind or totally disabled. It is planned

to incorporate the detailed income categories into the published income tabulations for the March 1976 CPS.

Decennial Census

The 1970 Census of Population was the first Decennial Census to have

poverty data included in the published reports. Poverty statistics based on

the 20-percent sample for the United States, regions, divisions, States,

SMSA's, places having a population of 2,500 or more, and counties were published in chapter C of 1970 Census of Population, Volume I, Characteristics

of the Population. More detailed poverty data cross-classified by such variables as education, employment status, occupation, and income were published

in chapter D of volume I for the United States, regions, States, SMSA's of

250,000 population or more, and central cities of these SMSA's.

In general, poverty statistics from the 1960 Census of Population are

not available in a publ ished format. Most of these data are available in

the form of computer printouts, the major sources of which are: (1) a special tabulation prepared by the Bureau of the Census for OEO which shows

poverty data by selected characteristics for the United States, regions,

States, and counties, and (2) a special tabulation prepared by the Bureau of

the Census providing data for the 100 largest SMSA's and their central cities.

The only source of published data on poverty from the 1960 Census appear in

the l~ZO Census of ~2e~~' Supplementary Report, R::(Sl)-105, "Poverty

Status in 1969 and 1959 of Persons and Families, for States, SMSA's, Central Cities, and Counties: 1970 and 1960." This re[X)rt presents selected

data on the poverty status in 1969 and 1959 of persons and families for the

United States and for each of the States, counties, SMSA's and central cities

13
tral Cities, and Counties: 1970 and 1960." This report presents selected

data on the poverty status in 1969 and 1959 of persons and'families for the

United States and for each of the States, counties, SMSA's and central cities

of large SMSA's. The tables bring together the most frequently requested

comparable data for geographical areas from the 1970 and 1960 Censuses.

The report also includes previously unpublished 1970 Census data on schoolage children in families below the poverty level (by county), and on the

aged poor; comparable data are not available from the 1960 Census.

Definition of Income. The income concept used in the 1970 Census is

essentially the same as that employed in the CPS. For each person 14 years

and over in the 20-percent sample, questions were asked in April 1970 on the

amount of money income received in 1969 from each of the following sources:

Money wages or salary.

Net income from nonfarm self-employment.

(3) Net income from farm self-employment.

(4) Social Security or Railroad Retirement.

Public assistance or welfare income.

Income from all other sources

Conparability of Decennial Census and Current Population Sur~ey Data

It should be noted that statistics on income in 1969, collected in the

Current Population Survey of March 1970, differ from data for that year in

the Decennial Census, despite the fact that the same basic concept was used

in both instances. The Census reports more poor persons and families than

are reported in the Current Population Survey. The number of poor persons

in the 1970 Census was 27.1 million, compared to 24.1 million counted during

the March 1970 Current Population Survey. The figures for low-income

families were 5.5 million and 5.0 million, respectively. There are several

reasons for these differences. First, college students are generally enumerated at their own homes in the Current Population Survey and classified as

family members, whereas in the Census they were enumerated at their college

residence, usually as secondary individuals. Secondly, the small group of

Current Population Survey interviewers is more experienced and receives more

intensive training and supervision than the larger number of temporary Census

enumerators and, consequently, may have more often obtained more accurate

answers from respondents. Furthermore, approximately 60 percent of the

households were self-enumerated in the 1970 Census. Moreover, income data

in the March 1970 Current Population Survey were based on reSPonses to separate questions on eight types of income, as well- as responses to additional

yes-no circles within 3 of these questions, whereas in the Census only six

questions were used.

14
COMMUNITY SERVICES ADMINISTRATION

INTroDUCTION

Office of Economic Opportunity (OEO), now known as the Community

Services Administration (CSA), was established by the Economic Opportunity

Act of 1964. The purpose of the Act and of the establishment of the

Office was to assist .the low-income population, the disadvantaged, and

the poor. Thus, the Economic Opportunity Act abounds with references to

poverty, too numerous to mention. Some of the programs mandated by the

Economic Opportunity Act of 1964 are administered by other Federalagencies. 

Examples are:

Comprehensive Health Services (Public Health Services -HEW)

Head Start (Office of Human Development -HEW)

Follow Through (Office of Education -HEW)

--Native American Program (Office of Human Development -IHEW)

--Farmer I s Home Administration Programs (Dept. of Agr icul ture )

--Summer Youth Recreation (CSA in consultation with Dept. of Labor)

These programs are descr ibed later in the sections descr ibing the ir

respective agencies.

SU~Y OF SIGNIFICANT PRCX;RNofS ADMINISTERED BY THE COMMUNITY SERVICES

ADMIt~ISTRATION

Presently, CSA is operating under the mandate of the Commqnity

Services Act of 1974, which amends the Economic appor tun i ty Act of 1964.

All CSA programs are targeted either to low-income or near-poor

persons or to areas with high concentrations of low-income or near-poor

persons. Listed below are the most relevant CSA programs with

parenthetical reference to sections of the Community Services ~ct of 1974.

Research, Demonstration and Pilot Grants for new approaches and

methods to overcome poverty (Section 102 (a))

1.

Community Action prqgram to organize local poor and their local

governments in coordinated efforts to alleviate or reduce poverty

(Section 210) [ ,~"'

2.

Provision of Emergency Energy Conservation Services to the poor, theaged, 

and the near-poor (Section 222 (12»

3.

15
4.

Summer Youth Recreation Programs for poor child~en, in cooperation

with CETA (Comprehensive Employment and Training Act) sponsors

(Section 222 (13))

5. Continued assistance to migrant and other seasonally employed farmworkers (not only those who are poor) begun under Section 312 of the

Economic Opportunity Act of 1964 (Section 315)

6.

Community Economic Development funds to establish special nonprofit

private' programs for rural and urban areas with h~gh concentrations

poverty (Title VII, Section 701, etc.) ,",j

7 Special rural programs to offer funds to low-income rural families

and cooperatives if a permanent increase in the family income is a

likely result (Section 721, etc.)

8.

Development Loans for Community Economic Development if repayable,

including funds to establish a Model Community Economic Development

Corporation in cooperation with the Secretaries of Agriculture,

Commerce, or Housing and Urban Development, as appropriate (Section

731, etc.)

~ It should be noted that the Director of CSA is now limited to admin

istering Titles I, II, IIIB, VI, VII, and IX of the Economic Opportunity

Act of 1964, as amended. The original act should be consulted jointly

with the Community Services Administration amendment.

roVERI'Y TERMIJ.'10U:X;Y USED WITHIN THE COMMUNITY SERVICFB ADMINISTRATIOO

Poverty terminology used within CSA falls into two distinct cate-gories: 

.l~isla~ive, w~ich is based on the Comm~~t~ Services Act of 19~

and admInIstratIve, WhIch arose from a need to InItIate and update,

programs created by that law.

~!slative Usages

The Community Services Act of 1974 has too many usages of poverty

terminology to enumerate. Some typical examples are presented here to

illustrate the broad and varied treatment.

Community Action Programs. --Economic Opportunity Act pf 1964

(d)(l) Section 222 (a) of the Economic ~portunity Act of

1964 is amended by inserting after paragraph (11) the

following: vi

'12 \ )

program to be known as 'Emergency Energy ConservationServices' 

...designed to enable low-income individuals

and families, including the elderly and the

near-poor to participate in energy conserv~tion

programs designed to lessen the impact of

the high cost of energy on such individuals and

16
families and to reduce individual and family energy

consumption. The Director is authorized to provide

financial and other assistance for programs and

activities, including, but not lllnited to, an energy

conservation and education program: winterization

of old or substandard dwellings, improved space

conditioning and insulation: emergency loans,

grants, and revolving funds to install energy conservation technolog ies and to deal wi th increased

housing expenses relating to the energy crisis:

alternative fuel supplies, special fuel voucher

or stamp programs: alternative transportation activities designed to save fuel and to assure continued

access to training, education, and employment,

appropriate outreach efforts: furnishing personnel

to act as coordinators, providing legal or technical

assistance, or otherwise representing the interests

of the poor in efforts relating to the energy crisis:

nutrition, health, and other supportive services

in emergency cases: and evaluation of programs

and activities under this paragraph. Such assistance

may be provided as a supplement to any other assistance

extended under the provisions of this Act or under

ot~er provisions of Federal 'Law. The Director, after

consultation with the Administration of the Federal

Energy Office and appropriate Federal departments

and agencies, shall establish procedures and take

other appropriate action necessary to insure that

the effects of the energy cr isis on low-income

persons, the elderly, and the near-poor are taken

into account in the formulation and administration

of programs relating to the energy crisis.

(13) A program to be known as 'Summer Youth Recreation' designed to provide recreational opportunities for

low-income children dur ing the summer months. Funds

made available for this section shall be allocated

by the Director, after consultation with the Secretary

of Labor, among prime sponsors, and other agencies

designated under Title I of the Comprehensive Employment am Training Act of 1973 on the basis of (1) the

relative number of public assistance recipients

in the area served by such prime sponsor or agency,

as compared to the Nation; (2) the relative number

of unemployed ~rsons in such areas as compared

with the Nation; and (3) the relative number of

related children living with families with incomes

below the ~verty line in such area, as compared

to the Nation ...For purposes of this subsection,

the Director shall utilize the criteria of poverty

used by the Bureau of the Census in compiling the

1970 decennial Census ...

17
Section 7, Title IV, of the Economic Opportunity Act

of 1964 is amended to read as follows: .Title IV Comprehensive Health Services, Section 401 (a). The Secretary

shall establish within the Department of Health,

Education, and Welfare a Comprehensive Health Services

program which shall include --

(1) programs to aid in developing and carrying out comprehensive health services projects focused upon the needs

of urban and rural areas having high concentrations

or proportions of poverty and marked inadequacy of health

services for the~. These projects shall be designed --

(A) To make possible, with maximum feasible use of

existing agencies and resources, the provision of comprehensive health services, such as preventive medical,

diagnostic, treatment, rehabilitation, family planning,

narcotic addiction, and alcoholism prevention and rehabilitation, mental health, dental, followup services, together

with necessary related facilities and services, except

in rural areas where the lack of even elemental health and

personnel may require simpler, less comprehensive serv1~es

to be established first; and

(B) To assure that these services are made readily

accessible to low-income residents of such areas, are

furnished in a manner most responsive to their needs

and with their participation and wherever possible are

cOO1bined with, or included within, arrangements for

providing employment, education, social, or other assistance

needed by the families and individuals served, except

that pursuant to such regulations as the Secretary of Health,

Education, and Welfare may prescribe (2) programs to provide financial assistance to public or private agencies

to projects designed to develop knowledge or enhance

skills in the field of health services for the poor.

Such projects shall encourage both prospective and practicing

health professionals to direct their talents and energies

toward providing health services for the ~ In

carrying out the provisions of paragraph (2) of this subsection, the Secretary is authorized to provide or arrange

for training and study in the field of health services

for the poor..

18
INCOME roVERrY GUIDELINES -COMMUNITY SERVICES ADMINISTRATION

1060.2-1

1060.2-2

1060.2-3

1060.2-4

Applicability.

Purpose.

Background--Income Guidelines.

Policy.

AUTHORITY: SEC. 602, 78 Stat. 530 (42 U.S.C. 2942)

Sec. 

1060.2-1 Applicability

This subpart applies to all grants financially assisted under

Titles II and 111-8 of the Community Services Act of 1974 if such assistance

is administered by the Community Services Administration.

Sec. 1060.2-4

Policy.

(a) In order that the level of poverty which is used to determine

program eligibility does not change as a result of substantial increas~s

in the cost of living as measured by the Consumer Price Index, CSA

revises, from time to time, its income guidelines in order to reflect

such increases. Attached are the latest revised guidelines.

(b) These income guidelines are to be used for all those CSA-funded

programs, whether administered by a grantee or delegate agency, which

use CSA poverty income guidel ines as admission standards. These guidelines do not supersede alternative standards of eligibility approved by

CSA, such as Emergency Food and Medical Services Standards used in

programs offered by the Department of Agriculture.

(c) The guidelines are also to be used in certain other instances

where required by CSA as a definition of poverty, e.g., or for purposes

of data collection and for defining eligibility for allowances and

reimbursements to board members. Agencies may wish to use these guidelines for other administrative and statistical purposes as appropriate.

(d) The attached guidelines are based upon Table A-3 of Current

Population Reports, P-60, No. 98, Bureau of the Census, January 1975,

and the percentage change in the Consumer Price Index from 1973 to

1974 as set forth in Table C-44 of the Economic Report of the President, February 1975.

(e) The following definitions, from Current Population Reports,

P-60, No. 91, Bureau of the Census, December 1973, have been adopted

by CSA for use with the poverty guid~lines at the end of this section.

(1) Income. Refers to total cash receipts before taxes from all

sources~-These include money wages and salaries before any deductions,

but not including food or rent in lieu of wages. They include receipts

from self-employment or from own farm or business after deductions, for

business or farm expenses ~ They include regular payments for publ ic

20
CSA Povert Guidelines for all States exce Alaska and Hawaii

Family Size ~onfarm Family Farm Family

r: ~2,590 ~2,200 --

2 3,410 2,900

3 4,230 3,600

4 5,050 4,300

5 5,870 5,000

~.'.~=~~;'~;ii...'.~=!.:='---~~ ~~~~O.. -5,700 ,~~:-f!°r. ..am~ly unit~ WIth roore than 6 IMmbers add $820 for each --

Dlitional ment>er in a nonfarm family and $700 for each additional mentJer

in a farm family.

~InCOlle Poverty Guidelines for Alaska 1-

Family Size Nonfarm Family Farm Family

~ ~3,250 ~2,750- 2 ; 4,270 3,620

3 5,290 4,190

4 6,310 5,360

5 7,330 6,230

6 ...~=~;:;;.~=i~:...:=i~=.._,~~ ~~~~O.. -.7,!00

-~~,. ~:-For. fam~ly un1tS w1th IOOre than b members add ~1,O20 for~

~itional ~r in a nonfarm family and $870 for each additional member

in a farm family.

I

~ In~ Poverty Guidelines for Hawaii I

Family Size Nonfarm Family Farm Family

! : ~2,990 ~2,540

2 3,930. 3,340

3 4,870 4,410

4 5,810 4,940 I

5 6,750 5,740

6 ...:~=~::::.~=!i: =!~;.o.~ Z!§90.. -.6,~~0 --

oorE-For famlly unltS wlth roore than 6 members add ~94U for each

additional member in a nonfarm family and $800 for each additional member

in a farm family.

21
DEPARTMENT OF HEALTH, EDUCATION', AND WELFARE

INTRODUCTICN

The Department of Health, Education, and Welfare (HEW) does not

publish uniform poverty guidelines to be used throughout the Department.

Each of the major components of HEW publishes its own guidelines, consistent with its unique legislative or administrative requirements. The

respective components are treated next, in the following order:

--Social and Rehabilitation Services

--Social Security Administration

Office of Human Development

Education Division

Public Health Service

Social and Rehabilitation Services

No overall poverty guidelines are published for administrative purposes by the Social and Rehabilitation Services (SRS). However, detailed

poverty guidelines are contained in the legislation pertaining to each

program. There are three significant programs to discuss: The Aid to

Families with Dependent Children Program; Title XX of the Social Security

Act; and MEDICAID.

Aid To Families with Dependent Children

State Standards for Determining Eligibility Standards

The major goal of the Aid to Families with Dependent Children (AFDC

program, as set forth in Title IV of the Social Security Act, is to encourage care of dependent children in their own homes or in the homes of

relatives.

Section 402 of the Social Security Act specifies that the states,

through a state plan, must determine family need and certain constraints

which will be discussed below. Therefore, there is no one poverty standard, for AFDC, as such, but rather, 54 separate standards set by the

states and other jurisdictions. The AFDC standards set forth two basic

criteria, demographic eligibility and financial eligibility.

Demographic Eligibility

Demographic eligibility criteria for AFDC are set forth by Federal

Statute, regulation, and by state plan (where there are state options).

22
Generally, states may be reimbursed by the Federal g~vernment for providing aid to dependent children until age 18 or 21 (if attending school

as defined by that state) and parents. Normally, families with present

able-bodied fathers are excluded, except in 25 states which cover unemployed fathers not receiving unemployment compensation benefits.

There are numerous state options of eligibility which, of course,

complicate the AFDC standard. Major options as of September 20,1974,

including the number of states providing coverage, are summarized as

follows:

1.

Dependent children age 18-21 regularly attending school --42 jurisdictions

2. Emergency assistance -29 jurisdictions

3.

Federal participation for second parent if both are in the home and

one is incapacitated or unemployed --49 jurisdictions

4.

Aid to families with unemployed fathers --25 iurisdictions

5." Aid to families with unemployed fathers where une~loyment is due to

a strike --17 jurisdictions

Financial Eligibility

After consideration of the demographic eligibility criteria, the

financial need of the individual AFDC units (usually female-headed families) as defined by Federal regulations and state practice becomes the

"AFDC standard." Standards are based upon estimated needs of families

(e.g., food, clothing, shelter); in practice, this determination varies

widely by state. A survey by Assistance Payment Administration as of

April 1974 indicated that only three states use an automatic escalator

clause, while 18 states base increases on the changes in the Consumer

Price Index. Ten states indicated that fund availability was the major

determinant, whereas 18 states did not say that any factor was predominant. More recent data indicate that changes in standards, at least

in the last year, have hen numerous. From January 1973 to July 1974,

31 jurisdictions made changes, and only six jurisdictions did not planchanges. 

These changes, however, have not kept up with inflation.

The state-by-state range of allotments for a family of four varies

from $132 to $458 per month, but the full standard is not always paid.

Figure 1 compares the standard for each state with the I largest amount

actually paid. Even if the full standard were paid, state maximums for a

family of four with no other income were below the poverty threshold in

all jurisdictions and below 80 percent of the poverty threshold in 42 of

the 51 states in July 1974. Th~ recent changes referred to in the paragraph above have not significantly narrowed the gap between the poverty

index and the AFDC standards.

23
Standard Consolidation

Over the last few years, states have been simplifying the basis for

calculation of standards through a process of consolidation, in order to

speed up, simplify, and reduce cost of administration. A fixed amount is

dete~ined for needs. The variables in the formula are shelter and

utilities, which are either included in the fixed amount or considered on

an as-needed basis.

Benefit Calculation

In determining actual AFDC benefit entitlement, the needs of an

individual unit are compared against the standard or maximum; if needs

exceed the standard or maximum within the current or prior-month period,

then an AFDC grant will be made for all on a pro-rated share of this gap.

AFDC unit needs are determined by looking at number of children,

housing costs, utility costs, food costs, child care cost, work expenses ,

earned Income, and non-earned Income and assets. Generally, unearned

income is deducted from individual need. Assets as defined by the state

are not deducted if under the Federal maximum of $2,000 per individual;

~utos, homes, furnishing, and occasionally life insurance, work tools,

and some other assets are disregarded. Earned income is partially disregarded when balancing need and the standard. The amount of $30 plus

one-third of earned income plus reasonable work expenses, including day care

can be subtracted from earned income when computing the grant.

The earned-income disregard affects 5.8 percent of AFDC female-headed

families where the mother is employed full-time, 9.2 percent of the units

where the mother is employed part-time, and to a more limited extent, the

1.5 percent of AFDC units with employed fathers.

A little over half the states altered their AFDC benefits with

changes in the Consumer Price Index or other such measures.

Title XX --Grants Tb States For Services

Title XX of the Social Security Act authorizes Federal sharing of

the cost of state-sponsored social services, which do not include basic

health, education, institutional services, or income maintenance. However, Title XX can finance almost any other social service, including day

care for children, meals on wheels to shut-ins, homemaker services to

families with an ill or disabled head, family planning services, protective services for handicapped people, and whatever else the state defines

within its plan.

The terms "need," "dependent," "low-income," and "individuals whose

income and resources are insufficient," rather than "poverty," and "poor"

are found in Title xx. The 1974 Social Security Amendments to the Social

Security Act used the terminology "might soon have to go on welfare,"

which expanded the coverage of the eligible beyond present welfare

24
recipients. Sud1 participants are defined as "potential" welfare recipients and may have incomes up to 115 percent of the state median income level. Eligibility is defined by the states. .

The legislative language of Title XX is complex. It establishes a

poverty line and stipulates that one-half of the services must be provided to welfare recipients. The Federal government will not help state

agencies make payments for these services if they are charged unreasonable

fees. Because of the complexity of the legislative language, part of

Section 2002 (a) is provided, intact, next.

(4) So much of the aggregate expenditures with respect to

which payment is made under this section to any State for

any fiscal year as equals 50 per centum of the payment

made under this section to the State for that fiscal year

must be expended for the provision of services to individuals-

(A) who are receiving aid under the plan of the State

approved under Part A of Title IV or who are eligible

to receive such aid, or

(8) whose needs are taken into account in determining

the needs of an individual who is receiving aid under

the plan of the State approved ~nder Part A of Title

IV, or who are eligible to have their needs taken into

account in determining the ne~s of an individual who

is receiving or is eligible to receive such aid, or

(C) with respect to whom supplemental security income

benefits under Title XVI or State supplementary payments,

as defined in section 2007(1), are being paid, or who

are eligible to have such benefits or payments paid with

respect to them, or

(D) whose income and resources are taken into account

in determining the amount of supplemental security income

benefits or State supplementary payments, as defined

in section 2007(1), being paid with respect to an individual,

or whose income and resources would be taken into account

in determining the amount of such benefits or payments

to be paid with respect to an individual who is eligible to

have such benefits or payments paid with respect to him, or

(E) who are eligible for medical assistance under the plan

of the State approved under Title XIX.

(5) No payment may be made under this section to any State

with respect to any expenditure for the provision of any

service to any individual -

25
(A) who is receiving, or whose needs are taken into

account in determining the needs of an individual who is

receiving, aid under the plan of the State approved under

Part A of Title IV, or with respect to whom supplemental

security income benefits under Title XVI or State supplementary payments, as defined in section 2007(1), are

being paid, or

(8) who is a member of a family the monthly gross income

of which is less than the lower of -

(i) 80 per centum of the median income of a family of

four in the State, or

(ii) the median income of family of four in the fifty

States and the District 0= Columbia, adjusted, in accordance

with regulations prescribed by the Secretary, to take into

account the size of the family,

...if any fee or other charge other than a voluntary

contribution imposed on the individual for the provis.: on of

that service is not consistent with such requirements (including requirements prohibiting the imposition of any such

fee or charge) as the Secretary shall prescribe.

(6) No payment may be made under this section to any State

with respect to any expenditure for the provision of any

service, other than an information or referral service or a

service directed at the goal of preventing or remedying

neglect, abuse, or exploitation of children and adults unable

to protect their own interests, to any individual who is not

an individual described in paragraph (5), and --

(A) who is a member of a family the monthly gross income

of which exceeds 115 per centum of the median income of

a family of four in the State, adjusted, in accordance with

regulations prescribed by the Secretary, to take into account

the size of the family, or

(8) who is a member of a family the monthly gross income

of which --

(i) exceeds the lower of

(I) 80 per centum of the median income of a family

of four in the State, ~

26
(II) the median income of a family of four in the fifty

States and the District of Columbia, adjusted, in accordance

with regulations prescribed by the Secretary, to take into

account the size of the family, and

(ii) does not exceed 115 per centum of the median income

of a family of four in the State, adjusted, in accordance

with regulations prescribed by the Secretary, to take into

account the size of the family, unless a fee or other charge

reasonably related to income is imposed on the individual for

the provision of the service.

The Secretary shall promulgate the median income of a family

of four in each State and the fifty States and the District

of Columbia applicable to payments with respect to expenditures

in each fiscal year prior to the first day of the third month

of the preceding fiscal year

As can be seen, this legislation requires the establishment of a schedule

of fees for the services so that people with incomes less than 80 percent

of the state median inc.ome will not pay unreasonable fees for these services,

possibly paying no fee at all, and so that those with incomes between

80 percent and 115 percent of the state median income will reimburse the

state for these services in accordance with a sliding scale of payment.

At the time of writing, promulgation has been made of the median

family income of four for each state, but no adjustment for family size

has yet been provided. The promulgation of these is found next in toto

"Eligibility ~finition for Participation in Title 20, re Potential Welfare

Recipients -Family Median Income by State", Federal Register, Volume 40,No. 

117, June 17,1975

Promulgation is made of the median income of a family of

four for each State and for the States as a whole, applicable to the period October 1, 1975 through September

30, 1976, for the purpose of determining the extent of Federal

financial participation (FFP) in State expenditures under

title XX of the Social Security Act, under the provisions

of sections 2002(a)(5)(B) and 2002(a)(6)(A) and (B) of that

Act. These sections impose certain limitations with respect

to the availability of FFP, based upon the relationship

of the income of the family of a service recipient to the

median income of a family of four in the State, adjusted

in accordance with regulations prescribed by the Secretary

to take into account the size of the f~ily.

It has been detenmined that the Bureau of the Census

population statistics, contained in its publications "Detailed

Characteristics," PC (1) 0-1 through PC (1) 0-53, Chart 199,

27
dated 1970, were the most satisfactory data available from

the Department of Commerce as to the median income by size

of family and by State. In order to develop a current median

income scale, adjustments were made using Table 2, Per Capita

Personal Income, by State and Regions Selected Years, dated

August 1974, in "Survey of Current Business," Vol. 54, No.8,

Part 1, and the ~partment of COImIerce "Current PopulationReports: 

Consumer Income," P-60, No. 93, July 1974.

The methodology for adjusting median income for families

of different sizes will be specified in 45 CFR 228.

I

The median incomes for a family of four, by State, for

fiscal year 1976, are set forth below with a calculation of

80 percent and 115 percent of that figure for use by States

in establishing income ceilings and fee schedules under title

XX of the Social Security Act: I

1975 Median Income for Families of Four by Sta~e

State Median 80% of Med.

Income

115% of Med.

, Income

$11,

17,

13,

11,

14,

14,

15,

14,

13,

13,

12,

15,

12,

15,

14,

14,

13,

11,

11,

11,

15,

14,

15,

14,

10,

13,

12,

13,

$ 9,

13,

11,

8,

11,

11,

12,

11,

10,

10,

10,

12,

10,

12,

ll,

11,

11,

9,

9,

9,

12,

11,

12,

11,

8,

10,

.10,

10,

$13,

19,

16,

12,

16,

16,

17,

16,

15,

15,

14,

18,

14,

17,

16,

16,

15,

13,

13,

13,

17,

16,

17,

17,

12,

15,

14,

15,

Al abarna

Alaska

Arizona

Arkansas

California

Colorado

Connecticut

~laware

District of Col.

Florida

Georgia

Hawaii

Idaho

Illinois

Indiana

Iowa

Kansas

Kentucky

Louisiana

Maine

Maryland

Massachusetts

r-1ichigan

Minnesota

Mississippi

Missouri

Montana

Nebraska

28

790

223

917

195

773

178

404

114

599

427

738

688

605

152

004

242

758

430

430

330

441

393

302

911

830

319

848

280

,423,778,134

,956

,822

,342

,323,291

879

742

190

550

084

122

203

394

006

144

144

064

353

514

242

929

664

,655

278

624

,559,806,005

,874,995,305,715,231

639,441

649,041

496

425

105

378

822

,145

145

,030

757

,552

,597

,148

,455.317

,775

,272
14,803

13,458

15,744

11,436

14,264

12,163

14,746

14,048

12,095

13,787

13,374

13,208

11,799

12,701

11,591

12,957

12,843

12,007

13,784

14,035

11,443

14,024

12,916

11,842

10,766

12,595

9,149

11,411

9,730

11,797

11,238

9,676

11,030

10,699

10,566

9,439

10,161

9,273

10,366

10,274

9,606

11,027

11,228

9,154

11,219

10,333

17,023

15,477

18,106

13,151

16,404

13,987

16,958

16,155

13,909

15,855

15,390

15,189

13,569

14,606

13,330

14,901

14,769

13,808

15,852

16,140

13,159

16,128

14,853

Nevooa

New Hampsh ire

New Jersey

New Mexico

tlew York

North Carolina

North Dakota

Ohio

Oklahoma

Oregon

Pennsylvania

Rhode Island

South Carolina

South Dakota

Tennessee

Texas

Utah

VerlTK)nt

Virginia

Washington

West Virginia

wisconsin

Wyaning

Medicaid

Medicaid is available under Title XIX of the Social Security Act for

those on welfare or in need. Section 1901, Page 497, of the Act,specifies:

*

For the purpose of enabling each State, as far as

practicable under the conditions in such State,

to furnish (1) medical assistance on behalf o£ families

with dependent children and of aged, blind, or disabled

individuals, whose income and resources are insufficient

to meet the cost of necessary medical services, and

(2) rehabilitation and other services to help such families

and individuals to attain or retain capability for indeindependence or self-care, there is hereby authorized

to be appropriated for each fiscal year a sum sufficient

to carry out the purposes of this title.

Social Security Administration

No overall poverty guidelines are published for administrative purposes by the Social Security Administration (SSA). However, the Orshansky

Index has been used as a benchmark for identifying the population at risk

and for estimating the future caseloads. Detailed poverty guidelines are

contained in legislation, most significantly the supplemental Security

Income for the Aged, Blind, and Disabled Program in the Social Security

Act, Title XVI. It guarantee~ a minimum income to eligible persons.

29
Technically, there are no poverty lines or poverty definitions in

this program. However, the interested public usually compares the guara

teed minimum income level of the program to the Orshansky poverty line

for the eligible population, particularly for the elderly.

Benefits for individuals without eligible spouses are $1,752 per ye,

(with certain stipulated exceptions), reduced by the amount of unexclud~

i~come. For those with an eligible spouse, benefits are $2,628 per year

(with certain exceptions), reduced by the amount of unexcluded income.

An individual's eligibility for benefits under this title, as well as th4

amount of such benefits, is generally determined each quarter of a calendar year.

The income of couples where only one person is eligible may not

exceed $2,250 per year; the income of single eligibles may not exceed

$1,500. (In both cases there may be exceptions and certain special stipu]

tions.) They also may not have more than $1,752 in resources

(with certain exclusions allowed). Those eligible, with an eligible spou~

may not have an income of more then $2,628 (not counting exceptions

and certain special stipulations a year) and may not have resources of

more than $2,250 (again, with certain exclusions allowed.)

Persons deemed to meet the resources test are those who have receive

aid or assistance for December 1973 under a plan of a state, approved unc

Titles I, X, XIV; or those who, since December 31,1973, have continuousl

resided in the state under the plan whereby they received aid or assistan

for December 1973; or, those who, since December 31,1973, have continuously been (except for periods not in excess of six consecutive months)

eligible with respect to supplemental security income benefits.

Persons deemed to meet the income test are those who received aid or

assistance for December 1973 under a plan of a state, approved under Titl

X or XVI: or one blind under a plan of a state, approved under Titles X 0

XVI: or one blind under the definition of that term in the plan: or those

who have continuously resided in the state under the plan whereby they

received aid or assistance for December 1973, and have been since

December 31,1973, continuously (except for periods not in excess of six

consecutive months) eligible for supplemental security income benefits.

For these individuals, there will be disregarded an amount equal to the

greater either of the maximum amount of any earned or unearned income

which could be disregarded under the state plan (as in effect for October

1972), or of the amount which would be required to be disregarded under

the stipulated section of this title.

Income means both earned income and unearned income. Earned income

is wages and net earnings from self-employment. Unearned income is all

other income, including support and maintenance furnished in cash or kind

payments received as an annuity, pension, retirement or disability benefit; prizes and awards; the proceeds of any life insurance policy; gifts;

support and alimony payments; inheritances; rents; and dividends,

interest, and royalties.

30
For those blind or disabled individuals under age 65 receiving benefits from this title, referral will be made to appropriate state agencies

administering the state plan for vocational rehabilitiation services

approved under the Vocational Rehabilitation Act. If such individuals do

not take advantage of the referral, without good reason, they will not be

eligible for assistance. I

I

There are cost-of-living adjustments in benefits, u~ing the same

methodology used for Social Security benefits. j

Office of Human Development

The' following poverty-related programs are authorized by the Community

Services Act of 1974 and are administered by the Office of Human DevelopIment. 

I

Head Start

Head Start provides a creative environment for disadvantaged children

in their early fonnative years, before they enter kindergarten or fi~st

grade. Follow Through, administered by the Office of Education, continues

special attention to these children, after they have gone through the Head

Start Program and have grown old enough to enter formal schooling.

Pertinent administrative and legislative guidelines pertaining to the

Head Start Program are presented in some detail, next.

"Sec. 8(a), Title V of the Econanic Opportunity Act of 1964, as amended

December 19,1974, by the Community Services Act of 1974."

I

"Title V -Head Start and Follow Through" Y

Statenent of ~~

Sec. 502. In recognition of the role which Project Head

Start has played in the effective delivery of comprehensive

health, educational, nutritional, social, and other services

to ~~onomically ~dv~~aged children and their families,

the Act extends the-authority for appropriation of funds for

that program. I

~~ Pr2.9rams" part_A_= He~d_S~aEt Programs: "Financial Assistancel for Head ~ 1--- "

Sec. 511. The Secretary may, upo~ application by an agency

which is eligible for designation as a Head Start agency pursuant

to Section 514, provide financial assistance to such agency

for the planning, conduct, administration, and eva~uation of

a Head Start program focused primarily upon childr n from

low-income families \iho have not reached the age 0 compulsory

i

31
school attendance which (1) will provide ,such comprehensive

health, nutritional, educational, social, and other services

as will aid the children to attain their full potential,

and (2) will provide for the direct participation of

the parents of such children in the development, conduct,

and overall program direction at the local level.

...(b) Financial assistance extended under this part for a

Head Start program shall not exceed 80 percent (except under

special circumstances). !

Par~icipation in Head Start Programs

Sec. 518. (a) The Secretary shall by regulation prescribe

eligibility for the participation of persons in Head Start

programs assisted under this part. Such criteria may provide

(1) that children from low-income families shall be eligible

for participation in programs assisted under this part if their

families are below the pover~y ~~~;, or if their families are

eligible or in the absence of ChIld care, would potentially

be eligible for public assistance;...

Poverty Line

Sec. 525. (a) The Secretary shall revise annually (or

at any shorter interval he deems feasible and desirable) a

poverty line which, except as provided in section 711, shall

be used as a criterion of eligiblility for participation in

Head Start programs. (b) The revision required by subsection

(a) of this section shall be accomplished by multiplying the

official poverty line (as defined by the Office of Management

and Budget) by the percentage change in the Consumer Pr ice

Index during the annual or other interval immediately preceding

the time at which the revision is made. (c) Revisions required

by subsection (a) of this section shall be made and issued

not more than thirty days after the date on which the necessary

Consumer Pr ice Index data becomes available.

Part B -Follow Through Programs

Financial Assistance for Follow Through Programs

Sec. 551. (a)(l) The Secretary is au~horized to provide

financial assistance in the form of grants to local educational

agencies ...and any other public or appropriate nonprofit

private agencies, organizations, and institutions for the purpose

of carrying out Follow Through programs focused primarily on

children from low-income families in kindergarten and primary

grades, including such children enrolled in private nonprofit

elementary schools, who were previously en~olled in Head Start

or similar programs. (Emphasis added) I

32
Native Arrerican Programs

The Native American Programs (Title VIII of the Community Services

Act is also known as Native American Programs Act of 1974) have as their

purpose the promotion of the goals of economic and social self-sufficiency

for American Indians, Hawaiian natives, and Alaskan natives. The Secretary

of Health, Education, and Welfare is authorized to provide financial assistance to public and nonprofit private agencies for projects pertaining to

the purposes of the Act, with assistance of up to 80 percent of the

approved costs of the project (and more, upon special approval). The

Secretary also "may provide technical assistance and short-term in-service

training in connection with assisted projects. In addition, the Secretary

may provide financial assistance for research, demonstration, or pilot

projects designed to further the purposes of this Act.

Education Division

Introduction

The Education Division, which includes the Office of the Assistant

Secretary for Education, the Office of Education, the National Center for

Education Statistics, and the National Institute of Education, has not

issue~ anyone definition of poverty. However, the legislation for a substantial number of programs either establishes formulas for the distribution of funds or establishes eligibility for services, based on financial

need. Consequently, administrative guidelines reflect great diversity,

based on legislative diversity. For instance, the Follow Through Program,

authorized by the Community Services Act of 1974, stipulates use of OMB

income poverty measure guidelines and an annual revision, calculated by multiplying the official OMB poverty line by the percentage change in the Consumer Pr ice Index for the annual or other per iod inmediately preceding the

revision. Other major pieces of legislation which use poverty terminology

include the Elementary and Secondary Education Act (ESEA) of 1965, as

amended by the Educational Amendments of 1974; the Higher Education Act of

1965 (HEA); and the Vocational Education Act. There is also other legislation, which is referred to later. Consequently, a wide range of poverty

terminology is used in connection with education programs, including use of

such terms as: "is in need," "financial need," "disadvantaged students,"

"deprived economic background," "low-income backgrounds," "major concentration of low-income persons," "persons having family income at or below the

Federal Poverty Line," "experience in serving low-income students," "number

of low-income families in area to be served," "economically disadvantaged

children," "families are below poverty line," "eligible for public assistance," "students who demonstrate the greatest financial need," "great financial need," "50 percent of students enrolled 1/2 time have families whose

gross annual income does not exceed $7,500," and "exceptional financial need."

Because of this multiplicity of poverty terminology existing in

the Education Division, this section will be organized in the followingfashion: 

first, the major poverty-related programs, with references to

the Acts mandating them and legislative guidelines associated with them

33
(some of which are effective at the time of this ,writing (late summer of

1975) and some of which are, as yet, only proposed), will be presented.

Second, we will survey representative sampling of administrative usages.

Thirdly, we will take a close look at the Education Amendments of 1974,

with special treatment of the Title I formula. Finally, the Title I

studies mandated by the Education Amendments of 1974 will be scrutinized

more thoroughly. The Title I program and the mandated studies are

especially relevant here, since this appendix has been prepared as a part

of one of the mandated studies.

Major Poverty-Related Progr~

A list of the major poverty-related programs within the Education

Division follows. We have also included a capsule description of the

significant legislation associated with these programs.

Authorization

Bilingual Education Act;

PL 90-247, as amended by

PL 91-230; 20 USC 880bSec. 

105 PL 93-380

Program

13.403 2/

Bilingual Education

(Title VII)

ESEA, 1965, as amended,

PL 89-10; Title VIII,

Sec. 807; E&S Ed Adnendments of 1967; PL 93-380

~ligibility

Children of limited Englishspeaking ability. One foanula

criterion is related ':0 the nLmlber

of persons from low-income families (poverty-orshansky)

Children who do not complete

ed~cation. One of the criteria

for school selection is a high

percentage of children from poor

families (Orshansky)

13.410

Drop:>ut Prevention

Educational AmendTIents of

1972 PL 92-318; 20 USC

1070 b Title IV

Students with exceptional financial needs defined as expected

family contribution limited to

50% of cost of education

Employmen t 0 f low- income community residents while training

to become teachers. Employment

is in Title If Elementary and

Secondary Education Act schools.

Standards of poverty for selection of eligible schools are set

by local school districts.

Education Professions

Deve1o{Xnent Act, Part 0,

Sec. 531; PL 90-35; 20

USC 1111-1119a

13.418

Supplemental Educational Opportunity

Grants

13.421

Educational Personnel

Training (GrantsCareer Opportunities)

ESEA, 1965; Title I, PL

89-10; as amended

One element of allocating to

school districts is children in

families where income is below

poverty level (Orshansky)

Children from low-income families

defined by CSA official poverty

line

Economic ~portunity Act of

1964, Title II (Urban and

Rural Community Action Programs), as amended in 1967,

1969: PL 90-222: Title Vof

Head Start, Economic App.,

and CommUI1ity Partnership

Act of 1974, 42 USC 28

13.428

Educationally

Deprived Children,

Local Educational

Agencies (Title I,

ESEA -Part A)

13.433

Follow Through

34
Authorization -

Higber Education Act of

1965; Title IV, Part c,

PL 890329; 42 USC 2751-

2756c; PL 92-378; Sec.

442(b)(3)

PrCM3ram

13.463

College Work-Study

Erigibil!ty

One criterion for state allotment is children under 18 in

families whose income is less

than $3000. Also, the student

with great financial need (cost

of education exceeds expected

family contribution)

Disadvantaged in urban and rural

areas (population in localities

which have no library service or

inadequate library service)

Needy undergraduate and graduate

students (if cost of education

exceeds expected family contr ibution)

13.464 Library Services and ConLibrary Services struction Act, as amended,

Grants for Public Sec. 101 to 303; PL 91-

Libraries 600; 20 USC 351-355 e-2

13.471 Higher Education Act of

National Direct 1965, PL 89-329, Title

StUdent Loan IV, Part E; 20 USC

1087aa -1087ff Sec. 461

13.482 Higher Education Act

Special Services for Amendments of 1968; PL

Disadvantaged Students, .90-575; 20 USC 1101;

Institutions of 92-318 Sec. 417(8)

Higher Education

13.489

Teacher Corps

Operations and

Training

Low-income {to assist low-income

students who, by reason of

deprived educational, cultural,

or economic background, are in

need of such services}

Low-income families (for areas

having concentrations of lowincome families)

Low-income families (based on

Family Contribution Schedules)

13.492

Upward Bound

fellowships for

Other Purposes

Educational Development

Professions Development

Act, Part B-1, Sec. 511-

517A; PL 90-35; 20 USC

1101-1107a

Higher Education Act

of 1965, Title IV A,

PL 89-329: PL 90-575:

20 USC 1101: PL 92-318

Part D, Title IX: HE Act

or 1965 as amended

Vocational Ed. Amendments

of 1968, Title I, Part F,

PL 90-576: 20 USC 1241 to

1391: et al.

13.494

Vocational EducationConsumer and

Hanernaking

13.499

Vocational EducationSpecial Needs

Vocational Ed. Amendments

of 1968, Title I, Part B,

PL 90-576; 20 USC 1242-

1391; 82 Stat 106~-1091

et a1.

Vocational ~. Amendments

of 1968, Title I, Part H,

PL90-576; 20 USC 1241-

1391; 82 Stat 1064-1091

and Ed. AITrlt. of 1972

et a1.

Disadvantaged Background (not

yet defined)

Economically ~epressed areas

(one-third of the Federal funds

are allotted to "economicallydepressed areas or areas with

high rates of unemployment")

Socio-economic handicapped

(~rsons with $ocio-economic

handicaps, economicallydisadvant~ged youths, adult

residents of slums and ghettos)

Economically disadva~taged

full-time students (economically disadvantaged, "in need

of earnings," "economic status

represents a deterrent to their

continued schooling")

13.501

Vocational EducationWOrk Study

35
~uthorization Progr~

13.502

Vocational EducationInnovation

Eligibili~~

Socio-economic handicap (for

youths)

Vocational Ed. Amendments

of 1968, Title I, Part D,

PL 90-576, 20 USC 1241 to

1391; 82 Stat 1064-1091.

Sec. 143 (a) (2)

Ed. Professions Development Act, Title V, Part D,

Sec. 531-533, PL 90-35;

20 USC 1111-1119a.

13.505

Education Personnel

Developnent -Urbani

Rural School Development

PL 91-230, Part C, as

amended by PL 03-380,

Sec. 131 and 141; 20

USC 241c

13.511

Educationally

Deprived Children

Special Grants for

Urban and Rural

Schools

PL 91-230, Part S, Sec.

126,127,128,141,20

USC 241c, as amended by

PL 93-380

13.512

Educationally

Deprived Children,

Special Incentive

Grants

Sec. 

808(d) of PL 89-10

as amended~ PL 93-380

13.523

Schocl Health and

Nutrition Services

for Children from

Low-Income Areas

Title IV, Part A, Subpart

1 of PL 89-329, as amended

One element of formula is children in families whose income is

less than $3,000. Children need

not be poor to participate, but

must live in school attendance

areas with highest concentration

of poor children as determined bv

the local distr ict and must be -

educationally deprived (below

grade level)

Local school districts which

have the greatest need for

assistance under Title I. one

of the criteria is the number

and percentage of children from

low-income families (low-income

is not defined as any particular dollar amount or poverty level

(Orshansky». Children eligible

to participate are those who are

educationally deprived (below grad~

level) and who live in school

attendance areas having high

concentrations of children from

low-income families (low-income

is defined by each local education

agency)

Children must attend a Title I,

Elementary and Secondary Education Act (ESEA) school; come from

families with incomes not exceeding Poverty Line Index; State Title

XIX (Medicaid) standards; Dept.

of welfare, Statewide Standards

for financial assistance

Students with financial need

(cost of education exceeds

expected family contribution);

(fifteen percent of the grants

are for vocational education

for the disadvantaged)

13.539

Basic Educational

Appr. Grant

Program

36
Re resentative S .of Administrative and islative Guidelines

Provided next is a representative sampling of administrative and

legislative guidelines associated with the major poverty-related programs

within the Education Division. Included are:

--Vocational Education -Grants Programs to States -Definition of

Disadvantaged

Basic 'Educational ~portunity Grant Program

Supplemental Educational Opportunity Grants Program

--Direct Loans to Students and Title II Loans to Students

--Work-Study Programs

--Talent Search, Upward Bound, Special Services for Disadvantaged

Students, and Educational Opportunity Centers

Vocational Education Act of 1963, as amended, July 24,1974

Vocational Education -Basic Grants to States: authorization is,

Title IV, Part A, subpart 1 of PL 89-329, as amended. 1I

Subpart A-General-lO3.3- Definitio~~

Disadvantaged persons means persons who have academic,

socioeconomic, or other handicaps that prevent them from succeeding in vocational education or consumer and homemaking

programs designed for persons without such handicaps, and

who for that reason require specially designed educational

programs or related services. The term includes persons whose

need for such programs or services result from poverty, neglect,

delinquency, or cultural or linguistic isolation from

the community at large, but does not include physically

or mentally handicapped persons (as defined in this

section) unless such person also suffer from the handicaps

described in this paragraph. (20 USC l262(a)(4)(A)) (Emphasis

added)

Title 45 -Public Welfare -Part 190 -Basic Educational

apportunityGrant Program. November 6, 1974, Title IV, A-l

of the Higher Education Act of 1965, a$ amended

(20 USC 1070a) 4/

-I

Educational Opportunity Grant Program

190 -Basic Educational Opportunity Grant Program

37
190.1 Scope and Purpose

The purpose of the Basic Educational Opportunity Grant Program is to

assist in making available the benefits of post-secondary education to

eligible students by providing assistance in meeting the cost of sucheducation.

1~u.62 Calculation of Basic Educational Opportunitr Grant Awards at FullFunding I

When funds are available to satisfy such payments, the Commissioner

will pay to each eligible applicant for any academic year a Basic Educational Opportunity Grant in an amount equal to $1,400 minus his expected

family contribution, except that no award will be made (a) which is in

excess of 50 percent of the applicant's actual cost of attendance at the

institution of higher education in which the applicant is enrolled, (b)

which exceeds the difference between the expected family contribution of

the applicant and his actual cost of attendance at the institution in

which he is enrolled, or (c) which is less than $200. ~~

Title 45 -Public Welfare -Part 176 -Supplemental Educational Opportunity Grants Program --authorized by Eduction Amendments of

~ 1972 (PL 29-318) 2/

Supplemental Educational Opportunity Grants Program

Part 176 -Supplemental Educational Opportunity Grants Program

176.1 Purpose

It is the purpose of this part to provide, through linstitutions of

higher education, Grants (Supplemental Grants) to assist in making available the benefits of post-secondary educatjon to qualified students, who,

for lack of financial means of their own or of their families, would be

unable to obtain such benefits without such a grant. (20-U~S~X. lO70b)

Sec. 176.8 Institutiollal Agreement

An institution of higher education which desires to participate in

the Supplemental Grants Program shall enter into an agreement with theCommissioner. 

Such agreement shall: ...{b} Provide that, in determining

whether a student meets the requirements of exceptional financial need,

the institution will consider the source of such student's income and

that of any individual or individuals upon whom the student relies

primarily for support and will make an appropriate review of the assets

of the student and of such individuals; I

,

(c) Provide that the institution, in cooperation with other institutions of higher education, where appropriate, will make vigorous efforts

to identify ~ualifie~ youths ~f exceptional ~ancial ne~ and encourage

them to continue their education beyond secondary schooll...(2) making,

38
Sec. 

176.9 Student Eligibility

176.13 Need Analysis Systems

,- (a) The Commissioner has determined that the following need analysis

systems or methods of calculation meet the requirements of Sec. 176.12 of this

part if adjusted in accordance with paragraph (d) of this section; The

method of calculating an expected family contr ibution used in the Basic

Education Opportunity Grants Program (45 CFR Part 190) and the systems

of need analysis published by the American College Testing Program and the

College Scholarship Service. The Commissioner has also approved the

Income Tax System for use in calculating the expected family contribution

of de~ndent students whose parents are subject to the Federal income tax,

if adjusted in accordance with paragraph (d) of this sect

~'on and further

adj usted to reflect the number of the parents I dependent hildren who are

attending institutions of higher education.

(b) For purposes of this part, the expected family contribution

calculated according to the Income Tax System shall be an amount equal to

the amount of Federal income tax paid by the parents of a Pudent, 5 per- cent of such parents' net assets in excess of $7,500, and y amount the

student is reasonably able to contribute.

(c) The Commissioner will approve a need analysis system or a method

of calculating an expected family contribution if it produces expected

family contributions comparable to those that would be determined under

one or more of the system~ specified in paragraph (a) of t~is section.

(20 USC l070b-2) (EmphasIs added) -I

f"

Guaranteed Lo~IProgram -(HE Act of 1965, PL 89-329, Title IV, Part E;

20 USC 1087aa-1087f§!Sec. 461) (needy undergraduate and graduate

students; if cost of education exceeds expected family contribution)

39
The proposed Sec. 176.9 (c) was written to exempt all Guaranteed Loans

except for those for which a needs test is required, from being considered

as a student resource. This exemption would have the effect of permitting

such loans to be used as substitutes for the expected family contributions... .

National Direct Student Loans -(HE Act of 1965, PL 89-329, Title IV,

Part Ei 20 USC 1087aa-1087ff Sec. 461) (needy undergraduate and graduate

students; if cost of education exceeds expected family contribution)

The basic statutory requirement in this respect is that, to count as

a permissible form of "matching, 't the financial aid in question must be

provided to the student by his institution. State scholarships, employment under the College Work-Study Program, National Direct Student Loans,

and Basic Grants... are also to be counted as student financial aid

provided by the institution... and were specifically enumerated both in

the statute and in Sec. l76.l6(b) of the proposed rule, which has become

Sec. l76.l6(c) of the regulation.

National Direct Student Loan Program §/

A student loan program authorized by Title IV, Part E of the Higher

Education Act of 1965.

The College Work-Study Program and the National Direct Student Loan

Program fall under the Supplemental Grants Program. Institutional applications for funds will be reviwed in accordance with... the criterion of

nature of the institution's demonstrated commitment to enroll students

with exceptional financial need.

Direct Loans of Students and Title II Loans to Students -November 25, 1974

...2. Section 137 of the Education Amendments of 1972 amended the

Higher Education Act of 1965 by adding Title IV, Part E, "Direct Loans to

Students in Institutions of Higher Education" which established the

National Direct Student Loan Program. This program is deemed to be a

continuation of the National Defense Student Loan Program authorized by

Title II of the National Defense Education Act of 1958. The proposed rule

covers terms and conditions of loans made both before and after the enactment of the Education Amendments of 1972. The major substantive changes

resul ting from the Education Amendments of 1972 which differentiate

National Direct from National Defense Students Loans involve aggregate

amounts which may be borrowed, repayment terms, and cancellation benefits.

This program is intended to stipulate and assist in the establishment and

maintenance of funds at participating institutions of post-secondary education for the making of low-interest loans to students who are in need of

such loans to meet their costs of education at such institutions. ~e

National Direct Student Loan Program is deemed to be a continuation of the

National Defense Education Act of 1958.

40
Subpart A -General Provisions

Sec. 144.1 Scope and Purpose

Title IV, Part E of the Higher Education Act of 1965 authorizes the

National Direct Student Loan Program for the purpose of stimulating and

assisting in. the establishment and maintenance of funds at participating

institutions of higher education for the making of low-interest loans to

students in need thereof to pursue their courses of study in such

institutions.

Sec. 144.2 Definitions

...(d) "College Work-Study Progra'n" is a Federally-supported program of

part-time employment authorized by Title IV, Part C, of the Higher Education Act of 1965.

...(h) "Ex~cted family contribution of a de~ndent student" means the

sum of the amounts which reasonably may be ex~cted from the student and

his 'spouse to meet the student's cost of education as described in Sec. 144.11.

(20 USC 1088(c)(2))

...(m) "Fund" or "National Direct Student Loan Fund" means a Fund

established pursuant to Sl44.8(a) of this part. (20 USC ll4l(b)i

20 USC (l088(a»

(aa) "Supplemental Educational ~rtunity Grant Program" is a grant

program for students with exceptional financial need authorized by Title

IV-A-2 of the Higher Education Act of 1965 (20 USC 1070b)

Sec. 144.9 Student Eligibility

(a) A student is eligible for a loan under this part if such student:

(2) is in need of the amount of the loan to pursue a course of study at an

eligible institution;... (b) for purposes of subparagraph (2) of paragraph

(a) of this section a student shall be considered in need if his cost of

education at the institution at which he is enrolled or-accepted for

enrollment exceeds his expected family contribution. ...(d) Selection.

Loans made under this part shall be made reasonably available to all

eligible student applicants. In the event applications for loans exceed

available funds, the order of selection shall be made on the basis of need.

(20 USC 1088g) (20 USC 1087dd)

Sec. 

144.13 Need Analysis Systems

(a) The Commissioner has determined that the following need analysis

systems or methods of calculation meet the requirements of Sec. 144.12 of

this part: the method of calculating an expected family contribution used

in the Bas ic Education Opportunity Grants Program (45 CFR 190) and the

systems of need analysis published by the American College Testing Program

41
and the College Scholarship Service.. The Conmissioner has also approved

the Income Tax System for use in calculating the expected family contribution of dependent students whose parents are subject to the Federal income

tax, if adjusted to reflect the number of the parents' dependent children

who are attending institutions of higher education.

I

(b) For purposes of this part, the expected family contribution calculated according to the Income Tax System shall be an amount equal to the

amount of' Federal income tax paid by the parents of a student, 5 percent of

such parents' net assets in excess of $7,500, and any amount the student is

reasonably able to contribute.

(c) The Commissioner will approve a need analysis system or a method

of calculating an expected family contribution if it produces expected

family contributions comparable to those that would be determined under

one or more of the systems specifiej in paragraph (a) of this section.

(20 USC l087aa-ff) (Emphasis added) I

1

College Work-Study Program ]j

A federally-supported program of part-time employment auJnorized by

~itle IV, Part C, of the Higher Education Act of 1965. (42 USC 2751-2756)

Work-Study Programs of the Higher Education Act of 1965 (Amended)

November 15,1974

...2. The major substantive changes made in the proposed regulations

are the broadening of program activities to include half-time students and

the elimination of the preference in assigning jobs previously given to

students from low-income families and its replacement by a preference for

those students-who demonstrate the greatest financial need atter all

public and private grant funds available to them have been considered.

These changes were brought about by the Education Amendments of 1972.

The College WOrk-Study Program is intended to stimulate and promote the part-time employment of students, particularly those with ~~

financial need, who are in need of the earnings from such employment in

order to pursue courses of study at eligible institutions.

The major substantive changes from existing regulations which are

included i~ the proposed rule were brought about by the Education Amendments of 1972. These changes include the elimiAation of the preference in assigning jobs previously given to students from lo~income

families and its replacement by a preference for those students who

demOnstrate the greatest financial need after all public and private

grant funds available to them have bee~ considered. i

I

Sec. 175.1 Purpose and Objectives

42
financial need, who are in need of the earnings from such employment in

order to pursue courses of study at eligible institutions. ...(1) Encourage eligible institutions to expand their efforts to enroll students with

great financial need. (42 USC 1751-2756)

175.2 Definitions

...(9) "Ex~cted family contribution of a de~ndent student" means

the sum of the -amounts which reasonably may be ex~cted from the student

and his spouse to meet the student's cost of education as described in

Sec. 175.11 and the amount which reasonably may be expected to be made available to him by his parents for such purpose.

(h) "Expected family contribution of an independent or self-supporting

student" means the amount which reasonably may be ex~cted from the student

and his spouse to meet the student's cost of education, as described inSec. 

175.11

Sec. 175.3 Allotment of Federal Funds to States

...(iii) One third will be allotted by the Conmissioner aJOOng theStat~s, 

so that the allotment to each State under this clause will be an

aJOOunt which bears the same ratio to such one-third as the number of

related children under 18 years of age living in families with annual

income of less than $3,000 in such State bears to the number of related

children under 18 years of age living in families with annual incomes of

less than $3,000 in all the States. (42 USC 2752)

175.6 Funding Criteria

Institutional applications for funds under this part will be reviewed

with the following criteria: ...(7) The nature of the institution's

demonstrated commitment to enroll students with exceptiohal financial ne~;

(42 USC 2756)

175.8 Institutional Agreement

(a) An institution of higher education which desires to participate

in the College WOrk-Study Program shall enter into an agreement with theCommissioner. 

Such agreement shall: ...(3) provide that in the selection

of students for employment under the College WOrk-Study Program preference shall be given to students with the greatest financial need, taking

into account grant assistance provided such student from any public or

private sources; (4) provide that employment under the College Work-Study

Program shall be furnished only to a student who (i) is in need of the

earnings from such employment in order to pursue a course of study at such

institution (takinginto consideration the actual cost of attendance at

such institution). (7) include provisions designed to make employment

under the College WOrk-Study Program or equivalent employment offered or

arranged for by the institution, reasonably available (to the extent of

available funds) to all eligible $tudents in the institution in needthereof... 

(20 USC 2754)

43
Sec. 175.22 Limitations on the Federal Share of Student Compensation

...(e) The Commissioner may approve a Federal share of up to 100

percent of the compensation paid to students employed under this part for

an institution under whose agreement with the Commissioner such program

is being conducted if such institution (1) has been designated as a

"developing institution of higher education" in accordance with the

provisions of Part 169 of this Title (45 CFR 169), or (2) demonstrates

that at least 50 percent of its students who are enrolled as at least

half-time students whose gross annual does not exceed $7,500 peryear. 

(42 USC 2754) (Emphasis added)

1alent Search, Upward Bound, Special Services for Disadvantaged Students,

and Educational Opportunity Centers Programs (Title IV, Part H, Subpart 4,

of the Higher Educ~tion Act of 1965, amended) ~

Proposed eriteria for Funding for FY 1975 (45 CFR, Iparts 154 and 155)

Talent Search projects are designed to: identify qualified youths of

financial or cultural ~ with an exceptional potential for post-secondary

educational training and encourage them to complete secondary school and

undertake post-secondary educational training, publicize existing forms of

student financial aid, including aid furnished under Title IV, and encourage secondary school or college dropouts of demonstrated aptitude to

re-enter educational programs, including post-secondary school programs.

Appendix A -Criteria for Talent Search

The Commissioner will select applicants to be funded under the Talent

Search Program on the basis of the criteria set forth in 45 CFR IOOa.26(b)

as well as the following criteria: ...(iii) person~_having family inc2~

at or bel~ the Federal poverty level; and (iv) students from low-~

families having low aspiration levels and special needs resulting from

cultural isolation, language disabilities, and educational deficiencies.

...(2) 'The proposal presents a clearly new or ex~rimental technique

or design for the recruitment of disadvantaged students for post-secondary

education, and clearly demonstrates a degree of replicability, and provides for an evaluation of the results in such form as to be readily

utilized by other educational programs concerned with the recruitment of

disadvan~ed student~ for post-secondary educatio~:

...(4) The proposed project would be able to provide a variety of

educational opportunities and options for postsecondary educational

careers ~e disadvantaged. (20 USC l070d-l)

Special Services for Disadvantaged 'Students projects provide remedial

and other special services for students with academic potential who are

enrolled or accepted for enrollment at the institution which is the beneficiary of the grant and who, by reason of deprived ...~conomic

44
~c~~round,... are in need of such services to assist them to initiate,

contInue, or resume programs of post-secondary education.

Appendix B -Criteria for Special Services for Disadvantaged Students

The Commissioner will select applicants to be funded under the

Special Services for Disadvantaged Students Program on the basis of the

criteria set forth in 45 CFR lOOa.26(b), as well as the following criteria:

...(b) New awards. A request for funds for the initiation of a new

project will be evaluated on the following criteria: (1) Evidence of the

enrollment at the institution of physically disabled and/or lo~income

students who by reason of deprived educational, cultural, or economic

~c~g;~~?, ...are in need of supportive special services to assist them

to initiate, continue, or resume their post-secondary education; (2) Evidence of the availability and distribution of financial assistance to meet

the need of lo~income students enrolled in the applicant institution: ...

(c) National Demonstration Awards. The Commissioner will select a limited

number of applications to fund as Special Services for Disadvantaged

Students National Demonstration awards on the basis of the criteria specified in part (b) above and those additional criteria:

...(2) The proposal presents a ctearly new or experimental technique

or design for the provision of special services for students from deprived

...economic backgrounds ...

Upward Bound projects are designed to generate skills and motivation

necessary for success in education beyond high school and are projects in

which enrollees from low-income backgrounds and with inadequate secondary

school preparation participate on a substantially full-time basis during

all or part of the project period.

Appendix C -Criteria for Upward Bound

Sec. 

115.7 is revised to read as follows:

Sec. 115.7 Criteria for evaluating proposals. The Commissioner will

select applicants to be funded under the upward Bound Program on the

basis of the criteria set forth; in 45 CFR lOOa.26(b), as well as the

following criteria: (a) New awards. A request for funds for the initiation of a new project will be evaluated on the following criteria:

(l) Knowledge of the specific needs of an identifiable student population to be served in terms of income... and other related problems, and

conditions and/or attitudes which are barriers 'to educational advancement:

...(3) Experience in serving low-income students..

Educational Opportunity Centers will serve areas with major concentrations of low-income persons by providing academic assistance for persons

in such areas desiring to pursue their studies and to apply for admission

to institutions of higher education. i

j

45
Appendix D -Criteria for Educational Opportunity CentersSec. 

154.6 Selection Criteria

The Commissioner will select applicants to be funded under the Educational Opportunity Center Program on the basis of the criteria set forth in

45 CFR lOOa.26(b), as well as the following criteria: ...(iii) The number

of low-income. families in the area to be served; ...(3) the proposed staff

of the Center and the extent to which the staff has experience in dealing

with low-income ...students; ...(6) The appropriateness of the Center's

relationship to the Talent Search, Upward Bound, and Special Services for

Disadvantaged Students projects ...(b) the Commissioner will award grants

and contracts to insure that major concentrations of low-income persons in

both urban and rural areas will be represented among areas to be served by

Centers. (Emphasis added)

Education Amendments of 1974 -Title I Formula

The Education Amendments of 1974 (PL 93-380) contain a requirement

for "a thorough study of the manner in which the relative measure of

poverty for use in the financial assistance program authorized by Title I

of the Elementary and Secondary Education Act of 1965 may be more accuratelyand currently developed." Before enactment of the "Education Amendments'of 1974," Title I funds for low-income children were distributed on

the basis of an absolute measure of need, i.e., a family income below

$3,000 (as determined by the decennial Census). The distribution formula

for Title I funds was revised by the Education Amendments of 1974: a new

measure of low income, the Orshansky measure of poverty, was specified.

In addition, several studies and special surveys were required, so that

future improvements in the Title I allocation formula could be made.

Title I of the Elementary and Secondary Education Act (ESEA) provides a

formula for determining the amount of a grant for which a local educational

agency (LEA) is eligible (i.e., its "entitlement"). The Commissioner determines: (1) the number of children in the school district from families below the poverty level; (2) two-thirds of the number of district children

fram Aid to Families with Dependent Children (AFDC) families with incomes

above the poverty level; (3) the number of district children in institutions

for neglected and delinquent children; and (4) the number of children being

supported in foster homes. This number is then multiplied by 40 percent of

the average per pupil expenditure in the state (except where such average

is less than 80 percent or more than 120 percent of the national average).

If the Commissioner does not have satisfactory nationwide data to compute the formula on a local education agency basis, he may compute it on a

county basis and inform each state agency of the county grants. It then becomes the role of the state agency to "suballocate" the county entitlement.

Since Census data are not available on a school district basis, "entitlements" are traditionally on a county rather than a school district basis.

However, beginning in 1972 the Census Bureau has made estimates of the number

of children in poor families for 'each school district, at the request of the

Department of Health, Education, and \velfare.

46
Where appropriations are insufficient to pay each ,county its full

entitlement, the Commissioner must prorate all grants downward in accordance with available funds. For example, if total entitlements were $4

billion, and the appropriation was $2 billion, a county with a $1 million

entitlement would receive a prorated amount of $500,000.

PL 93-380 stipulates that each LEA receive at least 85 percent of

its preceding year's allocation. This is called its "floor." Counties

which fall below the floor under the rateable reduction are brought up to

the floor level by reducing other counties throughout the U.S. The state,

in suballocating county amounts, must assure each LEA its 85 percent floor.

School attendance areas are designated project areas if the estimated

percentage or absolute number of children from low-income families residing

in the attendance area is as high as the percentage (or average number) of

such children residing in the entire school district. It is not necessary

for the LEA to use a particular income level in making this determination.

The children to be served must be educationally deprived.

"educationally deprived children" is defined as:

The term

" ...those children who have need for special educational assistance in order that their level of educational attainment may be raised to that appropriate for

children of their age. The term includes children who are

handicapped or whose needs for such special educational

assistance result from poverty, neglect, delinquency, or

cultural or linguistic isolation from the community at

large."

The specific criteria of the distribution formula are:

--Number of 5 to 17 year olds in families with an income below

"poverty level" (Orshansky index), 1970 census data.

--Two-thirds of number of 5 to 17 year olds in families with AFDC

incomes above the "poverty level" for a nonfarm family of four

(as updated by increases in the Consumer Price Index), with data

collected annually in January.

Number of 5 to 17 year olds 1 i ving in institutions for neglected

or delinquent children or being supported in foster homes on

public funds, with data collected annually.

Multiplied By

40 percent of the state per pupil expenditure (not less than 80

percent nor more than 120 percent of the national average).

1 percent of the amount appropr iated for payments to states for

Puerto Rico, Guam, American Samoa, the Virgin Islands, and the

Trust Territories of the Pacific Islands.

47
floors and Ceiling

Local Educational Agencies: Not less than 85 percent of their allocation for the preceding year

Outlying areas: Not less than 1973 allocation

Puerto Rico: Not to exceed 50 percent of the maximum

grant after rateable reduction in fiscal

year 1975 .I

Not to exceed 75 percent of the maximum

grant after rateable reduction in fiscal

year 1976 and thereafter

Studies Mandated by the Education Amendments of 1974

Five Title I studies which were mandated in the Education Amendments

of 1974:

1.

"Study of Purposes and Effectiveness of Compensatory Education

Programs" (Section 821, pp. 116-117). The Act instructs the

National Institute of Education (NIE) to design and conduct a

a study which will:

(a) Examine the fundamental purposes and effepti veness of compensatory education programs; :

(b) Analyze ways of identifying children in need of compensatory

education;

(c) Consider alternative ways of meeting these needs;

(d) Analyze alternative procedures for distributing compensatory

education program funds.

NIE is directly responsible to Congress for the design and execution

of the study. Plans for the research must be submitted to Congress within

120 days after the 1974 Amendments become law; interim and final reports

are to be transmitted on dates established by Congress, prior to any

review of the findings outside the Institute. I

The House Conrnittee on Fnucatio

originated, intends to use the resul

about re-authorization of the Title

focus is much broader than the exist

Institute of Fnucation is required t

general, and to inform Congress as b

possible objectives, funding'and adm

tional programs.

48

n and Labor, where the study ideats 

of the study in its deliberationsI 

Program in 1976. But the study'sing 

Title I program. The National

0 examine compensatory education, .in

roadly as possible about the range of

inistrative techniques, and educa-
2.

"Survey and Study for Updating Number of Children Counted"

(Sec. 822, pp. 117-118). The Act requires: .

A survey to estimate Title I counts by state, for which the

Secretary of Conmerce "in consultation with the Secretary of

Health, Education, and Welfare" is responsible;

A study of the feasibili~y of methods for updating Title I

counts in school districts for within-state allocation in

.years subsequent to a Census or special count, for which the

Secretary of Health, Education, and Welfare and the Secretary

of Commerce are responsible; and

(c) A report to Congress from both Secretaries jointly incorporating the results of the survey, an analysis of its accuracy

and utility, an analysis of alternative updating methods,

and recorrmendations.

3.

"Study of the Measure of Poverty Used Under Title I of the

Elementary and Secondary Education Act of 1965" (Sec. 823,

pp.118-119). The Act requires the study of the poverty measure

to consider the twin problems of accuracy and currency, or specifically:

(a) The ~CC~~~~ of the measure for its stipulated

use in Title I allocation; and

The currency of the measure in terms of data more recent

than that available in the decennial Census.

The "accuracy" requirement is intended to address questions regarding

the adequacy of the Orshansky Index as a measure of poverty for purposes

of distributing Title I funds. The "currency" requirement stems from the

fact that 1975 allocations of Title I funds will be based partly on 1970

data (assuming the 1980 Census data will not become available until 1983).

To the extent that the distribution of eligible children shifts during

this per iod, funds may be misallocated. Thus, there may be a need for

IOOre "current" data.

The Act also requires that recommendations emerging from (a) and (b)

be made with respect to the availability and usefulness of data for the

improvement of the Title I poverty measure.

A further stipulation is that the statistical measure of poverty take

into account differences in region; climate; metropolitan-urban-suburbanrural location; family size (and composition); and head of household.

,

Basically, Title I funds were at first distributed on the basis of

the number of children from families whose Aid to Families with Dependent

Children (AFDC) payments were in excess of $2,000. However, since AFDC

eligibility is state-determined, this method discriminated against those

states which were more frugal in d~stributing AFDC funds. The revised

49
distribution formula presently in use attempts to rectify this. Title I

funds are distributed to counties primarily on the basis of two factors:

(1) the number of children from families below the poverty level (as

determined by the Census Bureau in 1970); and (2) two-thirds of the

children from families which received 1974 AFDC payments and were above

the poverty level of $4,250.

The problem of poverty measurement for the Title I allocation arises

in part from the fact that while Census and AFDC data are reported on a

county basis, the allocative unit is smaller: the school district. School

districts and counties are coterminous in only a few states. Title I

funds have to be allocated on the basis of Census and AFDC data, and there

exists some divergence among counties across the nation with regard to

subcounty allocative criteria.

4. An evaluation of the Title I programs, as required by Sec.

lOl(a)(8) "Sec. 151," pp. 16-17. The Act directs the COIrnnissioner to conduct a number of specific activities with regard to

Title I of Elementary and Secondary Education Act (ESEA). These

are to:

(a) Conduct independent evaluations describing and measuring

program and project impact.

Develop and publish standards for program or project effectiveness.

(c) Provide, where appropriate, for evaluations sponsored jointly

by the Federal and state levels.

Provide evaluation models for use by SEA's and LEA's, which

include uniform procedures and criteria and which yield cornparable data on a statewide and nationwide basis.

Provide technical assistance to SEA's to enable them to

assist LEA's in implementing the evaluation models.

(f) Develop a system for gathering and disseminating effective

practices, exemplary practices, and evaluation results to

SEA's, the education profession, and the general public.

5. A survey of participation in Title I programs, as required bySec. 

506(a)(3)(c), "Sec. 417(a)(2)," p. 81. The Act calls

for a survey of the economically disadvantaged and the educationally disadvantaged children (as counted under Section lO3(a) of

Title I) who do and do not receive Title I benefits.

50
Introduction

There are no overall poverty-related guidelines published by the

Public Health Services, but some of its major components do publish guidelines. These are treated, one by one, next, under the headings:

--Alcohol, Drug Abuse, and Mental Health Administration

--Health Services Administration

--Health Resources Administration

None of the other components of the Public Health Services has significant administrative or legislative poverty guidelines. However, the

following have poverty-related programs and will be discussed together:

--National Institute of Health

Centers for Disease Control

It is useful to make some general comments about the characteristics

of health agency poverty terminology. There are two poverty-related

features peculiar to health agencies. One is usage of "poverty areas."

This is particularly true of the Alcohol, Drug Abuse, and Mental Health

Administration, but also of the Health Resources Administration. The

other characteristic feature is the use of poverty guidelines based on

multiples of the Office of Management and Budget (OMB) -Community Services

Administration (CSA) guidelines. This applies particularly to the Health

Services Administration.

Alcohol, Drug~use, and Mental Health Administration

The Alcohol, Drug Abuse, and Mental Health Administration has as its

main-poverty-related legislative guidelines the amendments to the Community

Mental Health Centers Act made by the Community Mental Health Centers Amendments of 1975 (Title III, PL 94-63). The administrative guidelines as to

how the legislation should actually be put into effect are interesting in

the context of poverty terminology. These are discussed in Federal Regulation: Title 42 CFR, Part 54, Sub-part B 54 101-54.103 Public Health-

"Designation of Urban and Rural Poverty Areas":

Sec. 54.101 -State Ranking

(a) Using the latest available published data from the Department

of Commerce, Bureau of the Census, each State shall determine what

percentage of families living in each catchment area within its territorial borders have incomes below the poverty level described in subparagraph (2) of this paragraph.

51
(1) The term "catchment area" means a geographic area designated by a State which is served or will be served by an existing

or proposed community mental health center.

(2) In determining the poverty level, the following standards shall be used:

(i) Revised OEO income Poverty Guidelines (Published in

OEO Instructions, No. 6004-1.b., dated Dec. 1, 1970) for the

50 States and the District of Columbia. Those Guidelines are

as follows:

Family size Nonfarm family Farm fam~y

1

2

3

4

5

$1,900

2,500

3,100

3,800

4,400

$1,600

2,000

2,500

3,200

3,700

For families with more than five members, add

$600 for each additional member in a nonfarm

family and $500 for each additional member in a

farm family.

(b) Each State shall rank its catchment areas according to the percentage of families whose incomes fall below the poverty level in each

area. The catchment area in each State with the highest percentage of

families whose incomes fall below the poverty level shall be designated

as number I, and areas with lower percentages of such families shall be

arrayed in ascending numerical order.

Sec. 

54.102 -Designation of poverty areas.

The Secretary will designate as poverty areas a percentage of

catchment areas in each State to be determined as follows:

(a) The percentage of poverty catchment areas for each State shall be determined by subtracting 25 percent from each State I s Federal

percentage.

(b) The State's Federal percentage is the percentage established

pursuant to Sec. 40l(i) of the Mental Retardation Facilities and Community Mental Health Centers Construction Act of 1963 (42 USC 2661 et

seq.) (hereinafter referred to as the "Act"), and promulgated in

33 F.R. 18593, for fiscal years 1971 and 1972.

52

All States (Including the District of Columbia)

Except Alaska and Hawaii
Example: If the Federal percentage for State X is 50 percent, 25 percent would be subtracted, leaving a balance of 25 percent. This means that

the highest ranking 25 percent of the catchment areas listed by State pursuant to Sec. 54.l0l(b) would be designated as poverty areas.

Sec. 54.103 -Additional poverty area designations.

(a) An applicant for a grant under any program authorized by Title

II of the Act who wishes to serve a catchment area which was not designated as an urban or rural poverty area in accordance with the above

procedures may apply to the Secretary to have such area designated as

a poverty area under the provisions of Sec. 410 of the Act.

(b) The Secretary shall add the area in question to the list of

poverty areas with respect to the particular project if the applicant

demonstrates to the Secretary's satisfaction that:

(1) at least one-half the population of the catchment area

lives in one or more impoverished subareas;

(2) the percentage of farnil ies with incomes below the poverty

level (as determined in accordance with Sec. 154.101(a)) who lives

in these subareas is at least one and one-half times greater than

the percentage of families With incomes below the poverty level

living in the lowest ranked area for that State which has been designated as poverty area pursuant to Sec. 54 .102: and

(3) The project, facility, or program of services for which'

the applicant seeks support does, or will, focus on the needs of

persons living in such subareas of poverty.

One section of Title 42 CFR, Part 54 was revised in the manner set

forth below effective July 30,1976.

Sec. 54.103 -Designation of urban or rural poverty areas

(a) Purpose. This section establishes the procedure for designating catchment areas in each State as urban or rural poverty areas

(except for purposes of grants under section 203(e) of the Act).

(b)

Definitions.

For purposes of this section --

(1) The "poverty level" with respect to the population in

the 50 States, the District of Columbia, and those catchment

areas in Puerto Rico which are partly or wholly within Standard

Metropolitan Statistical Areas, as defined by the Office of Management and Budget, will be determined in accordance with Appendix A to this part.

53
(2) The term "subarea" means a sutrlivision of a catchment area

for which data are available that are satisfactory to the Secretary

for purposes of determining the percent of its population having

income at or below the poverty level.

(c) Eligibility of Areas. All catchment areas in American Samoa,

Guam, the Trust Territory of the Pacific Islands, and the Virgin Islands,

and catchment areas in Puerto Rico which are wholly outside of Standard

Metropolitan Statistical Areas, as defined by the Office of Management and

Budget, are eligible for designation as urban or rural poverty areas. For

any other 'catchment area to be eligible for designation as an urban or rural

poverty area,

(1) the area must contain at least one subarea with not less than

15 percent of its population having incomes below the poverty level,

and

(2) the population of all such subareas in the catchment area

(meeting the test in clause (1)), must be equal to not less than 35

percent of the population of the catchment area.

(d) Designation of Areas. At the request of an applicant for a grant

under the Act, the Secretary may designate a catchment area which is eligible under paragraph (c) of this section as an urban or rural poverty area

for the period of the grant if the applicant demonstrates to the satisfaction of the Secretary that the project, program, or activity (or the

facility involved)' for which the grant is sought does or will, within the

period of the grant or such shorter period as the Secretary may prescribe,

substantially serve the needs for mental health services of the population

of the subarea or subareas by reason of whom the catchment area was an

eligible area under paragraph (c) of this section.

The Alcohol, Drug Abuse, and Mental Health Administration also directs

poverty-related programs for low-income persons and programs targeted to

needy persons. These are summarized below.

I

Adamha Programs for Ww.-Income Persons I'

Description Authorization

Provides partial Alcoholic and Narcotic

support of per- Addict Rehabilitation

sonnel for comm- Amendments of 1968 Part B,

unity based after- Title II; PL 90-574; 42

care services for USC 268 et seq. as amended;

drug addicts and C~ity ~tal Health

abusers. Centers amendments of 1970,

Title III, PL 91-211;

Canprehensive Drug Abuse

prevention and Control Act

of 1970, ~itle I, PL 91-

513; Drug Abuse Office and

Treatment Act of 1972,

Title IV, PL 92-255

Definitions

Matching grants.

Higher percentage

is paid if the area

has been designated

a poverty erea by

the Secretary of HEW.

Programs

13.235

Drug Abuse

COImIunity

Service

Programs

54
Description

Provides funds to

build Colmlunity

Mental Health Centers and partial

compensation costs

for personnel.

Programs

13.240

COImIunity

Mental

Heal th

Centers

Definitions

Matching grants.

Federal share is up

to 90 percent in

areas designated

poverty areas by the

Secretary of HEW.

13.259

Mental

HealthChildren's

Services

Authorization

Mental Retardation Facilities and Community Mental

Health Centers Construction

Act of 1963: Part A, Title

II, PL 88-164 as amended

by PL 89-105, 90-31, 90-

574,91-513, and 91-515: 42

USC 2681-2688.

Mental Retardation Facilities and Community Menta1-

Heal th Centers Construction

Act of 1963: Title II, Part

F. PL 88-164 as amended

by PL 91-211, 42 USC 2681.

Matching grants.

Higher Federal share

is paid if area has

been designated a

poverty area by the

Secretary of HEW.

13.251

Alcohol

Conmunity

Service

Programs

Provides funds for

training activities and for increasing resources

for children's

mental health

services.

Provides funds for

prevention and

control of alcoholism through a

coomunity program

of comprehensive

services.

Alcoholic and Narcotic Addict Rehabilitation Amendment of 1968, Title III,

Part A, PL 90-574, 42-

USC 2681 et seq.: COII1nunity Mental Health Centers

Amendments of 1970, Title

III, PL 91-211

Formula grants. If

the geographic area

served has been

designated by the

Secretary of HEW as

a poverty area, a

higher percentage

may be paid.

Proqrams Tarqeted to Needy Populations

Description Authorization

proviges funds to Drug Abuse and Treatment

states to assist Act of 1972, Title IV, Sec.

in development of 409, PL 92-255

drug abuse prevention functions.

Programs

13.269

Drug "Abuse

Formula

Grants

PHS Act, Secs. 301, 303,

433; PL 78-410; 42 USC

241, 242a, and 289c

13.244

Mental

Heal th

Training

Grants

Provide funds to

increase nLUt1ber of

people working in

mental health professions.

Alcoholic and Narcotic

Addict Rehabilitation

Amendments of 1968, Part A,

Title III, PL 90-574, 42

USC 2681 et seq. Comnunity

Mental Health Centers Amendments of 1970, Title III,

PL 91-211; Comprehensive

Alcohol Abuse and Alcohol ism

Prevention, Trea~nt and

Rehabilitation Act of 1970,

PL 91-616

Definitions

Formula grants.

Allotment determination includes onethird weight on rota:

population weight by

financial need as

determined by relative per capita income for each state

for three IIX)st recen'

consecutive years

for which data are

available.

Purpose of program.

High priority to

projects in "crime

and del inquency ,

metropolitan problems and minority

groups."

No poverty terminology defined

Provides funds to

prevent and control alcoholism in

specific population groups, e.g.,

Iooians, poverty.

13.252

Alcohol

DeJronstration

Programs

55
Health Services Administration

Relevant administrative guidelines for the Health Services Administration are:

Sec. 5la.207Availability of Services (from "Special Project

Grants from Family Planning Services")

Project services must be made available:...

(f) Only to persons who because of low-income

or fo( other reasons beyond their control could not

otherwise obtain services comparable to those provided

under the project. However, if specific income

standards are used, they must be applied flexibly, with

due regard for total family needs in the particular

case. ...

-

Sec. 5l(a)209 PayIIentfor Services (from "Special Project

Grants for Family Plannirij Services")

...{c) No charge shall be made to any person or family

for services under the project, except to the extent

that payment will be made by a third party (including

a government agency) which is authorized or is under

legal obligation to pay such charges...

Sec. Sla.2ll Project Expenditures (from "Special Project

Grants for Family Planning Services")

(a) Project funds (Federal and matching) are available

for the direct costs of operating and maintaining

the project approved in the plan and budget ...

Sec. 

59.2 Definitions (from "Special Project Grants for

Family ,Planning Services")

...(e) "Low-incone_farnily" means a social unit composed

of one or more individuals living together as a household and whose total annual income is not in excess of:

(i)

(ii)

(iii)

( iv)

(v)

(vi)

(vii)

$2,500 in the case of one such individual

$3,400 in the case of two such individuals

$4,200 in the case of three such individuals

$5,000 in the case of four such individuals

$5,800 in the case of five such individuals

$6,400 in the case of six such individuals

$7,000 in the case of seven or more such

individuals.

56
~ec. Sla.30l Applicability (from "Special Project Grants

for Dental Health of Children")

The regulations in this subpart are applicable to the

award of grants under Sec. 510 of the Social Security Act

(42 USC 710) to promote the dental health of children and

youth of school or preschool age, particularly in areas with

concentrations of low-income families.

~ec..5l~.30~ P~oject Requirernent~ (from "Special Project Grants for Dental Health of Children")

(a)"(2) ...services will be made available only to

children who would not otherwise receive such services

because they are from low-income families or for other

reasons beyond their control. In determining such eligibility,

the grantee shall consider the family's size and income, the

medical diagnosis, the costs of required care and the family's

other financial responsibilities. (Emphasis added),

The Health Services Administration's programs targeted to lowincome and needy persons are summar ized below:

Progr~

13.211 Crippled

Children's

Services

Definitions

Fo[JlUlla grant;

apportioned to

states according

to financial

needs

13.212 Dental

Health of

Children

Programs for Low-InCOlre Persons

Description Authorization

Provides financial Social Security Act,

support to states to as amended, Title V,

extend and improve Sec. 504: PL 90-

(especially in rural 248: 42 USC 704

areas and in areas

suffering from severe

economic distress)

medical and related

services to crippled

children and children

suffering from conditions that lead to

crippling .

Increases availability Social Security Act,

of dental services to as amended, Title V.

children and youth of Sec. 510, PL 90-

school and pre-school 248: 42 USC 710

age in areas with concentrations of lowincome families.

Eligibility.

Children incatle familiesfrom 10 

57
~

13.217 Family

Planning

Projects

~~~

Provides services to

enable individuals

freely to detennine

number and Spacing

of their children.

~~~

Social Security Act,

as amended, Title V,

Sec. 508(a)(3); PL

90-248; 42 USC 708;

PHS Act, as ameOOed,

Title X, Sec. 1001,

PL 91-572; 42 USC

300

~!~~

Eligibility.

Priority given to persons from

lOW-incomefamilies.

Eligibility. Infants from lowincane families.

~

13.228 Indian

Health Services

~~~

No poverty terminology defined.

13.229 Indian

Sanitation

Facilities

SR
Programs

13.246 Migrant

Health Grants

Description

Provision of comprehensive health services to migratory

seasonal farm workers

and their families.

Authorization

PHS Act, Title III,

Sec. 310 as amended

by Amendment to Title

III, Sec. 310, PL

87-692; Cooununity

Health Services Extension Amendment of 1965,

PL 89-109; ameooed to

extend the author ization of grants for

health of migratory

agricultural workers,

PL 90-574, ameooed

to exteoo the program,

PL 91-209; 42 USC

242h

Definition~

No [X)verty terminol~ defined.

13.258 National

Health Service

Corps

Recruits health personnel to serve in

shortage areas.

Elnergency Healtl1 Personnel Act of 1970,

PL 91-623, which

added Section 329 to

the PHS Act, 42 USC

248

No poverty terrninol~ defined.

13.261 Family

Health Centers

Provides health services to enrolled

populations in areas

with scarce health

services on a fee for

service or a prepaid

capitation basis.

PHS Act, Title III,

Sec. 314(e) as

ameooed: Sec. 3 of

the cOOlprehensive

Heal th Planning and

PHS Amendments of

1966, PL 89-749:

Sec. 2, Partnership

for Health Ame~nts

of 1967, PL 91-174:

and Title II, 1970

Amendments to PHS Act,

PL 91-515; Title I

of the Health Program:

Extensive Act of 1973:

Amendments to PHS Act,

PL 93-45: 42 USC 246

No poverty terminol~.

Health Resources Administration (HRA)

Health Resources Administration (BRA) has as its primary povertyrelated legislative guidelines the National Health Planning and Resourses

Development Act of 1974. The purpose of Title XV of this Act, "National

Health Planning and Developnent," is to "facilitate the developnent of

recommendations for a national health planning policy, to augment areawide

and State planning for health services, manpower, and facilities, and to

authorize financial assistance for the development of resources to further

that policy. " Priority is given to "The provision of primary care services

for medically underserved populations, especially those which are located

in rural or economically depressed areas." .(Sec. 1502(1). Title XV

establishes health service areas throughout the U.S. in which health systems agencies "shall be designated" to carry out health planning and development for the purpose of improving the health of residents of a health

59
service area. State health planning and development are also mandated by

this Title. Title XVI, "Health Resources Development, " has as its purpose the provision of assistance for modernization of medical facilities,

construction of new outpatient medical facilities, construction of new

inpatient medical facilities in areas ~hich have experienced rapid growth

and conversion of existing medical facilities into providers of new

health services. Relevant sections of this Act are quoted below.

TITLE XVI -HEALTH RESOURCES DEVELOPMENT, PARI' E -GENERAL

PROVISION PL 93-641, NATIONAL HEALTH PLANNING AND RESOURCES

DEVEIDPMENT Acr OF 1974

1633 (15) The term 'u~ban or ruralpo~er~y_~' means

an urban or rural geographIcal area (as defined by the

Secretary) in which a percentage (as defined by the

Secretary in accordance with the next sentence) of the

residents of the area have incomes below the poverty level

(as defined by the Secretary of Commerce). The percentage

referred to in the preceding sentence shall be defined so

that the percentage of the population of the United States

residing in urban and rural poverty areas_is-

(A) Not more than the percentage of the total population of the United States with incomes below the poverty

~ (as so defined plus five per centum, and

(8) Not less than such percentage minus five per centum.

TITLE XV -NATIONAL HEALTH PLANNING AND DEVELOPMENT, PARI' A -

NATIONAL GUIDELINES FOR HEALTH PLANNING

Sec. 1502 The Congress finds that the following deserve

priority consideration in the formulation of l~ational Health

planning goals and in the development and operation

of Federal, State, and area health planning and resources

development programs:

(1) The provision of primary care services for medically

underserved populations, especially those which are located

in rural or economically depressed_areas.

Sec. lSll(a)(4) To the maximum extent feasible, the

boundaries of the area,... the boundaries of health

services areas shall be established so that in

the planning and development of health services to be

offered within the health service.area, any economic

geographic barrier to the receipt of such services in

nonrnetropolitan areas is taken into account.

60
TITLE XV, PARI' B -FUNcrIOOS OF HEALTH SYSTEMS AGENCIES

Sec. lSl3(e)(B) In the case of a proposed use within

the health service area of a health systems agency of

Federal funds ...by an Indian tribe or inter-tribal

Indian organization ...a health system agency shall only

review and comment on such proposed use.

FUNCTIONS OF HEALTH SYSTEMS AGENCIES

Sec. l5l3(e)(3) Each health systems agency shall

provide each Indian tribe or inter-tribal Indian organization

which is located within the agency's health service area

information respecting the availability of the Federal funds

described ...

TITLE XVI -HEALTH RESOURCES DEVEWPMENT, PARr A --

GENERAL REGlJIATIONS --

Sec. l602(l)(C) In the case of projects for construction of outpatient medical facilities, to projects

that will be located in, and provide services for residents

of, areas determined by the Secr~tary to be rural or urban

poverty_areas.

APPROVAL OF PROJEcrS

Sec. l604(b)(J) ...There will be made available in the

facility or portion thereof to be constructed, modernized,

or converted a reasonable volume of ~ces_to persons unable to pay, therefor, and the Secretary, in determining the

reasonableness of the volume of services provided, shall take

into consideration the extent to which compliance is feasible

from a financial viewpoint.

PROJECT GRANTS

Sec. 1625(c) The amount of any grant under subsection

(a) may not exceed 75 per centum of the cost of the project

for which the grant is made unless the project is in an area

determined by the Secretary to be an urban or rural poverty area,

in which case the grant may cover up to 100 per centum of such

costs.

GENERAL PROVISIONS

Sec. l633(2)(B) In the case of a project ...the proportion of the cost of such project to ~ paid by the Federal

Government may not exceed 6643 unless the project is located

in an area to be determined by the Secretary to be an urban

61
or rural poverty area, in which case the proportion of the

cost of such project to be paid by the Federal Goverment may

be 100 per centum. (Emphasis added)

Poverty terminology in this legislation, therefore, includes

phases such as "rural poverty area," "economically-depressed areas,"

"services to persons unable to pay," and poverty areas."

The administrative guildelines of the HRA contain such poverty

terminology as "students in need of a loan to pursue a full-time

course of study at the school" and "of exceptional need." Recently

publisped administrative guidelines (July 1975) governing Health Professions Student Loans and Nursing Student Loans are presented next.

HEALTH PROFESSIONS AND NURSING STUDENT LOANS "LOW- INCOME

LEVELS" FOR LOAN REPAYMENT

Sec. 741(1) and 830(a) o~ the Public Health Service Act, as implemented by regulations, provide that the

Secretary of Health, Education, and Welfare may undertake

to repay, upon application by an individual, all or any

portion of such individual's educational loans made subsequent

to November 17,1971, for meeting his costs at a school

of medicine, osteopathy, dentistry, veterinary medicine,

optometry, pharmacy, podiatry, or nursing when the Secretary

determines that the individual:

(1) Failed subsequent to November 17, 1971, to complete

the health professions studies leading to his first professional degree or the specified nursing studies, with

respect to which such loan(s) was made;

(2) Is in exceptionally ~ circumstances;

(3) Is from a low-income or disadv~taged family; and

(4) Has not resumed or cannot reasonably be expected

to resume the course of study within two years following

the date upon which he terminated such studies.

Sec. 57.2l7(c) and 57.3l7(c) of the implementing

regulations (42 CFR Part 57, Subparts C and D) require

that the Secretary publish annually in the Federal Register

the low-income levels which will be util ized in determining

an applicant's eligibility under these provisions.

Notice is hereby given that the income levels indicated

below, updated through December 1974, are used in determining

what constitutes a "low-incone family" for purposes of

repayment of educational loans by the Secretary pursuant

to sections 714(1) and 830(a) of the Public Health Service

62
Act. Further, these income levels, together with other

relevant factors such as value of assets, unusual expenses,

income available to the individual, etc., are taken into

consideration in detennining whether an applicant is

"in exceptionally needy circumstances" or is from a "dis- advantaged family." -

The income levels following were derived from low-income thresholds published by the u.s. Bureau of the Census, utIlizing an index

adopted by a Federal Interagency Committee for use in a variety of

Federal programs, multiplied by a factor of 1.3 for adaptation to the

Health Professions and Nursing Student Loan Programs, and have been

updated to reflect increases in the Consumer Price Index through

December 31, 1974. (Emphasis added)

Size of parents' family includes only dependents listed on Federal

inCOOle tax form.

Income level (adj usted gross income for

calendar year 1974, rounded to $100)

1

2_: ~ 3 ,-

4

$3,300

4,300

5,100

6,600

7,700

8,700 6 ,. ---

The Health Resources Administration's programs targeted to low-in~

and needy persons. Examples of programmatic poverty terminology include

"socio-economically disadvantaged students," "low-income families,"

"students in need," "low-income background," and "financially disadvantaged" are sunmarized below.

lIRA Programs For ~Incare Persons

Descr iption Author ization

Assists states in PHS Act, Title VI,

planning for an pro PL 88-443 as

viding hospitals, ameroed by PL 91-

health centers and 296 and PL 93-45:

other related healt 42 USC 291

facilities.

Provides f~s for

stooents in health

professions who are

likely to practice

in areas with shortages of health personnel am who are

financially or otherwise disadvantaged.

Pf5 Act, Sec. 774(a)

and (b), as ameooed

by the C~rehensive

Health ~(

Training Act of 1971:

PL 92-157

Program

13.220 Health

Facilities

Construction

Grants (Hill

Burton Programs )

13.380 Health

Man~r FDucation Initiative

Awards

Definitions

Forallas gr5l\ts. An

additional incentive

percentage, up to 90

percent, is tX>8sible

foc proJects in

~cty aceas.

Eliqibility.

Socioeconcmically

di~5I\taged

stooents.

63
Description Definitions

Provides loans to

students in the

health professions

Authorization

PHS Act, Title VII,

Part C, Sec. 741(b).

42 USC 294a

Loans may be made

"only to a student

in need of the

aIrount thereof to

pursue a full-time

course of study."

Progr~

Training of

Professional

Health Personnel

Authorizes work study

programs for training

allied health professionals.

PHS Act, Title VII,

Part G, Sec. 794C(b) (r

(Not implemented)

WOrk-Study

Progra."1\S

PHS Act, Title VIII,

Part F, Subpart III,

Sec. 784(b)(3)(A)

Physician

Shortage Area

Scholarship

Program

Authorizes grants

for scholarships to

medical students who

agree to practice in

physician shortage

areas.

"Provide that such

agency, institution,

or organization, in

selecting students

or trainees for employment in such

work study program,

will give preference

to individuals from

low-inco~ families."

Priority in awarding

scholarship grants is

given to applicants

from low-inco~ background (as detennined)

bY the Secretary).

Arrong items to be included in acceptable

plan are projects to

increase admissions

of qualified individuals who are financially disadvantaged.

PHS Act, Title VIII',i

Part A, Sec. 8O6(f)(1)

(H) I

Nurse Training Authorizes grants to

nursing students who

are socio-econailically disadvantaged.

lIRA Proqrams Tarqeted To Needy populat!ons

Assists states in PHS Act, Title VI, PL

planning and pro- 91-296, as amended by

viding hospitals and PL 93-45; 42 USC 291

other health facilities.

Formula grants. One

factor is per capita

income.

13.253 Health

Facilities

Construction

Loans arrl Loan

Guarantees

PfiS Act, Part C, Title

VII, Sec. 740, as

amended

No poverty terminology defined. 13.342 Health

Professions

Student Loans

PHS Act, Title VIII,

Sec. 722; PL 78-410,

as amended; PL 92-52;

42 USC 297a

No poverty terminology defined.

13.364 Nursing

Student Loans

Provides loans for

students in need of

financial assistance

in schools for specified health professions.

Provides long-term

low-interest loans

to nursing students.

64
Programs

13.375 Minority

Biatledical Sup- port (NIH) .

~AOO COC Proqr ams Tarqeted To Needy PopUla~

No poverty terminology defined.

13.266 ChildhoOO

Lead-Based Paint

Poisoning Control (COC)

Lead-Based Paint

Poisoning Prevention

Act, Title I, PL

91.-695, as amerKied

by PL 93-151, 42

USC 480

No poverty terminology defined.

Assists state agencies

in establishing comprehensi ve lead-based

paint poisoning control

programs and laboratoryfacilities.

13.267 Urban

Rat Control

(COC)

Supports comprehensive

collUUunity programs to

reduce rat infestations

and heal th conducive

conditions within project areas.

PHS Act, Title III,

Sec. 314(e) No poverty terminology defined.

65

Provides funds to col- PHS Act of 1944 as

leges and universities amended, Sec. 301(d);

and health professional 42 USC 241d

schools with large numbers of minority (i.e.,

Black, Spanish-speaking;

American Indians, or

Oriental) students, but

not necessarily amajority.
DEPARTMENT OF HOUSING AND URBAN DEV'ELOPMENT

INTRODUCTION

Although the Department of Housing and Urban Development (HUD) does

not publish overall administrative poverty guidelines for its programs,

all the significant legislative poverty terminology is contained in the

Housing and Community Developnent Act of 1974. Median income is used to

define poverty for the most part, but the Act also contains references to

the Orshansky poverty definitions as well. A prime purpose of this Act

is to direct housing programs toward the low-income population:

lOl(a) The Congress finds and declares that the

Nation's cities, towns, and smaller urban communities

face critical social, economic, and environmental problems

arising in significant measure fromThe growth of population in metropolitan and other

urban areas, and the concentration of persons of

lower income in central cities; and

(1)

Inadequate public and private investment and reinvestment in housing and other physical facilities,

and related public and social services, resulting in

the growth... of urban slums...

(2)

The Congress further finds ...that the future welfare

of the Nation... depend(s) on the establishment and

maintenance of viable urban communities as social,

economic, and political entities, and require(s) --

(1) Systematic ...action by Federal, State, and local

governments to ...conserve and renew older urban

areas, to improve the living environment of ~~

moderate-income families

The primary objective of (Title I) is the development

of viable urban communities, by providing decent housing

and a suitable living environment and expanding economic

opportunities, principally for ~rsons of low and moderate

incoIre

2. It is the policy of the United States to promote

the general welfare of the Nation by employing its funds

and credit, as provided in this Act, to assist the several

States and their political subdivisions to remedy the unsafe

and unsanitary housing conditions and the acute shortage

of decent, safe, and sanitary,dwellings for families of

low income (Emphasis added)

66
Two titles of the Act deal primarily with low-income population

housing needs --Title I and Title II. First it should be noted, however,

that although almost all references to poverty terminology can be found

in Titles I and II, other references exist throughout the Act. These

often, although not always, relate to Titles I and II. Some examples are

found in Title V, Rural Housing, Sec. 510, pertaining to direct and

insured loans to provide housing and related facilities for elderly

persons and lower income families in rural areas; in Sec. 811, regarding programs of technical and supervisory assistance for low-income families; and in Sec. 504, authorizing the Secretary to expand a housing

allowance program.

TITLE I -COMMUl~ITY DEVELOPMENT

We have already mentioned that a primary objective df Title I is

providing decent housing, principally for person of low and moderate

income. The growth of population, overcrowded central cities (consisting

mostly of lower-income groups), and inadequate public and private investment in housing areas (resulting in slums and poor-quality housing) all

create the need for better housing conditions.

In Title I, which is primarily concerned with community development,

poverty is considered in the formulas governing the distribution of Community Development funds. These formulas specify the use of the OMB

poverty definitions and make the Secretary responsible for adjustments for

regional and area variations in the cost of living. In addition, the

Conference Report directs HOD to develop or obtain data on the "extent ofpoverty" 

by the metropolitan areas (SMSA's) and to sul:mit such data by

March 31,1977.

The Community Development programs are financed in part by the

Federal government. Eighty percent of the amount approved under the

Appropriation Act for grants in any year (with some exceptions) is to be

allocated by the Secretary to metropolitan areas. The amount to be allocated is based partially on the "extent of poverty" as defined in Sec.

lO2(a)(8) of Title I of the Act:

(8) The term II extent of poverty" means the number of

persons whose incomes are below the poverty level. Poverty

levels shall be determined by the Secretary pursuant to criteria provided by the Office of Management and Budget, taking

into account and making adjustments, if feasible and appropriate and in the sole discretion of the Secretary, for regional

or area variations in income and cost of living, and shall be

based on data referable to the same point or period in time.

There are five levels which must share the distribution: (1) metropolitan cities, as opposed tp metropolitan ar~as, (2) each metropolitancity, 

(3) each urban county, (4) units of general local government (other

67
than metropolitan cities and urban counties) and States, for use in

metropolitan areas, and (5) units of local general government and states

for use outside of metropolitan areas. The specific legislative

references for each of these distributions are as follows:

Sec. IO6(b)(I)(B) The extent of poverty in all metropolitan cities and the extent of poverty in all metropolitan

areas;

Sec. IO6"(b)(2)(B) The extent of poverty in that city and

the extent of poverty in all metropolitan cities.

Sec. IO6(b)(3)(B)(ii) The extent of poverty in that urban

county and the extent of poverty in all metropolitan cities

and urban counties ...

Sec. IO6(d)(2)(B) The extent of poverty in that metropolitan

area and the extent of poverty in all metropolitan areas ...

Sec. 

IO6(f)(I)(B)(ii) The extent of poverty in the nonmetro

politan areas of that State and the extent of poverty in the

nonmetropolitan areas of all the States ...

In each of the allocation formulas in which poverty

appears, the ratio is counted twice (Sec. lO6(b)(4). (4) In

determining the average of ratios under paragraphs (1), (2),

and (3), and the ratio involving the extent of poverty shall

be counted twice.

TITLE II -ASSISTED HOUSING

The United States Housing Act of 1937 attempts to assure the wellbeing of all U.S. citizens by providing funds and credit so that lowincome groups can secure more decent housing. Local public housing

agencies are responsible for securing safe, adequate, and sanitary housing

under this program. Title II helps financially in maintaining and running

such housing, once acquired. Programs under Title II are now referred to

as Section 8 housing programs (see legislative language for lower-income

housing, p. 69 below, Sec. 8).

In legislatively delineating poverty-related terms, low-income

housing refers to decent housing within financial reach of low-income families.

In Title II, low-income families are defined in two ways. In one case,

they are families which cannot afford to pay enough to induce private

enterprise in their area to build an adequate supply of decent housing.

In another case, they are defined as families whose incomes do not

exceed 80 percent of the median family income for the area, as determined

by the Secretary, with adjustments for smaller and larger families.

Very low-income families are those whose incomes do not exceed 50 percent

of the median family income for the area.

68
Assistance payments may be made under Title II for existing, newly

constructed, and substantially rehabilitated housing which aids low-income

families in obtaining a decent place to live. In cases where there are

public housing agencies, the Secretary is authorized to enter into annual

contributions contracts to owners of existing dwelling units and to

owners or prospective owners to construct or substantially rehabilitate

housing in which some or all of the units shall be available for occupancy

by lower-income families. To help finance or refinance the development,

acquisition, or operation of low-income housing projects, the Secretary

may make loans or commitments to the public housing agencies. Where there

is no public housing agency, or the Secretary thinks the existing housing

agency is not adequate to meet the necessary standards, the Secretary may

enter into and perform the functions of a public housing agency.

Very large low-income families or families with exceptional medical

or other expenses, regardless of dwelling unit, shall pay the difference

between 15 percent of one-twelfth of the annual family income and the

maximum monthly rent. For other families, the amount of the assistance

payment is the difference between 15 percent or 25 percent of the family's

income and the maximum rent, considering income, minor children, and

extent of medical or unusual expenses incurred by the family.

The pertinent legislative language of Title II is presented below.

Sec.20l(a)(3)(2) The term "low-income families" means

families of low income who cannot afford to pay enough to cause

private enterprise in their locality or metropolitan area to

build an adequate supply of decent, safe, and sanitary dwellings

for their use. The term "very low-income families" means families

whose incomes do not exceed 50 per centum of the median family

income for the area, as determined by the Secretary, with

adjustments for smaller and larger families...

Sec. 8(f)(l) The term "lower-income families" means those

families whose incomes do not exceed 80 per centum

of the median income for the area" as determined by

the Secretary with adjustments for smaller and larger

families, except that the Secretary may establish income

ceilings higher or lower than 80 per centum of the median

for the area on the basis of his findings that such

variations are necessary because of prevailing levels of

construction costs, unusually high or low family incomes,

or other factors; ...

Sec. 3 (1) 'nle term "low-income housing" means decent,

safe, and sanitary dwellings within the financial reach

of families of low income, and embraces all necessary

appurtenances thereto. Except as otherwise provided

in this section, income limits for occupancy and rents

shall be fixed by the public housing agency and approved

69
oy the Secretary. The rental for any dwelling unit

shall not exceed one-fourth of the family's rental

income, as defined by the Secretary. Notwithstanding

the preceding sentence, the rental for any dwelling

unit shall not be less than the higher of (A) 5 per

centum of the gross income of the family occupying

the dwelling unit, and (B) if the family is receiving

payments for welfare assistance from a public agency

and a part of such payments, adjusted in accordance

with the family's actual housing costs is specifically

designated by such agency to meet the family's housing

costs, the portion of such payments which is so

designated. At least 20 per centum of the dwelling

units in any project placed under annual contributions

contracts in any fiscal year beginning after the

effective date of this section shall be occupied

by the very low-income families. In defining the

income of any family for the purpose of this Act,

the Secretary shall consider income from all sources

of each member of the family residing in the household,

except that there shall be excluded:

...(E) 5 per centum of the family's gross income

(10 per centum of elderly families); ...(G) an amount

equal to the sums received by the head of the household

or spouse from, or under the direction of, any public

or private nonprofit child placing agency for the care and

maintenance of one or more persons under eighteen years

and were placed in the household by such agency.

Lower-Income Housing Assistance

Sec. 8(a) For the purpose of aiding lower-income families

in obtaining a decent place to live and of promoting

economically mixed housing, assistance payments may be made

with respect to existing, newly-constructed and substantiallyrehabilitated housing in accordance with the provisions

of this section ...

(2) (B) The contract shall further provide for the

Secretary to make additional adjustments in the maximum monthly

rent for units under contract to the extent he determines

such adjustments are necessary to reflect increases in the

actual and necessary expenses of owning and maintaining the

units which have resulted from substantial general inceases

in real property taxes, utility rates, or similar costs which

are not adequately compensated for by the adjustment ,in

the maximum monthly rent authorized by subparagraph (~).

70
(~) AdJustments in the maximum rents as hereinbefore

provided shall not result in material differenes between

the rents charged for assisted and comparable unassisted

units, as determined tlY the Secretary.

(3) The amount of the monthly assistance payment with respect

to any dwelling unit, in the case of a large, very low-income

family, a very large lower-income family, or a family with

exceptional medical or other expenses, as determined by the

Secretary, shall be the difference between 15 per centum

of one-twelfth of the annual income of the family occupying

the dwelling unit and 'the maximum monthly rent which the

contract provides that the owner is to receive for the unit...

(7) At least 30 per centum of the families assisted under

this section with annual allocations of contract authority

shall be very low-incor~ families at the time of the initial

renting of dwelling unfEs (Emphasis added)

71
DEPARTMENT OF LABOR

INTRODUCTION

The Department of Labor has many poverty-related programs that stem from

a variety of Acts, the most important of which is the Comprehensive Employment

and Training Act (CRrA). Other ~)ignificant poverty-related acts are:

Title IV of the Social Security Act (WOrk-Incentive Programs for Aid to

Families with Dependent Children); Older American Community Service Employment

Act; Title IX of the Older Americans Comprehensive Services Amendments of

1973; and Part 8, Preference in f'ederal Procurement, under Defense Manpower

Policy No.4 and Executive Order 10582 (administered jointly by the Department

of Labor and the Department of Defense).

The major operational use of poverty definitions within the

Department of Labor is in defining "economically disadvantaged" in order to

determine eligibility under various manpower programs and in related program

reporting.

An economically disadvantaged person is a member of a family which

receives cash welfare payments or whose annual income in relation to family

size does not exceed the poverty level determined in accordance with

criteria established by the Office of Management and Budget.

First, we will discuss legis:Lative and administrative guidelines for

CETA. This will be followed by an examination of ancillary Acts and then a

discussion of the Bureau of Labor Statistics and its statistical work on poverty.

COMPREHENSIVE Et-IPLOYMEN'r AND TRAINING ACT

Presented below is the Comprehensive Employment and Training Act of

1973 (CETA), first an outline sUImTlary of its significant povertyrelated sections, and, then, verbatim quotes of the relevant parts. This

is followed by selected quotations from relevant administrative issuances,

including a presentation of the administrative quidelines establishing

the poverty definitions in the Act. A recently issued regulation is

particularly important to a discussion of poverty terminology and so is

presented in its entirety.

Finally, poverty-related programs mandated by the Act will

be shown by program identification, a summary program description, and

definitions of poverty-related terms.

Outline Slm1mary of Significant Poverty-Related Sections of (CETA)

Sec. 2, Statement of Purpose, includes serving thc economically

disadvantaged.

72
Title I --Comprehensive Manpower Services

103, Allocation of Funds, specifies that 12 1/2

percent of funds are to be allocated to

jurisdictions on the basis of the relative

number of low-income adults.

Sec. 105, Conditions for Receipt of Financial

Assistance, states that Cc-rA plan must include

assurances that low-income persons will

be served.

Sec. 108, Review of Plans, specifies that Secretary

of Labor may revloke plan if prime sponsor

is failing to serve equitably the econanically

disadvantaged .

Title II --Public ~ployment Programs

205, Awlications, states that special consideration in filling jobs is to be given to

the JOOst severely disadvantaged.

Title III -Special IPederal IEsponsibilities

Sec. 

301, Special Man]?Qwer Target Groups, includes

persons whom the Secretary determines have

particular disad'vantages in the labor market.

Sec. 304, Youth Progr.3JnS and Other Special Programs,

authorizes a variety of special Federal

programs for low-income, economically disadvantaged (including youth), and chronically

unemployed poor I~rsons.

Sec. 311 (a), Research, includes studies relating to

employment and advancement through reduction

of discrirninatiolr1 and disadvantage arising

from poverty.

Quotations of Poverty-Rela'ted Portions of (C~A)

Public Law 93-203 Co~?rehensive Employment and Training Act

93rd Congress, s. l55'~

December 28, 1973

An act to assure opportunities for employment and

training to unemploye4J and underemployed persons.

73
Sec. 

2...It is the purpose of this Act to provide job

training and employment opportunities for

economically disadvantased,... and to assure that

training and other services lead to maximum employment opportunities and enhance self-sufficiency

by establishing a flexible and decentralized

system of Federal, State, and local programs.

Sec. 

3...Transitional provisions to provide financial

assistance in the same manner and on the

same conditions as provided in the Manpower

Developnent and Training Act of 1962, as in effect

prior to June 30,1973, Title I of the Economic

Opportunity Act of 1964, and the Emergency

Employment Act of 1971, as in effect prior to

June 30,1973

Ti tIe I -Comprehensive Manpower Services

Description of Program,

Sec. 101. (5) Payments or other inducements to public or

private employers to expand job opportunities,

but payments to employers organized for profit

shall not exceed the difference between the costs

of recuiting, training, and providing supportive

services for low-income persons and those

regularly employed.

Allocation of Funds

Sec. 

lO3...(c) 12 1/2 percent of the amount allocated under

this subsection shall be allocated on the basis

of the relative number of adults in families

with an annual income below the low-income level

within the State compared to such total numbers in

all States

Conditions for Receipt of Finanacial Assistance

Sec. 

105 (a) The Secretary shall not provide financial assistance for any fiscal year to a prime sponsor unless

such sponsor submits a cpmprehensive manpower plan,

in such detail as the Secretary deems necessary... (D)

Assurances that to the maximum extent feasible manpower

services, including the development of j~b opportunities,

will be provided to those most in need of them,

including low-income persons... (3)(A) Provides

appropriate arrangements with connTIunity-based

74
Youth Programs and Other Special ProgramsSec. 

304 (a) The Secretary may provide financial assistance

and rural areas, including areas having large concentra:

tions or in urban pr~port~~!;!s~Of low-income ~rsons..=

including the following: (1) Programs to provide

part-time employment, on-the-job training, and useful

work experience for students from low-income families

who are in the ninth through the twelfth grades of

school (or who are of an age equivalent to that of

students in such grades) and who are in need of the

earnings to permit them to resume or maintain attendance

in school; (2) Programs to provide unemployed, underemployed, or low-income persons (aged sixteen and over) with

useful work and training (which must include sufficient

basic education and institutional or on-the-job training)

designed to assist those persons to develop their maximum

occupational potential and to obtain regular competitive

employment; (3) Jobs, including those in recreation and

related programs, for economically disadv~?ged youths

.during the sUlTlner months;-r4) Special programs which

involve work activities directed to the needs of those

chronically unemployed poor who have poor employment

prospects and are unable, because of age, lack of employment opportunity, or otherwise, to secure appropriate

employment or training assistance under other programs...

(5) Special programs which provide ~employed or !~~

income person~ with jobs leading to career opportunities...

Part B -Research, Training, and Evaluation

Research

Sec. 

3ll...Improvements of opportunities for employment and

advancement through the reduction of discrimation and

disadvantage arising from pover~y

(b) The Secretary shall establish a program of experimental,

developmental, demonstration, and pilot projects... In

Carrying out this subsection with respect to programs

designed to provide employment and training opportunities

for low-income people, the Secretary shall consult with

.. other agencIes as may be approprIate. Where programs

under this section require institutionaJ training, appropriate arrangements for such training shall be agreed

to by the Secretary of Labor and the Secretary of Health,

Education, and Welfare.

(c) The Secretary is authorized to conduct, either

directly or by way of contract, grant, or other

arrangement, a thorough evaluation of all programs

76
and activities...to determine the effectiveness

of such programs and activities i~ me~ti~~ the

s~c!al ~eeds of disadvantaged, chronlcally unemployed,

and low-!nsome per~~!);~ for meaningful employment

opportunities and supportive services to continue

or resume their education and employment and to

become more responsible and productive citizens

Labor Market Statistics and Job Bank

Sec. 312 (a) The Secretary shall develop a comprehensive

.system of labor market information on a national,

State, local, or other appropriate basis, which

shall be made publicly available in a timely fashion.

(b) In addition to the monthly national unemployment

statistics, the Secretary shall develop reliable

methods, including the use of selected sample surveys,

to produce more statistically accurate data on

unemployment, underemployment and labor demand by State,

local, and poverty areas.

(c) The Secretary shall develop preliminary data for an

annual statistical measure of labor-market related

economic hardship in the nation. Among the factors

to be considered in developing such a measure are

unemployment, labor force participation, involuntary

part-time employment, and full-time employment ~t

less than poverty wages.

Cd) The Secretary shall develop methods to establish

and maintain more cornprehensi ve household budget data

at different levels of living, including a level of

adequacy, to reflect the differences of household

living costs in regions and localities, both urban

and rural

(g) The Secretary shall establish and carry out a

nationwide computerized job bank and matching program

(utilizing the listing of all suitable employment

openings with local offices of the State employment

service by Federal contrators and subcontractors

and providing for the special emphasis as required by

section 2012(a) of Title 38, United States Code

on a regional, State, and local basis, using electronic

data processing and telecommunications systems

to the maximum extent possible for the purpose of

identifying sources of available persons and job

vacancies, providing an expeditious means of matching

the qualifications of unemployed, underemployed,

and economically disadvantaged persons with employer

77
requirements and job opportunities, and referring

and placing such persons in jobs.

Evaluation

Sec. 313(a) The Secretary shall provide for the continuing

evaluation of all programs and activities...

(c) The Secretary--is authorized to carry out a

special program to demonstrate the efficacy Qf providing

certi~!ca~es 0; vo~chers.to ~conomicaIIY. ~~~~dvantaged, unemployed, and underemployed persons entItlIng

.private employers who provide employment, training, and

services.. .to payment in amounts equal to the face value

of the certificate...

Title IV -JOB CORPS

Statement of Purpose

Sec. 401 This Title establishes a Job Corps for low-income

~~s~~~an~~~~ ~o~g men, ~d women.. .The purpose

of this title 1S to ass 1St young persons who need

and can benefit from an unusually intensive program,

o~rated in a group setting, to become more responsive,

employable and productive citizens; and to do so

in a way that contributes, where feasible, to the

development of National, State, and community resources,

and to the development and dissemination of techniques

for working with the ~isa~va~ta~ed that can be widely

utilized by public and pr1vate lnstitutions and agencies.

Establishment of the Job Corps

Sec. 402 There is established within the Department of

Labor a "Job Corps".

Individuals Eligible for the Job Corps

Sec. 403 To become an enrollee in the Job Corps, a young

man or wanan must be a person who... (2) is a low-income

individual or member of a low-income family who

requires additional education, training or intensive

counseling and related assistance in order to secure

and hold meaningful employment, participate successfully

in regular schoolwork, qualify for other training

programs suitable to his needs, or satisfy Armed

Forces requirements;...

78
Enrollment and Assignment

.406.(d) After the Secretary has determined whether an

enrollee is to be assigned to a men's training center,

a conservation center, or a women's training center,

the enrollee shall be assigned to the center of the

appropriate type in which a vacancy exists which is

closest to the enrollee's horne,...Assignments to

centers in areas more remote from the enrollee's home

shall be carefully limited to situations in which

$uch action is necessary in order to ensure an equitable opportunity for disadvantaged youth from various

sections of the country .!:O participate in the pr~...

VI -General Provisions

Definitions

Sec. 601 (a) ...(4) "Low-income level" means $7,000

with respect to income in 1969, and for any later

year means that amount which bears the same relationship to $7,000 as the Consumer Price Index for

that year bears to the Consumer Price Index for

1969, rounded to the nearest $1,000.

(11) "Underemployed persons" means... (b) ~rsons

who are working full time, but receiving wages

below the poverty 1 ine determined in accordance

with criteria as established by the Director of the

Office of Management and Budget.

Quotations From Relevant Administrative Issuances

Significant sections of Federal Regulations pertaining to the

Comprehensive Employment Training Act are presented next.

Title 29 -Labor -Subtitle A -Office of the Secretary of Labor 2/

Part 94 -General Provisions for_P~ograms Under the

Comprehensive Employment andTraining~

94.1 Scope and Purpose of the Act

(a) It is the purpose of the Act to provide job

training and employment opportunities for economically

disadvantaged, unemployed and underemployed persons,

and to assure that training and other services

lead to maximum employment opportunities and enhance

self-sufficiency. The purposes of the Act are to be

79
accomplished by the establishment of a flexible

and decentralized system of Federal, State, and

local programs.

( b) The Act is comprised of six titles, as follows:

(1) Title I establishes a program to provide comprehensive manpower services throughout the Nation,

including the development and creation of job

opportunities, and the training, education,

and other services needed to enable individuals

to .secure and retain employment at their maximum

capacity.

(2) Title II authorizes public service employment

and manpower training programs for unemployed and

underemployed persons in areas of substantial

unemployment.

(3) Title III provides for the establishment and

administration by the Secretary of Labor of special

programs for Indians, migrant workers, and seasonal

farmworkers: (ii) Manpower services for youth,

offenders, older workers, persons of limited

English-speaking ability and other special target

groups; and (iii) Research, training, and evaluation

of programs and activities conducted under theAct.

(4) Title IV establishes a Job Corps within the

Department of Labor to provide resdiential and

non-residential manpower services for low-income

disadvantaged young men and women.

(5) Title V, establishes a National Commission

For Manpower Policy. The responsibilities of the

Commission include the examination of national

manpower issues, the suggestions of ways and means

of dealing with such issues and advising the Secretary

on national manpower issues.

(6) Title VI, sets forth the general provisions, including applicable definitions, under the Act.

94.4 Definitions..

(r) "Economically disadvantaged" shall mean a person who

is a member of a family: (1) which.receives cash

welfare payments; or (2) whose annual income in

relation to family size does not exceed the poverty

80
level determined in accordance with criteria extablished

by the Office of Management and Budget (OMB).

...(z) "Low-Income level" shall mean an annual

income of $7,000 with respect to income in 1969;

for any later year it shall mean that amount which

bears the same relationship to $7,000 as the Consumer

Price Index for that year bears to the Consumer

Price Index for 1969, rounded to the nearest $1,000.

...{ff) "Poverty Level" shall mean the annual income

threshold below which families are considered to

live in poverty, as determined in accordance with

criteria established by the Director of the Office

of Management and Budget.

...(vv) "Underemployed person" shall mean a person

who is working part-time but seeking full-time

work or who is working full-time, but receiving

wages below the poverty level.

95.2 Allocation of Funds

...(iii) Twelve and one-half percent of the funds

subject to the allocation formula shall be allocated

on the basis of a pr ime sponsor I s proportion of

the number of adults in low-income families in

all prime sponsor areas.

95.31 Basic Responsibilities of Prime Sponsors

(c) Establishing priorities for receipt of assistance

authorized under the Act taking into account the

priorities identified by the Secretary and the

significant groups represented among the economicall~

d~~~~v~~ag~, unemployed, and underemployed residing

wIthin Its Jurisdiction;

95.32 Eligibility for Participation in a Title I Program

(a) A person who is econ?~ic~l!y disadvan_ta9~'.. .(as

defined in 94.4) may, subJect to paragraph (b)

of this section, participate in a program offered

by the prime sponsor under Title I of the Act (Secs.

lO5(a) and lO8(d)).

95.34 Training Allowances ...

...(g) Incentive allowances for persons receiving

ublic assistance or who are in institutions. (1)

Incentive allowances, at the rate of 30 per week.

81
Programs under Title II of the Comprehensive Employment

and Training Act -Subpart C-Program Operation

Special Consideration for Most Severely Disadvantaged

Persons

Special consideration in filling transitional public

service jobs under Title II of the Act shall be

given to unemployed persons who are the most s~~erely

disadvantaged in terms of the length of time they

have been unemployed and their prospects for finding

employment without assistance under title II

(Sec. 205(c)(7).

Part 98 -Administrative Provisions for Programs under Title I a~d

Title II of the Comprehensive Employment and Training Act

Subpart C -Hearings and Judicial Review

98.41 Review of Plans and Applications; Violations

(1) Maintaining a pattern of practice of discrimination

in violation of Sec. 603 (1) or Sec. 612(a) of

the Act or otherwise failing to serve equitably

the economically disadvantaged, ...in the area it

serves, ...(Emphasis of poverty terminology added)

Title 29 -Labor

Subtitle -Office of the Secretary of Labor !Q/

Part 97 -Special Federal Programs an~ Responsibilities und~e

Comprehensive EmployJrent and Training Act

Subpart B -Indian Manpower Programs -General

97.101 Scope and Purpose of Title III, Sec. 302, Programs

It is the purpose of Title III, Sec. 302, of

the Act to provide job training and employment

opportunities for economically disadvantaged, unemployed

and underemployed Indians and others of native American

descent and to assure that training and other services

lead to maximum employment opportunities and enhance

self-sufficiency. The purposes of this section

of the Act are to be accomplished ~y the establishment

of a flexible system of programs

82
97.103 Definitions

"Client community" shall mean the group or groups

of people to be served by a program or program

activity; for example, the unemployed and economically

disadvantaged.

(2) During the preceeding twelve months, earned

!~ss than $750.

"~conom.icall~ d~sad~an~~ged" shall mean a person

who is a member of of a famIly: (a) which receives

cash welfare payments, or (b) whose annual income

in relation to family size does not exceed the poverty

level determined in accordance with criteria established

by the Office of Management and Budget (OMB).

"Low-income level" shall mean an annual income of $7,000

for a family of four with respect to income in 1969;

for any later year it shall mean that amount which

bears the same relationship to $7,000 as the Consumer Price

Index for that year bears to the Consumer Price Index for 1969,

rounded to the nearest $1,000.

"Poverty Level" shall mean the annual income threshold

below which families are considered to live in poverty,.

as determined in accordance with criteria established

by the Director of the Office of Management and Budget.

(b) In the case of welfare recipients and except for

the purposes of Sec. 103 and 202 of the Act, the

term "unemployed person" shall mean an adult who,

or whose family, receives supplemental security income

or money payments pursuant to a State plan approved

under the Social Security Act, Ti&le IV, (Aid to Families

with Dependent Children), or under the Social Security

Act, Title XVI (Supplemental Security Income for

the Aged, Blind, and Disabled), or would be eligible

for such payments according to the standards set

forth at 45 CFR Part 233 and 20 CFR Part 416 if both parents

were not present in the home, and (1) Who is available

for work, and (2) who is either without a job or

working in a job providing insufficient income to

enable such a person and his family to be self-supporting

without welfare assistance. "Underemployed person"

shall mean a person who is working part-time but

seeking full-time work or persons who are working full-time

but receiving ~~ges below ~~povert~ level. For

purposes of Title II and public service employment,

persons who are working part-time for the employing

83
agency may be considered underemployed and, as such,

be hired only if their selection does not violate the

maintenance of effort requirements of the Act.

97.104 Eligibility for Funds; Allocation of Funds

(iii) The relative number of adults in families

with an average income below the low income level -within the

area compared tQ such numbers in all states.

(iv) The Secretary shall provide each prime sponsor

with an amount for any fiscal year equal to 90 percent of

such prime sponsor's or area's manpower allotment for the

preceding fiscal year, assuming sufficient

funds are appropriated.

97.131 Basic Responsibilities of Prime Sponsors

A prime sponsor shall be responsible for ...

(c) establishing priorities for receipt of

assistance authorized under the Act, taking into

account the needs of the economically disadvan~~~,

unemployed and underemployed residing within

his jurisdiction;

97.132 Eligibility for Participation in Title III,

Section 302, Program

(a) An Indian or other person of native American

descent who is economically disadvantaged, unemployed,

or underemployed (as defined in Sec. 97.103) may...

participate in a program offered by the prime sponsor

under Sec. 302 of the Act.

97.133 Types of Manpower Program Activity Available

(4) Work Exper ience

(iii) Wbrk experience activities for adults

include part time or short-term employment for the

chronically unemployed, retired persons, recently

discharged military individuals, institutional

residents and inmates, and others who have not

been working in the competitive labor population

for extended periods of time. In addition, it

may include short-term employment while p definite

occupational goal and a training or job opportunity

is being developed.

84
Assessment and Evaluation

97.182 Responsibilities of the Secretary

(8) The effectiveness of programs in meeting the employment needE of ~dvantaged, unemployed and

underemployed persons; and...

97.191 Review of Plans and Applications; Violations.

(b) When information available to the Secretary

indicates that, a prime sponsor may be: (1) maintaining a

pattern or practice of discrimination...or otherwise

failing to serve equitably the esonomically

disadvantaged, unemployed, or underemployed persons

in the area it serves (Emphasis added)

Title 29 -Labor -Subtitle A -Office of the Secretary of

Labor .!!/

Part 97 -Special Federal Programs and Responsibilities

Under the Comprehensive Employment and Training Act

Subpart C -Migrant and Other Seasorlally Employed Farmworker

Programs

Pursuant to Sec.. 602 (a) and 303 (a) of the Comprehensive

Employment and Training Act of 1974 (PL 92-203, 87

Stat. 839), which authorizes the Secretary of Labor to prescribe

such rules, regulations, and guidelines, as he deems necessary

to carry out the provisions of tl-.is Act, the following

regulations are promulgated to facilitate the ~lementation

at the earliest possible date of Title III, Sec. 303(a)

The new Part 97, Subpart C, which shall be effective September of the Act, Migrant and Seasonal Farmworker Programs 

5,1974, reads as follows:

General

97.201 Scope and Purpose of Title III, Sec. 303 Programs

(a) It is the purpose of Title III, section 303, of

the Act to provide manpower and other services for those

individuals who suffer chronic seasonal unemployment and

underemployment in the agriculture industry, which has been

substantially affected by recent advances in technology and

mechanization. These individuals constitute a substantial

portion of the Nation I s rural manpower problem and substantially

affect the entire national economy.

85
(1 Altern~tives to Agricultural Labor

Provision of services to migrants and other

seasonally employed farmworkers and their families

who wish to seek alternative job opportunities to

seasonal farmwork, which will equip them to compete

in other labor markets, to secure stable year-round

employment providing an incorre'above the poverty level,

and to adjust to a new life style.

97.217 Standards for Reviewing Funding Requests and for

Selecting Grantees

(ii) Comprehensive program services: (Range 0 to 20)

The proposed program mix should ~act on the full

range of farrnworker needs and be consistent with the intent

of section 303 of the Act. Important consideration should be

given to providing alternatives for farrnworkers

either to leave farrnwork by selecting from among a

number of occ~ations providing a wage above

the poverty level or remain in agricultural employment

with improved living and working conditions

97.232 Eligibility for Participation in Sec. 303 Programs

Eligibility for participation in Sec. 303 programs

is limited to farmworkers and their dependents who

have, during the 18 months preceding their application

for enrollment: (a) received at least 50 percent

of their total earned income as agricultural workers

(see Sec. 97.203 "Definition") during any consecutive

12-month period, (b) been employed in agriculture

on a seasonal basis (time spent employed in food

processing establishments by agricultural workers

may be counted as agriculturally-related employment for

eligibility purposes), and (c) been identified as ~cono~ically

disadvantased as defined in Sec. 94.4 of this Title.

(Emphasis of poverty terminology added)

Title 29 -Labor -Subtitle A -Office of the Secretary of Labor

Comprehensive Manpower Program and Grants to Areas of High

Unemployment g/

The definitions of "programs of deronstrated effectiveness" and "client community" are amended to delete

the reference to "low-income families". These deletions

reflect the Department's view that the purpose of

the Act is to utilize available resources in a manner which

86
will provide services for those individuals most

in need of them, and that under the Act, such individuals

are properly described by the term "economically

~isa~v~tc;tg~", rather than by the term "low income".

The definltions of "client community" and "programs

of demonstrated effectiveness," therefore, retain

their reference to the term "economically disadvantaged."

(Emphasis added)

Recently Issued Administrative Guidelines Concerning the Comprehensive

Employment and Training Act contain the Secretary's prescribed guidance:

U.S. Department of Labor

Manpower Administration

Washington, D.C. 20213

Classification

Correspondence Symbol

Date

CETA

OCMP

June 12,1975

DIRECTIVE : FIELD MEMORANDUM NO. 200-75

'IO : AU, ASSISTANT REGIONAL DIREC'IORS FOR t-1ANroWER

F'ROM : FLOYD E. EDWARDS

Associate Manpower Administrator

Office of Field Direction and Management

SUBJECT Definition of Economically Disad\'antaged for

CETA purposes

:

REFERENCES : Code of Federal Regulations, Title 29, Subtitle A,

Secs. 94.4(t) and (w), 95.22(a) and 97.15; TWX of

April 30, 1975

1. Purpose. The purpose of this directive is to update and

clarify Field Memorandum 411-74 which transmitted the method

of computing family income against the poverty level for the

purpose of determining if an individual is "economically

~i~~d~~taged." This Field Memorandum incorporates the

definItions, method of computing family income, and poverty

income levels to be used in CETA programs for determining

eligibility as "economically disadvantaged" effective

illlnediately.

This issuance provide clarification of the definitions and

method of computing family income and revised poverty

income levels. There are no basic policy changes.

2. Background. Field Memorandum 411-74 consolidated the criteria

for determining an individual as "e;:o~om~c~ll~_d~~ad~~~~aged."

It was followed by an interpretive TWX of Aprll14, 1975,

which is superceded by this d irecti ve .On Apr il 30, 1975,

we transmitted by TWX the revised poverty income levels.

87
The Community Services Administration (CSA) published the

revised poverty income levels and a method of computing family

Income in the Federal Register to be effective on April 30,1975.

This method of computing family income varies from that

used by the Department of Labor in several respects and

does not apply to activities funded by the Manpower Admin-

.~ lstratlon.

Programs funded under CETA shall use the criteri~

promulgated by the Secretary of Labor as set forth herein.

Expiration Date

June 30, 1976

Recessions

'lWX of April14, 1975

Field Memorandum No. 411-74

3. Definitions

a. CETA regulations, CFR, Title 29, Sec. 94.4(t)

define econo~ical~y d!sa~~antaged as follows: loa person

who is a member of a famIly:

1)

2)

Wnich receives cash welfare payments; or

Whose annual income in relation to family size

does not exceed the poverty level determined in

accordance with criteria established by the Office

of Management and Budget COMB)."

b. c~ regulations, Sec. 94.4(w), define family

as follows: "one person, or more than one person living

in a single household who are related to each other

by blood, marriage, or adoption. A stepchild or foster

child who receives at least 50 percent of his/her

support from the stepparent or foster parents shall be

counted as a member of the stepparent's or foster

parents' family. An unmarried member of a household:

1)

2)

Who is 18 or older and

Who receives less than 50 percent (50%) of

his/her maintenance from the family. Such an

individual shall be considered as a family

residing alone or in group quarters."

4. Me~~. of Co~puting Po~e~ty Lev;:l I~c<;me. Poverty level

income IS the maxImum annual Income level for a family of

a given size which can be received and the family be considered

to be economically disadvantaged. The income level varies

by farm or nonfarm source, as well as by size of family.

Separate guidelines are issued for Alaska and Hawaii.

88
Annual family income means the sum of all money received

by a family, from all sources, during the previous 12

months except for specific exclusions indicated below.

It refers to the sum of amounts reported separately for

wage or salary income, self-employment income, and other

income.

Inclusions in annual family income:

a.

Gross Wages ~r Salary. The total money

earnings received for work performed as an

employee. It represents the amount paid before

deductions for income taxes, Social Security, bond

purchases, union dues, etc. Wages and salary

received as a participant of programs under the

Emergency Employment Act (EEA) or CETA Public

Service Employment (PSE) or on-the-job training

(OJT) are included in the computation of income.

All other manpower payments (e.g., under work

experience, classroom training, services, etc.)

will be ~xclud~;

2) Self~~lo~nt Inco~. Net money income (gross

receipts m1nus operat1ng expenses) from a business

firm, farm, or other enterprise in which a person

is engaged on his own account: and

3) Other Income. Money income received from such

sources as net rents, social security benefits,

pensions, and periodic income from insurance

policy annuities. If a family's only source

of income was from wage and salary payments,

family income would be equal to gross wages or salary

received.

b. Exclusions from annual family inco~ -general:

1) Non-cash income, such as food stamps or wages

received in the form of food or housing;

2) Imputed value of owner-occupied property;

Cash welfare payments (any member of a family

receiving cash welfare payments as a family or

through an individual member, including payments

under Federal, State, or local programs, is

economically disadvantaged); .

3)

4) As noted in a. 1) above, all payments made

to participants of manpower programs except wages

and salary under EEA, CETA PSE, OJTi

89
Capital gains and losses. 5)

6) One-time unearned income, such as the following

examples (not intended to be an all-inclusive listing,

but designed to illustrate the conceptual framework of

one-time unearned income):

(a) Payments received for a limited fixed term under

income maintenance programs such as unemployment insurance programs and supplemental unemployment benefitplans;

(b) One-time (or fixed term) scholarship and fellowship grants;

Accident, health, and casualty insurance proceeds; (c)

(d) Disability and death payments, including fixed

term (but not lifetime) life insurance annuities and

death benefits;

One-time awards and gifts: (e)

Inheritances, 

including fixed-term annuities; (f)

Fixed term workmen I s compensation awards;

(g)

(h) Terminal leave pay;

(i Soil Bank payments; and

Agriculture crop stabilization payments. (j)

c. Exclusions from annual family income -Veterans.

The effect of Sec. 2013, Chapter 42, of Title 38, u.S.

Code (PL 92-540, Vietnam Era Veterans Readjustment

Assistance Act of 1972) on the definition of the term

~s~nomica!l~ di~ad~~~ag~ in computing family income

is to exclude the followIng:

Amounts received as payable allowances by any person

while serving on active duty in the armed services; 1)

Educational assistance and compensation payments to

veterans and other eligible persons under Chapters 11,

13,31, 34, 35, and 36 of Title 38, U. S. Code. Title

38 U. S. Code Chapter referenees are as follows:

2)

Compensation for Service-Connected Disability or

Death;

11.

90
13. 36

d.

5.

~~~!!!_£~lli

$2,590

3,410

4,230

5,050

5,870

6,690

1

2

3

4

5

6

~arm f~ ~mf~ 1

2

3

4

5

6

$3(250

4;270

5,290

6,310

7,330

8,350

$2,750

3,620

4,490

5,360

6,230

7,100

91

~!!!.-~Y.

$2,200

2,900

3,600

4,300

5,000
For family units with more than six members add $1,020

for each additional member in a nonfarm family and $870

for each additional member in a farm family.

Poverty Guidelines For Hawaii

Size of family unit Nonfarm family

$2,990

3,930

4,870

5,810

6,750

7,690

Farm family

$2,540

3,340

4,140

4,940

5,740

6,540

1

2

3

4

5

6

For family units with more than six members add $940 for each

additional member in a nonfarm family and $800 for each

additional member in a farm family.

6. Act~~n ;equ~r~. Regional offices should disseminate

these cr 1 ter la of CETA pr ime sponsor s and appropr iate

State agencies immediately. (Emphasis of poverty

terminology added)

Description Of CETA Po~erty Related Programs

Presented below are programs stemming from the Comprehensive Employment

and Training Act, including for each the program title, a program identification,

a summary program description, and the definition of poverty-related terms.

Program Title: Comprehensive Employment and Training Programs -General -

Title I & II

Identification:

Authorized by the Comprehensive Employment and Training Act (PL 93-203)

Description:

Program provides funds to state and local prime sponsors to plan and

operate manpower programs that meet local needs. Title I authorizes assistance

to provide training or employment opportunities for unemployed, underemployed,

or economically disadvantaged persons. Title II authorizes grants for

areas of high unemployment.

Definition of Terms:

Statement of purpose (Sec. 2 of CE~) includes serving the economically

disadvantaged. Eligibility for assistance under Title I (29 CFR 95.32):

92
a person must be unemployed, underemployed, or economically disadvantaged

(as defined in 29 CFR 94.4): "a person who is a member of a family:

(1) which receives cash welfare payments; or (2) whose annual income in

relation to family size does not exceed the poverty level determined

in accordance with criteria established by the Office of Management and

Budget (QMB)." "Underemployed" is defined in 29 CFR 94.4 as "a person who

is working part-time, but seeking full-time work or who is working full-time,

but receiving wages below the poverty level " Eligibility for Title II

(Sec. 205 of CETA: 29 CFR 96.28): special consideration given to the most

severely disadvantaged. Allocation of Title I funds (Sec. 103 of CETA) -

specifies that 12 1/2 percent of funds are to be allocated to jurisdictions

on the basis of the relative number of low-income adults ("low-income level"

defined in Sec. 601 of CETA as "$7,000 with respect to income in 1969, and

for any later year...that amount which bears the same relationship to $7,000

as the consumer price index for that year bears to the Consumer Price Index

for 1969, rounded to the nearest $1,000").

Program Title: Irrlian Manpower Programs

Description:

Programs are designed to provide job training and employment opportunities for economically disadvantaged, unemployed, and underemployed Indians

and others of native American descent and to assure that training and other

services lead to maximum employment opportunities and enhance self-sufficiency.

Definition of Terms:

Purpose of the program: Sec. 302 of CETA states that serious

unemployment and economic disadvantage exist among members of Indian and

Alaskan native communities and that comprehensive manpower training and

employment programs are essential to the reduction of economic disadvantage

among individual members of those communities. Eligibility for participation

(29 CFR 97.132): and Indian or other person of native American descent who is

economically disadvantaged, unemployed, or underemployed as defined in

29 CFR 97.103. (Economically disadvantaged and underemployed definitions are

the same as for Comprehensive Employment and Training Programs.) Allocation

of funds (29 CFR 97.104) is based, in part, on the relative number of adults

in families within an area with an average income below the income level

compared to such numbers in all states (low income level definition is the same

as for Comprehensive Employment and Training Programs).

Program Title: National Migrant and Seasonal Farrnworker Program

Identification:

Authorized by Sec. 303 of the Comprehensive Employment and Training

Act (also authorized by Title 111-8 of the Economic Opportunity Act).

Catalog of Federal Domestic Assistance Code 17.230.

93
Description:

Program provides necessary services to help migrant and seasonal

farmworker families find economically viable alternatives to agricultural

labor, place persons in suitable employment, and assist others. Migrant

families are offered services such as relocation assistance, occupational

training, education, health services, job development, placement, and other

supportive services.

Definition of Terms:

Eligibility for participation (29 CFR 97.232): must be economically

disadvantaged as defined in 29 CFR 94.4 (CETA regulations).

Program Title: Ex-offender Program

Identification:

Authorized by Sec. 301 of the Comprehensive Employment and Training Act.

Description:

Ex-offenders are provided with manpower training and related assistance

and support services (including basic education, drug addiction or dependency

rehabilitation, health care, and other services) to enable them to secure

meaningful employment.

Definition of Terms:

Eligibility for participation: unemployed, underemployed, or economically disadvantaged (see Comprehensive Employment and Training Programs), or

involvement with the law. Regulations for the program are in preparation.

Program Title: National On-the-Job Training

Identification:

Authorized by Sec. 301 and 304 of the Comprehensive Employment

and Training Act. Catalog of Federal Domestic Assistance Code 17,228.

Description:

Program provides occupational training for unemployed, underemployed,

and economically disadvantaged persons who cannot reasonably be expected

to otherwise obtain appropriate full-time employment. Program funds may be

expended for reimbursement of instructors, administrative costs, supplies,

supplementary classroom education, trainee allowances (when coupled with

classroom instruction), and supportive services.

94
Definition of Terms:

Eligibility for participation -unemployed, underemployed, or

economically disadvantaged (see Comprehensive Employment and Training

Programs). Regulations for the program are in preparation.

Program Title: National Older Worker Program --Operation Mainstream

Identification:

Program authorized by Secs. 301 and 304 of the Comprehensive

Employment and Training Act.

Description:

Program is designed to provide work-training and employment activities,

with necessary supportive services, for chronically unemployed, poor older

workers who have poor employment prospects and are unable, because of age,

lac~ of employment opportunity, or otherwise, to secure appropriate employment

or training assistance under other programs.

Definition of Terms:

Sec. 304 of CETA defines the client group as chronically unemployed,

poor older workers. The Manpower Administration has administratively

defined the client group as those workers 55 years of age and older who are

economically disadvantaged (see definition in Comprehensive Employment and

Training Programs).

Program Title: Job Corps

Description:

A residential rehabilitation program for disadvantaged youth whose home

or community environment is so culturally deprived that it inhibits success

in other remedial or preparatory training activities, or who are located

in rural or other areas where work and training opportunities are not

available. Services include vocational training, basic education, counseling,

personal and cultural development, recreational activities, and workexperience training.

Definition of Terms:

Purpose and eligibility (Sec. 401 of CETA): lo~income, disadvantaged

young men and women. Job Corps regulations are in preparation.

Program Title: Manpower Research and Development Projects

Identification:

Program authorized by Title III-B of the Comprehensive Employment

and Training Act. Catalog of Federal Domestic Assistance Code 17.233.

95
Definition of Terms:

Sec. 430 of the Social Security Act s~ates that the purpose of the

program is to provide individuals receiving\ Aid to Families with Dependent

Children (AFOC) with incentives, opportunitlies, and services to: (1) employ

such individuals in the regular economy; (2) train such individuals for work

in the regular economy; and (3) have such individuals participate in public

service employment. Funds are allocated (56 CFR 14) on the basis of the

relative number of people within each state registered for the Work Incentive

Program. 56 CFR 80 defines AFDC as the program authorizied by Title IV

of the Soci"al Security Act which provides financial assistance and

social services to needy families with children.

'fitle rv-c of the Social Security Act, as Amended~

Sec. 430 Purpose

The purpose of this part is to require the establishment

of a program utilizing all available manpower services,

including those authorized under other provis~ons

of law, under which individuals receiving aid' to families

with dependent children will be furnished initiative, opportunities, and necessary services \

Quoted verbatim, next, are administrative reg~lations pertaining to the

work Incentive Program (WIN). !

Part 56 -Wbrk Incentive Programs for AFDC Recipients under Title IV of

the Social Security Act I

Subpart B -Administration

Sec. 56.10 -General Administration provisions.l.

TO carry out Department of Labor responsibilities under

these regulations, the Secretary of Labor has designated the

Assistant Secretary of Manpower (Assistant Secretary). To

carry out Department of Health, Education, and welfare

responsibilities under these regulations, the Secretary of

Health, Education, and Welfare has designated the Administrator

of the Social and Rehabilitation Service (Administrator).

(b) The Assistant Secretary and the Administrator together form

the WIN National Coordination Committee (NCC) which is

responsible for the effective national administration of

WIN

q7
(e) The Assistant Secretary of Labor has des~gnated

the Assistant Regional Director for Manpower in eaqh region

(ARDM) to carry out the WIN program in each region.! The administrator of the Social and Rehabilitation Service ~as designated

the Regional Commissioner (RC) of the Social and Rehabilitation

Service to carry out his responsibilities under th~se regulations

in each region. I

I

(f) Within each region the ARDM and the RC shall form

the WIN Regional Coordination Committee (RCC). Each RCC shall

determine the areas in each of the States within its region in

which WIN projects shall be operated, taking into consideration

such factors as size of welfare caseload and budgetary constraints

This action shall have the concurrence of the affected State and

shall be so reflected in the Statewide Operation PI~ (State

WIN Plan). The RCC shall review and approve all State

WIN plans and modifications of such plans covering

the States in its region I I

Subpart C ~ Requirements and Procedures for Registration

and Certification I

56.20 Registration requirements for AFDC applicants

(a) A state welfare plan, under Part A of Title IVof i

the act shall provide that ~ll,~!f~r~,~~p!i~~~~ j

and recipients who are requi:~d t?, :~~st;~,_by ISec.

401(a)(19)(A) of the Act shall register with

the WIN sponsor for manpower services, training, and employment as a condition of eligibility for AFDC. (Emphasis

added)

Subpart H -Definitions

56.80 Definitions

(b) "AFOC" (Aid to Families with ~~ndent Children):!

The program authorized by Title IV of the Act to prov;ide

financial assistance and social services to needy f~ilies

with children. (Emphasis added)

Senior Conmunity Service Employment Progr~

(Title IX of PL 93-29)

The Senior Coomunity Service Employment Program, ste

¥ ' ing from "The

Older Americans Community Service Employment Act" (Title I of PL 93-29)

is described next, including a program identification, a s ryof the program description, and a definition of poverty-related ter .Following

that is a summary of legislation and administrative guidel~nes.

98
rJ.U\.jJ.alll J.J.l..l.~; ';'~II.LUL \...UIIIIIIUlI.Ll.Y ,;,erV1Ce t.mp.Loymenl:Identification:

Program authorized by Title IX of the Old~r Americans Comprehensive

Services Amendments of 1973 (PL 93-29). l

Description:

Program is designed to provide useful par~time work opportunities

in community s.ervice activities for unemployed, low-income persons who

are 55 years old or older and who have poor emPloyment prospects.

Definition of Terms:

The purpose of the program as stated in both the law and the

regulations (89 CFR 1) is to foster and promote useful part-time work

opportunities in community service activities for unemployed low-income

persons who are 55 years old or older and who have poor employment

prospects. Eligibility for the program: 89 CFR 4 defines an eligible

person 'as an individual who is 55 years old or older whose income is low,

and who has or would have difficulty in securing employment or is unemployed.

The regulations further define low-income as the annual income threshold

below which families are considered to live in poverty, in accordance with

criteria established by the Office of Management and Budget. Administratively,

the Manpower Administration uses the economically disadvantaged criterion for

the program (see definition in Comprehensive Employment and Training Programs).

Summar Of Si nificant Povert -Related Sections Of a Ider American Cornmunit

Service Employment Act (Title IX Of PL 93-29)

!

Sec. 902 Older American Community Service Employment program,

states that the program is to foster and promote

useful part-time work opportunities in community

service activities for unemployed, low-income persons

who are 55 years old or older and who have poor

employmen t prospects.

Sec. 907, Definitions, defines an eligible individual as one

who is 55 years old or older, who has low-income,

and who has or would have difficulty in sec4ring (.

employnlent. j 1

Administrative Guidelines

Quoted verbatim, next, are significant povertY-r ~ ted sections

of Federal regulations concerning the Older American C unity Service Employment Act (Title IX of PL 93-29).. I

.

99
Subtitle A -Office of the Secretary of Labor -Part 89 -Senior

Community Service Employment Program 13/

1--

The Act provides for the establishment of a Senior

Community Service Employment Program to provide, foster,

and promote useful part-time work opportunities in community service activities for unemployed low-income

persons who are 55 years old or older and who have

poo r employmen t prospects. j

I

Subpart A -General

Sec. 

89.1 Scope and purpose

(a) This Part 89 contains the regulations of the

Department of Labor for the establishment and operation of the Senior Community Service Employment Program

which is authorized under the Older American Community

Service Employment Act, Title IX of the Older Americans

Comprehensive Services Amendments of 1; 73. The Senior

Community Service Employment Program i designed to provide, foster, and promote useful part- irne work opportunities in community service activitie3 fdr low-income persons

who are 55 ears old and older and who ave or e 10 nt

prospects. I

Sec. 

89.4 Definitions

"Eligible individual" means an individual who is 55

years old or older; who has a low-income; and who

has or would have difficulty in securin9 employment

or is unemployed. !

"Low-incore" for the purpose of th~ Act means

the annual income threshold below which families

are considered to live in poverty, as d~termined

in accordance with criteria established Iby the

Director, U. S. Office of Management anq Budget. !

"Unemployed persons" for purpose of thi~ act means:

(a) An adult who, or whose family, recefves supplemental security income or money payments pursuant to

a State plan approved under the Social ~ curity Act,

Title IV (Aid to Families with Dependent Children), or

under the Social Security Act, Title XVI (Supplemental

Security Income for the Aged, Blind, 'and Disabled)

100
Subpart C -Project Operations

(1) Ben;~i~s accru!ng. to ~mbe~:; o~ tbe cl!en.!: grouE

who enroll In a proJect. The cllent group to be

served and enrolled by the program are low-income

individuals who are 55 years old or older and who have

poor employment prospects. The basic thrust of the

program is to provide these individuals with the

general benefits resulting from subsidized part-time

employment and a moderate level of related supportive

services i

Sec. 89.16 Eligibility for enrollment in a project

(a) To be selected for enrollment in ~ project an

individual must: I

(1 be 55 years old or older:

(2) have a low income; and

(3) be unemployed or be an individual who has or

would have difficulty in securing employment

(Emphasis of poverty terminology added).

Preference In Federal Procurement Under Defense Manpower Policy No.4

Identification:

Defense Manpower Policy No.4, Executive Order 10582, and 19 CFR 8.

(Administered Cooperatively by the Department of Labor and Department of

Defense) !

Description:

Defense Manpower Policy No.4 provides, among other things, contract

preference to firms hiring disadvantaged individuals. Local offices of

State Employment Security Agencies issue cert~ficates to firms with approved

plans for employing the disadvantaged. !

Definition of Terms:

Disadvantaged, for the purpose of the prOgram, is defined in 19 CFR 8

as "a poor person who does not have suitable employment and is one of the

following: (1) a school dropout, (2) under 221years of age, (3) 45 years of

age or older, (4) handicapped, or (5) subject I to special obstacles to employment resulting from any other factor such as b>eing a member of a minority."

101
A&ninistrative Guidelines

The following adminstrative guidelines wrre issued with respect to the

program on July 1, 1974: I

I

Part 8 -Preference in Federal procuremept under Pefense Manpower

Policy No.4 and Executive Order 10582 I !

Authority -The provisions of this Part f issued under 47Stat. 

1520, 63 Stat. 1024; 41 USC 10a-10 , EO 10582,

3 CFR, 1954-1958 Comp., p. 230; EO 10480, EO 10773, 32A

CFR Ch. 1. DMP 4.

8.1 Purpose

(a) This part implements the responsibilities of the

Secretary of Labor in determining sections of concentrated

unemployment or underemployment, and areas of persistent

or substantial labor surplus in ac rdance with

Defense Manpower Policy No.4 of th Office of Emergency

Planning (32A CFR Ch. 1, DMP 4), a areas of substantial

unemployment, in accordar)ce with e cutive order

10582 (3 CFR 1954-58 Comp., P. 230) issued pursuant

to the Buy American Act (41 USC 10 et. seq.)

8.2 Definitions

As used in this part:

(a) "Labor area" means: a geogra ical area consisting

of a central city or cities and su rounding territory

within commuting distance in which there is a concentration of economic activity or labor demand, and workers

can generally change jobs without hanging their

residences.

(b) "Substantial labor surplus" means: an area is one

of substantial labor surplus for purposes of Defense

f1anpower Policy No.4 if it has su~stantial unemployment

in accordance with criteria speciffed in Sec. 8.3

(d) "Disadvanta ed Individual" ~ s: an individual

shall~ considered disadvanta ed f he is a r rson

who does not have~ ~~lo nt and is one of the

following: (1) a school dropout; (2) under 22 years of

age; (3) 45 years of age or older; (4) handicapped; or

(5) subject to special obstacles t employment resulting from any other factor such as eing a member of a

minoritv
Sec. 8.9 Certificates of eligi~ility

(a) The Secretary of Labor's approval of an establishment's plan to employ .'li~advan~~gedindividuals shall

be evidenced by a certificate issued to the employing

establishment by the appropriate local office of the

State Employment Security Agenc~. This local office

will determin whether the estabilishment qualifies

for the certificate and issue i~ where appropriate.

The Secretary of Labor, or his a~thorized representative, may in all cases, review ~d' if necessary,

change the determination made by the local State

Employment Security Agency eithe granting or denying

a certificate of eligibility. Any establishment which

is denied a certificate may request a reconsideration

or review by the Secretary, or his authorized representative, by writing to the Secretary of Labor, U.S.

Department of Labor, Washington, \D.C., 20210, and

setting forth reasonable grounds !therefor.

(b) Certificates of eligibility shall be valid for a

per iod of 6 months,. or until reca~led by the State

Employment Security Agency, or su~rendered by the

employer, whichever is earliest. \

,

(c) No certificate which would afford an employing

establishment first preference under Sec. 8.8 shall

be issued to any establishment whose plans for the

employment of disadvantaged individuals do not provide

that at least 25 percent of the total number of new

hires a month beginning with the qate of certification

and continuing until the expiratiqn of the validity

period or completion of an awardeQ contract or subcontract, whichever is later, shall be disadvantaged

individuals identified and referre~ to the employing

establishment pursuant Sec. 8.7(b)l.

The Secretary is authorized to carry out a special

program to demonstrate the efficiency of providing

certificates or vouchers to econom!cally d!sa9vantaged,

unemployed, and underemployed per sons, enti tl ing

private employers who provide employment, training and

services to each person volunteering to participate in

such a program, to payment in amo~ts equal to the

face value of the certificate for specified periods

of time during which each such person may not be

fully productive. (Emphasis is ~dded)
Bureau Of Labor Statistics

The Bureau of Labor Statistics has no laWSl regulations, or programs

which utilize an income measure of "poverty" or "low income" as a criterion

for eligibility. It does however, have several statistical reporting programs which utilize the current poverty definit on. These are:

1. "Employment Situation in Urban Povert Neighborhoods," a quarterly

reI;X)rt on the combined "I;X)verty" neighborhoods f the 100 largest metroI;X)litan areas.. These data were published quart rly between 1968 and 1971

and annually in The President: s ManpOwe~ Re~rt Monthly Labor Review, and

in several other publications. Publication of new series was begun in

1974 for Census geographical units in which 20 rcent or more of the residents were poor, according to the 1970 decennia Census.

2. Data on the "poverty" population in t e Concentrated Employment

Program (CEP) areas of six major u.s. cities ha e been published' in connection with the "Urban Employment Survey" for fis al year 1969, including a

chapter of the 197°- President ~ s Manpower Report The poverty classification

utilizes the official Office of Management and udgetjSocial Security

Administration (OMBjSSA)definition. These data are no longer published.

3. Tabulations for the "poverty" populat on of the low- income areas

in 51 of the nation's largest cities and in 7 r ral areas of the u.s. were

published in connection with the one-time "Cens s Employment Survey" (CES),

which was conducted in conjunction with the 197 Census. This includes

data for persons and families in poverty based n the official statisticaldefinition. 

i

4. Work is in progress on developing sta JistiCS on the characteristics of ~rsons with labor~ar~e~-related har ships, ar required by the

Comprehenslve Employment and Tramlng Act of 19 3. cj

104
DEPARTMENT OF AGRICULT~RE

INTRODUCTION

In the Department of Agriculture, the adm~nistrative and statutory

references to the poor or low-income relate to! the food programs. Examples

of these programs are given in the next four p~ragraphs.

Under the Fooo Stamp Act of 1964 (as amended) "a food stamp program

is ..~ authorized which will permit low-income households to purchase a

nutritionally adequate diet through normal ch~nels of trade."

The National School Lunch Act provides fr~e or reduced-cost meals to

"any child who is a member of a household which has an annual income not

above the applicable family size income level ~et forth in the income

poverty guidelines The income poverty guidelines to be used for

any fiscal year shall be those prescr ibed by the Secretary."

The utilization of surplus agricultural pr~ucts may be made "among

~rsons in low-income groups as determined by the Secretary of Agriculture"

or "in the assistance of needy persons." Surplus agricultural colmnodities may

be donated for relief purposes, for use in nonp~ofit summer camps for children,

or donated to schools and service institutions (including hospitals).

The Child Nutrition Act, through the state educational agencies,

reimburses "schools for the cost of obtaining agricultural and other foods

for the consumption by needy children in a breakfast program"...with "first

consideration to those schools drawing attendance from areas in which poor

economic conditions exist." I

For analytic purposes, the Department of Agriculture attempts to

adhere to the Federal statistical definition Oflpl verty whenever feasible.

It occasionally deviates from this when data ar not available in the

appropriate form.

The discussion of the Department of Agriculture is divided into several

sections. First, the Food Stamp Program is examined in detail. This is

followed by a verbatim presentation of the Secretary's income-poverty

guidelines. The final section consists of a des~ription of poverty terminology

and eligibility criteria in other poverty-relateQ programs.

FOOD STAMP PR(X;RAM

We begin with a discussion of the Food Stamp Program, with and emphasis

on the details of the eligibility formula as prescribed by the Food Stamp

Act. Relevant sections of this Act are then p,resented.

105
MAXIMUM MCWHLY ALLOWABLE INCOME STANDARDS AND BAStS OF COUPON ISSURANCE

Section 7(a) of the Food Stamp Act, as amended, requires that the value

of the coupon allotment be adjusted semi-annually py the nearest increment that

is a multiple of two to reflect changes in the pri ~es of food published by

the Bureau of Labor Statistics. As of January 1, 976, a household of

four receives $166 per month as its coupon allotrne t.

Prior to the amendment of the Act, which init~ated the semi-annual

adjustment of the coupon allotment, adjustments we~e made at the beginning

of each fiscal year, i.e., in July, based on the cost of the economy food

plan in the preceding February. The thrifty food blan replaced the economy

food plan on January 1, 1976. It was developed byr the Agriculture Research

Service (ARS) of the USDA. The amendment specifie~ that the first adjustment

be made in January 1974, to reflect changes in foQd prices through August

1973. A similar procedure was used for the July 4,1974 and 1975

adjustments and that used for the January 1, 1975 ~d 1976 adjustments.

For example, the value of the coupon allotments fqr January 1, 1976 was

based on the cost of the thrifty food plan in August 1975.

The threshold level of program eligibility i~ determined by the higher

of the two following conditions: (1) the point a1 which the coupon

allotment for that household size equals 30 perce t of income; or (2)

the Secretary's income poverty guidelines.

Households in which ~ members are included I in the Federally-aided

public assisted grant, general assistance grant, qr supplemental

security income benefits, may participate in the ~ood Stamp Program

regardless of income and resources of the household members.

The maximum allowable income standards for determining eligibility of

all other applicant households, including those iQ which some members

are recipients of Federally-aided public assistance, generar-assistance,

or supplemental security income benefits, in any $tate (other than Alaska

or Hawaii) or the District of Columbia, shall be the higher of: (1) the

maximum allowable monthly income standards for each household size which were

in effect in such states or the District of Columbia, prior to July 29,1971,

or (2) the maximum allowable monthly income standards shown in Table 3.

Income is defined as any money received by all members of the household,

except students under 18 years old, including wages; public assistance,

retirement, disability benefits; pensions; verter

h' s', workmen's, or

unemployment compensation; old age, survivors', 0 strike benefits; support

payments, alimony, scholarships, educational bene its; dividends, interest, and

all other payments from any source which may be cbnsidered a gain or a benefit.

Resources are such liquid assets as cash on rand, in a bank, or in

other savings institution accounts; u.s. Savings ~onds; stocks and bonds;

and such nonliquid assests as building (except fair the £arnily home), land

106
Table 3. Maximum Income Eligibility Levels Used by Food a Nutrition Se vice, USDA: FY 1916

HOU~OOld 48 States and D.C. ~~- ~ Hawali_- Guam -~ ~~a~

~- -CNP 1/ Staii1)S27 ~~_CNP St s CNP St s CN!,-.-§!~

$ 2,580 $ 2,580 $ 3,050 $ 3,048 $ 2,890 $ 2,880 0 $ 2,890 $ 2,880 $ 2,580 $ 2,580

3,390 3,684 4,000 4,956 3.190 4,800 3,684 13,190 4,956 3,390 4,416

4,200 5,196 4,950 1,044 4,690 6,816 5,196 14,690 1,044 4,200 6,396

5,010 6,636 5,900 8,964 5,590 8,124 6,636 ~,590 8,964 5,010 8,160 I

r

5,150 1,920 6,180 10,644 6,420 10,320 5,15 1,920 ~,420 10,644 5,150 9,684

I

6,490 9,444 1,650 12,804 1,240 12,396 6,49 9,444 (,240 12,804 6,490 11,604

1,160 10,416 8,440 14,016 1,990 13,164 1,16 10,416 t,930 14,016 1,160 12,816

I 1,830 11,916 9,230 16,164 8,140 15,684 1,83 11,916 f,140 16,188 1,830 14,124

8,440 13,440 9,940 18,168 9,420 11,616 8,44 13,440

, ,420 18,192 8,440 16,560

9,050 14,964 10,650 20,112 10,100 19,668 9,05 14,964 1 ,100 20,196 9,050 18,396

9,650 16,488 11,360 22,116 10,180 21,660 9,65 16,488 1 ,180 22,200 9,650 20,232

I 10,250 18,012 12,070 24,180 11,460 23,652 10,25 18,012 1~,460 24,204 10,250 22,068

Each

Additional

~r

8

9

10

11

12

600 1,524 710 2,004 680 1,992 600 1,524 660 2,004 600 1,836

!I Secretary's Income Poverty Guidelines for Child Nutrition Programs (J.;)

tor ies except Guam. IY 

Effective January 1976. I

This schedule is awlicable in terri107
FOOD STAMP ACT

Relevant sections of the Food Stamp Act of ~964, as amended, are presented

verbatim, next. I

Food Stamp Act of 1964 (PL 88-525, 78 ~tat. 702, approved

Aug 31,1964, as amended.) j

low-income ...To provide households for improved through levels a cooper O ~ nutrition tive Federal-State among 

progr am of food assistance, to be oper ted through

normal channels of trade:... i

DEClARATIOO OF POLICY

Sec. 

2 Raise levels of nutrition among low-incomehouseholds. 

...limited food purchasing power of low-income

households contr ibutes to hunger and m lnutr i tion among

members of such households... To alle iate such hunger

and malnutrition, a food stamp program is herein authorized

which will permit low-income househol s to purchase a

nutritionally adequate diet though nor al channels of trade.

(7 USC 2011.) (Sec. 2 was amended by P 91-671,84 Stat.

2084, approved January 11,1971.) I

Establishment of Food Stamp Progr~

Sec. 4(a) The Secretary is authorized to formulate and

administer a food stamp program under ~hich, at the

request of the State agency, eligible households within

the State shall be provided with an opportunity to

obtain a nutritionally adequate diet through the issuance

to them of a coupon allotment which Shr ll have a greater

monetary value than the charge to be p id for such

allotment by eligible households.

c

Sec. 5(a).. .Participation in the food stamp program shall

be limited to those households whose income and other

limiting finacial factors resources in permitting are determined them to t r purchase substantial a nutritionally adequate diet.

'-.

(b) The Secretary, in consultation ith the Secretary ofHealth, 

Education, and Welfare, shall stablish uniform

national standards of eligibility ~r articipation by

households in the food stamp program The standards...,

at a minimum, shall prescribe the amo ts of household

income and other financial resources, including both liquid

and nonliquid assets, to be used as c iteria o~ eligibility..

!
Issuance and Use of Coupons

Sec. 6(a) Coupons shall be printed in such denominations

as may be determined to be necessary, and shall be

issued only to households which have been duly certified

as eligible to participate in the Food Stamp Program.

Value of the Coupon Allotment and Charges I to be made

,

Sec. 7(a) The face value of the coupon allotment which

State agencies shall be authorized to iss e to any

households certified as eligible to parti ipate in

the Food Stamp Program shall be in such unt as the

Secretary determines to be the cost of a utritionally

adequate diet, adjusted annually to refle t changes

in the prices of food published by the Bu eau of Labor

Statistics in the Department of Labor (Su sections

(a) and (b) were amended by PL 91-671, 84 Stat. 20~O,

approved January 11,1971.) i

(b) Notwithstanding any other prOViSiO! of law, households

shall be charged for the coupon allotment issued to

them, and the amount of such charge shall represent

a reasonable investment on the part of th household,

but in no event more than 30 per centum of the household's

income: Provided, that coupon allotments without charge to households with incomes of less lmay be issued 

than $30 per month for families of four, nder standards

of eligibility prescribed by the Secretar~

Administration

Sec. (lO)(e)(5)... that the State agenc shall undertake

effective action, including the use of se vices provided

by other federally funded agencies and or anizations,

to inform low-income households concernin the availability

and benefits of the food stamp program an insure

the participation of eligible households (Emphasis

of poverty terminology added) I

SECRETARY OF AGRICULTURE'S INCOME POVERTY GUID~LINES

The Secretary of Agriculture's income poverty ~ uidelines are used as a criterion for eligibility in most of the poverty- elated programs administered

by the Department of Agriculture. They are re roduced in toto, next. 1-

Secretar Of A riculture's Income Povert uidelines, FY 76

Free And Reduced Pr ice Meals And Free Mil,

Income Povertv Guidelines For Determinlnq liqibilitv !!/

Pursuant to section 9 of the Nationa~ School Lunch Act

as amended (42 USC 1758) and Sec. 3 and 4(le) of the
Child Nutrition Act of 1966, as amended (421 USC 1772

and 1773(e)), the income poverty guidelines for determining

eligibility for free and reduced-price meals in the National

School Lunch Program, School Breakfast Program, commodity only

schools, and for free milk in schools in the Special Milk

Program during fiscal year 1975 are prescribed by the

Secretary in the following tables. I

Income Povert Guidelines, Fiscal Year 1976

Secretary's Guldellne Levels

Guidelines, w~~n Increased by

Family Size Fiscal Year 25 95

rcent rcent

(48 States, District of Columbia, Territories e cluding Guam)

1

2

3

4

5

6

7

8

9

10

11

12

2,580

3,390

4,200

5,010

5,750

6,490

7,160

7,830

8,440

9,050

9,650

10,250

3,230

4,240

5,250

6,260

7,190

8,110

8,950

9,790

10,550

11,310

12,060

12,810

5,040

6,620

8,200

9,770

11,210

12,650

13,970

15,280

16,460

17,640

18,820

20,000

Each additional family

member.

600 750 1,180

Alaska' 25 95

I percent percent

3,050

4,000

4,950

5,900

6,780

7,650

8,440

9,230

9,940

10,650

11,360

12,070

3,810

5,000

6,190

7,380

8,470

9,560

10,550

11,540

12,430

13,320

14,210

15,090

1

2

3

4

5

6

7

8

9

10

11

12

5,950

7,800

9,650

11,500

13,.220

14,920

16,460

18,000

19,390

20,770

22,150

23,530

Each additional family 710 880 1,380

member
-~~awali--- ---~ 9 5~

and Guam -rcent- percent1 2,890 8,610 5,640

2 3,790 4,740 7,390

3 4,690 5,870 9,150

4 5,590 6,990 10,900

5 6,420 8,020 12,520

6 7,240 9,050 14,120

7 7,990 .9,990 15,580

8 8,740 10,920 17,040

9 9,420 11,770 18,370

10 10,100 12,620 19,700

11 10,780 13,470 21,020

12 11,460 14,820 22,340

--

Each additional family

member

680 850 1,320

Under the legislation, schools are required to serve free

meals and free milk to all children from families whose

income is at or below the applicable fami!y size income

level in the Secretary's guidelines. Each State educational

agency is required to prescribe income guidelines for

both free and reduced-price meals and free milk by

family size, for use by schools in the State. The State

guidelines may not be less than the applicable family size

income level prescribed by the secretarY' jiand may not

exceed the Secretary's guidelines by more than 25 percent,

in the case of free meals and free milk, r 95 percent,

in the case of reduced-price meals. The 95 percent

level for reduced-price meals was enacted lunder PL 94-105.

For the convenience of State educational agencies,

the tables also show the Secretary's income proverty

guidelines when increased by 25 percent and when increased

by 95 percent. The increased figures represent the

maximum levels to be prescried by State educational

agencies in determining eligibility for free meals and

free milk, and reduced-price meals, respectively. The

Secretary's guidelines remain the minimum level for

free meals and free milk; all children at or below

such levels shall be served a free meal and free milk

Guidelines for the Island of Guam are identical to those

established for the State of Hawaii, due t~ comparable

costs of living. ~ \

III
The Secretary's income poverty guidelines are based on the

previous year's poverty level adjusted for the year-to-year

change in the Consumer Price Index. This procedure is consistent

with the basic procedure used by the Bureau of the Census in updating its latest statistics on poverty levels.

"Income", as the term is used in this notice, is similar but

not identical to that defined in the Bureau of the Census report,

"Characteristics of the Low-Income Populatfon: 1971," Consumer

Income, Current Population Reports, Series P-60. No. 86, December

1972. "Income" means income before deduti<j>ns for income taxes,

employees' Social Security taxes, insurance premiums, bonds,

etc. It includes the following: "!

(1) Monetary compensation for services, including wages, salary,

conmission, or fees; (2) net income from non-farm self-employment;.

(3) net income from farm self-employment; (4) Social Security;

(5) dividends or interest on savings or bonds, income from estates

or trusts, or net rental income; (6) public assistance or welfare

payments; (7) unemployment compensations; (8) Government civilian

employee or military retirements or pensions or veterans' payments;

(9) private pensions or annuities; (10) alimony or child support

payments; (11) regular contributions from persons not living in the

household; (12) net royalties, and (13) other cash income. Other

cash income would include cash amounts received or withdrawn from

any source including savings, investments, trust accounts, and other

resources which would be available to pay the price of a child's meal.

"Income," as the term is used in this notice, does not include

income received by volunteers for services performed in the National

Older Americans Volunteer Program as stipulated in the 1973 amendments to the Older Americans Act of 1965, PL 93-29 (87 Stat. 30);

nor does the term include use for the following special hardship

conditions which could not be reasonably ahticipated or controlled

by the household. j

(1) Unusually high medical expenses; (2) shelter costs in

excess of 30 percent of income as defined herein; (3) special education expenses due to the mental or physical condition of a child;

and (4) disaster or casualty losses. j

In applying guidelines, school food authorities may consider

both the income of the family during the past 12 months and the

family's current rate of income to determine which is the better

indicator of the need for free and reduced-price meals.

Effective date. This notice shall-' be effective July 1, 1975Dated: 

April 25, 1975. PL 94-105 arnendedlthe income eligibility

for reduced price meals to 95 percent abo~e the income poverty

guidelines set by the Secretary of Agriculture.

"'"
GrHER POVERrY -RELATED P~RAMS

Food and Nutrition Service

The primary efforts of the Food and Nutrition Service (FNS) are directed

at providing food and cash to ensure an adequate 'diet for the needy low-income

people. Food assistance programs provide access ,to a nutritionally adequate

diet for families and persons with low income and encourage better eating

patterns among the nation's children. FNS admin~sters the following programs

to needy individuals or families: I

Children's Nut'rition Programs

FNS provides Federal assistance, through state agencies~ in cash and

commodities for use in preparing and serving nutritious meals to children

while attending school, residing in service institutions, or participating

in other organized activities away from home. The purpose of the child

nutrition programs is to help maintain the health and proper physical

development of children. Specific programs dealing with needy children

are: (1) special cash assistance for free and reduced price lunches and/or

breakfasts to ~ children; (2) nonfood assistance to purchase food

service equipment, etc., to schools in low-income areas; (3) cash assistance

for food service in day-care centers, summer. recreation centers, etc.,

for children from low-income areas; and (4) free milk to those children who

qualify for free lunches. The Secretary's Income Poverty Guidelines,

previously quoted, specify the income levels to be used as eligibility

criteria in connection with some of these programs.

Current legislation affecting these programs includes:

PL 92-433, September 26,1972,

School Lunch Act"

(a) "An Amendment to the National

(b) PL 93-150 November 7,1973, "An Amendment to the National

School Lunch and Child Nutrition Acts" !

PL 93-326, June 30,1974,

Lunch Act"

(c) "An Amendment \to the National School

PL 93-347, July 12, 1974, "An Act to Continue Domestic Food

Assistance Programs and for Other Purposes"

PL 94-105, October 7,1975, "An Amendment to the National

School Lunch and Child Nutrition Act of 1966"

113
Special Supplemental Food Program, called the Women, Infants, and Children

I

(WIC) Program

This authorizes the WIC Program to be operated through September 30, 1978

in an effort to provide supplemental foods to pregnant and lactating women,

infants, and children up to five years of age who are determined by competent

professionals to be nutritional risks because of inadequate diet and

~income. Participants are residents of area~ served by clinics or other

health facilities which have significant number~ of infants and pregnant and

! I lactating women in nutritional risk. 

Current legislation affecting this program inclfdes:

"An Amendment to the National PL 92-433, September 26, 1972,

School Lunch Act"

PL 93-150, November 7, 1973, "An Amendment to the National

! School Lunch and Child Nutrition Acts" 

,j I 

(b)

PL 94-105, October 7,1975, "An Amendment to the National

School Lunch and Child Nutrition Act of 1966"

I

(c)

Food Distribution Program

f food to lo~income f This program provides direct distribution

families and needy residents in non-profit resi ential institutions to help

improve their diets. Most of the commodities i the Food Distribution Program

go to families on Indian Reservations.

Current legislation affecting this program inclfdes:

"An Amendment to the Agricultural Act of PL 93-86, August 10,1973,

1970"

PL 93-347, July 12,1974, "An Act to Continue Domestic Food

Assistance Programs and for Other PUdposes"

.J II,

Farmers Home Administration

While the Food and Nutrition Service programs make reference to the

Secretary's income poverty guidelines, those of Farmers Home Administration

generally use less specific terminology. The latter also require for eligibility

a demonstrated ability to repay loans. These ~rograms are presented next,

~~t~~i~~~~~i~:s~~~~;~~s~nd an identificat~ln of r~~~1~~t legislative

114
or repair homes for their own use: under others, rental units may be

built for occupancy by low or moderate income familes. The housing

covered by these programs must be in open country or towns that

are rural in character with a population not more than 10,000.

To be eligible for low-to moderate-income loans, the applicant, among

other requirements, must be a low-or iT@erate-income family with an "adjusted"

family income that does not exceed the maximum limits for the state, unless

exceptions are authorized by the state Director (See FmHA Instruction 444.1,

III N and 0, IV G, and Exhibits C and D). In setting maximum limits, the

median income. for the state (Census data) is considered. Funds are distributed

to states based on the cost of housing in the ~rea, from FmHA records, the

income of eligible families, and the history of lending in the state.

The legislation specifies that the Secretary of Agriculture is to

determine if the applicant is without sufficient resources to provide the

necessary housing and buildings on his own accOunt and unable to secure credit.

Specifics relating to these programs follow.

Program Title: Self-Help Technical Assistance Grants

Law: Housing Act of 1949 -Sec.: 523 -Title: V

Federal Domenstic Assistance Catalogue Number: 10.420

Program Title: Rural Self-Help Technical Assistance

Description:

Grants are made to public agencies and nonprofit corporations for

providing technical assistance for authorized mutual or self-help

housing projects by needy low-income indiv~duals and their families

in rural areas and small towns. I

Purpose:

To provide financial support for technical assistance to aid needy

lo~income individuals and their families in carrying out mutual

self-help efforts in rural areas (Acts of Congress Administered

by or Affecting the Farmers Horne Administration, Pages 95-96).

Program Title: Homesite Development Loans I

Law: Housing Act of 1949 Section: 523 and 524 -Title: V

Feder al Domestic Assistance Catalogue N~r: 10.411

Name: Rural Housing Site I

115

However, to be eligible, the applicant for a l1an must demonstrate the

ability to repay in full with interest the sum loaned.
Description:

Loans are made for the development of rural building sites for sale

on a nonprofit basis for housing for low and moderate income families.

Purpose:

To buy and develop building sites for ~ale to low and mooerate

income families. i

Eligibility for Participation:

for low Nonprofit or moderate organizations income families that provide and for r ~ ntal needy or cooperative low-income individuals housing 

and their families pa~t~cipating in mutual ,nd self-help housing progr~~s

(Acts of Congress AdminIstered by or Affect ng the F'n1HA, Pages 95-100).

Program Title: Farm Labor Housing Loans

Law: Housing Act of 1949 -Section: 516 -itle: V ~

Federal DOmestic Assistance Catalogue Numbe: Not shown

Name: t~ot shown I

Description:

Loans and grants are made to broadly-based nonprofit organizations,

such as farm workers, and public agencies tq provide ,housing for danestic

farm labor. I !

Purpose:

To provide financial assistance for lo ~ rent hO~sing for domestic

farm labor. I

Program Title: Rental and Cooperative Housing Loans l'

Law: Housing Act of 1949 -Section: 515 and 521 -T'tle: V

Federal Domestic Assistance Catalogue NurnbeG: 10.415

Name: Rural Rental Housing Loans I

Description:

Loans are made to nonprofit groups or individuals to build, buy,

improve, or repair rental or cooperatively-owned houses or apartments

for occupancy by low-to-moderate-income families.

I

Purpose:

To provide rental housing for persons

incomes and for persons aged 62 or older in j ith rural low areas. or moderate (See

Rural Rental Housing, PA-988) I

116
Eligibility for Participation:

Private nonprofit corporations and consumer cooperatives

who provide rental or cooperative housing for elderly persons and

elderly families of low and moderate income or for other persons

and families of low income in rural areas (Acts of Congress

Administered by or Affecting the Farmers Home Administration,

Page 74). .

Program Title: Repair and Rehabilitation Housing Loans

Law: Housing Act of 1949 -Section: 504 -Title: V

Federal Domestic Assistance Catalogue Number: 10.417

Name: Very Low-Income Housing Repair Loans

Description:

Loans are made to very low-income owner-occupants who have

repayment capability to make repairs on homes in order to remove

health and safety hazards.

Purpose:

To remove health and safety hazards from houses of persons

who "cannot qualify for a loan ,under provisions of Sections

501 and 503" (Acts of Congress Administerli!d by or Affecting

the F'rnHA, Page 58).

,

Eligibility for Participation:

An urgent need to repair the home, and also enough money

coming in each month--including welfare payments--to repay

the loan, but not enough income to qual ify for a loan from FmHA

to build or buy a new house. (See Rural H~using Repair Loans,

PA-IOS8) I

Program Title: Individual Homeownership Loans I

Law: Housing Act of 1949 -Section: 502 -Title: V

Federal Domestic Assistance Catalogue Number: 10.410

Name: Low to Moderate Income Housing Loans

I

Description:

Loans are made to low-to-moderate-income families who will

occupy homes in rural areas, with which to buy, build, improve,

relocate homes, to buy building sites, and to refinance certain

housing debts. Individuals, partnerships, qr corporations that

build or improve houses may receive conditiqnal commitments

to encourage quantity building. .\

117
Purpose:

To help families with low and moderate incomes in rural areas

to finance hOOles and building sites. (See "Home CNnership", PA-977)

Eligibility for Participation:

A low or moderate income family, whose income I does not exceed

the maximum limit for the state. (See FmHA Instruc~ion 44.1, IV G)
DEPARTMENT OF TREASURY

The Department of Treasury has no overall administrative or

legislative guidelines pertaining to poverty, although the Federal

Personal Income Tax might be listed among the programs whose benefits are

related to "poverty" or "low-income" status. Nowhere in the Tax Code,

however, are these terms used, and no formal concepts of "poverty" or

"low-income" enter explicitly into the design of the Personal Income Tax.

In Congressional decisions on setting and resetting levels of the

Minimum Standard Deduction and the values of personal exemptions, nevertheless, reference is made to the official poverty lines. The intention is evidently that filing units with Adjusted Gross I Income below their

relevant Federal poverty line will not pay Personal Income Tax.

Of course, filing units are not always families and Adjusted Gross Income is

not always family money income. The sum of a unit's personal Minimum

Standard Deduction and value of personal exemptions is only approximately

equal to its poverty line. In general, low-income families are fee of

Personal Income Tax Liabilities to levels of family money income above

their poverty lines, except when values of Minimum Standard Deduction(s)

and personal exemptions are not readjusted annually, as are poverty lines.

Below we have constructed a programmatic presentation of this concept.

~rogram Descript!on Definition of Terms

Federal Internal Revenue

Code of 1954, as amended

(Act Aug. 16, 1954, Ch.

736, 68A Stat. 3, as

amended)

Subject to certain

qualifications, the

MinimLln Standard

Deduction is available

to every Personal Income Tax filing unit.

For most units, the

Percentage Standards

Deduction or itemization of deductions

affords greater tax

savings. The Minimum

Standard Deduction,

now $1,300, together

with the value of

personal exemptions,

now $750 per exemption, results in a

filing unit with four

exemptions having

no Personal Income

The Act imposes a tax

on the income of individuals. Income from

certain sources is I

wholly or partially,

exempt and income below

a level defined by the

sum of the values of

personal deductions l

and personal exempti ns

is exempt. Income subject to tax is taxed at

increasingly margina

after-tax income is l

lower relative to

before-income tax th

higher before-tax in-I

corne is. The personal

.I

Income Tax IS, thus, an

income maintenance prbgram to the extent th~t it

119
Program Description Definition

reduces the disposable

incomes of higher income

filing units, and less

certainly families, and

it does this in order

to maintain the disposr

able incomes of lower

lower income units. I

Tax liability unless

its Adjusted Gross

Income exceeds $4,300.

A filing unit with four

exemptions may comprise

as few as two persons

and as many as four person~. Assuming that

all income is includable in Adjusted Gross

Income, the level of

income below which a

family had no Personal

Income Tax liability

in 1973 was above the

low-income threshold

for a two-person family

($2,662, head 65 yr.

and over) and below

the threshold for a

4-person family

($4,512). Exempt income for a lO-person

family filing as one

unit was $8,800, as

compared to a lowincome threshold of

$7,359.

120
DEPARTMENT OF STATE

The Bureau of Security and Consular Affairs has legislative

guidelines relating to poverty and eligibility of immigrants. In a notice

of proposed rule-making, December 18, 1974, the Department of State

I

proposed: i

:t

"...to amend subparagraph (15) of Paragraph (a) of Sec.

42.91 of Title 22, Code of Federal Regulations, to establish

standards to be applied by consular officers in determining

the eligibility of an alien to receive an immigrant visa

under Sec. 212 (a) (15) of the Immigration and Nationality

Act. 'i

.

Family members of prospective immigrants and other persons have become

increasingly critical of the actions by some consular officers in refusing

immigrant visas to some aliens who, in the opinion of those officers, were

likely to become charges of the public if admitted to the United States.

Some feel that consular officers have imposed unrealistically high income

standards for eligibility under Section 212(a) (15) of the Act. At the

same time, however, several state and local governments and residents of

several geographic areas of the country have complained that many immigrants

have received welfare payments shortly after their admission to this

country, giving rise to complaints that visas should not have been issued

to those immigrants. I

iv. An alien who does not establish that he will have an

annual income above the income poverty guidelines published

annually or at shorter intervals by the Community Services

Administration, as derived from the low-income threshold

tables which are also published annually by the Bureau

of Census, and who is without other adequate financial

resources, shall be deemed ineligible (for entry), under

Section 212(a) (15) of the Act. ~/ (Emphasis added)

121
DEPARTMENT OF INTERIOR

Programs for Indians are administered by the Department of the

Interior under the Snyder Act, November 2,1971, (PL 67-85;

42 Stat 208:25 USC 13) and Expert Assistance Loans (PL 88-168: 25

USC 70N-1). Poverty terms used are "extent of need," "needy Indians,"

and "Indians without funds." The participantS ! (mainly Indians) must

live on reservations or on trust lands operated by the Federal government.

The Snyder Act empowers the Bureau of Indi n Affairs, under the

supervision of the Secretary of Interior, to di ect, supervise, and fund

two programs, (1) Indian Social Services-Gener Assistance, and (2) Indian

Social Services--Child Welfare Assistance. The Indian Loans--Claims

Assistance Program is authorized by PL 88-168: 25 USC 707-1 and two

subsequent supplemental Acts, which stipulate e amount that can

be spent for the benefit, care, and assistance f Indians throughout the.

united States for relief of distress and conser ation of health.

The education of Indians is included under the Education Amendments;housing, 

under the Housing and Community Development Act of 1974, and

some of the social programs, under the Social Services Amendments of 1974.

I

122
SMALL BUSINESS ADMINISTRA 1110N

The purpose of the Small Business Administration is to assist

and protect the interests of small businesses and to allow them to

participate in government activities.

The Small Business Administration has fivelpoverty-related

programs. The legislation governing these progtams includes the

Small Business Act, the Economic Opportunity Act of 1974, as amended,

and Executive Order 11625, dated October 13,1971.

The terms used to describe poverty are: "business concerns suffering

economic injury;" "low-income or socially or economically disadvantaged

persons;" "disadvantaged persons;" "economicall~ or socially

disadvantaged businessmen." I

The Economic Injury Disaster Loans program lis authorized by the

Small Business Act, as amended (PL 93-386, August 23,1974), and the

Disaster Relief Act of 1970. These regulations set forth the time

limit of loans, the interest rate, and the Federal share; they provide an

orderly and continuing means of assistance by tqe Federal government to

State and local governments to help relieve sufflering in cases of disaster.

The Economic Opportunity Loans for Small Businesses program operates

under the Economic Opportunity Act of 1974, as amended, Sec. 401-404;

PL 88-452, as amended; 42 USC 2901,2902,2905, and 2906. It allots

50 percent of its loans to small businesses in urban areas owned by

low-income individuals. I

Minority Business Development --Procurement Assistance, Small

Business Act, as amended, PL 93-386, August 23,1974 Sec. 2, 8, and

and 9; PL 85-536, as amended; 15 USC 631,637, and 698; 42 USC 2901, 2902,

2906b, and 2906c; Economic Opportunity Act of 1964, as amended, Sec. 401,

402, 406, and 407; PL 88-452, as amended. This legislation authorizes

assistance in improving managerial skills of small businesses,

especially those located in urban and rural areas with high proportions

of unemployed or low-income individuals, or those owned by low-income

individuals.

Management and Technical Assistance for Disadvantaged Businessmen,

Economic Opportunity Act of 1964, as amended, Title IV, Sec. 406,

PL 90-222; 42 USC 2902(a). Under this Act, the administrator may "pay

all or part of the costs of projects designed to,provide technical

and management assistance ...to small business concerns located in

urban areas of high concentration of unemployed t r low-income individuals

or owned by low-income individuals."

Minority Vendors Program, Executive Orde; 11625, dated October 13,1971.

The Office of Minority Business Enterprise, esta~lished in 1969, aided

the development of the minority enterprise program. The Secretary of Commerce

123
has the authority: "(a) to implement Federal policy in support

of the minority business enterprise program; (b) provide additional

technical and management assistance to disadvantaged businesses; (c) to

assist in demonstration projects; and (d) to coordinate the participation

of all Federal departments and agencies in an increased minority

enterprise effort." I

I

124
ACTION

Action is an independent agency under the provisions of

Reorganization Plan 1, effective July 1,1971, and Executive Order

11603 of June 30, 1971. Its purpose is "to strengthen the impact

and appeal of citizen participation in programs providing personalized

services to people whose needs are compelling, both at home and

abroad." (Emphasis added)

There are five programs related to poverty under this agency.

They are:' the Foster Grandparents program, ,volunteers in Service to

America (VISTA), University Year for Actions (UYA), the Action

Cooperative Volunteer program (ACV), and the Senior Companion program.

The poverty-related expressions used by Action programs are

"low-income persons age 60 and over," "poor," "poverty communities,"

and "net income at or below OEO (CSA) Poverty Guidelines".

The Foster Grandparents program (Title II, Part B, of the Domestic

Volunteer Service Act of 1973) provides grants or contracts to public

and nonprofit private agencies and organizations to bear part or

all of the cost of projects encouraging low-income persons aged 60

or over to volunteer supportive person~to-person services in

health, education, and welfare to children having exceptional needs. The

director may approve assistance of more than 90 percent if he so desires,

and he may establish the criteria to be used.

Volunteers in Service to America (VISTA) is also authorized under

the provisions of the Domestic Volunteer Service Act of 1973 (Title I -

National Volunteer Antipoverty Programs, Part A, Sec. 101) and

provides full-time volunteer service, with appropriate powers and

responsibilities, to assist in the development and coordination

of the program. Its purpose is to eliminate poverty and poverty-related

human, social, and environmental problems in the U.S. through

the participation of persons from all walks of life and all age

groups, including the elderly and the retired. The time of service is

one term of two years.

The University Year for Action (UYA) was established by the

Domestic Volunteer Service Act of 1973 (Title I, Part B, PL 93-113).

It stipulates that college students may spend a year off campus

working on antipoverty projects, living in their working environment. The students receive academic credit for participating in

these programs, under guidelines established by the university.. Ten

percent of the funds for this program may be : used to encourage

participation by other than college students~

I

Action Cooperative Volunteer program' (Aqv) is authorized under

the ~mestic Volunteer Service ~ct of 1973.(~L 9~-113, Title,I, ~art C,

Spec1al Volunteer Program). Th1S program lS ~es1gned to ass1st 1n
the development and coordination of volunteer programs and attempts

to strengthen and support efforts to meet a broad range of human, social

and environmental needs, especially those relating to poverty. Persons

from all walks of life and from all age groups are recruited.

The Senior Companion program is authorized under Title II, Part B

Sec. 2ll(b) of the Domestic Volunteer Service Act. The program

offers an opportunity for low-income persons aged 60 or over

to volunteer to serve those persons having exceptional needs, such

as nursing care, home health care, meals on wheels, or developmental

disabilities. The volunteers act as "senior" companions to members

of these groups.

126
VETERANS ADMINISTRATION

The Veterans Administration was established as an independent agency

Executive Order 5398 of July 21, 1930. The Act of July 3,1930,

(46 Stat. 1016), authorized the President to consolidate and coordinate

the U.S. Veterans Bureau, Bureau of Pensions, and National Home

for Volunteer Soldiers.

The purpose of the Veterans Adminstration, among other things,

is to pr.ovide benefits for needy veterans and their dependents (spouses,

children, and parents). A "veteran" is a person who served in the

active military, naval, or air service, and who was discharged or

released therefrom under conditions other then dishonorable.

The word "needy" is used by the Veterans Administration to describe

the recipients of certain poverty-related benefits provided for the

veteran. Two programs for needy veterans are "Pension for Non-ServiceConnected Disability for Veterans" and "Pension to Veterans' Widows and

Children (Widows Pension)". u.s. Code 38, Chapter 15, Subchapter II--

Veterans Pensions, Sec. 521-23 (Non-Service-Connected Disability

Pension), and Subchapter III--Pensions to widows and Children, Sec.

531-545, is the authority for these two programs. PL 85-857

enacted Title 38, Veteran's Benefits, Sections 1 to 1500, which

is a compilation of the laws governing programs administered by the

Veterans Administration. i

This legislation establishes that assistance be provided to

"wartime veterans whose income and resources are insufficient and who

have non-service-connected disabilities that are permanent and total

or who are aged." j

Current legislation allows for assistance according to the amount of

resources and number of dependents the veteran has; the amount of

"countable" income, given the number of his de~ndents, determines a

veteran's eligibility to receive benefits. He or his beneficiaries

(widow or widower, children under 18 years of age, disabled before

age 18, or under 23 years of age if in school, or de~ndent parents)

are eligible if they meet the income test requirement. These benefits

are distributed equally in each state, the District of Columbia, Guam,

Puerto Rico, and the Virgin Islands. Veterans may also receive housing

and educational assistance, health services, and preference in Federal

employment.

Pensions for Veterans with Non-Service-Connected Disabilities is a

program which allows disabled or aged veterans (whose disabilities are

permanent) to receive financial aid. A veteran (male or female) receives

$3,000 annually (with only himself as a'dependent) and up to $4,200. An

additional $50 monthly is provided for th~ second and third dependent

with a maximum of three dependents. .!

127
Pensions to Veterans' widows and Children (Widows' Pension) are

issued to widows or widowers of veterans who meet the service requirements and who at the time of their deaths were receiving (or entitled

to receive) compensation or retirement pay based upon a serviceconnected disability. An unmarried widow without a child must have

an income of no more than $2,600 per year to be eligible for a

pension. The provisions of these programs change from time to time.

Dependent parents are also included under this program.

128







































































































































































Technical Paper IX

Inventory of Federal Data Bases

Related to the M~asurement of P~:ierty

Part A -'Non-Census Data Base.e

Part B -Data Bases of the Bureau of the Census and the Butea'U of

Economic Analysis in the Department of Commerce

U.S. Department of Health. Education. and Welfare
Technical Paper IX

Inventory of Federal Data Bases

Related to the Measurement of Poverty

Part A -Non-Census Data Bases

Part B -Data Bases of the Bureau of the Census and the Bureau of

Economic Analysis in the Department of Commerce

Part A -By: Connie Citro, Mathematica, Inc.

Part B -By: The Center for Census Use Studies, Bureau of the Censu~

U.S. Department of Health, Education, and Welfare
DEPARTMENT OF HEALTH, EDUCATION, AND WELFARE ".

OFFICE OF THE SECRETARY

WASHINGTON, D.C. 20201

Virginia Trotter

Assistant Secretary for Education

Department of Health, Education,

and Welfare

William A. fok>rrill

Assistant Secretary for Planning

am Evaluation'

Department of Health, Education,

and Welfare

I am pleased to forward Technical Paper IX, "Inventory of Federal

Data Bases Related to the Measurement of Poverty". It contains

supporting data for the report entitled The Measure of Pover~y which

was prepared in compliance with section 823 of the Education Amendments

of 1974. This paper was produced for the Poverty Studies Task Force

in two parts: Part A -Non-Census Data Bases, which was compiled b¥

Connie Citro, Mathematica, Inc., based on information provided by the

Task Force, and Part B -Data Bases of the Bureau of the Census and the

Bureau of Economic Analysis in the Department of Commerce, which was

prepared by the Center for Census Use Studies, Bureau of the Census.

It provides a general review and description of all relevant Federal

data bases and statistical activities.

~

'-

Bette Mahoney

Chairman

Poverty Studies Task Force
TABLE OF CONTENTS

PREFACE. :'. ,

roVERI'Y STUDIES TASK FORCE 4

ix

TECHNICAL PAPERS 1. x

PARI' A 1.. 1

AUTHOR'S ACKOOWLEI:X;EMENTS i 2

[TEXT] 1. 5

FOOIOOrES 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 00 0 0 0 0 0 0 0 0 0 0 1. .0 0 0 0 0 0 0 0 0 0 87

INDEX. 1. 88

PARr B 1. 91

I

cwrmTS 1 93

95 I

[TEXT] ~

i

FOOnImES ~

APPENDIX. ~

INDEX. 

~.

-'

v
PREFACE

Section 823 of the Education Amendments of 1974 (PL 93-380)

requires a thorough study of the manner in which the

relative measure of poverty for use in tne financial

assistance program, authorized by Title I of the Elementary

and Secondary Education Act of 1965, may be more accurately

and currently developed.

That financial assistance program is administered by the COftIniss;loner

of Education, through the Office of Education, Department of Health,

Education, and Welfare. An impor~ant feature is the use of a formula

prescribed by Section 103 of the Elementary and Secondary Education Act

for the annual distribution of Federal funds to school districts. A

significant factor in the formula is the numnber of school-aged children

5 to 17 in poor families within each school district. The measure of

poverty which is used, and which is the subject of the study mandated

by Section 823, is the Federal government's official statistical definition

of poverty (also known as the Orshansky, OMB, Census Bureau, or Social

Security poverty lines).

Other work related to poverty measurement has been called for in

recent legislative acts. In the Comprehensive Employment and Training

Act, the Secretary of Labor is directed to develop and maintain comprehensive household budget data at different levels of living, including

a "level of adequacy." Any such review of the level of adequacy must

necessarily be closely related to measures of poverty. The Housing and

Community Development Act of 1974 gives the Secretary of HUD authority

to adjust the poverty measure to reflect local var iations in the cost

of living. The Conference Report accompanying it directs the Secretary

to develop or obtain data with respect to the "e~tent of poverty" by

metropolitan areas and to submit sudh data to the Congress as part of

a March 31,1977, report.

Because of the broad scope of the subject matter, coverage of the

study of the measure of poverty mandated by Section 823 of the Education

Amendments of 1974 was extended to include i~lications of the study

findings for the poverty-related programs of all affected Federal

departments and agencies. The Title I program of the Elementary and

Secondary Education Act was given the most detailed treatment, to meet

the legislatively-mandated specifications for the study as well as to

serve as a primary example of application of the concepts of poverty

measurement to Federal programs. The findings of the study are published

in a report entitled, "The Measure of Poverty." An inportant objective

of the study was full discussion and documentation of the major elements

of currently applied and potentially usable poverty measures. Material

containing essential supporting documentation for the study was assembled

as technical papers. These have been written to stand alone as complete

technical treatments of specific subjects.

vii
The study was performed under the direct guidance of a Poverty

Studies Task Force of the Subcommittee on the Education of the Disadvantaged and Minorities, Federal Inter-Agency Committee on Education.

Technical papers were prepared at the request of, under the direction

of, and subject to review by the Task Force members. Some papers

are primarily the work of one or two ~t50ns; these are attributed to

their authors. Others result from the collective input of Task .Force

members or advisors and no specific attribution is given except -to

the Task Force, as a whole.

The following listings show members of the Poverty S,tudies Task

Force by appropriate Federal departments and agencies, and the titles

and authors of the technical papers.

This report contains Technical Paper IX, Inventory of Federal Data

Bases Related to the Measurement of Poverty. Part A -Non-Census Data

Bases, was compiled for the Poverty Studies Task Force by Connie Citro,

Mathematica, Inc. Part B, Data Bases of the Bureau of the Census and

the Bureau of Economic Analysis in the Department of Commerce, was

ptepared by the Center for Census Use Studies, Bureau of the Census.

To obtain copies of the reIX>rt, "The Measure of Poverty," or any of

the technical papers, please write to:

Office of the Assistant Secretary for Planning and Evaluation

Department of Health, Education, and Welfare

200 fndependence Avenue, S.W.

Room 4~3D -South Portal Building

Washington, D. C. 20201

viii
Federal Interagency Committee on Education

-Subcalmittee on Education for the Disadvantaged and Minorities

W.Jmrf S'lUDIES TASK FOR:E

Chairman

Bette 5. Mahoney

Office of the Assistant Secretary

for Pl~ aOO Evaluation

Department of EIealth, ~ucation, and Welfare

Co-OIairman for Education

Atrlul Khan

Office of the Assistant Secretary for Education

Department of Health, Education, and Welfare

David Arnauoo Eva Jacobs

Social and Rehabilitation Services Bureau of Labor Statistics

Depart11e1t of Health, Education, and Welfare Depart11e1t of Labor

Richard B. Clellller

Office of the Assistant Secretary

for Policy Devel~nt and Research

Depart11e1t of Rous~ and Urban Delrel(){:lllent

Genevieve O. Dane

Office of Educatioo

Department of Health, Education, and Welfare

William Dorfman

National Center for Educational Statistics

Departlle1t of Health, Education, an:! Welfare

Alan L. Ginsburg

Office of the Assistant Secretary

for Planning an:! Evaluation

DepartDent of Health, Education, an:! Welfare

George E. Hall

Social Statistics Branch

Office of Managellett am B~et

Jane Lanpnann

Office of the Assistant Secretary

for HlInan Developnent

Department of Health, Educatioo, am Welfare

Daniel Levine

Bureau of the Census

Depar~nt of Camlerce

Nelson McCl~

Office of Tax Analysis

Departnent of the Treasury

June O'Neil

Council of Econallic Advisors

Mollie Orshansky

Social Security Administration

Depar~nt of Health, Education, and Welfare

Israel Putnam

Carmunity Services Administration

Stephen Hienstra

Food and Nutrition Service

Department of Agriculture

Rck>ert L. Rizek

Agricultural Research Service

Departllent of Agriculture

Gooloo Wumerlich

Office of the Assistant Secretary for Health

Department of Health, Education, and Welfare

Paul T. Hill

National Institute for Education

Department of Health, Education, and Welfare

Staff Director

George F. Grob

Office of the Assistant Secretary

for Planning am Evaluation

ix
TrofilCAL PAP~

I. -~tation of BackgrouOO Information

aOO Ratiooale for Current Pwerty Matrix

II. Administrative and Legislative Usages of

the Terms "Poverty," ..~ Incane," and

Other Related Terms

Mollie Orshansky

Social Security Administration

Poverty ~udies Task Force

with assistance from Ellen Kraus

A Review of the Defiuition and Measurement of Poverty . Urban Systems Research

arxj E~ineering, Inc.

IV. Bureau of Labor Statistics Family

Budgets prCXJram

v.

The CotlSumer Price Imex

Mark SherWlxxi

Bureau of Labor Statistics

Jill King

Mathenatica, Inc.

VI .Weal th and the Accoun~ Perioo in

the Measurement of Means

In-kird Income and the Measurement of

POI7erty

The 1972-73 Consumer Expenditure

Survey

Nelson McClung and Eugene Steuerle

Department of the Treasury

Janice Peskin

Health, Education, and Welfare

Jill Ki~

Mathetlatica, Inc.

Connie Citro, Mathetlatica, Inc.

Bureau of the Census

IX. Inventory of Federal Data Bases Related

to the Measurement of Poverty

(a) Non-Census Data Bases

(b) Census Data Bases

X. Effect of Using a POverty Definition

Based on Household Incane

XI. Update of the Orshansky Index

Jack Mdleil, Doug Sater, Arno Winard

Bureau of the Census

Mollie Orshansky

Social Security Administration

XII. Food Plans for Poverty Measurement

Geographic Differences and Relative

Poverty

Betty Peterkin

Department of Agriculture

Jack M~eil

Bureau of the Census

Relative Measure of Poverty Stanley Stephenson

Health, Education, am Welfare

Thanas Carlin

Department of Agriculture

Abdul Khan am Herman Miller

Health, Educati~, am Welfare

XV. Analytic Support for Cost-of-Living

Differentials in the Poverty Thresholds

XVI. Implications of Alternative Measures

of Poverty on Title I of the Elementary

and Secondary Education Act

The Sensitivity of the Incidence of

Poverty to Different Measures of

Incalle: Sd1ool-age Children am

Families

Survey Research Center

University of Michigan

Characteristics of Low-Income

Populations Under Alternative

Pf:Nerty Definitions

Lawrence Brown

Health, Education, and Welfare

x
PART A

DATA BASES FROM THE U.s.

DEPARTMENTS OF AGRICULTURE; HEALTH,

EDUCATION, AND WELFARE; HOUSING AND

URBAN DEVELOPMENT; LABOR; AND

TRANSPORTATION I ""

"

1
Author's Acknowledgements

'nle corrpiler of the inventory in Part A of Technical Paper IX wishes

to acknowledge her debt to all of the Federal government departments whose

data bases are listed. She relied heavily on reports and documents published by the departments involved and also received willing help when

it was necessary to make a direct inquiry to clear up a point or obtain

added information. She takes responsibility for any remaining errors of

fact or interpretation in the descriptions of data bases.

Kristen Puckett of the Mathematica Policy Studies Group research

staff provided able assistance in putting together many of the data basedescriptions. 

Victoria Jones assumed the chief typing responsibility,

assisted by Diane Lichtman.

2
Table of Contents

Part A

~

5

5

6

8

INTOOOOCI'IOO Organization Federal Poverty-Related Data Resources: of Data the Inventory Bases An OverVleWin Part : A t j 

u.s. Agricultural DEPARTMENT OF AGRICULTURE Research Service, Consumer and Food Economics 10

Statistical Food and Nutr i tion Service Insti tute. Reporting Service .1. 10

18

23

28

28

,~2

47

52

u.s. DEPARTMENT OF HEALTH, EDUCATION, AND WELFARE Office of the Assistant Secretary for Planning and Evalua- ~ 

tion, Office of Income Security Policy/Research Public Health Service, Health Services and Mental Health

Administration, Social and Rehabilitation National Center for Health Statistics Service, National Center for

Social Security Adminstration, Social Statistics Office of Research and

Statistics.

66

66

U .S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT. Office of Policy Development and Research r

74

74

u.s. DEPARl'MENT OF LAOOR Bureau of Labor Statistics t 

u.s. DEPARTMENT OF TRANSPORTATION Federal Highway Adrninistration t ~ 83

83

FOOINOrES 87

INDEX. +.. 88

3
INTRODUCTION

The JOOst sophisticated definitions of poverty are of little practical use for structuring, administering, or evaluating government programs

directed towards alleviating poverty unless the definitions can be operational ized. That is, it must be possible to measure the extent of poverty

under one or another suggested definition using statistical information on

the number and characteristics of the population. The purpose of Technical

Paper IX is to compile in one comprehensive listing descriptions of those

federally-produced data bases and data files which may be helpful in defining

and rneasur ing poverty in the U. S .

The Technical Paper is in two parts: Part A, which covers the Departments of Agr icul ture; Health, Education, and Welfare; Housing and Urban

Development; Labor; and Transportation; and Part B, which covers the extensive data bases of the Bureau of the Census and of the Bureau of Economic

Analysis in the Department of Commerce. Part A was prepared by Mathematica,

Inc., and Part B by the Census Bureau, under contracts with the Office of

the Assistant Secretary for Planning and Evaluation, Department of Health,

Education, and welfare. The two parts follow somewhat different formats,

but are similar in concept and level of coverage.

Federal Data Resources: An Overview

Some perspective on the scope of Federal statistical activities may be

in order. From the first constitutionally-mandated census of population

in 1790 which contained only questions on age, sex, and race, Federal data

collection programs have grown enormously in number and content. 1/ Today

the Federal statistical establishment is a very large-scale operation

indeed.

The President's budget for fiscal year 1975 included obligations of over

$482 million for the principal current and periodic statistical programs of

the government, involving 10 Cabinet departments and over 50 agencies, bureaus, and commissions. This dollar figure amounts to .13 percent of total

estimated obligations of almost $361 billion for the year and represents an

increase in statistical expenditures of over 300 percent since fiscal year

1965. y

Two recent developments have greatly enhanced the usefulness of Federal

statistical series for the kinds of sophisticated analyses usually needed for

meaningful definition and measurement of complex concepts such as poverty.

First, the vast majority of data collected by Federal agencies are now recorded and maintained in computer-readable form, making possible a large number of complicated analyses at minimal time and expense compared to laborious

hand or mechanical data processing methods. Computer ized data products were

first available to outside users after the 1960 census; now, virtually every

publicly-available Federal set of data can be obtained on one or more computer tape files, in addition to the usual published reports.

5
Traditionally, whether in printed or computerized form, data released

for outside use have represented summaries or aggregations of individual

attribut~s. In a second major new development, Federal agencies are now

making Some data sets available at the micro level; i.e., for individual

persons or households. Examples are the 1960~~nd 1970 Census 1/100 Public Use

~les, the 1960-61 Consumer Expenditure General Purpose Survey Tape, and

the AFOC Survey files.

Strict confidentiality regulations prohibit the Census Bureau ancj other

agencies from releasing data which would permit the identification of individual persons. These provisions originally acted as a barrier to the I:-elease

of microdata. Agencies satisfied the confidentiality requirements by

deleting all names and addresses from their microdata files and by

eliminating other sources of identification, typically geographic location

for any area smaller than a state or large metropolis. In addition, public

use microdata files rarely contain more than a small fraction of the population, either because the original data collection effort was based on a

sample surveyor because a larger surveyor census waS sampled in creating

the microfile.

Microdata files permit the user to construct cross-tabulations or

other analyses to suit his or her own needs and specifications. For example,

a variety of poverty definitions can be measured using the 1970 Census

Public Use Sample, whereas only ltmited variation of the Orshansky measure

or simple income levels, ignoring family size or other characteristics, are

available for evaluation from either the printed or computerized summary

tabulations prepared by the Census Bureau. However, because of the steps

taken to preserve confidentiality, such as reducing the sample size and

blurring geographic identification, public use microfiles may still be

inadequate for research which needs to look at the population in very greatdetail. 

The Census Bureau and other agencies will usually perform special

tabulations of their complete files of individual data (often called basic

records) upon user request, although this can be a very expensive and

time-consuming process compared to working with already-available files.

Poverty-Related Data Bases

The National Archives has estimated that in 1970 Federal agencies had

in active use or storage about 5 1/2 million tape reels of data, representing

over 2,000 file series (where, for example, all of the files from the

1960 census are considered one series). 3/ These numbers are undoubtedly

higher at the present time. Of course, many series represent administrative

records of program operations, agency payrolls, financial management and similar data, rather than statistical series or even the kinds of records on

program recipients which can be useful analytically in conjunction with information about the broader population. Of the relevant files on .population

studies, only a limited subset is useful for measurement of alternative

definitions of poverty.

6
Nevertheless, there are a large number of data sets which bear on one

or another aspect of poverty measurement. This is because data can enter

into POVefty analyses at a number of stages: (1) conceptualization of

definitions of poverty; (2) development of operational measures; and

(3) estimation of the impact of alternative defipitions or measures in

terms of numbers and characteristics of "poor" persons and the consequent

effects on program costs and benefits.

As an example, the detailed data on family consumption patterns in the

Consumer Expenditure Surveys are useful in developing conceptual and operational definitions of poverty. However, the relatively small sample size

(about 10,000 households each year in the 1972-73 survey) and sparseness of

data on other family characteristics mean the expenditure surveys are not

useful for determining, for instance, the number of poor families by school

district or their educational or occupational status. Conversely, 1970 census data can be very useful in determining the number and characteristics of

families by geographic area which meet some measure of poverty. However,

they are much less useful in constructing an appropriate definition, given

the paucity of information on living standards, consumption patterns, cultural

attributes, or other factors outside of simple income levels which may be

relevant to a conceptualization of poverty.

The pur1X)se of Technical Paper IX, Parts A and B, is to provide an

inventory of Federal data bases that seem related in some way to the definition and measurement of 1X)verty. The emphasis is on completeness of coverage

to the extent 1X)ssible. Part A takes the following approach. First, there

are descriptions of data~; i.e., censuses, surveys, or administrative records programs, including such attributes as sample size, method of data collection, the kinds of information recorded for each person, household, client

case record, or other unit of observation, and pertinent publications. Then,

where public use computerized microdata files have been prepared from a data

base, individual listings are provided for each such file. 4/ Where no

public use data files have been prepared, this fact is noted, and users are

advised whether it is 1X)ssible to request special tabulations of the agency's

basic records. Coverage is limited to Federal data bases, including, however,

files prepared under contract by outside organizations. Generally, only

data bases of fairly recent origin or which constitute part of an ongoing

series are listed.

Clearly, although all concerned Federal agencies were canvased, some

relevant data bases may have been omitted. Also, clearly, the depth of description of each data base and file can in no sense be exhaustive --several

library shelves wQuld easily be required in that case. Generally, data bases

which seem most central for poverty measurement, as currently comtemplated, are

treated in greater detail compared to data bases that appear only marginally

related. Also, greater emphasis is given to data bases containing more recent

information. Where public use files prepared from a data base overlap considerably in content or geographical detail, the description attempts to provide information which will help ~ers assess the relative pros and cc;>ns of

I


a particular file for their own needs. In short, the two parts of Technical Paper IX are designed to serve as a comprehensive guide to Federal

Gover~nt poverty data bases, but not necessarily as an exhaustivereference.

Organization of the Inventory in Part A

The inventory of data bases and public use files in Part A is organized in the following manner by:

(I)

(2)

(3)

(4)

Executive department (alphabetical order)

Administration, bureau, or other departmental unit

(alphabetical order)

Data base, e.g., the 1965-66 Survey of Household

Food Consumption or the Annual Housing Survey (in

alphabetical order, with the most recent in a series

listed first)

Data file, e.g., the New Jersey Negative Income Tax

Analysis Tape

Data bases which because of periodicity or other reasons are much the

same in content, e.g., the AFDC Surveys, are treated together. Data bases

or files which were produced under contract by an outside organization are

listed under the sponsoring agency. Following the inventory is an index

of the data bases and files.

Each data base description includes the following:

--

Purpose of the census, survey, or administratii ve records program

in brief and its actual or possible application to poverty studies

Population universe included and sample size and design

Time period covered

Major content areas and geographic identification in fairly extensive detail (especially if no public use files were prepared),

with particular attention to income variables 5/ Relation to other data bases -

Data collection and processing methods, including the producing agency

Problems of reliability or validity affecting the data base generally

Plans for future changes or extensions

List of pertinent publications describing or applying the data

Availability of data and restrictions on use

Each dat~ file description includes:

Actual or possible applications of the file to poverty studies in

brief; merits and drawbacks of the file compared to other data

sources

Agency producing the file, which unless otherwise stated, is the

agency to contact for cost and ordering information

File structure

Sanpling rate, where applicable ,~-~_c ,.""'-

8
List of variables, particularly those related to poverty, with

others summarized where list is lengthy

~y specific problems of reliability or validity affecting the

data on the file

Technical characteristics, including record length(s) and number of tape reels r

List of pertinent publications documenting or evaluating the file

Not all of the attributes listed above are included in the description

for every data base and publ ic use file. Thus, i terns where the data base

and data file are the same and which are adequately treated in the description of the former are generally omitted from the data file description.

Also omitted are items which are not relevant to a particular data base or

file.

9
u.s. DEPARTMENT OF AGRICULTURE

Agricultural Research Service, Consumer and Food Ec~nomics Institute

.

Survey of Household FO<X1 Consumptign in the United States, 1965-66

Purpose ~nd Applicat~~n. The 1965-66 nationwide survey of household

food consumption is part of the Department of Agriculture's continuing

research program, started at the turn of the century, on the food and

nutrition of man. This survey was designed, as were earlier ones, to

collect information about the kinds and quantities of food people eat as

well as the amount of money they spend for food. Dietary levels of different

groups within the population are then computed from the nutrient content of

4-1,."" r"'Y"orted food.

In 1974 USDA made use of the 1965-66 survey in revising its three

family food plans --low-cost, moderate-cost, and liberal. The survey provided

the most recent information on actual food expenditure (preference) patterns

of families at different income levels and also f'or the first time provided

information on the food intake of individuals in the household. These data,

modified by analysis of nutritive content in relation to the Recommended Dietary Allowances of the National Academy of Sciences-National Research Council,

were used in constructing the revised plans. (The last major revision occurred

in 1964.) A "thrifty" food plan representing about 75 percent of the lowcost plan has just been developed using the 1965-66 data. An old "economy"

plan, which represented a simple 80 percent scaling of the previous lowcost plan, based on 1964 RDA and 1955 consumption data, is the heart of the

so-called Orshansky measure of poverty, currently used by many Federal agencies for program definition and evaluation.

~n~~e~se _and S~le. Information for the 1965-66 study of consumption from

household food supplies was collected by interviewing 15,101 households of

one or more members. They were scientifically selected to represent households in metropolitan areas, cities of various sizes, and rural farm and nonfarm areas in all parts of the United States except Alaska and Hawaii.

Excluded are the approximately 5 percent of the population who were not

housekeeping: 1.5 percent were not visited because they were living in group

quarters such as rooming houses, military installations, hospitals, and prisons;

the other 3-4 percent were excluded when an initial screening indicated that

they were in households in which no member ate as many as 10 meals from the

home fO<X:l supplies.

The sample design provided for a national self-weighting basic sample of

about 1/4500 of the universe (about 1/9000 for the spring sample alone),

plus a supplementary farm ~ 3mple which overweighted the number of farm households in the approximate proportion of 5 to 1.

10
The households to be interviewed were selected in accordance with a

multistage area sample design with added control by season. Delineation of

106 strata~ith equal numbers of households was accomplished by dividing

the coterminous United States into 27 classes --nine geographic divisions by

three population concentration classes, the latt~r comprising central cities

of Standard Metropolitan Statistical Areas (SMSA's), SMSA remainders, and

nonmetropolitan areas. Within each of the 27 classes, State Economic

Areas were identified and combined into strata containing approximately

1/2 million households.

For the basic sample, 144 first stage units of expected size of 10,000

households were selected at random --one from each of the 68 metropolitan

strata (40 in the central city and 28 outside) and two from each of the

38 nonrnetropolitan strata. Within each first stage unit, second stage units

of 30 expected housing units were selected, also at random --approximately

19 from each SMSA stratum and nine or ten from each nonmetropolitan stratum.

There were approximately 2,000 second stage units in the basic sample.

Each of the second stage units was visited and a list of housing unitsprepared. 

By systematic selection, housing units were chosen for interview

in the spring in sufficient number to yield an average of three schedules

per second stage unit after allowing for vacancies and ineligibles or otherwise nonparticipating households. The lists were updated in the summer, fall,

and winter, and a sufficient number of households chosen to yield an average

of one schedule per second stage unit in each of these seasons. Selection

of housing units from the second stage units was independent for each season.

The farm household universe is relatively small. If it had been represented in its true proportion, there would have been too few schedules to

support analysis. Therefore, a supplementary farm household ~le was added

to the basic sample. This supplement of about 500 second stage units was

drawn from the 104 previously selected first stage units in the nonmetropolitan areas and the parts of the SMSA I s outside the central cities. These

second stage units were allocated between the metropolitan and nonmetro~)litan

sectors in proportion to the estimated number of farm households, but se:Lection

was made with probability proportionate to total number of households. Field

collection showed that "total households" was not a good indicator of farm

household distribution within the metropolitan sector. To prevent under--

representation in this sector, 40 of the second stage units were withdrawn

and 35 others were doubled in size.

No substitutes were provided for households unable or unwilling to'

participate in the survey. Interviewers were instructed to call as many as

three times if necessary to make the original contact in rural places, four

times in urban places, and six times in 281 second stage sample units in 15

large cities where collection difficulties were anticipated.

Time Period. Interviewing began in all regions on April 3, 1965, and

continued until April 2, 1966. Each family was asked to report on its fcJod

consumption for the seven days preceding the interview.

11
The 15,101 interviews were allocated by time and place so that

optimum use could be made of the schedules for the various kinds of

anal~s units. Thus half the schedules (7,532) were collected in spring

1965 and the other half distributed equally among the three other seasons

(summer and fall, 1965, and winter, 1966); j.e., about 2,500 households in

each season.

Major Content Areas and Geographic Identification. Data collected in

the 1965-66 Survey of Household Food Consumption included detailed information about the amounts and costs of foods (including alcoholic and other

beverages) used at home during the seven days preceding the interview.

Eighteen major food groups were identified (e.g., meat, sugar and sweets)

and over 2,500 indi~/idual food items (e.g., frozen strawberries, small

eggs) --almost 300 such items were identified in published reports from

the survey). Information was recorded for food used at home (bought,

home-produced, federally-donated, or received as a gift or pay) and also

for food eaten away from home for which family members paid.

Households in the spring sample were asked about the kinds of food

that were home produced and home preserved during 1964; households in the

winter sample were asked about the use of the fat on the beef and pork consumed during the survey week. InfoDnation collected on the household itself

included age, sex, height, weight, status in household, how many meals

each member ate at home or away, plus the age, race, education, and employment status of the homemaker.

Information obtained on income included total income after taxes in

1964 and 1965 grouped in 14 categories (thousand dollar intervals from

under $1,000 to $9,000-9,999, then $10,000-11,999, $12,000-14,999, $15,000-

24,999, and $25,000 or more) and whether or not the family received income

from one or more of nine sources (wages; dividends, interest, mineral rights,

rents, royalties; social security, pensions, veterans' assistance, workmen's

compensation, disability payments; unemployment insurance; cash contributions

and gifts, alimony and child support, cash prizes; welfare assistance of any

kind; regular private insurance payments, annuities,' trust funds; roamers,

boarders, baby sitting, odd jobs, selling eggs or garden produce, arts and

crafts; other income such as soil bank payments). Families with less than

$5,000 income were asked if they received federally donated foods, food

stamps, free housing or rent, and free medical care in 1964 or 1965, and

the amount of public welfare received, separately identified where possible

for rent, fuel or utilities, food, and clothing.

Finally, the spring portion of the 1965-66 survey included information

on a day's food intake of individuals in addition to the regular. household

food consumption data.

Geographic identification for each household in the survey was by the

nine geographic divisions as defined by the Bureau of the Census and by

urban, rural nonfarm, or rur~farm.

12
Relation to Other Data Bases. USDA has made four previous nationwide

surveys of food cons~tion in the past 30 years --in 1936, 1942,

1948 (YI-~ only), and 1955. The chief difference between the 1965-66

nationwide survey and the earlier surveys is that the 1965-66 survey

is the only one which covered all four seasons, of the year. In addit,ion,

the 1965-66 survey was the first to obtain nationwide data on food

intake of individuals. In general, the 1965-66 data on food cons~tiQn

can be compared with data from the Department's earlier surveys and

with those from other large surveys of food purchases. Although there

may have been a substantial difference between the purchase and consumption of food for an individual family during a week, average purchases

for a larger number of families tended to equal average cons~tion.

As in earlier USDA surveys, food cons~tioh was measured at the level

at which the food came into the kitchen. Thus, the data should be

considered as economic consumption rather than as physiological

consumption.

A major purpose of the 1965-66 survey was to compare food consumption in the spring of 1965 with information collected in the 1955 survey.

In general, the methods followed in the two surveys were the same. Some

differences that might affect comparability follow:

(1 Modification of the schedule

To facilitate machine computation, the design of

the schedule was different from that of the

questionnaire used in 1955.

In 1955, a figure for income was derived from a

detailed set of questions asked by the inter-viewer. 

For the 1965 survey, a "global" figure

for income was obtained by asking the respondent to estimate 1964 money income after first

asking about specific sources of income.

Separate information on donated food issued to

low-income families was not obtained in 1955.

In 1965 separate data were obtained on the

quantity of donated food received and on the

percentage of families participating in the

food distribution program.

The 1955 questionnaire contained a section on

home-baking which was not included in the 1965

questionnaire. On the other hand, the 1965

survey obtained data on the food intake of individuals, a section which was not included in

the 1955 survey. Both sets of questions helped

to remind the respondent of food omitted from

13
the household portion of the questionnaire, but

each did so in a different manner.

Change in the data collected

..

.

In 1965 data on the quantity and money value of alcoholic

beverages used were collected, whereas in 1955 only the~

expense for purchases within the survey week was obtained.

(3) Treatment of households of single individuals

The publ ished 1955 data by income were for households

of two or more persons. In addition, the data for

one-person households were shown separately in each

table. In 1965 the income classifications included

all households regardless of size.

Exclusion of the money value of food used by boarders and help

In 1955 the money value of food used at home was adjusted to exclude the value of food used by boarders

and farm help. In 1965 this adjustment was not made

because the effect had been found to be very slight.

Differences in the handling of homemade mixtures

Homemade mixtures on hand at the beginning of the

seven-day period and used during the survey week in

1965 were included in prepared form, whereas in 1955

such mixtures were included as individual ingredients.

Changes in groupings of food items shown in the published

reports

(6)

To help those who wish to make comparisons between the two surveys,

some comparable data are shown below.

1955

3,890

1965

5,550

~ousehold Food Consumption Survey Data

Median income. dollars

Average Household size. persons 3.33 3.29

25.

22.

1.

4.

28.

26.

1.

.

6.

Money value of food per household:

At home, total. dollars

Purchased. dollars

Home produced. dollars

Other. dollars

Away from home, total. dollars

BLS Consumer Price Index, U.S. city average

(1957-59=100), food at home (Apri1-June). ... 94.8 106.8

14

18

61.87

,70

.76

,90

95.27

.68,II
Data Co~~e£~i~n. and Pr2ce~s!n~Me~h~s. The 1965-66 food conswnption

data were collected by personal Interviews with household members,

usually the homemaker. Experienced interviewers, who were schooled

in the coi~ction of data for this survey, used a detailed food

list to help the homemaker recall the kinds, quantities, and costs

of foods used during the previous week. ..

In the collection process not all housing units yielded schedules. Sometimes no one was contacted even after repeated visits. In some households no

member ate at least ten meals from the home food supply during the seven days

preceding the interview and, therefore, they were ineligible for the survey.

Some eligible families were unwilling or unable to participate. The eligible

non-participants constituted about 20 percent of the eligible households in

the survey.

Two operations in the field deviated from original plans. In the North

Central region too few supplementary farm schedules were collected. Because

there was no apparent bias, the shortage was counteracted by applying a

weight of 0.25 to all North Central farm schedules instead of 0.2 as in the

other regions.

The other deviation also concerns the supplementary farm sample.

Because "total households" was revealed as a poor indicator of farm household distribution within the metropolitan sector, an adjustment was made by

withdrawing a few segments and enlarging a few others. This affected only

seven percent of the supplementary farm sample segments end was intended to

avoid underrepresentation of the farms in SMSA's. No information on this

problem was available for the nonrnetropolitan sector. The net result could

be slight overrepresentation of farms in the more densely populated areas

of both sectors.

~*~abili!y/Va~id~~y Pr~blems. How well the sanple of scheduled

households represents the unlverse, as designed, was usually appraised

in three steps. First, a comparison was made between the sample of all

households visited (whether or not they were eligible to participate)

with some outside source of data such as census reports to see if

there was a good cross-section of the universe of all households.

Second, a comparison was made between the eligible and ineligible

households to show whether the households declared ineligible were

different from those declared eligible. Third, a comparison was made

between the eligible participants and eligible nonparticipants to evaluate

possible kinds of nonresponse.

Data were available only to compare the characteristics of scheduled

households with census reports relating to all households. Definitions

were not strictly comparable. A census household consists of occupants

of a housing unit, whereas in this survey, a household was not scheduled

unless some member ate at least ten meals from the household food supply

15
during the seven days preceding the interview. Most of the census data

refer to 1960 and changes during the five years were to be expected.

Comparison indicates that the sample may have overrepresented the

South, homeowners, and housing units larger than average. Distribution

of sample households by urbanization approximates the 1960 census distribution, but does not reflect the changa'that took place between 1960 and

1965. The shift, brought about mainly by increased' urban development in

areas surrounding large cities, was not considered in setting up-the

sampling frame. Adjustment cannot be made by introducing weights because

the problem is essentially one of misclassification rather than improper

proportion. About 4 percent of the households were affected. Thus,

differences between urban and rural data could be underestimated.

Age and sex distribution of household members, number of rooms in

the housing unit, and kinds of cooking fuel used seem reasonable as do proportion of nonwhite (except in the urban areas where the sample proportion

was high), size of farms, and time spent in work off the farm by the

operator. In sum, the sample may reasonably be considered representative

of housekeeping households in the United States.

List of Pub! ications

Peterkin, Betty, "USDA Family Food Plans, 1974." Paper presented

at the 1975 National Agricultural Outlook Conference, Washington

D. C., December 12,1974.

Descr ibes the procedures and data used to revise USDA's three

family food plans --low cost, moderate-cost, and liberal.

U.S. Department of Agriculture, Agricultural Research Service,

ConsLUner and Food Economics Institute. 'l11e ~riftz: Food Plan.

Decerrt>er 1975.

Reports issued by the U.S. Department of Agriculture, Agricultural

Research Service, from the Household Food Consumption Survey,

1965-66, include:

Food Cons~tion of Households in the United States, Spring, 1965 Re"fX>rt-No--:-I.-1968. ~

Food and Nutrient Intake of Individuals in the United States,

SE~irig! 1965. Re~rt No. 11. January 1972.-

Food ConsUl1Ption of Households by Money Va!~e of Food and Qual! ty

~J;§J;:- -Re:£)6ct N-O-:-rT:- OCtO"beTI97T:-

~a~va~lability ~d ~s~r~;~ion~. The data described above

are maintaIned on computer tape files for each household in the

survey together with nutritive values of every possible food

16
List of Publications -

Report No.1

Report No.2

Report No.4.

1956.

Report No.5.

1957

Report No.6

17
Report No.9.1957.

Report No. lO~.

1957.

The 1955 survey data were not

Food and Nutrition Service

~u~po~e and Application. This first national survey of recipients

of the food stamp and food distribution programs, conducted in early 1974,

was designed to find out who the recipients were, what benefits they received, and how much total income they had from a variety of public and

private sources. A chief purpose of the study was to determine the

incidence and extent of receipt of multiple benefits fram various

federal welfare programs. Data from the survey have also been used

to study inequities within the food stamp program itself.

18
~~i ~erse ~. ~~!e. The universe consisted of all households

certifIed as elIgIble to participate in food stamp and food distribution

programs ~~-November 1973 in the 48 coterminous United States, the

District of Columbia, and Puerto Rico. As of February 1972, the

base month for the initial list of sample project areas, the universe

was estimated at 3,532,000 food stamp and 1,125,000 food distribution

households. An independent sample of 3,600 households for each program,

representing about 1/1000 of the former program universe and 1/300 of

the latter, was selected in October 1973 from updated lists of project

areas and households by a two-stage random sampling method designed

by the Statistical Reporting Service, USDA. Personal interviews were

conpleted in 2,191 food stamp and 2,364 food distribution households

out the of 7,200 household sample, for actual samples of about 1/1600

and 1/500 of their respective program universes.

Time Period. The Chilton Survey data were collected in January

and February, 1974; however, they reflect the situation that existed

in each household in November 1973. If data for November 1973 were

not available, monthly data were obtained in terms of the last 12

months or other appropriate time periods and apportioned to November

1973.

~a~~~, ~~nt;nt Are~s am ~~rap?i~ ~I~en~i~i~a~i~n. Data collected

in the ChIlton Survey for each household Included InfoDnation about

participation in the food stamp or food d istr ibution program (e. g. ,

for the fonner, bonus value, amount paid, number of months eligible

am partipating since November 1972, actual and desired frequency

of purchase within a month, and partial purchase); participation

in special food programs for pregnant women am preschool children;

cost of food eaten or prepared in the home and of food purchased

and eaten away from home; characteristics of each household member,

including age, sex, relationship to head, race (by interviewer observation), and employment status for persons 18 and older; hospital and

medical expenses and receipt of Medicare or Medicaid benefits; mortgage,

tax, and insurance payments for homeowners and receipt of benefits from

housing programs; and utility payments. Most variables were for the

month of November 1973; however, some were collected on an annual basis.

Income data included after-tax earnings in November for each employed

person 18 years or older, plus household income in November and all 12 months

of 1973 from 18 different sources: retirement pensions, Social Security,

annuities, alimony or child support, unemployment compensation, ,workmen's

compensation, strike benefits from a union, veterans' benefits, AFDC, Aid to

the Blind, Aid to the Disabled, Aid to the Aged, General Assistance, rents

including room and board, interest from loans or savings, dividends and other

returns on investments, gifts and inheritances, and all other sources.

Geographic identification was limited to inside and outside metropolitan

area, rural farm, rural nonfarm, central city and other urban areas.

19
Relation to Other Data Bases. USDA has not previously conducted

a survey of food program participants, although Food Stamp suwlements

-administered in the June 1973, and August 1974, and April and August

1975 CPS collected similar kinds of data.

Data ~ll~c~l~n ~~ proc~ssIng_Me~od2. The ChIlton Research

Services, located In Radnor, Pennsylvania, collected and tabul_ated

the survey data. They pretested the questionnaires simultaneously

in Philadelphia, Pennsylvania, and Wilmington, Delaware, in October

1973. The actual survey data were collected in January and February

1974, reflecting the situation that existed in each household in

November 1973 whenever possible.

IEliability;Validity Problems. Every effort was made to reduce

the errors of underreporting, nonreporting, or misreporting of

income and expenditures data in this survey, but some still occurred.

Major reasons for errors were:

Overlooking income received, especially small amounts of

income not regularly received: e.g., contributions from

non-household ment:>ers

(1)

(2) Reluctance of respondents to reveal certain types of income

(3) Rounding

(4) Misunderstanding the questions. This appears to have been

a prevalent problem in the survey. Often, the respondents

were not familiar with names of various Federal income

transfer programs and were unable to distinguish one from

another. Thus, they tended to underreport the number of

Federal programs in which they participated. For example,

many households covered by Medicaid or Medicare by virtue

of their status as public assistance or Social Security

beneficiaries failed to report this coverage, expecially

if no household member received subsidized health care

during November 1973. Or, parents may not have known

that their children participated in the special milk program in school. The number and amount of public income

transfer benefits tabulated as received by sampled households are, therefore, likely to be conservative.

Lack of precise information, especially cover ing family

members not present at the interview. In most cases,

information on income and expenditures was based on the

respondent's memory rather than on household records.

Interviewer's errors

Coding and data processing errors, etc.

20
Another possible source of bias may have resulted f<om nonresponses.

Of the 7,200 sample households, 2,645 did not respond for various reasons as

listed belGW. There were 856 households (no one at home or no eligible

respondent at home) for which interviews theoretically could have been completed through additional callbacks. .

~ason for No!!re§p<;)nse, Chilton ~ood Program Survey, 1973

Number of

Households

833

684

204

132

152

122

119

73

40

41

1Ifj"-"~"'"'P'~':C' Unable to locate 'f~::!t~£ I. N t h ,~~' ',,;;;;,,~.'w; i".fii,1'}

0 one a orne ""'! ""':;;~ 1 I ~:':'. No onger e 191 e ' ' bl '"" c'C t:c';~"

No eligible respondent* at home

Moved out of county

No such address

Eligible respondent ill or hospitalized, or death in family

Refused

Eligibl~ respondent not in county for duration of survey

Language barrier or hearing difficulty

Other reasons such as the contractor's inability to locate

qualified interviewers, interviewer illness, bad weather,

and inability to obtain gasoline due to rationing or

shortage 245

*The eligible respondents were either male or female heads of households,

or their spouses, or any other adult household member who was familiar

with the sources of house income(s) and expenditures.

In order to measure the potential effect of nonresponses, to the degree

that such bias existed, an analysis was performed using as the standard of measurement the number of personal calls (household visits) made to obtain each

interview. Comparisons of households interviewed on the first call were made

with those interviewed after the second and third calls on the following four

factors: residence, race, employment status, and net income.

The results indicate that households interviewed on the first call tended

to be more nonmetropolitan, more whites, more household heads not in the

civilian labor force, and lower average income. If one assumes that such a

trend existed and a similar comparison could be made between the sets of

respondents and the 856 nonrespondents, then the survey results would have

been biased toward nonmetropolitan, white, household heads not in the labor

force, and lower income.

However, the direction of bias cannot be determined for the other l, 789

non-responses, or 68 percent of total nonresponses, because the reasons

given do not easily lend themselves to analysis. It is, therefore, difficult

21
to offer conclusive statements concerning the degree of bias, let alone the

direction; but all considered biases appear to be neutral and they may not

unduly distort the final results.

Data were based on a random sample. .'Therefore, they normally would have

differed from the data collected from a complete census. Further, particular

care should be exercised in interpreting data based on a relatively small

number of cases or small differences between numbers. As in any survey,

the results are subject to response and nonreporting errors as well as to

sampling variability.

List of Publications

u.s. Congress. Senate. Committee on Agriculture and Forestry.

~ocx1_S!;~ ~~ograrn; ~_Ree2rt in Accordance with Senate

Resolution 58. July 21,1975.

This report was prepared by the Food am Nutrition Service

of USDA, pursuant to a Senate resolution of February 5,1975,

which asked the Department to address itself to several areas

of Congressional and public concern with the food stamp program.

The study first evaluates the program in terms of trends in

costs and caseloads, characteristics of participants and rates

of participation, relative size of benefits and relationship to

other Federal programs, and then makes legislative recommendations. Data from the Chilton Survey and other sources are used

in the program evaluation section.

u.s. Congress, Subcommittee on Fiscal Policy of the Joint Economic

Coomittee. N~ti~nal ~u~vey of F~ .S~~ aOO ~oOO Di~tribution

pr~; am R~cipl;n~s: ..A SUImI~r~ ~!. F ;nd;ngs -~!:!; Inc~e. ~our.<;:es

and Amounts aOO Incidence of Multi Ie Benefits. Studies In

PubliC Welfare. Paper No. I. December 974.

Presents tabulations of multiple benefits receipt by food program

participants from the Chilton Survey; describes and evaluates

the survey; includes descriptions of the food stamp and food distribution programs.

u.s. Department of Health, Education, and Welfare, Office of the

Assistant Secretary for Planning and Evaluation, Office of

Incane Security Policy. Who Uses FoOO Stamps --Evidence fr~

~~l~ S~r~e~s ~f 1973 and 1974, by Jonathan P. Lane.

TechnIcal Note No~ 1. April 1975.

Compares data on food stamp participants from the Chilton Survey,

June 1973 CPS, August 1974 CPS, and the Michigan Longitudinal

Survey for 1974. """

22
Data Availability and Restrictions. The data described above

have been maintained on computer tape files for each household in

the survey Qy the Food and Nutrition Service, USDA. No public use

microdata ~ summary files have been prepared; however, special

tabulations can be obtained upon request for the ~ost of preparation.

Statistical Reporting Service

1973 Farm Family Living Expeooiture Survey

Pu~~~e and A~*!cation. The 1973 nationwide survey of farm

family lIVIng expendItures was designed to collect information about

the kinds, quantitites, and costs of purchases made by the farm

population. USDA will use the survey results to reweight the market

basket of goods which is regularly priced by the Statistical Reporting

Service to determine the Index of Prices Paid by Farmers. The market

basket weights currently used in the index reflect buying patterns

from a similar survey of farm living expenditures conducted in 1955.

The Index of Prices Paid by Farmers is potentially very ~rtant

for development of poverty measures and programs for the farm population,

because the well-known Consumer Price Index, which is currently used to

update both the farm and nonfarm poverty standards of the Orshansky

measure, reflects only prices paid by urban wage earners and clerical

workers. Data from the 1973 Farm ExpendItUre Survey indicate that

buying habits have changed markedly, with food and clothing purchases

dropping and transportation purchases rising in proportions of farm

family expenditures compared to 1955.

Universe and Sample. Information for the 1973 study of farm family

living expenditures was collected by interview of 2,621 fanm-operator

households at three points during the year. The sample design provided

for a national self-weighting sample of about 1/1000 of the universe,

developed iran a two-stage selection procedure.

The first stage of sampling consisted of the selection of 121 counties

as the pr imary sampling uni ts (PSU IS) .Every county in the Nation had a chance

to be selected; however, those with more farms had a greater chance of being

chosen.

The second stage of sampling was the selection of certain segments of land

within each PSU. Since family living expenditures are not clearly related to

size of farms, the segments were chosen so that all faoms, regardless of size,

had the same chance of being selected. This procedure resulted in a selfweighting sample design that also provided each enumerator about the same workload in every PSU.

The definition of a farm was that used by SRS on other surveys and by the

Census Bureau for the 1969 Census of Agriculture, except a farm could have more

23
than one operator living on it.

segrnent~ were to be interviewed.

All farm operators residing inside the selected

A total of 2,621, or 81 percent of the 3,251 eligible farm operators in the

total national sample, completed a questionnaire for all three interviews. A

questionnaire had to be complete for all three interviews in order to be included

in the summary tabulations. The survey weighting factors were adjusted to accoun

for the 19 percent incompleteness.

Time Period. Interviewing for the 1973 Farm Living Expenditure Survey took-place-ln April and June 1973 and January 1974. Respondents

were visited three times instead of once as in earlier surveys so that the

expenditure information would be current. Thus, the initial interview

in April 1973 covered the first quarter of the year to obtain first-of-year

inventories and expenditure data for frequently purchased items. Second

quarter data were collected in July. The final interview in January 1974

asked about expenditures for items purchased during the last half of 1973,

annual expenditures for items purchased infrequently, and information

on income and assets.

Note that the expenditure data collected were recorded under one of three

different time concepts. The basic concept used for most items and services

was the year of obligation; the expense was recorded ortly if the family obligated itself for this expense during 1973. Exceptions to this were the purchase of new homes and fuels and utilities. The cost of a new home was

recorded if it met the year-of-acquisition concept which meant it was physically occ~ied during 1973. Expenses for fuels and utilities were collected

under the payment-year concept, that is, expenses were recorded for a 12-

month period and not necessarily the 1973 calendar year.

Major Content Areas and qeographic I~e~tifi£ati2n. Detailed information

on expenditures was collected for each farm household in the sample, or more

properly, for those members of the household who formed a consumer unit.

(Household members not counted in the consumer unit were those who paid

for their food, clothing, and shelter out of their own money or had

their needs paid for by another person not in the household.)

Information collected about the consumer unit included housing tenure and

type (house, apartment, mobile home), and the relationship, age, sex, armed

forces status, marital status, and employment status (weeks worked, full or

part-time) of each member. Detailed information was collected about the following kinds of expenditures: rent and maintenance expenses not reimbursed by

the landlord; real estate transactions; mortgage payments, property taxes, and

special assessments; repairs and maintenance expenditures; fuels, utilities,

and household help; clothing and household textiles, including a description of

each item, for whom it was purchased, quantity, month of purchase, and cost,

with over 130 separate kinds of items identified (e.g., towels, aisposable

diapers, swim suits); major equipment items, including Ian inventory of those

already owned as well. as those purchased during the ye4r (15 items identified);

24
minor equipment items (almost 50 items, such as iron, blender, bicycie); service

contracts, equipment repairs; house furnishings (71 items, such as sofa, china

cabinet, paiRtings); vehicles (9 types including cars, boats, and planes);

renting and leasing vehicles; vehicle operating expenses; out-of-town trips

and vacations; insurance (life, health, etc.); medical and health expenditures;

educational expenses; subscriptions and memberships; and miscellaneous. In

addition, weekly or monthly spending patterns were identified for food and:

beverages, film, books, pet food, laundry services, public transportation

banking, hair care and personal care. Mbst items were asked in all three

waves; however, as noted before, some items such as major equipment and

rent, were asked only in the first and third waves or the third wave only.

Income data included wages, net farm income, and net nonfarm business

or professional income for each employed person 14 years and over, with

payroll deductions identified. Income for the entire consumer unit was

ascertained for seven other sources: Social Security and railroad retirement; interest; welfare; unemployment insurance, workmen's compensation,

veterans' assistance and government retirement; private pensions, alimony

and child support, and other outside support; rents and royalties; and

other income including lump sum inheritance, gifts, etc. Food stamp benefits and the value of home-produced food were also ascertained, as were the

value of the unit's home, the amounts of any loans or credit accounts with

banks, department stores, etc., and the amounts of tax or insurance refunds.

Finally, as an offset to income, the amounts of income and property taxes not

withheld or reported elsewhere, cash gifts, support payments, and contributions to persons or organizations outside the household, and work-related

expenses were determined.

Geographic identification in the Farm Living Expenditure Survey was

limited to the four regions (Northeast, North Central, South, and West).

Relation to Other Data Bases. USDA previously conducted a Farm Family

LiviriiE~drture Survey inl~55. In general, data from the 1955 and 1973

surveys are comparable, except that data from the latter are probably more

reliable, as families were interviewed three times during the survey year

instead of only once as in the 1955 and earlier surveys. Results for 1973

indicated substantial changes in expenditure patterns from 1955. To help

those who wish to make comparisons between the two surveys, some comparable

data are shown below.

25
Farm Family Living Expenditures Da~a

1955 ~

3.8

49.6

NA

$3,309

3.53

50.4

$12,371

$9,317

Average: .

Total Far~perator Age Family of expenditures far~perator income Percent before family spent for size. taxes. family family on: head. living. 

Food .

Housing. Clothing. Transportation. Medical All other. care. 

25.2

28.1

13.0

11.4

7.3

15.0

21.7

28.7

7.0

17.6

6.7

18.4

Data Collection and Processing Method~. Statistical Reporting Servic

supervisors in each state who were responsible for conducting the survey

attended a five-day national training school for the first survey period.

Correspondence studies were used for training for the second survey interview, and a three and one-half day national training school was scheduled

for the third survey period. After each training session, state supervisc

conducted similar training for local enumerators before field work starte6

All survey data were collected by personal interviews. During the

initial interview, screening questionnaires were used in the selected are,

segments to determine if respondents qualified as farm operators. The san

farm-operator families were interviewed in subsequent surveys unless they

had moved to a new residence beyond a reasonable driving distance. The

average times for interviews were approximately 2 1/2 hours for the initic

visit, 11/2 hours for the second portion, and 3 hours for the concluding

segment.

The composition of the consumer unit was reviewed during each interview because expenditures were to be recorded for each CU member only for

the time he or she was considered to be a part of the cu.

Reliability/Val!dity Problems. Because processing of the 1973 Farm

Family Living Expenditures Survey has just been completed, it is too

soon to determine whether there are particular problems of reliability

or validity that affect its usefulness. As with any survey, the results

are subject to sampling variability and nonsampling errors. The most

prominent nonsampling errors or biases characterizing expenditure

surveys are: (1) recalling errors which tend to result in underreporting

particularly when the length of the recall period is long and/or the

interview questions are general rather than specific; (2) telescoping

errors such as respondents tending to report a more recent date than

26
List of Publications

u.s. Department of Agriculture, Statistical Reporting Service.

Fa rator Famil Livi E nditures for 1973. September 1975.

~

27
U.S. DEPARTMENT OF HEALTH, EDUCATION, AND WELFARE

-

Office of the Assistant Secretary for Planning and Evaluation,

Office of Income Security Policy/Research ..

Purpose_a~d Applicat!on. The Income Maintenance Experiments were

originally sponsored by the Office of Economic Opportunity. A combined

grant to the Institute for Research on Poverty at the University of

Wisconsin and Mathematica, Inc. was approved on June 30, 1967, for

the Pennsylvania-New Jersey Graduated Work Incentive Experiment

(more commonly called the New Jersey Negative Income Tax Experiment

or NIT). This experiment was designed-to measure the effects of

instituting an income maintenance plan to replace the current welfare

system, with special attention paid to the employment disincentives of

such a plan. The parameters of a negative income tax --the guarantee

and the tax rate --were varied to determine the strength of these

incentives. The NIT was carried out in four cities: pater$On-Passaic,

Jersey City, and Trenton in New Jersey and Scranton in Pennsylvania.

The Seattle and Denver Income Maintenance Experiments (SIME and DIME)

were started about two years later to study the effects of longer-range

guarantees. In the NIT, families knew they could receive payments for only

three years; however, people may respond differently to a permanent plan.

Thus, some families in SIME and DIME were told they would be eligible for

payments for three, five, or as many as twenty years. Denver and Seattle

also provided geographic diversity, with Denver including a previously

non-sampled group of interest --the Chicano population --as well as a more

stable labor force than Seattle. SIME and DIME were also designed to measure

the effects of providing various sorts of manpower training and counseling at

varying levels of cost to the recipient.

The Rural Income Maintenance Experiment (RIME), which began in 1969,

was conducted to investigate the effects of an income maintenance plan on

the rural segment of the population, including the elderly who were excluded

from all the other experiments. RIME was carried out in two states: Iowa

and North Carolina. Finally, the Gary (Indiana) Income Maintenance Experiment

(GIME), which began in 1970, focused primarily on the differential effects

of such a plan on families with one head versus two-parent families. In

addition, GIME was designed to measure the effects of providing social servicE

and subsidies for day care.

Clearly, all of the income maintenance experiments, because they focus

on the low-income population, are highly relevant to poverty studies. Moreover, their longitudinal nature plus the fact that key income, expenses, and

job experience items were collected monthly mean they are particularly

suited to studies of changes in poverty status over both very long and very

short periods of time.

28
Universe and Sample. In each of the urban experiments the universe

was a set of neighborhoods designated as "poor" on the basis of a housing

survey. In=RIME the universe was a set of nonmetropolitan counties designated as poor within each of the two states. Fam~lies in the selected

neighborhoods or counties were given a pre-enrollment or screening interview to provide information necessary for final sampling.

The sampling plan for each experiment was quite complex, attempting

to maximize information (and minimize estimated errors) subject to a budget

constraint on the total amount of government money available for payments

to the families. This problem led to the adoption of a stratified sampling

scheme, with the strata being race, number of family heads, pre-experimental

income, and type of financial treatment (a particular combination of a

tax rate and guarantee level). In addition, a "control group" which would

not be eligible for payments was chosen in each experiment to allow measurement of the "experimental effect" of the income maintenance plan.

The actual number of families enrolled in both the experimental and

control groups in each experiment was 1,216 for the NIT, 2,042 for SIME,

2,742 for DIME, 1,780 for GIME, and 809 for RIME.

Time Per iod. Families participated in the NIT between August 1968

and September 1972, receiving interviews approximately every three to

four months. (Although each family was enrolled for only three years,

the starting dates varied by almost a year, accounting for the four-year

time span.) The three-year families in SIME, which began making payments

in 1971, disenrolled about a year ago; in DIME, which started payments in

1972, disenrollrnent is underway. The five- and twenty-year families are

still enrolled in both sites. GIME and RIME covered the time periods

1970-74 and 1969-72, respectively.

In each experiment families received interviews approximately every

three to four months. These periodic interviews collected income, expenses,

and work exper ience data for the last week in each quarter in the NIT and for

each month in the other experiments. Other variables were generally collected

as of the time of the interview. In addition, each family filled out a

monthly income reporting form (IRF) which was used primarily to calculate the

amount of the payment.

Major~Content~Areasand ~raphic- Identificatio!!o The periodic interviews

administered to both the experimental and control families every three to four

months throughout the course of each experiment, consisted of two parts; data

on income and expenses (called the "core section" since the same items appeared

on every interview) and data on such diverse topics as previous residences,

assets, detailed educational and marital histories, definition of sex roles,

and attitudes toward the use of credit (called the "non-core section"

29
because the items were not the same on every interview). Basic data were

also collected for each person at the outset and for new persons arriving

in the family on date of birth, sex, and relationship to head. Reasons

for persons joining or leaving the family uni t also were ascertained.

.

.

The core section obtained detailed information on the job history of

each person in the family 16 years of age or older. Questions incl~ed

earnings from wages, tips, commissions, bonuses and in-kind, unemployment

insurance benefits, workmen's compensation, and odd job income, plus hours,

work-related expenses, method of commuting, and reason and duration of any

spell of unemployment. The head of the family was asked to provide infor,-

mation on unearned income by source (including AFDC benefits, Aid to the

Blind, Disability Assistance, Old Age Assistance, General Assistance, other

public assistance, food stamps, Social Security, veterans' and survivors'

benefits, pensions and annuities, private disability, life insurance, other

insurance, interest from bank accounts, dividends fram securities, inheritance, alimony or child support, other support, foster child payments, earnings of children under 16, training stipends and GI Bill benefits, rent from

roamers, rent from other property, and business profi t or loss), and also

on recurring and/or major expenses such as medical bills, medical insurance,

alimony or child support, care for elder.ly relatives, and day care.

As noted above, the non-core section varied in content. Same items

were asked only once during the course of an experiment, while others were

asked once or more a year, such as housing and other durable goods expenditures. In RIME, a nllllber of questions specific to farming were included

such as investment plans.

Geographic identification in the various urban income maintenance

experiments is limited to the specific city; namely, Paterson-Passaic,

Jersey City, and Trenton, New Jersey; Scranton, Pennsylvania; Seattle,

Washington; Denver, Colorado; and Gary, Indiana. For RIME, families can

be identified by state of residence, either North Carolina or Iowa. Address

files for each site exist from the IRF's, but confidentiality precludes

accessing these files. .

D~~~.C~~~e~~!o~ ~ ~ ~r~e~si~ Meth~~. Mathematica provided all the

field work for the perIodIc IntervIews which were conducted by personal

visit, administering the payments and IRF's by mail. In addition,

Mathematica constructed the original data base for the NIT and RIME, including coding, keypunching, and quality control. Data analysis and

publication for NIT and RIME was a joint effort between the Institute for

Reasearch on Poverty and Mathematica, with the former having chief

responsibility.

Stanford Research Institute is in the process of cons~ructing the data

bases for SIME and DIME and also has major responsibility for analysis of

the results. The state and local welfare agencies have cooperated in

30
providing information about recipients and the Internal Revenue Service

has also provided some information to permi t cross-checking the accuracy

of income ~rting. The University of Indiana performed data base

construction for GIME.

~liabil!!.y/Validity Pr2ble~. Besides sampling variability,

the income maintenance experiments have the following limitations:

(1 Bias due to the limited duration of the experiment (see Vol.

II, Pt. C. Ch. 3 of the NIT final report, listed below)

(2) Bias due to sample selection on the basis of family income,

which meant that higher-income families who subsequently

exper ienced income loss were not represented

(3) Limited geographic and demographic scope

List of Pub! ications

Bees, Albert and Harold Watts, eds. Final Report of the New Jer~

~~~~~~t~ ~ ~~~ Inc::ent.~~~ E~~~~t_. Madison:-rnrntUte forResearch on Poverty, UnJ.versJ.ty of Wisconsin, December 1973.

Rees, Albert et a1.

ti ve Exper iment ."

Spring 1974.

"S~sium Articles --The Graduated Work IncenJournal of Human Resources, Vol. .,9, No.2.

Kurz, Mordecai et al. A Cro2s Sectional Estimation of Labor~~pp;!,y

for Families in Denver, 1970. Menlo Park, Calif:: Stanford

Research Institute, Novent>er 1974.

Kehrer, Kenneth C. et al. ~e_G~ry -~~corne ~intenan£~ E~r~~t:

~~!gn, Admi!!istratio~, a~2 Data F!!es. Gary: University of

Indiana Northwest, July 1975.

Bawden, Lee et al. Final_Re~rt of _the Rural Incolre ~ainenanc~

E~r~~~. Madison: Institute for Research on Poverty, UniverSIty of Wisconsin, forthcoming.

~~~a ~yai~~i_~!~Y .an~. Restric~!o~~. The most easily accessible

data file for the NIT is the so-called "analysis tape" which includes

data for families in which the same (two) heads were present over the

course of the experiment. Extracts of this tape as well as the full

file can be obtained from the Institute for Research on Poverty.

(See description below.) Data processing for the other experiments

is still in progress and no data are publicly available a"s yet,

although HEW has plans to create public use microdata files within

the next co~le of years.

31
New Jersey Negative Income Tax Experiment Analysis Tape

-Purpose and Application. The NIT Analysis Tape was constructed in

order to collect data from the New Jersey Negative Income Tax Experiment

into one place for ease of analysis, par~{cularly in the areas of labor

supply and income maintenance.

Pr~uci~g. ~ge~~. The file was produced by the Institute for Research

on Poverty at the UnIversity of Wisconsin, under contract to the Office of

Assistant Secretary for Planning and Evaluation (DHEW).

File Structure. The NIT Analysis Tape is a single-level microdata

file with one record for each family. The family records contain data

for the family as a whole and for individual persons 16 years and older in

the family.

S~~ing ~te. The Analysis Tape contains data for 1,127 families,

representing all of those families for whom reasonably complete and accurate data could be assembled for the time period of the experiment. Of

these families, 693 can be identified as a subsarnple of continuous husbandwife families. The latter constituted the set which was analyzed to produce the results in the final repor t of the exper irnent, noted above.

Variables. A large number of variables concern labor supply information, such as hours worked, number of workers in the family, jobs held,

"available workers" in the family, and so on. 'n1ere are also general

demographic and socioeconomic variables, including age, family composition,

marital status and history, leisure activities, child care arrangements,

and others.

Particularly related to poverty studies are the various financial

variables which include:

(1 Earnings for the iast week in each quarter of the head, spouse,

and other adults

(2) Total family earnings for the last week

(3) Finanacial management information

(4) Credit and installment buying

(5) Assets and savings

Debts

Insurance (life and medical)

,.

Nature of income tax return (joint or separate)

32
welfare status, including the amount and sources of unearned

income. Welfare status is included for both the experimental

period and prior to the experiment.

Other data in the records relate to the respondents' understanding

of the experiment, including variables on family budgeting and the effect

of payments on various aspects of the recipients' lives (for example, the

effect on personal and public relationships, on helping others financially,

on welfare status, and so on).

~~~~f~~ ~li~ilitY/V~lidity Proble~~. Aside from problems generally

awlicable to the income maintenance experiments mentioned previously, a

few problems peculiar to the New Jersey experiment have surfaced:

(I) A follow-up study indicated that the experimental families did

not always understand the rules of operation of the ex~riment,

which undoubtedly biased the results.

(2) Among those who did understand the rules, at least in part, it

appears that, compared to the control group, these families

learned to manage the reporting of their income and expenses

to their advantage as time went on. In other words, changes

in income or expenses were noted when they reflected to the

advantage of the recipient, but not necessarily otherwise. These

items were in general reported less completely by the controlgroup.

Ages often did not change throughout the survey.

matter of misreporting on the respondents' part.

This was a

Technical Characteristics. The record length for each family in the

NIT Analysis Tape is a unifo~ 2,182 characters. The file is contained

on one reel of tape.

~nent publications

Skidm:>re, Felicity M. "Availability of Data from the Graduated Work

Incentive Experiment." The Journal of Human Resources, Vol. IX,

No.2, pp. 265-278. Spring 1974 ~-

33
~-;c_,~"~"~

The overrepresentation in MLS of low-income families and the panel

nature of the study mean that the data are ideally suited for poverty analyses, particularly of the dynamics of movement into and out of poverty over a

period of time. The survey content includes data on individual attitudes

and behavior patterns that might be r,elated to changes in economic status,

as well as extensive socioeconomic and demographic information. In

addition, there are environmental data including such variables as county

unemployment rates, area wage rates for unskilled male ~nd female workers,

public assistance grant levels, and the like. The entire study was

designed to provide information, not just in the interest of science, but

as background for analysis of public policy issues.

~nivers~ and S~le. The MLS sample focus and design grew out of the

experience with the 1966-67 Survey of Economic Opportunity (See Survey of

Economic Opportunity, 1966-1967). This survey, in which the Bureau of the

Census interviewed some 30,000 families with low-income areas heavily

overrepresented, was designed to develop estimates of economic and poverty

status in aggregate and d istr ibutional terms. The focus of the subsequent

MLS was redefined to explain short-run changes in family well-being.

The universe for the MLS, as for the SEa, was the noninstitutional

civilian population of the u.S. To obtain the MLS panel two sources of

sample selection were used. First, about 2,500 of the 30,000 families who

were interv iewed in the SEa were selected for the MLS. All of them had

incomes in 1966 equal to or below twice the Federal poverty line at that

time. Excluded were families where the head was over 60 and those who

did not sign a release of the data when interviewed by the Census Bureau.

Adjustments also had to be made in the census sample to fit the more limited

geographical spread of SRC interviewers. Except in the South, only those

census sample families who lived in Standard Metropolitan Statistical Areas

were included in the panel. Second, a cross-section sample of dwellings in

the United States was added to the above sample so as to represent families

of all ages and income levels.

In 1968 interviews were actually completed with 4,802 families, 1,872

from the SEa selection frame and 2,930 from SRC' s cross-section samples.

34
Since 1968 the sample of families has increased because of new family

foDmation and decreased because of nonresponse loss. After 1973

there were ~, 285 families in the sample, 1,455 of them having been

newly forimea since the 1968 interview. The representation of the universe is about 1/8000 for low-income families in .the sample and about

1/12,000 for the remainder.

Time Period. The MLS has been conducted every year since 1968,

with interviewing carried out in the spring. Income and work experience

variables are for the previous calendar year, while other variables are

generally for the time of the interview.

M~jor ~~nt~~t Are~s~__~~rap~ic Identificati~n. Since one of

the maJor obJectives of the MLS is the measurement of change, a premium

has been put on year-to-year reproducibility of the important variables

of the study, and there have been only minor variations in the questionnaires over a period of time. Perhaps the most important change conce(ns

the questions on commuting which were introduced in 1969. In 1972 questions

fram the Lorge Thorndike Intelligence Test and questions concerning achievement motivation were ~ed to the questionnaire for the first time.

Detailed questions on child care arrangements for working mothers were

~ed in 1973.

Finally, it should be noted that after 1972 the questionnaire was

considerably shortened, covering only the basic items about children's

education, transportation, housing, employment, and income. Originally,

the MLS was intended to go only through 1972. When it was decided to continue interviewing, in order to keep costs down, the questionnaire was made

much shorter and interviewing carried out to a large extent by telephone.

Over 550 variables have been collected for each year fram 1968 to

1972 and over 300 in subsequent years, most of them applying to the head

of the household or to the household as a whole. The survey question- naires have included detailed infoonation on the previous year I s work

experience for the head and more limited information for the wife. Variables have included hours worked, hours ill, hours unemployed, hours

engaged in housework, cost and time of travel to work, industry and

occupation, previous jobs held, spells of unemployment, preferences for

working more or less hours, attitudes toward and possibility of the wife

working, whether the respondent is considering a new job and whether

additional training would be required, work disability, and so on.

Similarly detailed infonnation has been included on the family's

income, assets, and expenses. Income items include the previous year's

labor income of the head, wife, and all other family members, plus income

of the head and wife from fanning, business, and roamers, Aid to Dependent

Children, other welfare, Social Security, other retirement, unemployment

insurance and workmen's compensation, alimony and child support, help from

relatives, and income from other sources. All income items are in intervals

from none, $1-499, $500-999, $1,000-1,999, $2,000-2,999, $3,000-4,999,

$5,000-7,4999, $7,500-9,999, to $10,000 and over. (Total family income

35
includes two additional categories of $10,000-14,999 and $15,000 and over.)

Source~ of in-kind income such as food stamp bonus value, value of food

grown at home or received free at work or school, money saved on doing

car repairs and home repairs, and value of f.ree or subsidized rent have

also been ascertained. Expense items have. included annual housing

mortgage payments, rent, cost of household help, cost of child care, cost

of alcohol, cigarettes, food used at home, restaurants, union dues, and

taxes. Several items relating to the qua~ity of housing and neighborhood

have also been obtained, as well as the number and condition of cars and

access to public transportation. Assets have been limited to house,

vehicles, and whether the family has two months' worth of income in

savings.

There have also been a variety of attitudinal and behavioral questions, including expected educational level of the children, whether the

family wants more children, past and likely future residential mobility,

items relating to efficacy and planning, trust-hostility, scramble for

work, aspiration-ambition, economizing, risk avoidance, connectedness to

sources of help, and the like. Finally, the questionnaires have included

demographic variables such as age and sex of the head, age of wife,

education of head and wife, number of children, number in school, age of

youngest child, family composition and move-ins and move-outs, as well

as information on the head's parents and family situation when growing up.

Geographic identification on the MLS is by state and county ofresidence.

D~taC,9;lle,Sti~nand Processing Meth~§:. The MIS has been conducted

throughout by the Survey Research Center of the University of Michigan using

its interviewing staff. The majority of the data from 1968 through 1972 were

collected through personal household interviews, wherever possible with the

household head; thereafter, interviewing has been performed to a large extent

by telephone. Environmental data on county unemployment rates and so on

have been collected each year by mail questionnaires from officials in counties where there are sample families.

The longitudinal nature of the MLS has necessitated complicated

schemes for weighting and analyzing the data. Initial weighting which was

performed in 1968, took into account the two different (but overlapping)

sample selection frames and differential response rates. The data were

reweighted in 1972 to account for additional differential response loss

since 1968 and sampling problems with newly-formed families having both

panel and non-panel ment>ers.

Families containing panel members, except for losses through nonresponse, have been interviewed each year. Those who moved between

interviews were contacted at their new addresses and adult members who

formed their own households were interviewed as separate families.

36
~!!ability/Validity Problems. 'I1:1e chief problems in using the MIS

stem from the very panel nature of the study which inevitably makes for less

than compl~comparability. 'I1:1us, although most questions were repeated

from one year to the next, some rmprovements were made in both the questions

and the codes when exper ience ind icated these changes were necessary. A

further source of noncomparability arises from the fact that families are

not stable over a per iod of time. In investigating change in head's earnings

over more than one year, for example, it is advisable to include only those

families who had the same head during that period. Another comparability

problem is due to the fact that some questions measure the stock at the time

of the interview and others measure the flow during the year. For example,

food expenditures pertain to the current situation at the time of interview,

while other expenditures and income relate to the previous calendar year

when the family might not only have faced a different economic situation,

but been cOO1IX>sed of different members.

The MLS also suffers from problems endemic to surveys and to longitudinal surveys in particular. Such problems include sampling variability,

nonresponse (the response rate for the first year --1968 --was only 76 percent overall, but improved to 89 percent in 1969, and to 97 percent in the

following years), and the problem with a longitudinal survey that, over a

period of time, a sample that was originally representative of the national

population may become less so. In addition, respondents in a longitudinal

study may exhibit various kinds of learning behavior, such as their responses

being different from what they would have been in a one-tUne cross-section

survey.

List of Publications

Morgan, James N. et al. Five Thousand American Families --Patterns of

~c~nomi~. ~r~r~~s. 2 Vols. Ann Arbor: Institute for Social Research,

University of Mlchigan, 1974.

Analyzes the results of the first five years of the Michigan

Longitudinal Survey.

Survey Research Center. A P~e!_~tud~9f_!!}~o~~~i~~. Vol. I:

~~~~ ~sign~ Ay~~l~l; Da~a,.1~6~-1972~nt~r~iewi~~ Ye~r~. Ann Arbor: Institute for Social Research, Un1versity of Michigan, 1972.

.Vol. II: Tape Codes and Indexes, 1968-197~ Interviewing

Years. 1972.

~Eoc~~r~~ and Tape Codes, 1973 Interv iewi~

-~:-I97 3 :UPPlement:

u.s. Department of Health, Education, and Welfare, Office of the

Assistant Secretary for Planning and Evaluation, Office of Income

Security Policy/Research., ,-1fi1e Chanqinq Economic Status of 5.000

American Families: Hiqhliqhts trom the Panei Study ot Income

Dynamics. May

37
Data Avail~ili~Y_~~.Rest~ic~i~n~. As outlined in the following

sections, a number of publIC use microdata tapes have been prepared from

the Michigan Longitudinal Survey data. The filep available for each year

from~68 to 1972, for both families and individuals and merged files

containing up to five years of family or iqpividual data, are fully

descr ired in Volume II of ~ Pc:n~* ~~udy of .!ncome !?y!!amics by the Survey

Research Center, University of MIchigan, referenced above. Files fQr 1973 are fully detailed in the supplement to the same SRC report. -

One-Year Family Unit Tapes

Six family unit tapes have been created, one for each interview

year from 1968 through 1973. The 1968 family unit tape contains records

for all sample families interviewed at that time. The subsequent one-year

tapes include information for families that were able to be reinterviewed

plus records for newly-formed families that split off from the sample families. These splitoff families were often a son or daughter who left home

and set up his or her own household. The 1968 family tape contains data

for 4,802 families and the 1973 tape data for 5,285 families. Data for each

year are contained on a single tape reel with fixed-length records of about

1,000 characters (record lengths vary somewhat among years, because of

slight differences in the questionnaires).

One-Ye,ar Individual Unit Tapes

Six individual unit tapes have been created, one for each interview

year from 1968 through 1973. Each tape contains a record for every individual living with a panel family at the time of the interview, including

non-sample individuals who moved into the family since 1968 and children

born to the families. Records for sample members living in institutions

(e.g., armed forces, college dormitories) are also included. There are also

records for individuals who moved out of their family between interviews

and were not successfully reinterviewed. In addition to the information

unique to each individual (age, income, whether disabled, etc.), each

record contains all the data for the family in which the person was living

that year. Data for each year are contained on one reel of tape with approximately 17,000 individual records per year of about 1,000 characters in

length. (This length is not much greater than that for the family unit

tape records, as the actual amount of individual data is small compared to

the information for the family as a whole.)

Merged Family Unit Tapes

The family tape for each year has been merged with the previous years'

family tapes so that there are two, three, four, five, and six-year merged

family tapes. The six-year tape, for instance, contains all six years of

data for every family interviewed in 1973. The record for a family which

was formed after 1968 contains the data for the main family for the years

before the new unit spl it off. For example, if the son of a panel family

left home in 1970, the 1968 and 1969 data in his record pertain to his

parental family. Note that families who dropped out of the survey are not

38
contained on those merged files which go beyond their fast year of data.

Each of the merged family tapes is contained on one reel with fixedlength reCOrds. The record length for the six-year merged tape is the

longest, amounting to over 6,000 characters.

Merged Individual Unit Tapes

Only the five and six-year merged individual tapes are available.

These tapes contain the data for the family in which the individual was

living for each of the five- or six years plus all five or six years of

individual information. The tapes contain records for the following

individuals: (1) sample members living in the panel families (or in

institutions) in 1968 through 1972 or 1973; (2) sample members who were

born after 1968 (the individual data fields for these children contain

zeros for the years before they were born); (3) sample members who were

living in panel families in 1968, but who subsequently died or moved out and

were not followed (Individual data fields for these persons contain zeros

after they left.); and (4) non-sample members living with panel families

in 1972 or 1973 who moved in after 1968 (Individual information before

they moved in contains zeros and their weight is also zero.). The latter

two ca"tegories of persons should only be used to generate family composition

variables for 1968 and 1972 or 1973, respectively.

The weights for the merged individual tapes are different from the

ones on the five- or six-year family tapes. The individual weights account

for differential nonresponse since 1968, but do not make the adjustment

for non-sample members living in the family since this is not needed on an

individual basis. The five- and six-year merged individual tapes are very

long, containing approximately 17,000 records of 6,000 characters each in

the former case and 18,000 records of 6,500 characters each in the latter.

SEO Tapes

Part of the sample for the MLS study was originally interviewed by

the Census Bureau for the Survey of Economic Opportunity. The census

subsample alone is not a representative national sample, but the longer

time series available for this group is useful for studying selected economic relationships. Two tapes using the 1967 SEO data are available.

The first is an edited revision of the original SEX) data for those families

who were interviewed in 1968 for the MLS. This tape combines individual data

into family records of fixed length. The second tape contains the SEX) data

merged with the six years of MLS family information. Codes for these tapes

as well as a detailed description of the editing procedures used are available from the Survey Research Center, University of Michigan.

Surve~ of Economic Opportunity, 1966-1967

Pur~se and Appli~~tio~. The Survey of Economic Opportunity (SEO) was

conducted in 1966 and 1967 in order to supplement the information regularly

collected in the Current Population Survey March Income Supplement relating

to economic well-being. Thus, the SEO included data on dimensions of

39
economic status such as housing, assets and liabilities, and personal

health not usually obtained between censuses, if then. The survey focused

on tfte poverty end of the economic well-being scale, overrepresenting

persons in nonwhi te areas assumed to be he~vily low income.

.

The SED was conducted by the Bureau of the Census under the original

sponsorship of the Office of Economic Opportunity, whose research functions

have been largely transferred to the Office of the Assistant Secretary for

Planning Evaluation in DHEW. The fairly large sample size (30,000 households), substantial overrepresentation of low-income families, and the

extent of socioeconomic detail continue to make the SED a rich analytical

data base for poverty studies, even though the information is now almost

ten years out of date.

Un!verse and_Sample. The universe for the SED was the resident

population of the United States, excluding inmates of institutions and

members of the ~rmed forces living on base if their families were not

present; i.e., the same universe as for the Current Population Survey (CPS).

The sample was actually made up of two distinct although overlapping components; the first comprised a national self-weighting sample of approximately 18,000 households; the second component included an additional 12,000

households selected from areas with a large nonwhite population which were

assumed to be predominantly low income. The resulting total sample of 30,000

households represented about 1/500 of the nonwhite universe and 1/3,500

of the white universe.

The addresses selected for interview in 1966 were revisited in 1967,

with about 75 percent of the total sample successfully interviewed in

tX>th years.

Time Per iod. The sample for the SEO was interviewed in the spr ing

of 1966 and again in the spring of 1967. Income, asset, and work experience

items were ascertained as of the previous calendar year, while other variables were as of the time of the survey.

Maj~r_co!!t~nt~ ~ea~ .and. ~r~phic_I~entifica~ion. The data items in

the SEa lncluded vlrtually all of the varlables whlCh are on the CPS, such

as age, sex, family relationship, marital status, education, occupation,

income, and so on. In addition, the SED obtained further poverty-related

data, including housing items, assets and liabilities (11 categories of

assets and 10 categories of debts), more detail on income, particularly

unearned income, personal health and disability, marriage, and childbearing, as well as information on persons who left the household between

interviews. Specific income items included wages, net income from farm

self-employment, and net income from nonfarm self~employment for each person

14 years and older, plus total family income from interest and dividends,

rents, Social Security, government pensions, private pensions, unemployment

insurance, workmen's compensation, public welfare, annuities, and contributions by someone outside the family unit. Geographic identification on the

SEa is by the four regions of the u.S. and the 12 largest metropolitan areas

as of that time.

40
Relation to Other Data Bases. Many items on the 1966 and 1967 SEO

can be directly compared t,o the CPS items for the same time perioos. 'lt1e

two SEO y~ can also be compared to each other with little mooification.

Finally, a subgroup of 2,500 of the 30,000 SEO families with incomes equal

to or below twice the Federal P9verty line as of £alendar 1966 were selected

for interview in the continuing Panel Study of Income pynamics (See Panel

Study of Income Dynamics [Michigan Longitudinal Survey), 1968.)

P~t~ ~~ll~~~!°!l;" and Processing Methods. The Bureau of the Census

conducted the 1966-67 Survey of Economic ~portunity for the Office of

Economic Opportunity. The data were collected by personal interview, as

in the CPS, and were processed by the Census Bureau.

~e~~~b~Mt,!~alid~~y P~o~*~. Comparison of the SEX) data to the

comparable CPS lnformatlon lndlcates that income data in the former were

more reliably and completely reported, particularly for the nonwhite population. The SEO data, however, appear less accurate for whites and for

higher income groups compared to the CPS. The nonresponse rate to income

questions in the SEO was considered to be fairly high.

List of Publications

Rur al-U r ban

Bowles, 

Gladys K., A. L. Bacon, and P. N. Ritchey.

~ants, 1967: A C ic, SOCla~, ana

Econoffilc Characterl s w~Other

POPuiatl.On Groups.

Analyzes and presents data from the 1967 Survey of Economic

Opportunity.

Executive Office of the President. Office of Economic Opportunity.

1967 Survey of Economic Opport~ity Code~k.

Descr ibes the SEO and documents the var iables contained on

the publ ic use microdata tape.

Dat~ ~vail~il~ty ~ ~str icti~ns. 'nle data for each year of the

Survey of Econam1C Opportunity are stored on computer tapes which are

available from the Bureau of the Census. Each file is contained on three

reels. 'nle file structure includes four records for each household;

the household record, interview unit record, person segment record,

and adult segment record. A version of the 1967 file has been created in

CPSEO format; that is, in a format as comparable as possible to the CPS.

(See the CPSEO Commonly-Formatted AFDC Files for a brief discussion of the

CPSEO and its uses.)

41
Public Health Service, Health Services and Mental Health

Administration, National Center for Health Statistics

Health Interview Survey, 1957

Purpose_an9 ~pli~~tion. The Health Interview Survey (HIS), Which

has been conducted contInuously since 1957, collects data on illness, disability, and the use of medical services, and further describes the social,

demographic, and economic correlates of these conditions in the population.

The results of the survey can be applied to several types of analyses~

particularly related to poverty studies would be analyses of specific

health conditions in relation to low income and studies of the types of

medical services most needed in relation to medical programs currently

accessible to poverty groups.

~n!~er~.an~ Samp*e. The universe for the HIS is the civilian, noninstitutionallzed population of the United States, excluding only members

of the armed forces and U.S. nationals living in foreign countries. The

1974 sample consisted of about 41,000 households with about 120,000 persons

covering each of the 50 states and D.C., for approximately a 1/1600 representation of the universe, which is commensurate with the usual annual

sample for the HIS. The sample is drawn using a multistage probability

design which permits a continuous sampling of the population. Households

are interviewed every week and the sample is designed so that each weekly

sample is representative of the universe and so that weekly samples are additive over each year.

Time Period. The survey has been conducted continuously on a weekly

basis from 1957 to the present. Each set of questionnaires is based on a

unit of one year; at the start, the fiscal year was the base, but in the

period July 1967-December 1968, a changeover was made to the calendar year,

which is the current base.

Ma'or Content Areas and ra ic Identification. Data collected for

the HIS on each yearly set of questionn~ires incluee incidence of acute

conditions, chronic conditions, limitation of activity, injuries, hospitalization, disability days, dental visits, and physician visits. Each annual

set, in addition, focuses on specific health and other conditions. Some of

these topics are covered during one year only; others are included on a

rotating basis where the questionnaire for the particular topic is repeated

at a specific time interval, such as five years later, to obtain trend information. In 1974, for instance, the topical data covered orthodontic

care, health insurance, hypertension, medical care practices, cost of time

lost from work for health reasons, and detailed information on medically

and nonmedically attended acute conditions. Previous years' questionnaires

have included such ite~s a~;Pospital ~o~ts, amou~ts of ~ical care paid

by insurance, type of lnsurance, speclfled chronlc condltlons such as respiratory or cardiovascular inpairments, nursing care and other special aids,

prescribed and nonprescribed medicines, smoking habits, and so on.

42
Demographic and socioeconomic data are also gathered in each yearly

questionnaire set, under the fundamental HIS concept that health items

are to be measured in terms of the impact they have on the lives of

individuals-rather than in terms of medical criteria. These items include

tenure status and age of housing, number of rooms, and number of

persons in the household; plus individual informa~fion on age, sex, race,

educational level, family relationship, marital status, work status,

occupation and industry, and annual family income. Geographic identif i --

cation in the HIS is by the four regions of the U.S., metropolitan-nonmetropolitan residence, and farm-nonfarm residence.

Relation to Other Data Bases. The National Center for Health

Statistics also conducts a detailed Health and Nutrition Examination

Survey which has a smaller sample (about 30,000 persons per 3-year cycle),

but obtains health data from actual physical examinations and laboratory tests.

D~t~ £ollection and Processing Methods. '!he data for the HIS are

collected by personal home intervIew. Field operations are carried out by

the Bureau of the Census, as are aspects of the survey planning and selection of the ~le. The data are then coded, edited, and tabulated by the

National Center for Health Statistics. Publication of the data is also

per formed by NCHS.

Proble~. of__~li~i!!~~~ali~ity. 'I11ere are a few data limitations

peculiar to the HIS, ln addltlon to reliability problems resulting from

sampling variability as in any survey. These include:

Limitations in the accuracy of diagnostic and other information. For diagnoses made by a physician, the respondent

can usually pass on information given to him by his doctor,

but for conditions not medically attended, there is often

no more than a descr iption of symptoms. The HIS attempts

to compensate for this by making the questionnaire as precise as possible for such conditions.

Missing decedents in the survey. Many of the questions

cover the two-week period just prior to the interview, and

hence some items will not be totally and accurately represented because of the fact that information is not obtained

for persons who died during the reference period. ~n most

cases, the effect will be small except on a very long-term

basis. However, some items will be substantially affected.

For example, since about 38 percent of all deaths are

attributable to heart disease, HIS estimates of this condition in the total population will be understated by a proportionate anK>unt. """'

Underreporting. Over the years, it has become apparent that

some items are chronically underreported in the HIS. Examples

43
are hospitalization and chronic conditions. However, the ex-

_tent of underreporting is now fairly well known and can be

somewhat compensated for in the estimation process.

Publications

The U.S. Department of Health, Education, and Welfare, Public Health

Service, Health Servic~s and Mental Health Administration, National Center

for Health Statistics, regularly publishes reports from the Health Interview Survey in its report series 10.

Qata Availability and Restrictions. The HIS data are maintained

on computer tape by NCHS. Data tabulations can be requested from this

agency.

Health and Nutrition Examination Sur~ey, l~7lPurEQ~ and ~licati~n. The Health and Nutrition Examination Survey

(HANES) is an expansion of the previous Health Examination Survey (HES)

conducted on a continuous basis since 1959 by the National Center for

Health Statistics. With the addition of detailed nutritional data beginning in 1971, the new combined survey provides data on the magnitude and

distribution of nutrition and hunger problems in the U.S., as well as providing a picture of the Nation's overall health status, isolating prevalent

health and health-related difficulties. By including data on nutritional

programs such as food stamPs, school lunches, and commodity distribtuion

programs, the effectiveness of various solutions to hunger and malnutrition

can also be analyzed.

The HANES is purposely designed to overrepresent the low-income

population and to take special note of other groups such as pre-school

children, women of childbearing age, and pregnant women, who are most likely

to be affected by nutritional factors. Thus, the data are very useful for

poverty studies.

~niverse and Samp~. The universe for the HANES is the noninstitutional, civilian population of the U.S. aged I to 74 years old. (Persons

residing on American Indian reservations are also excluded, because of

operational difficulties experienced in an earlier Health Examination Survey.)

The current sample for the nutritional component of HANES comprises

about 30,000 persons per three-year cycle (of whom about 21,000 responded

in the first 1971-73 survey). Of this sample, 20 percent were drawn from

low-income areas, for about 1/4000 representation of poverty areas compared to about a 1/9000 representation of the remainder of the universe.

About one-fifth of the nutritional interviewees are also given the

extensive health examination colnP<?nent of the survey. In the first HANES

survey, only adults aged 25 to 74 received the health examinations; beginning in 1976, children will also be included in this colnP<?nent.

44
!irne Pe~iod. The HANES is intended to be a continuous survey designed in units of three yeqrs, with data for each cycle obtained throughout the th£ee-year period. Tb date, one survey has been completed in 1971-73

(actual interviewing because of operational problems extended into 1974).

Var ious problems delayed the start of the second .survey, which is scheduled to begin in February 1976. .

~joE Content ~~~as and ~og;a~~ic.ldentificat~on. Basic data

gathered for the HANES cover the follow~ng areas: health history, health

care needs, dietary information, participation in food programs, and demographic characteristics. Generally, data items are expected to remain constant across surveys; however, successive surveys will probably contain

some new items to focus on specific health or nutritional problems that

become of concern.

The nutritional component consists of a general physical examination with dermatolog ical, ophthalmolog ical, and dental assessments, body

measurements, biochemical assessments, and dietary intake measures. Symptoms

definitely related to malnutrition are checked for. A questionnaire is

administered covering dietary intake over the past 24 hours and information

on participation in food programs such as school lunches is elicited. The

next HANES cycle beginning in 1976 will check specifically for dietary

problems related to such factors as vitamin deficiencies. I

I

The HES component, which initially focused on the adult population

25 to 74 years old~ concerns itself basically with the current and unmet

health needs of the population. Information is collected on medical history,

especially any arthritis, respiratory and/or cardiovascular problems, hearing

and vision, cardiovascular disease, pulmonary disease, osteoporosis, dental

condition, body measurements, and other conditions determined by blood and

urine tests. The mental health section, originally fairly extensive, has

been pared down to a questionnaire on general well-being. Data on health

care previously obtained and currently' being obtained are also gathered.

The next cycle beg inning in 1976 will focus spec if ically on anemia and related deficiencies, diabetes, and arthritis of the neck and spine. In

addition, the detailed examination will be extended to children in the HANES

sample as well as adults.

Finally, the HANES obtains demographic and socioeconomic characteristics, including tenure status (own or rent), number of rooms, hot and

cold running water, and kitchen facilities for the house, plus a number of

data items for each household member. The latter include relationship to

head, age of head and other household members, place of birth, marital

status of all members 17 years and older, educational achievement and school

enrollment of those 3 years and older, foreign language spoken, race,

ancestry or national origin, work force status, occupation and industry, plus

annual family income by source.

Geographic identification on the HANES is by the four regions of the

u.s., plus metropolitan-nonmetropolitan residence and farm-nonfarm residence.

45
Relation to Other Data Bases. The National Center for Health Statistics also conducts a continuous weekly Health Interview Survey which

includes a larger sample (about 120,000 persons per year), but is

lunited to data obtained from questionnaires and does not obtain any

data through actual physical examination~ or laboratory tests.

Q~t~ ~ol!ection ~d P.roc~.ssi~g. t:leth~~. The HANES sanple and questionnaire desIgn are done by the National Center for Health Statistics

in consulation with the Bureau of the Census. Data are collected by sending

a caravan of mobile examination centers especially equipped for the complex

examinations from area to area. Initial contact and household interviews

are conducted by Census Bureau personnel. Further interviewing, testing,

and coordination are conducted by NCHS personnel with some temporarily

recruited local help. (For instance, the dermatologist and ophthalmologist

of the team are usually senior residents of a hospital in the area.)

Laboratory work is done at a specially set up facility. Processing and

analysis of the data are performed at NCHS.

Reliability/Validity Problems. Although not enough ex~rience

with the full HANES procedures has yet been obtained to make conclusive

judgments about problems of reliability or validity, a number of difficulties were anticipated. These include:

High r ate of nonresponse. In fact, the nonresponse to the

first survey was over 25 percent, which was considered to

have some effect upon the results. Projects are underway at

NCHS to compensate for this problem statistically. Reasons

for the nonresponse have been explored in follow-ups of

nonresponders and solutions are being tried to improve the

response (for example, paying respondents $10).

Changes in location and seasonal variation. These were anticipated as possibly biasing survey results. However, in previous health examination surveys these factors were not

found to be a major influence.

(2)

Changes in personnel and measurement error. Due to the length

of the survey, personnel are bound to turn over. The qual i ty

control measure found most useful in compensating for these

problems is frequent retraining on all levels and frequent

calibration of instruments in each location.

List of Publications

Reports published by the U.S. Department of Health, Education, and

Welfare, Public Health Service, Health Services and Mental Health

Administration, National Center for Health Statistics, based on the

first two years of the 1971-73 Health and Nutrition Examination

Survey, include the following. Final reports are expected to begin

appearing in the spring of 1976.

46
Pre1iminar Findin s of the First Health and Nutrition Examination

~~r_v.:y., -~.S; ~ 19Z~;~~7~; ~ ~~~~ry ;ntake ~~ BiochemIcal Find~.

HEW ~b1icatlon (BRA) 74-1219-1. January 1974. i

Anthro~metric and Clinical.-!.in~ing~: Preliminary Findings of the

First Health and Nutrition Examination Suz;.vey, 1971-1972. HEW

Publication (BRA) 75-12~~- Apri11975-:---

Data Availability and Restrictions.

lation within NCHS.

The HANES data are available for tabuSocial and Rehabilitation Service, National Center for Social Statistics

AFOC Study Su~veys: 19~7, 1969, 1271, 1~73, and 197?

Purpose and Application. As part of its effort to improve predictability of and control over welfare programs, the Department of Health,Education, 

and Welfare has had the National Center for Social Statistics

conduct biennial surveys of recipients of benefits under the Aid to Families

with Dependent Children program. The first AFDC survey was taken in 1967;

so far, four have been completed, while the 1975 survey is currently beingprocessed.

The surveys were designed to gather information about AFOC recipient:s for analyzing the program I s general ~ct and predicting future trends in

AFOC costs, caseloads, and type of case, with a view toward formulation of

policy and legislation. The data on the surveys, particularly the financial

questions on income, expenditures, unmet needs, and family budgets, make

possible poverty-related studies such as the extent to which AFDC has raised

families out of poverty, the extent to which the program appears to be a

temporary assist for families otherwise able to manage on their own or, conversely, a program of long-term relief, and, when used with other data, the

extent of the overlap between the AFDC population and the poverty population

more broadly defined.

~!verse_and S~le. The universe for the AFDC surveys consists of all

cases receiving an AFDC payment in the base month of the particular survey

year. All states and outlying areas except Guam have been included in each

survey. (The only major exception was the omission of Massachusetts from the

1973 survey.) All types of cases except those receiving foster child pa~'-

ments are included in the universe. The sampling rate has varied somewhat since1967. 

In 1967, the sample was 1/33 or 500 cases in each state, whichever was

larger; in 1969,1971, and 1973, the sampling rate was 1/100 (in 1969,16,305

cases were surveyed from a family caseload of 1,554,000; in 1971,225,239 cases

were surveyed from 2,587,000 families; and, in 1973,33,829 cases were surveyed

from 3,141,000); while in 1975, the sampling rate was 1/100 in the smaller

states and 1/200 in the larger states.

All five surveys represent cross-sections selected at random. In addi-tion, 

the 1975 survey included a small longitudinal section covering 1973

recipients who received a money payment in the base month 'of 1975.

47
Time Period. The 1967 survey contains data from the base months

November or December 1967; the 1969, 1971, and 1973 surveys use the base

month January; and in 1975 the base month was May. In all instances, since

collectlon of the data was basically from case records already on hand, a

relatively short time (one to two months) Waq allowed for collection and checking at the state level. .

Malor_Content_Areasand Geograph!c_Igen~ification. Each survey contains three basic areas of data: (1) family eligibility or demographic

data, (2) service data, and (3) financial data. Demographic data cover

such items as family size and composition, race, length of time on the

AFDC rolls, location and type of living quarters, child care arrangements,

employment and education of father and mother. Added to the 1973 survey were

data on case closings. Service data appear in all years. In 1973 and 1975

the data were supplied by service workers rather than the AFDC caseworker

and indicate which community service each recipient family used. The WIN

program, food distribution programs, the food stamp program, family counseling, legal service, day care, alcholic and drug programs, educational programs, and health-related services are typical examples. Financial data have

been for the survey month only in all cases. Typical i terns are amount of income by source for the assistance unit (including earned income of the mother,

father, children 16 and older, and other adults in the home; unearned income

from WIN, Social Secur ity, veterans' benefits, other pension benefits, unemployment insurance, other public assistance programs, court-ordered child

support payments, voluntary support payments, contributions from stepparent

in the home, contributions from others in the home, other cash income, inkind income with cash value, food stamp allotments, and all other income),

plus assets, expenditures for food, lodging, and utilities, work-related

expenses, AFDC family budget, AFDC grant, and unmet need.

Geographic identification is by state and census division. (However,

HEW publications of the survey results have, ~ince 1969, shown separate tables

for less than half the states.)

Data Co!lection and Proc~ss!ng Methods. The National Center for Social

Statistics of HEW has conducted all the surveys and performed final keypunching and tabulations. NCSS sends the survey forms to each state where they

are to be filled out by the caseworker most familiar with the case, using

the family case records. Where a question cannot be answered from the case

record, the caseworker is instructed to answer from his or her own familiarity

with the case or to contact the recipient for the answer. (There are no data

showing how often this is done.) Once the forms are filled out at the state

level, they are gathered up, checked for accuracy and completeness, and sent

back to NCSS for processing. NCSS, in tabulating the results, weights the

answers to represent all recipients of money pa}~nts during the study month.

Reliability/Validity Proble~. Over the course of the five surveys,

several problems have shown up which limit the kinds of analyses which can

be reliably performed using the survey data.

48
The case records, upon which the survey answers are based, are

not regularly updated. Thus, the data are not actually current

to the survey base month, but to the last point at which AFDC

ell~bility was redetermined, or the case record otherwise updated. If, as appears probable from other data, AFDC eligibility determinations and redeterminatiods tend to be associated

with low points in a family's economic condition, the survey

data may understate the level of income and work experience of

recipients compared to what would appear from a true crosssection survey.

(2) Even if they were always current to the base month, the financial data for that roonth may not be entirely representative

of the family's financial circumstances over longer time

~riods. Similarly, because the base roonth is different in

different survey years, seasonal variations may occur which

are not adjusted for.

Certain variables have had high levels of missing values or

nonresponses. This has been particularly true for the education and occupation items.

In the extensive reformatting which was done to the survey

data under contract to SRS, discussed below, a certain number

of contradictions were found. For example, there were a few

cases of AFDC families containing full-time employed fathers

contrary to the eligibility rules.

In addition, of course, the surveys are subject to samplingvariability.

List of Publications

Bendt, Douglas L.. '.!!1e .Ef~~cts_o~ Chan~e~. in_th~ ~~. Pr~r~ ~!;!

Effective Benefit Reductl~!;! Rates and the Probablllty of Working.

Report to SRS, DHEW. Washington, D. C.: Mathematica, Inc.,

August 1975.

Uses a sample of female-headed assistance units from 25 states

from the 1967,1971, and 1973 AFDC surveys to investigate the

effects of the 1967 Social Security Amendments on,effective

benefit reduction rates and the probability of working.

Mathematica, Inc. Trends in the Characteristics of AFDC Families:

A Comparison of the 1969,1971, and 1973 AF~ Surveys. Report

to SRS, DHEW. Washington, D. C., September 1975.

Compares over a period of time the characteristics of families

receiving AFDC benefits for less than six months at the time of

each survey with those receiving benefits consecutively for

longer periods of time.

49
Reports issued from the 1967,1969,1971, and 1973 AFDC surveys

by the u.s. Department of Health, Education, and welfare,

Social and Rehabilitation Service, National Center for Social

Statistics, include:

Part II, Financial Circumstances.

August 1970.

NCSS Report

AFOC-4(67).

Part II, Financial Circumstances.

December 1970.

NCSS Report

Part II, Financial Circumstances.

January 1972.--

NCSS Report

Part III, National Cross-Tabulations.

Aprill973.

NCSS Report

~.indin~s ~f!;!!e 197~_~ Study. Part I, DeRKJgraphic and Proqram

Charact5!rlstlCS. NCSS Report AFOC-1(73). June 1974.

Part II-A, Financial Circumstances.

September 1974.

. NCSS Report

AFOC-2(73).

Part III, Services to Families.

October 1974.

. NCSS Report

AFOC-3(73).

.Part IV, Disc~n~!~~~~~~. for AFOC Mo!!ey Pa~~~~

During 19Z~. NCSS Report AFOC-4(73). January 1975.

e~t~ A~ailability. ~d.Re~trict~. The data for each survey as

descr ibed above are maintained on computer tape files which are available

from SRS and DHEW. SRS has also had prepared public use data files which

contain data for the 1969,1971, and 1973 surveys in common format (see

description below.)

The CPSEO Commonly-Formatted AFDC Files

Purpose and Application. The CPSEO AFDC files represent a cormnon

formatting of the 1969,1971, and 1973 AFDC surveys. The CPSEO format has

50
previously been used to make standard data files of the Survey of Economic

Opportunity, the March S~lement of the Current Population Survey, and the

1970 Census~blic Use Sample. (It was originally developed for use with

the Transfer Income Model --TRIM --which simulates costs and caseloads

for a variety of government tax and transfer programs using microdata.)

The CPSEO format is essentially a rearranged and extended CPS format. In the CPSEO, var iables are grouped and numbered according to subjectmatter categories within each family record. Wherever possible, the AFDC:

survey files were mapped into the existing CPSEO format and codes without

changing var iable meanings. However, a large proportion of the AFDC survey

variables were different and could not be recoded into the existing CPSEO

variables. In these cases, the CPSEO was extended within categories or

by adding categories.

The chief merit of the CPSEO AFDC files is in their standardization

and comparability. To the extent that variables are present in more than

one survey year or in another CPSEO-formatted data file, the common format

of the AFDC surveys facilitates longitudinal analysis of the AFDC population over a period of time or of the AFDC population in comparison to broader

populations on other survey files.

Produ£ing_Ag~nsx. The CPSOO AFOC files were prepared by The

Hendrickson Corporation for Mathernatica, Inc., in Washington, D. C., undelr

contract to the Social and Rehabilition Service (DHEW) (Contract No.

SRS-74-60).

File Structure. The CPSEO AFDC files represent microdata files with

one record for each recipient family or case. All cases included in the

surveys are present on these data files.

Var iables .There is a maximum of 289 var iables on the CPSEO AFDC .

records. Not all variables are present for each survey year. The variables

are organized in the following categories:

General identification (year, r'egion, and state)

Fam'ily identification variables (retord type, total persons

in household, weight)

Geographic identification variables (e.g., metropolitan

residence, size of SMSA, type of housing)

Family composition variables

Assistance unit information (e.g., time on AFDC, detailed

composition of assistance unit)

WIN project information

51
Parental information (e.g., presence/absence of father/mother,

occ~tion, age, education of parents)

Services (detailed listing of P9ssible community services)

(9) Budget information (food stamp participation, assets, mipcellaneous income such as child support)!

(10) Standard (monthly dollar requirements for rent, utilities, food, etc.) .

(11) Non-assistance income for survey month

(12) Disposition information (e.g., income, disregard, child care

and other work-related expenses, net monthly income included

in AFOC budget)

(13) Grant information

SE;cifi~ Rel~~i~~~Y/V~liqity Probl~!!!~. ,A cer~ain ~un~ of editing

was performed on the flIes to remove obvious inconsistencies In the data.

In particular r' intermediate money amounts were slightly adjusted so that

totals were consistent and so that components correctly summed to totals.

The editing program added two new variables to the original DHEW formats of

the files to allow for certain income and age discrepancies. Overall, however, the amount of editing required affected only a small proportion ofcases.

Technical Characteristics. The record length for each case in the

CPSEO AFDC files is a uniform 455 characters. There is one tape reel per

survey year for a total of three reels in all.

Pertinent Publication

Cohn, Helen T. ~~C~e.Boo~:- ~~ .~~~ .Co~nl~For~~_ted AFOC

Files. Report to Social and Rehabil~tat~on Serv~ce, DHEW.

washIngton, D. C.: Mathematica, Inc., and The Hendrickson Corporation, June 1975. .

Provides complete documentation for the 1969,1971, and 1973

CPSEO commonly-formatted AFDC survey files, including a common

code book for all three years listing each variable and its

field location and length, and including the survey instruments

used by HEW for each year.

Social Security Administration, Office of Research and Statistics

Continuous Work History S~le,1957-

Purpose and Application. In administering the Social Security system,

an unprecedented volume of economic and demographic data is generated.

52
Much of the analytic data drawn from administrative records is most conveniently handled by the use of samples. The Social Security Administration has ~~ogram of creating on a continuing basis a set of data called

the Continuous ~rk History Sample which contains basic denK>graphic,

employment, earnings, and benefits data for a s~le of over 2 million

workers currently or previously in paid employment covered under the provisions of the Social Security system. This data base provides complete :.'

and accurate information on both earnings (up to the taxable limit) and

Social Security benefits --income sources which are often underreported on

surveys and which are bmportant for many of the poor --and also permits following migration and employment patterns of covered workers in relation to

earnings on a yearly basis. To facilitate various research needs and also

to preserve confidentiality of information, SSA makes available six microdata subfiles of the basic CWHS which are described in more detail in a

separate section.

~~i~er~ and S~!~. The Continuous Work History Sample is basically

a 1/100 longitudinal sample of persons with covered employment. The sampl~

consists of all persons who have Social Security numbers (SSN's) with specified digits in the 6th, 8th, and 9th positions, and who have covered

employment during the reference period. The digital selection pattern

remains constant, so that employment and earnings histor ies fram 1957 on

are available for persons in the sample, with limited additional data going

back to 1937. .

In a broad sense, the sampling frame for the CWHS consists of the

one billion possible nine digit SSN's. The first three digits of the SSN

represent the area in which the number was assigned, the fourth and

fifth digits represent the group number, and the last four digits the

ser ial number. In the issuance of SSN' s, each state is assigned one or

more area numbers. Thus, the first three digits indicate the state where

the initial application for an SSN was made (although not necessarily the

location of subsequent employment). In most instances, all SSN' s in a

block of 9,999 SSN's having the same first five digits were applied for in

the same state and within a relatively short time period. Because only

the serial number portion of the SSN is used as a basis for selection, each

block of 9,999 SSN's having the same first five digits (area-group number)

may be considered a separate universe stratum. Thus, the sample is

stratified by area and time of the initial application for an SSN.

The total sample size for the CWHS increases each year, with approximately 1 percent (1/100) of the new SSN's issued being added to the

data base yearly. Hence, the sample size for a particular year is also

approximately 1 percent of the persons with covered employment in that

year. The total size of the CWHS is currently over 2.2 million records.

It should be noted that the sample is not redrawn each year. An SSN, once

selected, remains in the sample.

It should be emphasized that ~he $ampling unit for the CWHS is the

There is usually a one-to-one correspondence between SSN I sand perHowever, a few persons have more than one SSN. If same of these

SSN.sons.

53
persons receive wage or self-employment earnings credits on more than one

acco~umber, estimates of the number of persons from the sample will be

slightly overstated.

.'

Time Period. The CWHS was started in 1957 and has been added to

continuously since then on an annual basis. Limited data are also available going back to 1937 for those persons who had covered employment -prior

to 1957.

Major Cont~nt- AE:eas_and Geographic Identification. The complete CWHS

data base contains information for each person (or rather each SSN applicant) on age, race, and sex; on state, county, and industry (four digit,

Standard Industrial Classification code in manufacturing and three digit SIC in non-manufactur ing) for the person I s employer (s); quarterly wages up

to the taxable limit. (In 1957 this limit was $4,200; currently it is

$14,100) and total estimated wages for wage earners; and annual net taxable

earnings for the self-employed and for agr icul tur al workers. More recently,

benefits information has been added to the data base.

The six subfiles which SSA makes available from the full CWHS data

base differ in their subject matter and geographic content. As a protection for individual confidentiality and also because of the points in time

at which the various subfiles are created, no one subfile contains all of the

data items in the complete CWHS.

Data Collection and Process in Methods. Data recorded in the CWHS are

obtained rom admin1strat1ve records subm1tted to the Social Security

Administration or, for a few items, to the Internal Revenue Service. Demographic data on age, race, and sex are obtained when a person first applies

for a Social Security number and are maintained on an SSN file. Data on

state, county, and industry are obtained when an employer first requests

an employer identification number and are maintained on the EIN file. Each

quarter covered employers report the wages of their employees up to the

taxable limit. Combined demographic, employment, and earnings data are

then obtained for for each wage and salary worker in the CWHS by matching

the earnings reports first to the SSN file and then to the EIN file. Data

on earnings for the self-employed and for agricultural workers are obtained

from their annual Federal income tax forms filed' with the Internal Revenue

Service. Finally, Social SeCurity benefits data are obtained from the SSA

Master Beneficiary Record.

~li~!lity/V~~!dity ~r~~*~~. The Continuous Work History Sample

is subject to sanplmg varIabIlIty errors (although the very large size of

the sample --1/100 --minimizes these errors) and to nonsamp1ing errors.

Some factors contributing to nonsanpling errors are: (1) failure to report

or credit some covered earnings; (2) corrections and additions to earnings

records made subsequent to the processing cutoff date for the annual CWHS

file; (3) reporting and processing errors in the demographic and geographic

54
classifiers for persons in the sample (in particular, individual establishments of multi-establishment firms may not be correctly identified);

(4) dupli~!~on in the estimates of workers as a result of persons receiving wa~--and/or self-employment credits on more than one account number;

and (5) incomplete identification of deceased wor.~ers.

Perhaps more tmportant than sampling and nonsampling errors affecting. the usefulness of the CWHS are limitations arising from the very nature -

of the basic administrative records used to generate the sample. Thus,

not all persons are covered in the Social Security system. Obviously, the

system excludes persons who have never applied for a number such as most

minors and other persons never in the labor force; it also excludes past

and present workers who are not in covered enployment. No major changes

in the coverage provisions of the Social Security system have taken place

since 1954. Currently, the CWHS covers well over 90 percent of workers in

paid employment. Two types of coverage exist, mandatory and elective.

Covered on a mandatory basis are all enployees in nonfarm industries (except

railroad workers), most farm and domestic employees who meet minimum earnings provisions, and Federal enployees not covered by the Federal retirement

system. Groups covered on an elective basis are ministers, employees of

non-profit establishments, and state and local government workers. All

self-employment is covered if earnings exceed $400 per year. In all, the

sample excludes three million Federal workers, three of the ten million

state and local government workers, and a small number of employees of nonprofit establishments since most elect coverage.

In addition to exclusion of some workers, the Social Security records do not include complete coverage of earnings. Thus, employers report

for each worker wages up to the taxable limit: currently, this is $14,100.

Because nonfarm wage data are reported by quarter, an estimate of total

wages is possible. SSA estimates the total wage by substituting the last

full quarter wage for the quarter in which the taxable limit was reached

and for each subsequent quarter. For those workers who reached the taxable

limit in the first quarter, separate annual estimates for males and females

are prepared for each year based on the Pareto method, a technique of extrapolation from a distribution.

PlansfQrFutur~ ~hanges. Several new developments for the CWHS are

currently being carried out or are under consideration by SSA. First, SSA

is in the process of drawing a 10 percent (1/10) CWHS file for the first

quarter of 1971 and also 1973. There will be over 7 million cases representing 8 million different jobs for each of the two years. The 10 percent sample

will provide industry and place of work for the major jobt plus demographic

and earnings data. (Note that the sample will of necessity be limited to

wage and salary workers, excluding agricultural workers and the self-employed.

The Department of Housing and Urban Development is providing the bulk of the

funding with contributions also from other Federal agencies. The 10 percent

sample should be very useful for state and county labor market analysis and

for analysis of regional migration patterns.

55
SSA is also considering using the IRS 1040 occqpation information

supplemented by follow-ups when necessary with employees and/or ~loyers

to add occqpation as a standard data item to the CWHS. In another project,

a version of the Census Bureau I s address caging guide is being used automatically to assign geographic codes for place of residence to the 1972 CWHS.

(Currently, the geographic identifier is for place of work which may.not be

the same as place of residence.)

List of Publications

Hirschberg, David A. "The Continuous Work-History Sainple."

of Public Data Use, Vol. 3, No.3, pp. 11-14 July 1975.

Review -

Describes the CWHS data program, the subfiles which are available,

and plans for improvement.

Data Availability and Restrictions. Six microdata subfiles, as

briefly described in the sections below, are available for purchase fram

the Social Security Administration, Office of Research and Statistics.

prefers to sell the files rather than to make special tabulations.

SSA

One Percent Annual Froployee-Employer File

This file represents a 1 percent sample of Social Security numbers for

which wage and salary employment was reported in the reference year. There

is one data record for each employee-employer combination in the year. (Selfemployed workers are not included.) Data elements include month am year of

birth, sex, and race of the employee~ state, county, imustry, and coverage

group (farm, military, federal civilian, etc.) of the employer~ annual taxable wages, quarterly taxable wages, and total estimated wages. The file

becomes available approximately two years following the year of reference. ,~;:

Currently, it is available for each year fran 1957 to 1971. There are fran

900,000 to 1.4 million records on each annual file. The records are 102

characters in length and are contained on 10 tape reels for each year.

One Percent First Quarter Employee-Employer File

This file contains the same data as the annual 1 percent file, except

that it becanes available about 15 m:>nths after the quarter of reference.

Because an effort is made to obtain the file as quickly as possible, late

reports are excluded and coding problems which may exist are not resolved.

The file does not include agricultural employment (nor the self-employed)

which is reported on an annual basis.

One Percent Sample Longitudinal Elriployee-Employer File

The LEED file is assembled fram the Annual Employee-Employer records

which are prepared on a yearly ba~is. In the annual files, one record is

created for each employee-employer combination during the year. In the

LEED file, the original records from the various annual files have been

skeletonizoo, resequencoo, am merged, so that all of the records

56
associated with an employee over the time span of the file appear together.

The basic data elements are the same as on the annual files. The LEED file

records a~ariable in length (because of the fact that individuals in

the sample have had varying periods of covered employment over the time

period included). Currently, the LEED file cove~ the years 1957 to 1970,

and includes over 1.3 million records contained in 20 tape reels.

One Percent Sample Annual Self-Employed File

This file includes the same basic data elements as the employee-employer

files, but covers net and taxable earnings for those who are self-employed.

The basic source is the IRS Schedule SEe Currently, the file is available

for each year from 1960 to 1971. There are from 60,000 to 70,000 records

on each annual file. The records are 84 characters in length and are contained on one tape reel for each year.

One Percent 1937 to Date Continuous Wbrk History Sample File

This file represents a 1 percent sample of Social Security numbers issued

through the cutoff date of the file reflecting the entire work experience of

each ~rson in covered employment. (Retired persons and persons who dropped

out of covered employment are included as well as those currently working. )

There is one record for each wage and salary worker or self-employed worker

containing month and year of birth, sex, and race; employment information

on number and pattern of years employed, first and last years employed,

pattern of quarters employed for the last two years, number of quarters of

coverage from 1937 to date, pattern of coverage from 1957 to date, farm or

nonfarm wage or self-employment indicators; earnings information including

taxable earnings or taxable income and net earnings for the self-employed

each year beginning 1951; also industry and state and county of employment

for the self-employed only for the year prior to the current year; insurance status information; and benefit status information. The 1 percent

CWHS is currently available covering the years 1937 to 1973 with a record

length for each person 768 characters. The file currently includes over

2 million records and is available on 46 tape reels.

One Tenth Percent 1937 to Date CWHS File

This file provides the same data as the 1 percent CWHS, but includes

a greater level of detailed earnings information beginning in 1937, such as

taxable wages each year 1937 to date, taxable farm wages each year 1955 to

date, total estimated wages each year 1946 to date, quarterly wages each

qUarter of each year 1951 to date, and net earnings from self-employment

each year 1956 to date. There is no geographic or industrial detail on

this file. The file currently contains over 200,000 records, each 1,392

characters in length, occupying 11 reels of tape.

~t1~en'ent History Study, 1969-197.g

~~_a~d _Applicati~. The Retirement History Study is a la-year

longitudinal study of men and women on the threshold of retirement which

57
the Social Security Administration is presently carrying out for the purpose of assessing the adequacy and effects of the Social Security program's

provISions for retired workers. Because a disproportionately large

share of the aged have low incomes, the RHS is potentially a valuable data

resource for studying income ~rends and r~lated characteristics of persons

as they reach retirement age and beyond.

yniveEse and Samp!~. The universe for the RHS centers around persons born between the years 1905-1911 (in other words, those approaching

retirement age), and includes specifically men aged 58-63 at the start of

the survey in 1969, regardless of their marital status, plus women aged

58-63 at the start of the survey who are not living with a spouse. Inmates

of institutions are excluded, as are members of the armed forces living on

base if their families are not present.

The sample was drawn from the Current Population Survey's list of

households as of early 1969. Canprised of 11,153 individuals, it represents a 1/500 sample of the universe. (This is one of the largest recent

samples of the aged, although, of course, the univer-se is restricted to a

6-year age cohort.) The survey designers expect a 50 percent attrition rate

from death, respondent movement, and dropout over the course of the study.

Actual attrition over the first two years was less than 10 percent.

Time Period. The Retirement History Study is a la-year longitudinal

survey. The first interviews were taken in the spring of 1969; subsequent

interviews are scheduled at two-year intervals..

~jo; ~~nt~~~ ~!:e~s and Ge~rap?!c Ide~ti!ic~t~~n. The questionnaire

content of the RHS centers around retlrement, including timing, financial arrangements, relation to the Social Security program, and the respon-dents' 

expectations and realizations concerning retirement. Detailed

questions are asked on work experience, including type of job, length of

time on each job, salary, and work-related retirement benefits. Financial

circumstances are also ascertained in detail, including amounts and sources

of income and assets. Data are also obtained on consumption patterns, with

particular attention given to health status, expenditures for health care,

and sources of financing for health care. Finally, data are collected on

standard demographic variables, living arrangements, and changes in residence

Geographic identification is the same as on the CPS, that is, by

region, and metropolitan-nonmetropolitan residence, with most of the states

also separately identified. I

l

Relation to Other D~ta Bases. The only other recent longitudinal

study which has focused in any way on the retirement dec ision is the National

Longitudinal Study (NLS), also known as the Parnes Study, which is being conducted by the Census Bureau together with the Center for Human Resource

Research at Ohio State University for the Manpower Administration of the

U.S. Department of Labor. The Nffi is a la-year survey covering four different cohorts of persons: men aged 45-59 at the start of the survey, excluding armed forces and the institutionalized, young men and women aged

58
14-24, and women aged 30-44. Interviews for the male cohort approaching

retirement began in 1966 and have been repeated six times up through 1975,

with a final-rnterview scheduled for 1976. The sample size for this cohort

is 5,000 individuals, with blacks overrepresented about three to one. The

questionnaire content includes extensive data on work experience, job and

non-job related income, education, skill level, and attitudinal variables,

plus age and race, family background, place of birth, marital status, and

health and household composition. Results covering survey years 1966-1969

are provided in u.s. Department of Labor, Manpower Administration, The PreRetirement Years: A Lon itudinal Stud of Labor Market E r ience of Men,

by Herbert S. Parnes, et al., 4 Vols, 1969-1973.

~at~ ~~llect!o~.~d Pr~~e~si~2 Me~ods. Data are being collected

for the Retlrement H1story Study through personal interviews by the U.S,

Bureau of the Census.

~liabi~i~~/V~l~~ity P~o~~e~. The most obvious limitation on the

usefulness of the Ret~rement History Study for poverty or other analyses

stems from the restriction of the universe to a single small age cohort.

To date, no evaluation has been performed which would indicate other problems of reliability or validity peculiar to the study.

List of Publications

Reports issued by the U.S. Department of Health, Education, and

Welfare, Social Security Administration, Office of Research

and Statistics, from the Retirement History Study, include:

Retirement History Study: Introduction, by Lola M. Irelan.

Retirement History Study Report No.1. November 1972.

Sherman, Sally R. "Assets on the 1hreshold of Retirement."

S~ial Security Bulletin. August 1973.

Murray, Janet. "Family Structure in the Pre-retirement Years."

Social Security Bulletin. October 1973.

Schwab, 

Karen. "Early Laror-Force withdrawal of Men: Participants and Nonparticipants Aged 58-63." Social Security Bulletin.

August 1974.

Sherman, Sally R. "Labor Force Status of Nonmarried Women on the

Threshold of Retirement. Social Security Bulletin. September

1974.

Qa!:a A~ai!abi!~~~ and Res~~i~~ions. Data from the Retirement

History Study for 1969 are avallable on a computer tape file which can be

purchased from SSA; the 1971 data file is available for tabulations withinSSA, 

and the 1973 file should be available before the end of the year.

59
Social Security Surveys of the Aged: 1963, 1968, 1972

~~r~~ and~A~l~cation. The Social Security Administration has

periodlcally conducted surveys of the elder.ly population or extracted

microinformation on the elderly from existing surveys for the purpose of

analyzing the status of aged persons with respect to work rates, and history,

size and sources of income, beneficiary characteristics, and health:status.

Data fram the 1963 Social Security Survey of the Aged, which represented a

nationwide sample of persons aged 62 or over, were used in Medicare hearings

and influenced the 1965 amendments to the Social Security Act. Data fram

the 1968 Social Security Survey of the Demographic and Economic Characteristics of the Aged (DECA), which comprised a nationwide sample of persons

aged 65 or over, were used in analysis of the effects of the 1965 amendments and of the effectiveness of the OASDHI program in meeting the financial needs of the elderly population. The 1972 Social Security Survey of

the Status of the Elderly (S~TEL), which represented an extract of records

from the current Population Survey for persons aged 60 or over combined

with SSA beneficiary data, was designed for use by SSA in further analysis

of and planning for the Social Secur ity recipient public.

Because the aged are a prominent component of the poverty population, these various SSA surveys are clearly relevant for poverty studies.

The 1963, 1968, and 1972 surveys are not comparable in every respect;

however, enough comparability exists to make the surveys particularly useful for time trend analysis of the poverty characteristics of the aged.

.Universe and S~le: Taking up the surveys in reverse order o~ ..

their occurrence, the universe for the 1972 S~TEL survey was the civilian

non-institutionalized population aged 60 years or older and their spouses,

as represented in the Current Population Survey. The STATEL sample compr ised 14,395 aged ~ (couples, one or both of whom was aged 60 or over,

plus unmarried individuals aged 60 or over), including all such units from

among the 47,000 total households in the March Current Population Survey,

for about a 1/1500 sample of the universe of aged units.

For the 1968 DECA survey, the universe was all persons aged 65 or

over who were el ig ible for hospital in sur ance (HI) or Supplemental Med ical

Insurance (SMI) under the Medicare program (i.e., the universe for SSA's

Current Medicare Survey). Over 99 percent of the population aged 65 or

over is eligible for Medicare, including inmates of institutions; effectively the only groups excluded are Federal Civil Service annuitants not

enrolled in SMI, aliens with less than five years' continuous residence,

and persons not reached by either HI or SMI even after extensive enrollment efforts. The DECA sample comprised 9,128 aged persons, of whom 8,248

were interviewed, drawn from the monthly Current Medicare Survey. This

survey size represents about 1/2500 of the universe.

Finally, the universe for the 1963 surv~y was the civilian population aged 62 or over, including inmates of institutions. Th~ basic

interview unit, as in STATEL, was the "aged unit" (couples, at least one

60
of whom was as old or older than the cutoff age, or a single person as old

or older than the cutoff). The 1963 sample comprised about 8,500 such

aged units,-e£ which 7,515 were iRteEviewed, for about a 1/2000 sample of

the universe.

Time Period. The period for interviewing for STATEL (i.e., the

CPS) was March 1972, with deroographic information ascertained as that of -

date and income and work experience information ascertained for the previous

calendar year 1971. DECA was carried out at the end of 1967 and th'e beginning of 1968, using two rotation panels in the Current Medicare Survey; the

reference year for the data was 1967. The 1963 survey collected data for

calendar year 1962.

~jor ~~nte!;!t.~ea~ and. ~raph!c !den!ificatio~. The three surveys are quite similar in subJect content. The STATEL data base contains

most of the variables from the CPS, including demographic and family comp)-

sition characteristics and variables relating to work experience and sources of

income. Income amounts in the 1972 CPS were specified for eight different

types of income --wage and salary earnings; net self-employment earnings

from a business or profession; net self-employment earnings from a farm;

income from Social Security or railroad retirement; income from estates,

trusts, or dividends, interests, and net rents; income from welfare or

other public assistance (including AFDC, OAA, AB, AFTD, and General Assis--

tance); income from unemployment insurance, workmen's compensation, government

enployee pensions, and veterans' payments; and income from private pensions,

alimony and child support, regular contributions from other persons not in the

household, and all other income. In addition, components of each of the five

unearned income categories were specified as being received or not received

on a yes/no basis. Variables such as migration which were not relevant to the

purpose of the study were omitted on the STATEL file. In addition to CPS

variables, STATEL includes Social Security beneficiary characteristics from

SSA's Master Beneficiary Record. Geographic identification is the same as

on the CPS; i.e., region, and metropolitan-nonmetropolitan residence, with

over three-quarters of the states also separately identified.

The DECA survey included demographic and socioeconomic information

similar to STATEL, but derived from supplemental questionnaires administered

as part of the Current Medicare Survey. Such data items included basic

demographic characteristics, size of place, veteran status, education,

health, migration within the past year, amount and sources of income, work

experience, living arrangements, homeownership and liquid assets. In addition, DECA contains Social Security beneficiary data from the Master

Beneficiary Record.

The 1963 survey was very similar in content to DECA. Geographic

identification on both surveys was limited to the four regions of the

u.s.

Qata_Collec~i~n.and.Process~ng.M:~od~. All three surveys were

based on personal intervIews conducted by the Bureau of the Census. As

stated before, STATEL represents an extract of data obtained from the March

61
Current Population Survey conducted by the Bureau of the Census; DECA was

administered as a supplement to two panels of the Current Medicare Survey;

while the 1963 survey was an independently conducted effort. In addition,

beneficiary information fram SSA's administrative records was matched in

with the interview data for all three surveys.

Reli~ili~y/Va!idity Problems. All of the Social Security su~veys

of the aged suffer from small sample sizes, which means that analysis for

geographic areas ~aller than regions, for example, or for very detailed

poverty subJroups, cannot be supported. STATEL also is limited to the noninstitutional population, excluding inmates. (Exclusion of armed forces

personnel in all three surveys, except those living with their families,

is not a significant limitation, because so very few of the elderly are

in this category.) The earlier surveys for 1963 and 1968 are also very

much out of date and are probably best used for trend analysis in connection

with the 1972 survey. Problems of differing universes, age cutoffs, and

variable definitions affect the kinds of trend analyses which can be performed, but do not make such analyses impossible. On the positive side,

the data on Social Security income in these surveys, which is a substantial

portion of income for many of the elderly, are more accurate, having been

matched in from SSA administrative records, than data ordinarily obtained

in surveys.

List of Publications

Reports issued by the U.S. Department of Health, Education, and

Welfare, Social Security Administration, Office of Research

and Statistics, from the 1963,1968, and 1972 surveys of the

aged include:

~~ A~~ ~~p~~at~on,of. th~ Unit~ S~at~s~ Th~ !963 S~~~! Securlty of the Aged, by Lenore A. Epstem and Janet H. Murray.

Research Report No. 19. 1967.

De ra ic and Economic Characteristics of the A ed --1968

Social Secur 1ty Survey, by Lenore E. B1xby, et a1. Research

~p()rt-NO. 45. 1975.

Income of the Aged Population: 1971 Mo~y_I_ncomeand Changes

from-T901-;-5yGayle B. Thompson. Research am Statistics Note

No. 14. 1973.

~?~~ E~~ ie!;!ce an~- Incone of- ~~ Population Aged 60 and Older,

~, by Gayle B. Thompson. 1972 Status of the Elderly Report

No.1. November 1974.

Data A~a~lab!~ i ty an? ~~~~ !~~ions. For the STATEL data, computer

tapes contalnlng the matched CPS-SSA records or the CPS records alone are

available for purchase or".f,er tabulation within SSA. {Note that SSA also

has available a data file called the 1973 Current Population Survey-Social

Security Earnings and Benefit Exact Match File which includes Social

62
Security earnings and benefit data for the entire March 1973 CPS. See

Frederick J. Scheuren and Barbara Tyler, "Matched Current Population

Survey and-Secial Security Data Bases," ~~!ew ~f _Public Data U~, Vol. 3,

No.3, pp. 7-10, July 1975.) Data from DECA and from the 1963 Social

Security Survey of the Aged are available for tabGlation within SSA.

Survey of Low-Income Ag~ and Disabled, 1973:Z4

Purpose and Application. The Social Security Administration conducted the two-year Survey of Low-Income Aged and Disabled (SLIAD) with the

primary purpose of studying the financial and other effects of the new Supplemental Security Income (SSI) program. SSI went into operation as a

federally-financed and administered program of assistance to needy aged and

disabled persons on January 1, 1974, replacing three separate state-operated

adult programs, Old Age Assistance, Aid to the Blind, and Aid to the Permanently and Totally Disabled. The SLIAD sample heavily overrepresented lowincome aged and disabled, so that it is particularly suited to poverty

analyses of these groups that go beyond looking at just the effects of 881.

Universe and Sample. The SLIAD sanple actually comprised two

separate samples drawn from different although overlapping universes. The

universe for the first sample was the resident population of the United

States aged 65 or older, or aged 18-64 and severely disabled, and their

spouses, whose previous year's income was under $5,000 for a single person

or under $6,500 for a married couple. Excluded were inmates of institutions

and members of the armed forces living on base if their families were not

present. The universe for the second SLIAD sample was those persons carried

on state assistance rolls as recipients of benefits from OAA, AB, or APTD.

The first sanple was drawn from the July 1973 Current Population

Survey household list, including about 3,500 elderly persons who met the

income qualification and the same number of low-income disabled (identified

by a special question on the CPS which classified as disabled those unable

to work regularly or at all because of a health condition of at least

three months' duration). The elderly sample from the CPS represents about

1/2500 of the universe and the disabled sample about 1/3000. The second

sample was drawn from the state assistance lists and included about 10,000

recipients of OAA and a similar number of recipients of AB or APTD, for

about a 1/150 sample of the universe in each case.

Time Period. Having been designed to measure respondents' situations -.. before and after the lntroductlon of 881, 8L1AD was taken in two parts:

the first wave of interviews was in October-December of 1973 and the second

in October-December 1974.

Ma 'or Content Areas and Ge ra ic Identification. SLIAD attempted

to ascertain the "level of lIving" for the low-Income elderly and disabled

under three different rubrics. First was possessions, broadly defined,

including type of housing, ownership status, electricity, heating and

plumbing facilities, availability of 18 kinds of appliances and consumer

durables such as refrigerator, TV, radio, sewing machine, telephone, car

63
or truck, washer, etc., plus quality of housing and neighborhood, access

to stoLes, and availability of transportation. The second covered various

aspects of behavior, including items on diet, four social activity items,

seven consumer activity items such as buying.a book or magazine, getting

a haircut or permanent, going to a movie or play or entertaining. The

third broad aspect of level of living was attitudes, including satisfaction with housing, neighborhood, diet, social life, and attitudes toward

the respondent's own financial circumstances and toward the adul t assistance programs. In addition, data were collected on work history of self

and spouse, last month and year income amounts from 18 public and

private sources (wages and salaries, net farm or business income, Social

Security, public assistance income, interests and dividends, rentals,

private insurance or annuities, railroad retirement, military pensions,

private pensions, disability pensions, state cash sickness benefits, workmen's compensation, unemployment insurance, tax refunds, private welfare" or

relief payments, contributions from persons outside the household, and all

other income), food stamp benefits, expenditures, assets and debts, plus

demographic and family relationship items such as sex, age, relationship to

head of household, race, ethnicity, education, place of birth, father's occupation, marital history, residence of children, size of place, and length

of residence. Data were also collected on health status and medical insur-ance. 

Finally, the 1974 questionnaire included additional items on funeral

expenses for a deceased spouse, attitudes toward the SSI program, and reasons for moving.

Geographic identification for SLIAD was the same as on the CPS, that

is, by region, and metropolitan-nonrnetropolitan residence, with most states

also separately identified.

~~~Co!lec~ion and Pr~essing_Me!;.b~~. The SLIAP data for both

the CPS-based and state assistance lists samples were collected in personal

interviews by the Bureau of the Census.

~!~bility/Validity Problems. The usefulness of SLIAD for poverty

analyses is limited by the small sample size (at least for the CPS-based

samples; the sanple size for the state assistance lists sanples is relatively large but the universe itself is quite small),. the fact that only

the aged and disabled were included, and the fact that the institutionalized

aged and disabled were not included. The latter restriction is particularly

significant because so many aged and long-term disabled reside in institutions.

Within these limitations, however, SLIAD is unique in its focus on the lowincome components of its two study groups. !

List of Publications

--

Tissue, Thomas. "Poverty Ratios and Level of Living AIrong the

Low-Income Aged and Disabled." Paper presented at the American

Statistical Association Meeting, Atlanta, August 1975.

Gives preliminary results from the 1973 portion of SLIAD for

~he aged and disabled samples drawn from the CPS.

64
Dat~ ~~_i_l~bility and Restr ictions. Data for 1973 are available

for tabulation within SSA. The 1974 data will not be available for several

months a~he earliest. This also applies to a combined data set that

matches the data for each year for co~les and single person units.

,

65
u.s. 

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Office of Policy Development and Research

Annual Housing Survey, 1973-

~ur!X)~e ~9Applicati.9.n. The Annual Housing Survey (AHS), which

was begun In 1973, is designed to provide intercensal data on the number

and types of housing units and their amenities. The AHS data go beyond

what has traditionally been collected in the decennial censuses to include

information on neighborhood conditions, conmunity services, and the working

order of the housing unit. Coupled with information on household residents,

the AHS data will permit analysis of the quality and kinds of housing available to the !X)verty !X)pulation as currently defined. The data may also

permit operationalizing alternative poverty definitions that explicitly incorporate housing needs for different kinds of families and for place of residence differences (e.g., metropolitan or rural).

~nivers~ and Sample. The Annual Housing Survey consists of two parts.

The first part is called the national sanple of housing. The initial

national sample, which was conducted in 1973, covered almost 60,000 housing

units, including mobile homes, selected from among the 68.7 million counted

in the 1970 census, representing about a 1/1000 sample of the universe.

The 1970 lists were updated to include units constructed since the census

was taken. The national sample was designed to be representative of important population groups, housing categories, and principal geographic sections

of the country. Each year, a sample of newly-completed units will be

added to the basic group. The national survey was also expanded in 1974 to

include an additional 16,000 rural housing units to provide more detailed

and reliable information on this segment of the Nation's housing supply.

This will increase the rural sample to approximately 32,000 of the nearly

76,000 units to be surveyed nationally each year, representing about 1/500

of the universe of rural units.

The second part of the AHS consists of metropolitan area samples.

This part began with a survey of 135,000 units in 19 SMSA's in 1974-75.

Fifteen thousand units each were surveyed in four very large metropolitan

areas (Boston, Detroit, Los Angeles, and Washington, D.C.) and 5,000 units

in each of 15 srna1.ler SMSA's. The second year of the survey, 1.975-76, will

cover 145,000 units from another four large SMSA's (Atlanta, Chicago, Philadelr::tlia, and San Francisco) and 17 other smaller metro areas. The third

year, 1976-77, will survey a third and last panel, covering 140,000 units

in 20 SMSA's including four very large areas (Houston, St. Louis, Seattle,

and New York). Once all three panels have been completed, the cycle will

begin again. Eventually, each group will consist of 20 SMSA's and 140,000

units which will be surveyed every three years, including four large areas

(one in each census reg ion) ~d 16 smaller SMSA' s d istr ibuted throughout

the Nation. (Table 1 is a listing of the metropolitan areas to be included

in each panel with their 1970 census housing counts and approximate sampling

ratios.)

66
Table 1. Total Housing Units and Sampling Ratios, Annual Housing Survey

-Total housing units includes all occupied and vacant units as of

the 1910 census. U.S. Bureau of the Census, Census of Housing: 1910,

Vol. 1, Chap. A, General Housing Characteristics, Pt. 1, U.S. SUlDDary,

Table lS.

67

Standard Metropolitan Statistical Areas, First Three Years -

Year. Saaple Size. and SIc;A Housing units. 1970. S&8pling Ratio

--

Tear 1. 1974-1975

S_le size 15.000 units:

Boston. Mass. 896,273" 1/60

!lashington, D.C.-ItI.-Va. 937,823 1/63

Oetroit. Mich. 1.322,300 1/88

Lo. Angeles-Long Beach, 2,538,910 1/169

Calif.

Sample size 5.000 units:

Albany-Schenectady-Troy, N.Y. 244,667 1/49

Newark, II.J. 601,977 1/120

Pittsburgh. Pa. 789,771 1/158

Me8ph1s, Tenn.-Ark. 236.900 1/47

Orlando. Fla. 145,744 1/29

Minneapolis-St.Paul. Minn. 576.891 1/115

Saginaw. Mich. 65.817 1/13

Dallas, Texas 529.785 1/106

Ft. Worth. Texas 258.003 1/52

!lichita. (ansa. 1~,390 1/27

Salt Lake City, Utah 163.816 1/33

Anahe~Santa Ana-Garden Grove, 462,803 1/93

Calif.

Phoenix. Ariz. 318,714 1/64

Spokane, !lash. 99,869 1/20

Tacoma. !lash. 133.290 1/27

Year 2. 1975-1976

Saap1e size 15.000 units:

Philadelphia. Pa.-II.J. 1.536,872 1/102

Atlanta. Ga. 450.391 1/30

Chicago. Ill. 2,294.848 1/153

San Franc1.co-Oakland, Calif. 1.130.239 1/75

S_p1e size 5,000 units:

Rartford. Conn. 213.203 1/43

Springfie1d-C1t1copee-Ho1yoke. 171.715 1/34

Hass.-Conn.

Paterson-<:lifton-Passaic, II.J. 436,459 1/87

Rocheater, II.Y. 284,614 1/57

Newport Newa-Hampton. Va. 87,505 1/18

Miami, Fla. 453.908 1/91

Cincinnati, Oh1o-Ky-Ind. 453,OIl 1/91

ColUllbua, Ohio 296.427 1/59

Milwaukee, Wis. 449.044 1/90

Nev Orleans. La. 345.5~1 1/64

San'Antonio. Texas 260,925 1/52

Kansas City, Ho.-Kan. 436,449 1/87

Colorado Spr1nga, Colo. 73.710 1/15

San Bernardino-Riverside- 421,202 1/84

Ontario. Calif.

San Diego. Calif. 450,798 1/90

Portland. Oreg.-Wash. 358,920 1/72

Year 3. 1976-1977

S_p1e size 15.000 units:

Nev York, II.Y. 4.022.812 1/268

lIouaton, Tex. 668.454 1/45

St. Louis. Mo.-Ill. 785,498 1/52

Seattle-Everett, Weah. 513,208 1/34

Saap1e size 5,000 un1ta:

Prov1dence-P_tucket-Warwick, 301,510 1/60

R.I.-Haaa.

Buffalo, II.Y. 435,588 1/87

Allentown-Bethle!1~-Easton. 181,210 1/36

Pa.-II.J.

BaltiDJre, 1tI. 656,777 1/131

81rmingham. Ala. 244.485 1/49

Louisville, Ky. 268.875 1/54

Ra1ei8b, N.C. 71.181 1/14

Cleveland, Ohio 677,039 1/135

Indianapolis, Ind. 369,435 1/74

Grand Rapids, Mich. 170,231 1/34

Oklahoma City. Ok1s., 226.936 1/45

Omsha, lIeb.-Iows -174,773 1/35

Denver, Colo. 410.509 1/82

lIonolulu. KawaU 174,170 1/35

Las Vegas, lIev. 93,047 1/19

Sacraaento. Calif. 272,424 1/54~
Time Period. The Annual Housing Survey's national sample of housing w~ first conducted in late summer and early fall 1973; the second

national survey began in August 1974, and subsequent surveys will be repeated each year. The metropolitan area s~les began in April 1974 through

March 1975 with the first panel of 19 SMSA'si the second panel is being surveyed in 1975-76 and the third panel in 1976-77. The rotation sequence for the metropolitan samples will be repeated in subsequent years. -

Ma 'or Content Areas and ra ic Identification. The first 1973

national AHS questionnaIre asked for detailed information similar to the

1970 census on financial and structural characteristics of housing units,

including both occ~ied and vacant dwellings, and on household amenities.

Data items included year built, tenure, type of unit (apartment, mobile

home, etc.) and number of units in structure, access to a telephone, mobility information for the head, number of stories, presence of elevator,

number of rooms and bedrooms, kitchen facilities, plumbing facilities, heating equipment and fuel, basement, air conditioning, value and rent, utility

expenses (for renters only), automobiles available, and major appliances.

In addition, information was asked on how well facilities such as the heating, plumbing, and electrical systems actually worked. Similarly, the dependability of services such as water supply, sewage disposal, and trash

and garbage collection was ascertained. Such household problems as leaky

roofs and basements, holes in walls and ceilings, broken steps, and peeling

paint and plaster were identified. The 1973 AHS also inquired into the

environment of the neighborhood in which the housing units were located,

including the presence of abandoned, vacant, or rundown buildings; trash,

litter, or junk in the streets, on empty lots, or on property along the

street; heavy street traffic; commercial, industrial, or other nonresidential activities; odors, smoke, or gas; and street or neighborhood crime.

Households were also asked to judge the adequacy of their neighborhood public services such as mass transit, schools, and police and fire services.

The 1974 questionnaire included all of the above items plus detailed

questions on journey to work, characteristics of automobiles owned, utility

expenses for homeowners as well as renters, and questions related to energy

requirements such as presence of insulation, storm windows, etc. Subsequent questionnaires will be the same as in 1974, with the addition of a

special supplement in 1975 related to travel to work. ,

Data collected in the AHS on household residents themselves include

family size, relationship to head, age, race, sex, and marital status of

each member, plus ethnicity and education of the head, and ownership of a

second home. Yearly family income data are also collected for'l6 different

sources: wages; nonfarm business income; farm income; Social Security or

railroad retirement; estates, trusts, or dividends; interest on savings

accounts or bonds; net rental income; welfare payments or other public

assistance; unemployment compensation; workmen's compensation; government

employee pensions; veterans' pa~nts; private pensions or annuities; alimony or child support; regular contributions from persons outside the

68
household; and all other income. Finally, there are questions specifically

addressed to recent movers, particularly on the location and characteristics

of their p~~ous residence, its financial characteristics, and the reasons

for their mOve.

Geographic identification on the national sample is limited to the

four regions of the U.s., plus inside and outside of SMSA's, and urban and

rural. The metropolitan area samples identify each SMSA, plus inside and

outside the central cit,Y for the largest areas.

Relation to Other Data Bases. Since 1850, the decennial census has

determined the number of dwellings as part of counting the population,

and, since 1890, has ascertained how many people owned their own homes.

The 1930 census added some housing questions for nonfarm units on amount

of rent paid and value of owned property. But it was not until 1940 that a

full-fledged housing census was taken. This census provided information

on vacancy, year built, financing, number of rooms, plumbing f~cilities,

lighting, heating equipment, and fuel used for heating and cooking. Subsequent decennial censuses have produced the same basic information, plus

data on new subjects such as occupancy by race, income source, le~th of

occ~ancy, availabil i ty of automobiles, source of water, and sewage Q isposal. There have been occasional one-time special studies and sample surveys which have collected housing data between censuses.

The Annual Housing Survey incorporates most of the questions in the

decennial census and, as noted before, adds extensive new information on

housing quality, neighborhood environment, community services, and on the

relationship of decisions to move to such factors. When the AHS is fully

~lemented, it will be a source of extensive intercensal housing information for many metropolitan areas and all regions of the country.

Data Collection an~ ~r~essing ~~~od~. The Annual Housing Survey is

conducted each year by U.S. Bureau of the Census interviewers who visit

the household occupying each housing unit in the sample. The interviewers

obtain information for unoccupied units fram landlords, rental agents, orneighbors.

~li~~ili~y;val~~i~~__;rg~~~~. Because data for only the first year

of the natlonal sample have been released from the AHS, it is not yet

known what specific problems of reliability or validity may affect their

usefulness. Of course, the survey is subject to sampling variability, and

like the Current Population Survey, which provides extensive intercensal

demographic and socioeconomic information, it is not able to support estimates

for states or smaller areas. This is ~rticularly so for tabulations that

break out poverty households.

List of publications

Reports issued jointly by the u.s. Department of Housing and Urban

Development and the U.S. Bureau of the Census from the first

year (1973) of the Annual Housing Survey national sample are

69
listed below. Subsequent national sample reports, as well as

those from the metropolitan area samples, should be available

about six months after interviewing is completed.

;ndic~tor~ o! HO_~S~~~ ~d ~eighborhood Quality. Reports, Serles H-lSO-73, Part B.

Current Housing

Financial Characteristics.

73, Part C.

Current Housing Reports, Series H-150-

Recent-Mover Households.

Part D.

Current Housing Reports, Series H-lSO-73

~at~ ~v~i!ab~l!ty and ~st~ icti~~~. 'nle Annual Housing Survey data

will be malntalned on computer tape flIes by the Bureau of the Census. It

is planned to make available public use files; however, their content and

form are not yet known.

Housing Allowance Exper in'ents

Pu!:~se aM Applicatio!!. '!he Housing Allowance E~riments are being

conducted by HUD to test whether a national program of providing direct

cash assistance for housing to low-income households is both feasible and

desirable. '!he program is divided into three areas: the Demand, Supply,

aM Mninistrative Agency Ex~riments. Each ex~riment is being conducted

separately with different objectives. An integrated analysis is being designed which will pul! together common data from all three exper iments.

Once completed, the experiments will provide extensive longitudinal

data (covering from two to five years) regarding housing choices and quality

and cost of housing available to low-to-rnoderate income renter families

both before and dur ing the course of the exper imental housing allowance

subsidy.

U~i v:~ ~ ~ S~le. '!be three Housing Allowance E~r iments, because

of their differing obJectives, have somewhat different universes and samples.

'!be Demand Exper iment, which is designed to obtain information about the

responses of people who would be potential recipients of a housing allowance

under a national program, has enrolled about 1,200 renter households in each

of two sites (Pittsburgh and Phoenix). '!be households are receiving cash

assistance according to one of two basic payment formulas. Under what is

called a Housing Gap Plan, they receive a payment based on the difference

between the estimated cost of obtaining housing that meets minimum standards

of quality and a certain proportion of their income. Under a Percentage

of Rent Plan, households are subsidized by a proportion of the rent they

pay. it is anticipated that there will be different incentives for increasing housing consumption under these two basic plans.

70
The S~ply Experiment is designed to determine whether there are

effects on the market such as price inflation or increased rehabilitation

and mainte~e. Hence, a full-scale program is being operated in two

sites (Green Bay, Wisconsin, am South Bend, Indiana), with about 6,000

renter households enrolled per site. Finally, th~Administrative Agency

Experiment, which focuses mainly on how a national program might be

administered, includes about 900 recipients for each of eight different

agencies (two welfare agencies, two state agencies, two metropolitan area

county government agencies, and two local housing authorities), all of

which are administering payments using a housing gap formula.

It is difficult to say just what universe and what sampling fraction

of the universe each Housing Allowance Experiment sample represents. This

is because the samples were designed to fit the policy objectives of each

experiment and were also constrained by the kinds of households found in

each site. However, in general, the samples represent low-to-moderate

income households. Note, moreover, that only renter households are included

with homeowners not permitted to participate.

Time Period. The Demand Experiment began in 1974 and will continue

for three years. The Supply Experiment also began in 1974 and will cover

a five-year period, while the Administrative Agency Experiment will cover

two years beginning in 1974.

~~j~! Content Are~s. Data collected in the three experiments vary

to SUIt the purposes of each experiment~ however, many of the data items

are cammon to permit an integrated analysis of the results. Data collected

in all three experiments include: demographic and income information for

each household, housing expenditures and characteristics of the dwelling

and neighborhood, preferences for housing and neighborhood characteristics

and satisfaction with current housing, attitudes toward the program and

its administration, mobility of the household and individual household members, status of household members in relation to program requirements, and

reasons for leaving the program. In addition, the Supply Experiment will

obtain yearly income and expenditures by landlords for buildings being monitored in the experiment and a description and history of each building

as well as the landlord I s plans for remodeling, demolition, etc.

Geographic identification in the three experiments is limited to

each particular site.

Relation to Other Data Bases. The Housing Allowance Experiments

are the first such attempts to study the impacts of a housing allowance

program on actual behavior. Other experiments, notably the New Jersey

Graduated WOrk Incentive Exper~ent and the Income Maintenance Exper~ents

currently being conducted in Seattle, Denver, and Gary, Indiana, are similar

in operation, but are designed to test responses to income maintenance payments that represent pure cash transfers without earmarking for specific

consumption. These exper~ents ar~ collecting some information on housing

71
costs and quality for both renters and owners, but clearly not to the extent

of the Housing Experiments, nor are they collecting data that would indicate

supply as opposed to demand effects of income subsidies.

-1?~;~ ~~!~~?~!O?_a~d .Pr~ess~n~ ~e~~~. Each of the three Housing

Allowance Exper1ments 1S beIng admInistered separately. Abt Associates is

conducting the ~mand Experiment, with data being obtained through household

surveys and monthly household reporting forms (used for payment determination) .The Supply Experiment is being administered by the Rand Corporation

and is obtaining data through household surveys, observers' ratings, and

surveys of landlords and property owners. The Administrative Agency Experiment is being run by Abt Associates also and is obtaining data through

household surveys and observers' ratings. Finally, the Urban Institute is

conducting an integrated analysis of the experimental results using cammon

data elements.

List of Publications

Only limited data have been released from the Housing Allowance

Experiments; however, a number of design and program reports are

available.

Abt Associates, Inc.

Agency Exper irne!}t.

Agency Program Manual. Revised March 1973.

SUIIIIlary Evaluation Design of the Demand Exper iment.

June 1973.

Revised August 1973. ~r imental Design and Analysis Plan of the Demand -

-..

ExperlInent.

First Annual Report of the Demand Experi~n~

March 1974.

.~~rst Annual ReIX>rt of the Administrative Agency E~r-

~. May 1974.

. Second Annual Report of the Demand Exper !~!:!!:.

February 1975.

. Second Annual Report of the Administrative Agency E~r-

.-lITIent. Draft.

u.s. Department of Housing and Urban Development, Office of Policy

Developnent am Research. F!rst- ~~ual Report of the Experiment

H~using Allowance Program. May 1973.

""'"

.~econ~ _~~al Report on the Experimental Housing Allowance Program. June 1974.

72
.~~r!~ntal ~ou~~n~~~!lowance Program: Initial

Irnp~essions and F1ndmgs. Apr1ll975.

Data Av.ailab!li~y ~ Res~r ic.tt~~s. Data will be available to outside researchers In the form of publIC use computer tapes after HOD and its

contractors complete their analysis. However, this will probably not be

before 1978.

73
u.s. DEPARTMENT OF LABOR

Bureau of Labor Statistics

Consumer Expenditure Survey, 1972-1973 y

P~rpos~. ~ Applicat!~n. The primary purpose of the 1972-73 Consumer ExpendIture Survey (CEX) is the revision by the Bureau of Labor Statistics (BLS) of the expenditure weights for the Consumer Price Index, which,

in turn, is often used as a general indicator of inflation in the economy.

(This revised CPI is scheduled to be published in April 1977.) Other possible uses include revision of the Internal Revenue Service's standard tables

of sales tax deductions and revision of the BLS family budgets and equivalence scales. In addition, the data will undoubtedly be used in various

government and private analyses of consumer habits, proposed economic policies, and social welfare planning.

In relation to poverty studies, as discussed more fully in Technical

Paper VIII of this report, the data collected in the survey appear ideal

in most respects for construction of alternative poverty measures, on both

the needs side and the resources side. However, the sample size is not

large enough to s~rt analysis for detailed breakdowns by income and

variables such as family size and geographic residence considered together

Universe and Sample. The 1972-73 CEX actually consisted of two related but separate surveys, the Quarterly Survey and the Diary Survey. For

both, the universe was the noninstitutional population of the United States,

covering all geographic areas, including urban and rural, farm and nonfarm

households. In the Quarterly Survey a total of about 23,000 families were

selected to be interviewed, half in each year, for approximately a 1/3000

sample of the universe for the two years combined. Each family was interviewed five times over the course of a IS-month period beginning in January

of 1972 or 1973. In the Diary Survey a total of about 27,000 additional

families was sampled, split between each of the two years, with each family

asked to complete a two-week diary of all expenditures during those twoweeks. 

Actual responses for the Quarterly Survey were 9,914 in the first

year and 10,158 in the second, while responses for the Diary Survey were

20,392 one-week diaries in the first year and 23,355 in the second year.

(Not all families completed usable diaries for two full weeks, hence it is

necessary to express responses in terms of weekly diaries rather than number

of families.) The response rate overall ranged from 80 to 90 percent which

was regarded as exceptionally good.

The division into Quarterly and Diary Surveys was intended to provide more detailed and acc'lrate information on expenditures than had hitherto

been possible. On the principle that larger purchases would be remembered

for a longer period of time, and that small, frequently purchased items

would be best collected on a day-to-day basis, the two surveys were designed

to meet this need. They also included Salle cam\on variables, mostly demographic and socioeconomic, so that that the two bodies of data could be linked

together for complete analysis.

7.1
Time Period. Each component survey of the 1972-73 CEX was conducted

in two waves. As noted previously, the Quarterly Survey covered two

IS-month periods beginning in January 1972 and January 1973, re~ctively.

Each family-was interviewed five times over the course of one of these

IS-month spans. The first-year Diary Survey began in the last week of June

1972 and continued through the third week in June 1973; the second year of

the Diary Survey began in the last week of June 1973 and continued through

the third week of June 1974. Interviewing to obtain the two-week diarie&

for each family was spread fairly evenly throughout each year to capture

seasonal variations.

Ma .or Content Areas and ra ic Identification. The Consumer

Expenditure Survey collected a detai~ed body of data on expenditures, income, and changes in assets and liabilities related to socioeconomic andl

deI1'K>graphic characteristics for each household in the sanple, or rore properly, each consumer unit; i.e., nuclear family members plus other persons

in the household who pooled their resources for consuming. The Diary portion of the 1972-73 CEX permitted obtaining a much more complete picture

of expenditures for smaller items than was previously possible.

As noted before, the Quarterly component of the 1972-73 CEX was

designed to collect information on larger and more easily recalled expenditures. Specifically, the Quarterly Survey ascertained expenditures for

major appliances, real estate, motor vehicles, and other expensive or infrequently.purchased items on a 12-month recall basis; expenditures for

relatively expensive items such as furniture and small kitchen appliance:s

on a 6-month recall basis; and expenditures for frequently purchased or

relatively inexpensive items such as clothing and utilities each quarter.

Global estimates for food and beverage expenditures were also obtained in

quarters two through five. However, other small expenditures that were

covered in the Diary Survey were not obtained in the Quarterly. In total,

the Quarterly Survey obtained detaIled information on 60 to 70 percent of

family expenditures, including such items as out-of-town trips, taxes, home

repairs, insurance, professional services of doctors, and contributions,

plus aggregate information on another 20 to 25 percent of expenditures (for

food and beverages).

The Quarterly Survey also obtained an inventory of durable goods

and property assets at the first interview, detailed information on fin~1-

cial assets and liabilities as of the first and last quarters, and detai:led

information on previous calendar year income by type. The latter variab:le

was collected at the last interview (in March 1973 or 1974). This timing

was deliberate in order to coincide with the filing of annual personal

income tax returns in order to increase the accuracy of the information.

The sources of income were extremely detailed on the Quarterly Survey,

including civilian wages, armed forces pay and allowances, net farm income, net business income for each member of the consumer unit, plus total

family income for 19 unearned income sources (Social Security and railroad

retirement, Federal Civil Service retirement benefits, state and local c:ivil

service retirement benefits, private pensions, veterans' compensation, interest, dividends from stocks, dividends from mutual funds, dividends from

75
other sources, unemployment insurance from private sources, unemployment

insurance from public sources, public assistance benefits, regular contributions from persons outside the consumer unit, net income from roomers and

boar~s, net income from rented properties and royalties, other money income such as workmen's compensation, lump sum inheritance or bequests, sale

of household furnishings or other belongingt, and other money received).

The Quarterly Survey also ascertained tax refunds, payroll deductions,

gifts and contributions, and occupational expenses. Some information was

also obtained on in-kind income, including food stamps, value of food grown

at harne, food provided through public or private programs, and free meals

provided at work.

Finally, the Quarterly Survey ascertained at each quarter the relationship to head, birth date, age, marital status, sex, race, and armed

forces status of each member of the consumer unit (redefining the consumer

unit as necessary each quarter to take into account addition of new members

and loss of former members). At the last interview, questions were asked

on the housing unit, including number of rooms and bedrooms, hot and cold

piped water, water heating fuel, bathrooms, type of heating system, heating

fuel, air conditioning, fuel used for central air conditioning, fuel used

for cooking, parking facilities, type of building and when originally

built, plus work experience, occupation and industry in the previous calendar year for each consumer unit member 14 years and older and education of

the head, including vocational training received.

In contrast to the Quarterly component, the Diary Survey focused

on expenditures for small, frequently purchased items (although respondents

were asked to record all purchases to prevent any confusion about what items

should be included). ~e major expenditure components for which the Diary

Survey was designed were food, household supplies, personal care products

and non-prescription drugs, amounting in total to about 30 to 40 percent'

of all family expenditures. As in the Quarterly Survey, the information was requested in extremely great detail. For example, respondents were to -

specify such precise details for food purchases as cut of meat, the kind

of milk, type of flour, net weight or volume, whether the item was fresh,

frozen, canned, dried, or packaged. And the coding of these items preserved

most of the level of detail recorded. For example, household cleaning

equipment included 23 items, such as bottle brush and dust pan. In all,

more than 1,700 different codes were developed to classify the expenditures

for analysis. 'n1e Diary Survey also obtained den'KXJraphic and socioeconomic

characteristics of the consumer unit as in the Quarterly, plus annual income

(but not assets) for the 12 months preceding the interview. The income variable was in much less detail, corresponding to the eight categor ies in the

CPS March Income Supplement (wages, net farm income, net business income,

and unearned income from five sources: Social Security or railroad retirement; estates, trusts, dividends, interest, and net rents; welfare or other

public assistance; unemployment compensation, workmen's compensation, government employee pensions, veterans' payments; private pensions, alimony and

child support, and other regular contributions). In addition, the second-year

diary questionnaire included an item on receipt of food stamps.

76
Geographic identification on both the Quarterly and Diary Surveys

is by the four regions of the U.S., metropolitan-nonmetropolitan residence,

and urban, rural nonfarm, and rural farm.

Relation to Other Data Bases. The 1972-73 CEX is the eighth in a

--. progr am of consumer expend 1 ture surveys by the BtS that goes back to the

end of the nineteenth century. The last CEX prior to 1972-73 was in 1960-61.

(See following section.) This most recent CEX is similar in content to ptevious surveys; however, the data collection methods --namely, the division

into the Diary and Quarterly components --represent a radical departure from

previous procedures. The sample size was also enlarged and coverage extended to all families, urban and rural, farm and nonfarm in a "single"

survey, instead of the joint BLS-USDA effort which characterized the 1960-61

survey.

Data Collection and Processing Methods. Data collection and initial

procesSIng for the 1972-73 CEX was done for the Bureau of Labor Statistics

by the Bureau of the Census while both the Diary Survey and the Quarterly Survey were conducted by personal interview. In the case of the diary, an

initial interview was conducted, mainly to obtain demographic data; a diary

form was left with the family to be filled in daily over a one-week period;

at the end of that week the interviewer collected the first form and left

a second one to cover a second one-week period; at the end of the first

week the interviewer also ascertained work experience for each member and

annual income by source for the unit as a whole; finally, the second-week

diary was collected at the end of that week. The Quarterly Survey was conducted as an interview every three months, for a total of five interviews

per consumer unit. Each interview was fairly lengthy, with some items

asked each quarter and some only for certain quarters.

The Bureau of the Census performed the basic processing of the data --

screening, coding, and initial editing --with detailed computer edits and

adjustments being made by BLS.

~liability/Va!!d.i~y pro~l;~. Basic problems with the 1972-73 CEX

which have come to llght as of thlS date include the following:

(1 Neither component survey exhausts the full set of family

expenditures and hence the two surveys cannot simply be combined to make a total sample of 40,000 over the two years.

Thus, for the Quarterly Survey families, expenditures on small

items such as household supplies are not known, nor is there

a complete expenditure record for big items for the Diary

families. Complicated statistical matching procedures would

be required to impute missing data on one of the surveys using

the information on the other.

Another problem in trying to relate the Quarterly and Diary

Surveys stems from the ~ferent income data obtained in the

two components. The income data from the Diary Survey are

(2)

77
both less comprehensive and less detailed than the Quarterly

Survey data and also reference different time periods (applying to the l2-month period preceding each family's interview

date rather than to a consistent calendar year 1972 or 1973 as in the Quarterly). ..

(3) The 1972-73 CEX coincided with particular economic phenomena

such as world crop failures, the energy crisis, gasoline

shortages, and rapid inflation in foOO prices, all of which

undoubtedly affected consumer behavior. The extent to which

these factors biased the CEX results is not yet known; it is

hoped that the effects were small, particularly given the twoyear span of the survey.

(4) Normal problems of response error and sampling variability

must be taken into account. The new procedures co~led

with detailed edit checking should have improved the canpleteness and accuracy of each type of expenditure reporting. The

increased size of the sample should also make possible more

reliable analysis of spending patterns for different types and

income levels of families, although, as noted before, the sample

size (20,000 families for each component) is still not sufficient

for analyzing several dimensions of family characteristics and

expenditures together.

Publications

The Bureau of Labor Statistics has published a few preliminary results from the Diary component of the 1972-73 Consumer Expenditure Survey

in press releases dated April 16 and May 15,1975. Publication of final

results is expected to begin in 1976, followed by revision of the CPI in

1977 and publication of detailed tabulations and further reports and

analyses. For more details about the survey, particularly as it relates

to poverty studies, and for analysis of the preliminary findings, see

Technical Paper VIII to this study.

Data Av~il~i~it~. ~ ~str ~~ti~~~. BIB plans to make available

public use mlcrodata flIes from the 1972-73 CEXi however, their content and

form are not yet known.

ConSlmler Expenditure Survey, 1960-1961

~pose- andA~~~~~tion. The major intent of the 1960-61 Consumer

Expendlture Survey (CEX) was to obtain data for the revision of the Consumer

Price Index. Other uses considered in the survey design were market research,

economic policy planning, and other government research. As is true of the

1972-73 CEX, this earlier survey provides invaluable data on expenditure

patterns at different income levels useful both for developing poverty measures and for comparing the poverty population, once defined, to other economic classes.

78
As noted above, expenditures on large or less frequently purchased

items such as vehicles, appliances, furnishings, and clothing were obtained

for the preceding calendar year, 1960 or 1961, in very great detail. In

addition, a detailed seven-day recall questionnaire was filled out which covered

daily items of expenditure for food and related items during the week preceding the interview.

The 1960-61 CEX also obtained an inventory of major durable goods

and property owned at the beginning of the reference year plus information

on financial assets and liabilities. Information on the consumer unit itself included age, race, sex, education, occupation, industry, and work experience for each member, plus detailed sources of income for the previous

year for the unit as a whole (comparable to the level of detail in the

1972-73 CEX).

Geographic identification in the 1960-61 CEX is by the four regions

of the u.S., metropolitan-nonmetropolitan residence, urban, rural farm, and

rural nonfarm, plus size of place.

Relation to Other Data Bases. The 1960-61 CEX was the seventh survey in a program of conSLmer expenditure studies by the Bureau of Labor

Statistics which began at the end of the nineteenth century. The content

and procedures of the 1960-61 CEX are sbnilar to previous surveys, although

the 1960-61 survey was the first to cover rural families as we1.1 as urban.

As discussed above, the most recent CEX for 1972-73 differs in several

significant respects from the 1960-61 and earlier surveys.

79
Data Collection and Processing_Methoos. 'llie data for the 1960-61

rEX were collected joIntly by the Bureau of Labor Statistics and the u.S.

Department of Agriculture in personal interviews. BLS collected data from

households in urban places and from nonfarm residents of rural portions of

metropolitan areas, while USDA covered rural households outside metro areas

and farm operators inside those areas. PrOcessing and publication of results

were carried out mainly by BLS.

Reliabili~,!;validity Probl~. The 1960-61 CEX, though the most

complete expenditure survey up to that time, was less detailed and accurate

in many ways than the 1972-73 survey. Particular difficulties included:

(1) The 1960-61 survey was based almost entirely on respondent

recall for both the annual and previous-week data.

(2) Each family was interviewed basically once, although typically

interviewing extended over more than one day for a total of

seven to eight hours on the average. The amount of data that

could be collected was less exhaustive compared to a series of

interviews, and the data were based on one time period in the

unit's history with little allowance for change in circumstances or even correction of recall.

(3) The sample size for the 1960-61 CEX was quite small.

List of Publications

Reports issued jointly by the U.S. Department of Labor, Bureau of

Labor Statistics, and the U.s. Department of Agriculture, from

the 1960-61 Consumer Expenditure Survey, include:

Consumer Ex nditures and Income, Total United States, Urban and

Rural, 1960-61. BLS Report No. 37-93, USDA Report CEX-15.

February 1965. Slinilar reports were published for each of the

four regions: Northeast, North Central, South, and West. The

report for the total population combines data issued previously

in reports for separate levels of urbanization, including a joint

report for rural nonfarm families for 1961 (BLS Report 237-88,

USDA Report CEX-IO), a report for urban famil ies for 1960-61 (BLS

Report 237-38), and a report for rural farm families -for 1961

(USDA Report CEX-5).

Availabi~ity. of Data. ~ .Restr~ct~o~~. BIB has prepared a general

purpose computer tape conta1n1ng selected microdata from the 1960-61 CEX

which is publicly available. See below for a description of this file.

1960-61 CEX General Purpose Tape

~ur~s~ ~ .~p~!ic~tion. The Bureau of Labor Statistics has made

certaIn basIc indivIdual consumer unit data from the Consumer Expenditure

Survey of 1960-61 available on m~netic tape to researchers so that 'they

80
can make their own special tabulations. The amount of data on this General

Purpose Tape is limited in order to protect the confidentiality of individual repl~-o

Producing Agency. The Division of Living ~Qnditions Studies,

Bureau of Labor Statistics, u.S. Department of Labor.

~!le Structure. The 1960-61 CEX General Purpose Tape is a microdata file that provides data for each of the some 14,000 consumer units

from whom complete, usable questionnaires were obtained in survey interviews. There are no separate data records for individual members of consumer units. Each consumer unit has two adjacent records with background

characteristics and the unit weight contained in each record and the value

data for income, expenditures, and assets split between the two records.

Variables. The General Purpose Tape contains variables for each

consumer unit of the following kinds:

General identification, including survey year, region, size ofplace, 

urbanization group, city or state code (34 places with

1960 populations of 50,000 or more are separately identified),

and weight:

Characteristics of head of consumer unit, including sex, race,

education, marital status, age, occupation, industry, and

class of work;

Consumer unit characteristics, including number of persons,

number under 18 and 65 and over, relationship of family members, age of children, number of full and part-time earners,

family income before and after taxes, income change, incomesavings ratio, tenure of housing, value or rent, and auto

ownership; . .,

Ex~nditures for current consumption on 15 major categories

(food, alcoholic beverages, tobacco, housing, utilities, household operations, house furnishings and equipment, clothing and

clothing materials and services, transportation, medical care,

~rsonal care, recreation, reading, education, and miscellaneous personal consumption) and on 94 detailed categor ies

(for example, expenditures on footwear for boys 16-17 years,

refrigerators and home freezers, dental services, etc.);

Expenditures for personal insurance 7 categories);

Gifts and contributions to persons not in the family and

to organizations;

Net change in assets and li~ilities (15 categories, including

purchase of own dwelling, stocks and bonds, money owed on purchase of autolOObiles, etc. )";

8r
(8) Balancing difference (difference between reported total

receipts and reported total disbursements) i and

(9) Money income after personal taxes for 10 sources, personal

taxes, other money receipts, value of items received without

expense, and value of home produced food.

Technical Characteristics. The 1960-61 CEX General Purpose Tape

is contained on three tape reels. The records are a uniform 911 characters

in length, with two records for each of the approximately 14,000 consumer

units on the file.

Pertinent Publication

u.s. Department of Labor. Bureau of Labor Statistics. Survey of

~onsurne~~xpenditures, 1960-61 --CEX Genera! Purpose Tape.

December 1971, revised.

Describes the general characteristics of the tape, the list of

variables, and ordering procedures.

,

82
u.s. DEPARTMENT OF TRANSPORTATION

Federal Highway Administration

Nationwide Personal Transportation Stooy, 1969-7Q

P~-~~ and Ap~l~ca~!on. The Nationwide Personal Transportation

Study (NPTS) was orIgInally conducted to gather information on national

patterns of travel which would be useful for such purposes as forecasting

future trends in highway transportation modes, evaluating urban problems

posed by trends in automobile occupancy rates versus availability of public

transportation, and looking at travel patterns of elementary and secondary

school students. The NPTS was not oriented toward poverty studies; however,

the survey is potentially important for development and evaluation of poverty

measures that include standards of need for additional items besides food;

in this case, for means of transportation. '!he NPI'S data permit analyzing

for low-income groups both need and actual use patterns of transportation to

work and to school according to such variables as number of workers or school

children in the family, distance to work or school, availability of public

transportation, parking facilities, and so on. The data can be further

analyzed on a regional basis and by type of residence (urban, rural, etc).

Uni~e;~e ~ ~ample. '!he households in the Nationwide Personal

Transportatlon Study comprised two outgoing panels in the Quarterly Household Survey (QHS) conducted by the Bureau of the Census. {The QHS was a

sample of about 16,000 households which the Census Bureau interviewed for

the Survey of Consumer Buying Expectations. The CBE was conducted on a

quarterly basis from July 1966 until its discontinuance in April 1973.)

The NPTS was based on a multi-stage probability sample of housing

units located 235 sample areas, comprising 485 counties and independent

cities, representing every state and the District of CollJnbia. The 235

sample areas were selected by grouping all of the Nation's counties and

independent cities into about 1,900 primary sample units (PSU's) and further

forming 235 strata containing one or more PSU's that were relatively homo;Jeneous according to socioeconomic characteristics. Within each of the strata,

a single PSU was selected to represent the stratum. Within each PSU, a probability sample of housing units was selected to represent the civilian noninstitutionalized population. Two panels were selected, each including

approximately 3,000 households, representing in total approximately a 110,000

sample of the universe.

Time-Period. The households in the first NPTS panel were interviewed in April; July, and October 1969, and in January 1970: th~ second

panel was interviewed only once in August 1969.

Ma_j_o~ .Con~~nt_Areas ~ Ge():Jra~h~; Id~~t~fi;at~o~. Data collected

in the NatIonWIde Personal TransportatIon Study Incltxled information about

the household's autamobile(s), whether they were used for going to work and

by how many people, and par king costs; information about shopping tr ips and

nearness to public transportation to the main business district for residents

83
of Standard Metropolitan Statistical Areas only; information about travel t<

work for all employed persons 16 or older; information on estimated annual

miles driven by each licensed driver; and information on travel to school

fQr persons between 5 and 18 years of age and attending school. For panel

two of the households interviewed in August 1969, the interviewer asked for

the travel to school information for the preceding May.

In addition, information was collected on all one-way tr i~ -by motor

vehicle or same form of public transportation taken by persons 5 years or

older on a pre-assigned reference day. The reference days were all in a

one-week period in each of the months of interviewing and all weekdays and

weekends were represented. Finally, limited information was obtained on

overnight travel of all such trips during the seven days ending the day befo

the pre-assigned reference day.

Data collected on the household itself included type of structure,

race of head, household size, number of automobiles, and yearly income in

broad classes (thousand dollar intervals from under $1,000 to $5,000-5;999,

then $6,000-7,499, $7,500-9,999, $10,000-14,999, $15,000-24,999, and $25,000

or more), plus age, sex, employment, occupation, and change in place of work

or residence from five years ago for each houshold member. Geographic

identification was by the nine divisions of the U.S. and also by type of

residence (inside or outside SMSA' s of different size classes, urban by size

of place, and rural).

Relation to Other Data Bases. Since 1930, various surveys have been

comucted which were primarily limited to autanobile and truck travel. In

April 1961 a national survey was comucted to determine characteristics

of travel, ownership, and use of autanobiles. In addition, household incane

data were available which could be related to travel patterns. Besides

these special surveys, national personal transportation data were collected

for the U.S. Census of Transportation in 1957,1963,1967, and 1972.

Canparability among all of the surveys is limited because of changes in

methodology. The censuses, moreover, excluded trips to work and considered

only trips CNer 100 miles or CNernight. Therefore, the "trip" definition

was different from the NPTS.

Data Collection and Processi Methods. Data for the Nationwide

Person Transportatlon Survey were co ected through personal interviews

in 1969-70 by the Bureau of the Census. To minimize memory errors regarding trips, interviewers generally visited each household on the first

weekday after its designated reference day. The completed questionnaires

were edited first in the census regional field offices to clear up inconsistencies and omissions and later in the Washington office. The data

were then coded, put on tapes, and mechanically edited. An edited tape

for each of the months of the survey was furnished to the Federal Highway

Administration for processing.

R~liabilitY;Validity Problems. The Nationwide Personal Transportation Survey is based on a probability sample and the estimates are subject

to sampling variability; i.e., the expected differences between the results

84
of the survey and those that would have been obtained had a complete census

been taken. Some items, such as person or household characteristics or number of vehiGles, were collected only during the first visit to a household

in April oJC in August. Standard errors of estimates (measures of sampling

variability) were calculated from data collected ,quring those two months.

Estimates of the standard errors for characteristics of vehicle trips and

vehicle~iles were determined from variance functions fitted to the data.

collected during the five interview months.

In addition to sampling variability, errors may have been made both

by the respondent households and by interviewers or other personnel involved in the collection and processing of the data, despite extensive use

of quality controls. One variable that may pose reliability or validity

problems for poverty studies in particular is annual family income. A simple total was obtained from each household with no differentiation by

source, thus limiting any analysis and also making it difficult to determine the accuracy of reporting.

Reports issued by the u.s. Department of Transportation, Federal

Highway A9ministration, from the Nationwide Personal Transportation Study, include:

Autoroobile Occupancy. Report No.1. April 1972.

Annual MUes_ot.Autol1Dbile Travel. Report No.2. April 1972

Seasonal Variations of AutoIOObile Trips and Travel.

No.4. July 1972.

Report

~s~rtation_Char acter istics of SchoolChildren.

July 1972.

Report No.4.

Availability_of PublicTranstX>rta~ion_andShoPP!~9Character!s=

tics of SMSA H6Useholds. Report No.5. July 1972.

Characteristics. 

of Licensed Drivers.

..-

Report No.6. April 1973

Household Travel in the United States.

1972.

Report No.7. Decernbe r

HO~ to_\*>rk Trips and~ Travel. Report No.8. August 1973.

Mode of TraI)s~rtation and Personal Characteristics of Tripnakers. ReIX>rt-No.~~-Nove~r l~73. --~

Purp:>ses of Autorobile Tr ips and Travel. Report No. 10. May 1974.

Au!om:>bil~ O\./nership. Report No. 11. December 1974.

85
Data Availability and Restrictio!:!s. The NPl'S data described above

are maintained in computer-readable form by the Federal Highway Adrninis-

~ration. _No public use microdata or summary files have been prepared

and FHA is not generally able to provide ~ial tabulations.

,

86
Footnotes to Technical Paper IX -Part A

1. -~ following U.S. Bureau of the Census publications are good

sources of information about Federal statistics: C:~sus- Burea~ Progr~

~~.:~g~~ga~ion;;.:Subje~~~ and Ar~~~ (June 197.1); Di~ector~ o£ Federa!

Statistics for States: 1967; and I}irectory of Federal Statistics_fo!:

fOcal Areas: 1966~--- --~

3. Gerald J. Rosenkrantz, "An Interview: Machine-Readable Records

of the Federal Government: The Archives Program for Preservation and

Access," Re~!ew of_~blicc~~a Use, Vol. 2, No.1 (January 1974), W. 6-7

4. There are by no means agreed-upon definitions for terms such as

data base or data file. Generally speaking, the term data file is taken to

mean a collection of records that contain largely common information for

the same kinds of units that are treated as a set for processing and analytical purposes. A file of records, strictly speaking, need not be in

computer-readable form, but this is how the term is most widely used in the

field. A data base, then, would be a set of one or more files containing

all of the data obtained in one data collection effort, such as a census or

program of administrative records keeping. Most Federal agencies maintain

their data bases in the form of conputerized files, often called basic

record files. For the purpose of Part A of this technical paper, however,

a distinction is made between the data base itself; i.e., the basic records,

which are not directly accessible by outside researchers, and public data

files which typically contain a subset of the basic record information and

which are available for general public purchase.

5. Part B of Technical Paper IX contains a dictionary of the principal

types of geographic areas; e.g., states, regions, Standard Metropolitan Statistical Areas, and so on, for which the Bureau of the Census tabulates

statistics. The Bureau's geographic definitions are widely adopted throughout the Federal Government. Users of the inventory in Part A are referred

to the dictionary in Part B for explanations of geographic terms.

6. Technical Pa~r VIII of this report, ~e !972- 7~ Consume~ Expe~!-

turf. Survey, deals in detail with the CEX as it relates to poverty studies.

Techni~al Pa~r V, The Co~s~r Pr ic~ Index, descr ibes how the CEX data will

be used in revising the CPI.-

,

87
Index

~

47

66

Administrative Agency Experiment, see

Housing Allowance Experiments ~.

Annual Housing Survey (AHS), 1973 AFDC Study Surveys: 1967,1969,1971,1973,1975.. ~

80

78

74

52

50

CEX, see Consumer Expenditure Survey

Chi1 ton Survey, see National Survey of Food Stamp and CEX General Purpose Tape. 

FoOO Distribution PrCXJran: Recipients in 1973

Consumer CPSEO Continuous CWHS, see Carrnon1y-Formatted Expenditure Continuous work History Survey, Work Sample, AFOC History 1960-1961 1972-1973 Files. 1957~ Sample

DECA, see Social Security Surveys of the Aged

Demand Experiment, see Housing Allowance Experiments

Denver Income Maintenance Experiment (DIME), see

Income Maintenance Experiments

Farm Family Living Expenditures Survey, 1973 23

Farm Family Living Expenditures Survey, 1955

Gary Income Maintenance Experiment (GIME), see

Income Maintenance Exper irnents

42

44

70

HANES, see Health and Nutrition Examination Survey

HealthIS, see and Interview Health Nutrition Interview Survey, Examination 1957-. Survey Survey, 1971 

Housing Allowance Experiments. i.

28

Incane Maintenance Experiments: Pennsylvania-New

Jersey, Denver, Seattle, Gary, and Rural.

38

39

Merged Family Unit Tapes. Merged Individual Michigan Longitudinal Unit Tapes. Survey, see Panel Study

of Income Dynamics, 1968-

MLS, see Panel Study of Income Dynamics, 1968-

83

18

National Longitudinal Study (NLS), p. 59

Nationwide Personal Transportation Study, I

I

National Survey of Food Stamp and Food Dis- 1969-1970 " 

tribution Program ~cipients in 1973

88
Index (continued)

~

32

New Jersey Negative Income Tax Experiment, see ~:

Income Maintenance Exper iments

New Jersey Negative Income Tax Experiment Analysis

Tape. " "I " .

NIT, see Income Maintenance Experiments

NPTS, see Nationwide Personal Transportation Study,

1969-1970 !

56

56

57

57

56

57

38

38

One Percent Percent Annual 1937 Firstto Quarter Employee-Employer Date Continuous Employee-Employer Work File. History File. 

One Sample Percent File. Sample Annu~l ~lf-Employed File. 1. .

One Percent Sample LongItudInal EmployeeOne-Year One-Year Employer Tenth Individual Family Percent File. Unit 1937 Unit Tapes. to Tapes. Date CWHS 

Panel Study of Income Dynamics, 1968- 34

Parnes Study, see p. 59

Retirement History Study (RHS), 1969-1979 ~ .. 57

Rural Income Maintenance Experiment (RIME), see

Income Maintenance Exper iments

39

60

39

17

10

63

Seattle Income Maintenance Experilnent (SIME), see

Income Maintenance Exper iments

SLlAD, SEa Tapes. see Survey of Low-Income Aged and Disabled,1973-74 I

Social Security Surveys of the Aged, 1963, 1968,1972 .i. .

Social Security Survey of the Aged, 1963, see

Social Security Surveys of the Aged

Social Security Survey of the Demographic and

Economic Characteristics of the Aged, (DECA), 1968,

see Social Security Surveys of the Aged

Social Security Survey of the Status of the

Elderly (STATEL), 1972, see Social Security Surveys

of the Aged

STATEL, see Social Security Surveys of the Aged I

Suppl y Exper ilnent, see Housing Allowance Exper ilnents

Survey Survey Survey of of of Economic Household Household Low-Income Opportunity Food Aged Consumption, Consumption, and Disabled (SEO), 1966-1967 1965-1966 1955 (SLlAD), ..~ 

1973-1974 I. .

89
PART B

DATA BASES OF THE BUREAU OF THE CENSUS

AND THE BUREAU OF ECONOMIC ANALYSIS IN THE

DEPARTMENT OF COMMERCE
Table of Contents

Part B

~

INTOOOOCl'ION , 95

BACKGROUND OF CENSUS POVERTY DATA 97

OVERVIEW OF CENSUS BUREAU PROGRAMS 100

Censuses. 100

Reports Between Censuses 100

Additional Progr~ 100

Data Availability 101

Considerations in Using Census Data 103

DECENNIAL CENSUS OF POPULATION AND HOUSING... 112

Reports of the 1970 Census of Population 112

Reports of the 1970 Census of Housing 124

Joint Population and Housing Reports 128

Census Tape Series and Special Tabulations 131

Ol'HER CENSUSFS 146

Economic Censuses 146

Census of Agriculture 149

Census of Governments 150

SURVEYS. 152

Current Population Survey 152

Current Housing Reports 165

1972-73 Consumer Expenditure Survey 167

Survey of Purchases and Ownership 167

Economic Surveys 168

Government Surveys 171

Heal th Surveys 173

Current Medicare Survey 174

Supplemental Income Survey 174

Retirement History Survey 174

Survey of Gallonage Sale of Gasoline 174

National Cr ime Survey 175

Commercial Victimization Survey 175

Survey of Inmates of State Correctional Facilities 175

New York City Housing and Vacancy Survey 176

Survey of Early Childhood Centers 176

Survey of Income and Education 176

ADDITIONAL PHDGRAMS OF THE BUREAU OF THE CENSUS. 181

Statistical Abstract of the United States 181

Congressional District Data Book 182

County and City Data Book 183

Pocket Data Book: U.S.A. 186

State and Central City Profiles 186

93
188

188

190

190

Special Censuses Data Access Descr iptions Social Indicators 1973 ..

Census Maps

BUREAU OF ECa..x)MIC ANALYSIS 193

SUl-lofARY 197

FCXJnmES

199

200

APP~IX Publications Special Censuses and Staff of 1974 Papers of the Bureau of

Economic Analysis .

Telephone Definitions Contacts and Explanationsfor Data Users 

203

209

213

227

INDEX. -'"

94
INTRODUCTION

-

This report is a reference guide to poverty and poverty-related

data bases maintained or gathered by the Bureau.of the Census of the

Department of Commerce. These data mayor may not be published and

their storage may be in forms of computer tapes, microfilm or microfiche, or in the form of unpublished materials in various media.

Although every attempt has been made to cover any area that may

be related to or contain poverty statistics, this guide should not be

assumed to be exhaustive. The elements of poverty-related topics

are many and often human resource analysts attempting to define and

analyze poverty are at disagreement as to specific causes of poverty

and the relationship of these causes to each other. What has been

included in this report are those major programs directed by the

Bureau of the Census. Each program is defined, its geographic

coverage reported, am data items am resulting media availability

discussed. In all cases, source references for additional information

are given.

In addition to the Bureau of the Census, a brief description

of the Bureau of Economic Analysis has also been included. At the

time of the original writing both bureaus were under the direction

of the Social and Economic Statistics Administration. However, since

that time both bureaus have resumed their prior status as independent

statistical agencies wi thin the Department of Commerce.

The need for this guide arose as a result of the Education

Amemrnents Act of 1974 (PL 93-380). This publ ic law required a "Thorough

study of the manner in which the relative measure of poverty for use in

the financial assistance program authorized by Title I of the Elementary

and Secondary Education Act of 1965 may be more accurately and currently

developed" (Section 823). Important elements of the measurement of

poverty in relationship to financial assistance include the geographic

cover age of the data in addition to thei r currency and availability.

These concerns were underscored by the Act and addressed in each of the

sections of this guide.

In order to implement the requirements of Section 823 of the

Education Amendments of 1974, an interagency committee called the

Poverty Studies Task Force has been established under the leadership

of HEW to coordinate the various research activities required. This

report was prepared by the Center for Census Use Studies at the request

of Arno Winard of the Census Bureau's Population Division who

serves as liaison with the Poverty Studies Task Force. Mr. Winard,

assisted by Antoinette Weir, made major contributions to this

report by reviewing each of the "drafts and offering valuable comments

and suggestions on the various chapters of the report. Staff members

responsible for the research and writing of this guide were

95
Michael OIDell, John Kavaliunas, and Sharon Gangwer Johns with assistance

provided by John Speight. Financial support for the preparation of this

rieport was provided by the Office of Assistant Secretary for Planning

and Evaluation, Department of Health, Education, and Welfare.

.

96
BACKGROUND OF CENSUS POVERTY DATA

Since May 1968 when "The Extent of Poverty in the United States: 1959

to 1966" was published, the Bureau of the Census pas issued annual reports

on the number and characteristics of the poor based on data collected from

the March supplement of the Current Population Survey (CPS). The definitign

of poverty used is based on an index developed in 1964 by Mollie Orshansky

of the Social Security Administration in response to the need, generated

by the "War on Poverty," to quantify and describe the poverty population.

This index was revised by a Federal Interagency Committee in 1969. At th~

same time a directive from the Bureau of the Budget made the Census Bureau

series on poverty the official statistical standard. For more details on

the modifications adopted as a result of the Committee I s recommendations,

see "Revision in Poverty Statistics, 1959 to 1968," ~urr~nt_Popu.!~

Report~, Series P-23, No. 28.

The poverty concept is based on the 1961 economy food plan developed

by the Department of Agriculture and reflects the different consumption

requirements of families in relation to their composition, sex and age of

the family head, and farm-nonfarm residence. I t was determined by the

Department of Agriculture's 1955 Survey of Food Consumption that families

of three or more persons spend approximately one-third of their income on

food; the poverty level for these families was, therefore, set at three

times the cost of the economy food plan. For smaller families and persons

living alone, the cost of the economy food plan was increased in order to

compensate for the relatively larger fixed expenses of these smaller households. The index allows for differences in the cost of living between farm

and nonfarm families by setting the poverty thresholds for farm families

at 85 percent of the corresponding levels for nonfarm families. For a discussion of the limitations of the present poverty concept, see "Characteristics of the Low-Income Population: 1973," Current Population ~po~ts,

Series P-60, No. 98.

In addition to the data on poverty updated and publ ished annually in

the P-60 Ser ies, statistics on poverty also appear in many reports publ ished

from the 1970 Decennial Census. Statistics on income in 1969 collected in

the CPS of March 1970 differ from data for that year from the decennial census despite the fact that the same basic concept was used in both instances.

In general, the level of income reported in the census is slightly higher

than that reported in the CPS. For example, median family income reported

in the 1970 census was about $9,590 while $9,433 was derived from the March

1970 CPS. The number of poor persons in the 1970 census was 27.1 mill ion

compared to 24.1 million derived from the March 1970 CPS.

In all, there are 124 different thresholds which are updated annually

to reflect changes in the cost of living as measured by the Consumer Price

Index. (Also see page 217.) These thresholds constitute a four-dimensional

matrix composed of family size, presence of children under 18 years of age,

sex of head, and farm-nonfarm residence. If a family or individual's income

falls below a particular level (threshold), that family or individual is

97
classified as poor; otherwise it is classified as nonpoor. In addition, oneand two-person families are differentiated by age of head. The figure on

page 99 displays this final matrix. These thresholds are applied annually

to the data from the March CPS, thus providing a consistent series of data

since-1959, the first year for which such data were compiled.

..

For many users the complete poverty matrix is too detailed for their

purposes. As a result, a weighted (summary) average threshold matrix is

also available (see below). Derived from the detailed matrix, the condensed

table displays thresholds weighted by presence and number of children. For

example, the poverty threshold for a nonfarm family of four in 1969 was

$3,743.

The poverty definition and its income cutoffs (thresholds) are currently used as absolute rather than relative measures; as such, these have

inherent limitations including lack of adjustment for geographic variations

in the cost of living. Because of these limitations, studies are being conducted to improve the accuracy of measurements of the degree of poverty,

experienced by the Nation's population. An example of the current research

showing selected characteristics of the population by 12 alternative poverty

measures is described in the "Special Tabulations" section of this report

(pages 139,140). Part of the problem relating to the measurement of poverty

has been the difficulty in defining it. To aid the human resource analyst

in this endeavor, the following sections of this report descr ibe data bases

related to the measurement of poverty maintained by the Bureaus of the

Census and Economic Analysis.

Weighted Average Thresholds at the Low-Income Level in 1969, by Size of Family and Sex of Head,

by Nonfarm-Farm Residence

Nonfarm Fann

Number of family members Total

Male

head

Male

head

F_ale

head

Female

bRad Total Total

$1,792

1,826

1,751

2,320

2,373

2,202

2,830

3,725

4,377

4,917

5,952

$1,834

1,888

1,749

2,364

2,441

2,194

2,905

3,721

4,386

4,921

6,034

$1,840

1,893

1,757

2,383

2,458

2,215

2,924

3,743

4,415

4,958

6,101

$1,923\

1,974

1,773 i

2,394 I

2,473,

2,217!

2,9371.

3,745

4,418 4,962 1

6,116

$1,569

1,641

1,498

2,012

2,093

1,882

2,480

3,195

3,769

4,244

5,182

$1,607

1,678

1,508

2,017

2,100

1,883

2,485

3,197

3,770

4,245

5,185

$1,512

1,552

1,487

1,931

1,984

1,861

2,395

3,159

3,761

4,205

5,129

1 J 425 67 m_bers Head m_berUnder m_bers Head members 65 meRbers members years under 65 65 years or and years more 65 over yearsnd over 

98
roVERl'Y CuroFFS: Criteria used in determining poverty status for 1969

Number o~ Related Children Under 18 Years Old

Famny--Size None 1 2 3 4 5 or more

Male Head

1. Under 65 years old ..

65 years old and over

2. Under 65 years old ..

65 years old and over

7. or more 6. 5. 3 4

Nonfarm

--

--

--

--

$3,137

3,715

4,481

5,153

6,535

$1,975

1,774

2,469

2,216

2,875

3,790

4,574

5,247

6,609

-

$2,766

2,766

2,968

3,847

4,630

5,265

6,665

- - -

$3,902

4,368

5,041

6,422

$4,462

4,891

6,274

$4,967

6,049 $5,994

Male Head

1. Under 65 years old ..

65 years old apd over

2. Under 65 years 9ld ..

65 years old and o~er 4. 5. 7. or more 6. 3 

~

$1,679

1,508

2,099

1,884

2,444

3,222

3,888

4,460 5.618

-

$2,351

2,351

2,523

3,270

3,936

4,475

5,665

-

$2,666

3,158

3,809

4,380

5,555

-

$3,317

3,713

4,285

5,459

-

$3,793

4,157

5,333

-

$4,222

5,142

-

$5,095

Female Head

1. Under 65 years old ..

65 years old and over

2. Under 65 years old ..

3.65 years old and over4. 

5. 6. 7 or more

Nontann

--

--

--

--

$2,931 -

3,753 $3,715

4,481 4,444

5,153 5,115

6,478 6,422

$1,826

1,752

2,232

2,190

2,781

3,641

4,368

5,096

6,403

$2,

2,

2,

3,

4,

5,

6,

-

$4,294

4,948

6,255

-

$4,798

6,124

-

$5,825

Female Head ~

1. Under 65 years old ..

65 years old and over

2. Under 65 years old ..

65 years old and over

7. or more 3. 5. 64. 

$1,552

1,439

1,940

1,862

2,364

3,095

3,713

4,332

5,443

$2,

2,

2,

3,

3,

4,

5,

$2,

3,

3,

4,

5,

-

$3,158

3,m

4,348

5,459

-

$3,650

4,206

5,317

-

$4,078

5.205

-

$4,951

-'

99

-

~91

~91

651

771

500

191

~97

-

117

117

253

205

825

412

522

-

491

190

809

380

506
OVERVIEW OF CENSUS BUREAU PROGRAMS

The Bureau of the Census, located within the Department of Commerce,

collects, processes, compiles, and disseminates a wide range of data for

use1by the general public and other government agencies. The confidentiality of responses to census questionnaires is guaranteed by law. Title

13 of the u.s. Code stipulates that the Bureau may not furnish copies of

individual records or issue any statistics which identify or disclose individual information. This protection of confidentiality also applies to

names and addresses.

In addition to the decennial census of population and housing, the

Bureau also conducts other surveys and censuses and produces monthly,

quarterly, and annual reports of statistics, estimates, and projections

for many subject areas.

Censuses

The Bureau of the Census is responsible for taking all censuses authorized by Federal law. In addition to the census of population and housing

taken every ten years, the Bureau also conducts the following censuses every

five years: the economic censuses (manufactures, constructions, mineral

industries, transportation, wholesale, retail, and selected service industries), the census of agriculture, and the census of governments.

Reports Between Censuses

The Census Bureau gathers and provides statistics in the form of

curren~ reports dealing with subjects such as population, manufacturing

activity, retail and wholesale trade, housing characteristics, and

vacancies. These reports are issued at different intervals --annually,

quarterly, monthly, or weekly.

The current reports are based on carefully chosen sample data or tabulations of data based on the records of other agencies, either Federal or

local. While the reports provide fewer facts than are found in a decennial

census report, the data are more recent and reflective of current trends.

Additional Programs

The Bureau of the Census publishes several compendia and other

reference guides to data not only from the census, but from other sources

as well. Maps showing census-defined boundaries or illustrating socioeconomic characteristics are also available. Moreover, the Bureau conducts

special censuses authorized by local agencies.

100
Data Availability

Publications -

Basic data from the decennial and other censuses as well as various

surveys are available in printed form. Many of the references in this

report are to Census Bureau publications which are the most widely used

and well known of the Census Bureau products.

Information on publications can be obtained from the following:

Superintendent of Documents

u.S. Government Printing Office (GPO)

Washington, D.C. 20402

Subscribers' Services Section

U.S. Bureau of the Census

Washington, D.C. 20233

or from the 43 u.s. Department of Commerce Field Offices located throughout the country.

Computer Tapes

Most of the statistical information needed by data users can be met by

the Census B~reau's publications program. However, for some data users who

require detailed information or the ability to manipulate the data to suit

their own particular needs, a number of computer tapes are available. All

computer tapes available to the public are subject to the same confidentiality restrictions as other Census Bureau data. The Bureau's tape program,

including special tabulations and summary tapes, is described on pages

131-145. For further information, contact:

Data User Services Division

U.S. Bureau of the Census

Washington, D.C. 20233

Special Tabulations

While the data available in the Census Bureau's published reports or

on computer tape are usually sufficient for the needs of most human resource

analysts, special tabulations of data can be prepared to suit the specifications required by a particular user. These special tabulations are furnished at the actual cost of the project to the Census Bureau. The cost

includes expenditures for planning the special work and the appropr iate

charges for overhead expenses. Generally, the special tabulation becomes

part of the public domain six months after it is released. It can be

obtained by others for the cost of reproduction.

101
The Bureau has previously prepared special unpublished tabulations

for poverty and poverty-related data. For an example of a special

tabulation currently being done by the Bureau relevant to poverty

see page 138. For more information on special tabulations contact;

Data User Services Division

U.S. Bureau of the Census

Washington, D.C. 20233

Other Media

Mbst Bureau reports are available on microfiche --a small negative

film strip which can contain up to 97 pages of print reduced to approximately 1/20th of the original size. The major advantage of this form

is the extent to which microfiche is able to reduce the need for large

storage areas. Special equipment, however, is needed to read themicrofiche.

For further infonnation about microfilm or microfiche available

fram the Census Bureau contact:

Bureau of the Census Library

Washington, D.C. 20233

or

Data User Services Division

U.S. Bureau of the CensusWashington, 

D.C. 20233

Catalogs and Guide~

All reports issued by the Bureau of the Census are described in

the Burea~ of the Ce~us Catalog. This catalog is issued on a current

basis each quarter and cumulated to the annual volume. A monthly

supplement to the catalog, which lists new publications other than

monthly and quarterly reports, is also published. The catalog is divided

into two parts: Part I lists and describes reports from censuses and

current surveys; Part II describes computer tapes, punch cards and special

tabulations available in photocopies, microform, or tape. The price and

availability of each document or item are indicated in the catalog. The

catalog is available at most libraries or through the U.S. Government

Printing Office.

Two other important guides are the Bureau of the Census Guide to

~~~~~ ~ Publi~at!ons, a cOOlprehensive review of the statistr~af- prCXjrarns am reports lSS,ued during the 1960 I S am early 1970 I s, am the

qnited States Department of Ccmnerce Publications Cata~ and yearly

102
supplements. Both publications are usually available at libraries and

at Department of Commerce Field Offices.

The Index to Selected 1970 Census Re~r.!:~ and a companion volume,

Ind~x to 1970 Census S~ry Tapes, provide a det~iled source of references

to both published reports and computer tapes available from the 1970 census.

The indexes facilitate the locating of specific data on population and housing

by cross-classification and for specific geographic areas of varying sizes.

Both publications are available through Department of CoImlerce Field Offices

or through the Government Printing Office.

Further Information

For further information on any of the publications, programs, or items

mentioned, the human resource analyst may contact the responsible division or

the person indicated on the telephone contact list presented in the Appendix,

page 209. This user telephone contact list is updated periodically; the

latest version can be obtained from:

Data User Services Division

U.S. Bureau of the Census

Washington, D.C. 20233

Considerations in Using Census Data

In working with any data, the human resource analyst should be aware of

the coverage and limitations of the particular data set. Each data-based

Bureau report routinely includes appropriate discussions of area classifications, population surveyed or enlmlerated, reliability of estimates, sources

of error, allocations for missing data, comparability with related reports

or data, glossary of terms, estimation methodologies, and other pertinent

information related to the understanding of the data displayed.

..

Each publ ication based on a major recurr ing surveyor census is designed to inform the reader of the basic design of the surveyor census,

provide definitions of terms used, sources of error, and similar information. Consequently, the reader of a Bureau report on the mobility of

population (for example the March supplement to the Current Population

Survey) learns some general characteristics of the Current Population

Survey apart from the supplement on mobility.

The areas for which data are provided, i.e., states, counties, census

tracts, etc., may vary from report to report and from program to program.

Valid comparisons of data may also be difficult as, for example, a comparison between census tract data from the decennial census and sample data

from the Current Population Survey. The human resource analyst should consult the introduction to the particular report to verify the areas covered

by the data. The following section describes the various geographic units

for which census statistics are tabulated. Additionally, certain aspects

of the data, namely undercount, currency, and sampling, are discussed.

103
Finally, the analyst should also check any correction notes before

using data from Bureau reports. Errors discovered in the data after

a report has been compiled, but before it has been printed, are reported

in ~correction note on the page preceding the first table of the report.

Census Geography

Census tabulations are prepared for specific geographic areas-which

range in size from a city block to a region that includes several states.

In many cases aggregate data are available for the Nation as a whole.

Although much v~uable data are presented for the smaller geographic

levels, it should be noted that in order to protect the confidentiality

of individual responses, certain data are not released for such areas as

census tracts and blocks. In general, the larger the area, the greater

the number and detail of the tabulations produced and published.

In addition to the census-defined geographic units described below,

there are locally defined areas for which census data may be requested.

These include such areas as school districts, health areas, police precincts, or traffic zones. Unfortunately, these areas often overlap and

accurate data comparisons are difficult, if not impossible.

The principal geographic areas for which the Bureau of the Census

tabulates statistics are described briefly on the following pages.

More information on geographic coverage can usually be found in the

introductions to the relevant published reports.

Common census geographic areas are illustrated in the chart on the

following page. Other maps are also available for the geographic areas

discussed in this section. For additional information on maps, see page

190 of this report.

United States

National totals include data from all 50 states and the District of

Columbia. They do not include Puerto Rico or the outlying areas of the

Canal Zone, Guam, Samoa, the Virgin Islands, the Trust Territory of the

Pacific Islands, or others unless so specified in the publication.

",

104
Census Geographic Areas

AREA POPULATION SIZE

STANDARD METROPOLITAN

STATISTICAL AREA AND

CDMPONENT AREAS

(central citv of SO,OOO+ population -

and the surrounding metropolitan

C'XIntvt.»

-At least 50.000

Central City

Urbanized Area

(shaded areal

Place

Minor Civil Division

County

CENSUS TRACT (small, homogeneous, relatively ~r area; all SMSA's --

are entirely rr.,led!

Average 4,000

Regions and Divisions

Regions and divisions are large geographic areas designed for the

purpose of providing summary figures at levels intermediate between those

105
for the United States and those for individual states. The four regions

are composed of groups of divisions. The map below identifies the

r~ions and divisions of the United States.

,

I ~-

-\ ~.P

-

"---,aL-~,.-.c'"

'-\;~

States

Statistics for each state are made available from every census and

from most surveys. Separate statistics are also published for the District

of Columbia.

Standard Metropolitan Statistical Areas (SMSA's)

Generally, a standard metropolitan statistical area (SMSA) consists of

a county containing at least one city (or twin cities) of 50,000 inhabitants

or more, plus as many adjacent counties as are metropolitan in character

and as are socially integrated with the central city. One or more central

cities are identified by the Office of Management and Budget with each SMSA

and their names used to identify the SMSA boundaries. Some SMSA's may cross

state lines as, for example, the boundaries of the Washington, D.C.-MarylandVirginia SMSA. As of October 1975, there were 276 standard metropolitan

statistical areas.

Standard Consolidated Statistical Areas (SCSA's)

The term standard consolidated statistical area (SCSA), a new designation, will be used to facilitate the presentation and analysis of Federal

data on large concentrations of metropolitan areas. Each SCSA contain,s an

SMSA with a population of at least one million and one or more adjoining

SMSA's which are related to it by continuously developed high density

106
population corridors and inter-metropolitan commuting of workers. Thirteen

SCSA's have been designated by the Office of Management and Budget. Together

these areas contain one-third of the total population of the United States.

Urbanized Areas

The major objective of the Census Bureau in delineating urban areas.

is to provide a better separation of urban and rural populations in the -

vicinity of the larger cities. An urbanized area consists of a central

city --or cities --and surrounding closely settled territory. Urbanized

areas differ from SMSA's in that rural portions of the counties comprising an SMSA are excluded, as are those places which are urban in nature,

but separated by rural territory from the densely populated area surrounding the central city. The urbanized area population is sometimes divided

into those in the central city and those in the remainder of the area or

the urban fringe.

Urban-Rural Areas

According to the definition adopted for use in the 1970 census,

the urban population comprises all persons living in urbanized areas

and in places of 2,500 or more inhabitants outside urbanized areas.

In all urban and rural definitions, the population not classified as

urban constitutes the rural population.

Counties

Counties are the primary political and administrative divisions of

states. The only major exceptions are in Louisiana, where the divisions

are called parishes; in Alaska, where 29 census divisions have been

created as county equivalents; and Puerto Rico, where counties are

referred to as "municipios." The District of Columbia, the independent

cities of Columbus, Georgia; Bal~imore, Maryland; St. Louis, Missouri;

Carson City, Nevada; and about forty cities in Virginia are all

identified as county equivalents.

Minor Civil Division (l'-K:D)

The minor civil division (MCD) is the primary political and administrative subdivision of a county in 29 states. The most common type of

MCD is the township although towns, precincts, and magisterial districts

are considered MCD's in some states.

Census County Division (CCD)

The CCD is a s.tatistical subdivision of a county in 21 states in

which the minor civil division is not a suitable unit for presenting

census data. This relatively permanent statistical area is defined by

physical features or by local adm~istrative boundaries.

107
Enumeration District (ED)

-An ED is a small area used for the collection and tabulation of

census data. With an average population of approximately 800, the

enumeration district is redefined wi~ each census for use as an

administrative unit for control of census operations. An enumeration

district is the smallest unit for which data are tabulated in areas

where no blocks are identified.

Place

'ilie term "place" refers to a concentration of population. Both

incorporated and unincorporated places are delineated in census reports.

Incorporated places are political units incorporated as cities, towns,

villages, or boroughs. Exceptions include boroughs in Alaska, towns in

New England, and townships in New Jersey and Pennsylvania which are

considered minor civil divisions. Unincorporated places are densely

settled population centers without legally defined corporate limits.

Each has a definite residential nucleus, and boundaries are drawn by

the Bureau of the Census to include, insofar as possible, all the

densely settled area.

<:ensus Tracts

Census tracts are small, relatively permanent areas into which

large cities and adjacent areas have been divided for the purpose of

showing small-area statistics. Tracts are designed to be relatively

homogeneous in population characteristics, economic status, and living

conditions, though these conditions may change over time. The average

tract has about 4,000 inhabitants. Census tracts are used extensively

by local agencies in tabulating their own statistics. Standard

metropolitan statistical areas created since 1970 mayor may not

be completely tracted. Population and housing data from the 1970

Decennial Census have been published in a series of separate reports

by census tract.

A

Block Group

Block gro~s are subdivisions of census tracts. They are cambinationE

of contiguous blocks and generally have a population of about 1,000.

Blocks

Blocks are generally well-defined pieces of land, bounded by streets

and roads. However, they may be irregular in shape or partially bounded

by railroad tracks, streams, or other non-street features. Blocks are

identified in all urbanized areas and in same selected areas. Block

level statistics are tabulated for urbanized areas within SMSA's.

108
Other Special-Purpose Districts

Of particular interest to the human resource analyst are the Census.

employment survey areas, defined as sets of continguous tracts that were -

identified as having a high proportion of families with low incomes. Data

for these areas appear in Volume III, Series PHC(3}, E~lo~nt Profiles 2~

Selec~ed _Low-Income Area~, of the 1970 population and housing census

reports (see page 128 of this report). While not a census defined geographic area, data are also available by school districts. These were

prepared as a special tabulation and are discussed on page 138.

Undercount

Underenumeration in the United States by the 1970 census has been

estimated at about 2.5 percent. Although corresponding estimates for

areas within the United States are not available, variations from area

to area are suggested by differences in national figures for blacks

and whites. The chart below shows the estimated national rates of

underenumeration by the 1970 Census of Population:

..~ Ornlsslon Rate (Percent)

--.~- Sex All

Classes White Black

-- Both Sexes 2.5% 1.9% 7.7%

Male 3.3 2.4 9.9

Female 1.8 1.4 5.5

Several alternative series of corrected figures have been prepared

for states partially as a basis for evaluating the effect of coverage

errors on funds disbursements and political representation. Various

methods have been used to generate these corrected figures, including

the use of national rates by race, varied accordingly to poverty status,

median family income, or educational level.

For a detailed explanation of undercounts and illustrative ex~les

of how various methods of adjustments might affect the amount of general

revenue sharing money received by individual states, see the Current

Population Reports, Special Studi~s, Series P-23, No. 56, "Coverage of

Population in the 1970 Census and Some Implications for Public Programs,"

(August 1975).

Currency of 1970 Census Da~a

'"

Since the census of population and housing is taken only every tenyears, 

many changes that may have occurred in the characteristics of areas

109
since enumeration would not be reflected in these data. In the case of

small areas, changes such as the construction of a new highway or the

addition of a new apartment building may have had a dramatic impact on

~ characteristics of the neighborhoods in which they are located.

Data from the 1970 census serve an important function as benchmarks,

more than indications of present trends and activities. Other programs

of the Bureau --current surveys, special censuses, and population

estimates and projections --fill the data gap between the benchmark years.

Although not as detailed or comprehensive as the decennial census, they

provide valuable information for the human resource analyst.

~ampl ing

More information is collected in the census from a selected portion

of the population than from the total population. The selection, done

by scientific sampling methods, permits the development of data about an

area at a much lower cost than obtaining data from all persons. However,

the size of the sample restricts its use for a small geographic unit.

In the 1970 Census of Population only five questions were asked of

all individuals. These "complete count" or "lOa-percent" items on

relationship to household head, sex, race, age, and marital status permit

an accurate count of persons in each area as required by the Constitution

to determine representation in Congress. All other information concerning

individuals is obtained from questions asked of only a sample of the population. Sampling permits the collection of data about an area which reflect

the characteristics of all persons in the area even though only a relatively

small number of individuals were questioned.

In essence there were two basic census forms in 1970; a short form and

a long form. Certain questions were asked of 15 percent and of 5 percent

of the population; some questions common to both samples resulted in a

20-percent sample (15 percent plus the 5 percent).

The table on page 113 illustrates the various data items in the 1970

Census of Population and the samples from which they were drawn.

The same sampling techniques were also used to obtain information

about housing units. Specific housing questions were asked of 5-, 15-,

and 100-percent of the population; questions asked of both the 5-, and 15-

percent sample resulted in a 20-percent sample. The table on page 124

illustrates the various housing data items in the 1970 census.

Current surveys conducted by the Bureau of the Census use sophisticated

sampling techniques to obtain a representative sample of the entire national

population. Since statistics reported from these surveys are based on a

sample, data may differ somewhat from figures that would have been obtained

from a complete census; consequently, particular care should be exercised

in the interpretation of figures based on relatively small numbers of cases

as well as small differences between figures. As in any survey work, the

110
results are subject to errors of response and unreporting and to samplingvariability.

Because every effort to assure accuracy is made for each survey,

and because each survey has associated with it statistical problems

unique to itself, the researcher should consult the definitions and

methodological notes of each survey report and each publication

within a given series. For example, changes have occurred in the

method used to impute or allocate unanswered questions of the Current

Population Survey no less than three times during the 1960's (see

Appendix, page 213). The careful examination of these sections will

assure a better understanding of the data presented.

111
'nle published data from the decennial census can be grouped into three

major report categories:

.Population census reports (PC series)

.Housing census reports (HC series)

.Joint population and housing census

reports (PHC series)

Each category may be further divided into volumes, chapters, and parts, and

may consist of many individual reports.

In addition to the various publications available from the 1970 census,

data are also available on computer tape. The three report categories, as

well as computer tapes and special tabulations, are described in the

following sections.

Reports of the 1970 Census of Population

In the 1970 Census of Population five questions were asked of everyone; these questions dealt with the person's sex, age, race, or color,

marital status, and relationship to the head of the household. Other questions were asked on a sample basis. The chart on the next page shows the

data items included in the 1970 Census of Population and the sample from

which they are drawn. (See page 110 for more information on sampling.)

112
1m

100%

100

100

100

100

2)

2)

2)

aJ

2)

aJ

2)

aJ

2)

2)

2)

2)

15

15

15

15

15

15

15

15

,

5

5

5

5

5

5

"'"

The results of the population census are printed in two volumes with

a companion supplementary report series. Volume I comprises the PC( 1)

series of census publications and is entitled Characteristics of the

~opulation. VollJne' II is composed of 40 Subject Reports which make up the

PC(2) series of p~blic~tions. The Suppl~n~ary ReEQr~.Se;ies, PC(Sl), is

an open-ended serles Wlth over 100 reports of a speclallzed nature.

Volume I is divided into four chapters:

PC(l)-A:

PC(l)-B:

PC(l)-C:

PC(l)-D:

Nlm1ber of Inhabitants

General population Characteristics

General Social & Economic Characteristics

Detailed Characteristics

Volume II subject reports cover the following ten subject groups:

enployment

Occupation and Industry

Incane

~-Incane (Poverty)

Areas

Ethnic Groups

Migration

Fertility

Marriage & Living Arrangements

Education

The Supplementary Report Series includes special-interest studies including

39 summary reports on the population and housing characteristics of poverty

neighborhoods in the Nation's 50 largest cities.

113
Vol~ I --Characteristics of the Population:PC(l)

Representing a major part of the information compiled from the decennii

census of population, the statistics in Volume I are presented in varying

detail for the state (by urban and rural residence), and other selected are.

of the state. "

'n1is major work consists of a set of bound books identified as parts.

The parts are numbered 1 for the United States, 2 through 52 for the 50

states and the District of Columbia in alphabetical order, 53 for Puerto

Rico, and 54 through 58 (appearing together in one book) for Guam, Virgin

Islands, American Samoa, Canal Zone, and the Trust Territory of the Pacific

Islands. Each part, originally issued separately and later bound as a volume, contains four chapters for each state and for the United States. The Sf

chapters are listed below.

Nunrer of Inhabitants: PC(l)-A

This series is limited to strict population counts --the number of

inhabitants in various sized areas. It shows the number of residents of

the state and its co~ties or comparable areas, classified by urban and

rural residence and by size of place; and the number of inhabitants of

county subdivisions, incorporated and unincorporated places, urbanized

areas, standard metropolitan statistical areas, and selected other areas

of: the state. (Descriptions of census-defined areas such as standard

metropolitan statistical areas can be found on pages 104 through'l09.)

For compar ison purposes, counts for both the 1960 and 1970 census

and their percentage of change are shown. Some special features of this

series include maps and charts, land areas provided in square miles, population density, number of inhabitants of annexed areas, and results of

special censuses taken between 1960 and 1970. This report series is useful

in determining the change in both population and land area dur ing the last

decade.

General Population Characteristics: PC(l)-B

This series presents general population characteristics and emphasizes

features such as age, race, and sex; it contains lOa-percent data items

collected from every person. While these statistics are included in other

reports, they are provided here in greater detail. There are also numerous

cross-classifications not found elsewhere, as well as some historical data

such as changes in the state's population since 1900.

General Social and Economic Characteristics: PC(l)-C

This series presents statistics for items collected on a sample basis,

su(:h as place of birth, mother tongue, years of school completed, place of

work, and income. Data~~e presented for each of the states, counties,

114
~able -~~

58

69

80

90

95 Poverty Status in 1969 of Negro Families and Persons for

Areas and Places: 1970, for SMSA's, Urbanized Areas,

and Places of 50,000 or More

101 .poverty Status in 1969 of Families and Persons of Spanish

Language for Areas and Places: 1970, for SMSA' s,

Urbanized Areas, and Places of 50,000 or More

For smaller geographic areas such as places and counties, the following

tables, also fran the K'( 1)-C series, will prCNide the researcher with a

good base of information. Of particular interest is Table 124, which provides poverty statistics for all counties.

Table No. Title and Geographic A!:~~

107 Income and Poverty Status in 1969 of Persons for Places

of 10,000 to 50,000: 1970, for Places

115
(continued)

Table No. Title aoo GeCX;Jraphic Area

Income and Poverty Status in 1969 of the Negro

Population for Places of 10,000 to 50,000: 1970,

for Places with 4QO or More Negro Population

Income and Poverty Status in 1969 of Persons ~f

Spanish Language for Places of 10,000 to 50,000:

1970, for Places with 400 or More Persons of

Spanish Language

Income and Poverty Status in 1969 of Persons for

Counties: 1970

128 Income and Poverty Status in 1969 of the Negro

Population for Counties: 1970, for Counties

with 400 or More Negro Population

133 Income and Poverty Status in 1969 of Persons of

Spanish Language for Counties: 1970, for

Counties with 400 or More Persons of Spanish

Language

Several additional tables also contain limited information related to

poverty. These include the following:

Table No.

118

Title and Geographic Area

Occupation and Income for Places of 2,500 to 10,000:

1970, for Places

Economic Characteristics of the Rural Nonfarm Population: 1970, for Counties

135

Economic Characteristics of the Rural Farm Population:

1970, for Counties

137

Detailed Characteristics: PC(l)-D

Sample statistics for large areas --states, SMSA's, and large cities--

are included in this report series. Because of the larger areas involved,

much more detail is possible in the subject areas than is permitted for the

smaller areas in the PC( l)-C reports described above. The data are shown fo;

SMSA's of 250,000 or more population and the central cities of these SMSA's.

ThE! following tables whould be of particular interest to the poverty analyst,

116
--Table No. Title and Geographic Ar~

Poverty Status in 1969 am Ratio of Fanily Incane

to Poverty Level for Persons in Families and Unrelated Individuals, by Famijy Relationship, Age,

am Race: 1970

Poverty Status in 1969 of Families by Type, Number

of Related Children under 18 Years, and Age, Sex,

and Race of Heoo: 1970

209 Poverty Status in 1969 of Families by Labor Force

Status, Sex, and Race of Head: 1970

210 Poverty Status in 1969 of Families by weeks WOrked,

Occ~tion Gro~, Sex, and Race of Head: 1970

211 Poverty Status in 1969 of Families, by Years of

School Completed, Age, Sex, and Race of Head: "

1970

212 Poverty Status in 1969 of Families, by Source of

Incane am Age, Sex, am Race of He~: 1970

213 Size of Incame Deficit Among Families and Unrelated

Irrlividuals with IncOOles Below Poverty Level in

1969, by NlJnber of Related Children Urrler 18

Years, arrl Age, Race, and Sex of Head: 1970

,

Poverty Status in 1969 of Families by Family Inc'ame,

Number of Related Children Under 18 Years, and

Sex and Race of Head: 1970

214

215 Poverty Status in 1969 of Persons 3 to 24 Years Old

Enrolled in School, by Year of School in Which

Enrolled, Age, Sex, and Race: 1970

.

Poverty Status in 1969 of Persons 14 to 24 Years Old

Not Enrolled in School, by Years of School Completed, Age, Sex, and Race: 1970

216

VolLnne 11- Subject Reports: PC(2)

Volume II, series PC(2), consists of 40 reports grouped by ten major

subject headings. A list of those subjects, their specific topics and.

corresponding subject report series number is provided below. Of particular

interest to the study of poverty are subject grou~ PC(2 )-5 .(education) ,

-8 (income), and -9 (low-income).

117
FMPLOYMEl'n'PC(2)-IA.

-lB.

-ICe

-ID.

-IE.

-IF.

-IG.

PC(2)-6A. ..

-6B.

-6C.

-6D.

-6E.

~loyment Status and Wbrk

Ex~rience

Persons Not ~loyed

Persons with Work Disability

Journey to Wbr k

Veterans

RrnNIC GROOPS

National Origin am LanguC¥je

Negro Population

Persons of Spanish Origin

Per:sons of Spanish Surname

PueJrto Ricans in the Uni too States

American Imians

Japanese, Chinese, am Filipinos

in the United States OCCUPATION AND INOOSTRY

MIGRATION -7A.

-78.

-7C.

-70.

-7E.

-2A.

-2B.

-2C.-2D.-2E.

Stat:e of Birth

Mobj.lity for States am the Nation

Mobj.lity for Metropolitan Areas

LifE!time am Recent Migration

Migration Between State Econanic

Areas

-7F.

Occupational Characteristics

Industrial Characteristics

Occupation by Industry

Government Workers

Occupation and Residence in

1965

Occupations of Persons with

High Earnings

FERI'ILITY

INC(l.tE

-3A. -8A.

-3B.

Women by Number of Children Ever

BcJlrn

Child Spacing am Current Fertility -88.

MARR.IAGE AND LIVING ARRANGE:wtENTS

-8C.

Sources and Structure of

Family Incane

Earnings by Occ~tion and

Education

Incane of the Farm-Related

Population -4A.-48.

-4C.

-4D.-4E.

LOW INCC»1E

-9A.

-98.

Low-Incane Population

L(M- Incane Areas in Large

Cities

Family Canposi tion

Persons by Family Characteristics

Marital Status

Age at First Marriage

Persons in Institutions and Other

EDUCATION

AREAS

-SA.

-58.

-5C.

School Enrollment

Education Attainment

Vocational Training

-lOA. Americans Living Abroad

-lOB. State Economic Areas

The following table is a content summary of the PC(2)-9A report. Because of its particular relevance to poverty, it is used to indicate the type

and level of information that is available to researchers in the PC(2) report

series. ,Since the PC(2) series is grouped by subject matter, the series

should prove to be a good reference source.

118
Table No. g~neral Subject Mat~e~

1

2

3

4

'I'ype of residence (also for regions) .'

Size of place of residence (also for the South)

Detailed race (also for regions)

Type of origin of Spanish persons (also for five

Southwestern States)

5

6

7

8

County of origin of the foreign stock

Place of birth (also for regions)

Residence in 1965 (also for regions)

Single years of age

9

10

Age of family members and relationship to family

head by age of head

Presence and age of related and own children

11

12

Size of family by number of related children under

18 years

Marital status of family and subfamily heads by

presence of own children

13

14

15

16

Children ever born

CI.laracteristics of civilian veterans

School enrollment

Ratio of family income to poverty level by educational attairunent

17

18

19

20

Educational attainment by work experience

Educational attainment and employment status of

those not enrolled in school

Employment status and age of head

Employment status of family members by employment

status of head

21

22

23

24

Characteristics of disabled persons

Field of vocational training

Weeks worked in 1969

WOrk experience in 1969 of family heads by that

of other family members

25

26

27

Occupation and class of worker

Place of work during Census week

Mean earnings by occupation group

28

29

30

Number of earners by relationship to head

Source of incaTle in 1969

Source of incaTle in 1969 of head by that of other

family members

119
Table No. General Subject Mat!;er

31

32

33

34

35

36

Type of incane in 1969

Family incane in 1969 p¥ size of family

Poor families by family incane~ in 1969

Size of incane difference in 1969 between the poverty

level and total incane

Selected characteristics of the potentially poor

Housing characteristics (also for metropolitan and

nonrnetropolitan residence)

Appeoo ix

Table 1 Weighted average thresholds at the poverty level in 1969

Table 2 Selected characteristics of families with income allocated

The following chart lists the tables found in the PC(2)-9B report. The

tables in this report include data on the social, econOO\ic, and housing

characteristics on the population of the Nation's 50 largest cities (including the four largest counties in New York City) by residence in low-incOO\e

areas. Most of the tables include information for all races, white, Negro,

and persons of "Spanish language".

PC{2)-9B, Low-Income Areas in Lar e Cities (Poverty Data for Neighborhoods

In the 5 Largest Cities of the United States)

Table No. Table Title

Characteristics of the Population and Housing Units in

Census Tracts Classified by Alternate Poverty Rates:

1

1970

2 Characteristics of the Population by Residence in Census

Tracts with a Poverty Rate of 20 Percent or More: 1970

Employment Characteristics of the Population in Census

Tracts with a Poverty Rate of 20 Percent or more: 1970

3

4 Selected Occupations of Employed Persons in Census Tracts

with a Poverty Rate of 20 Percent or More: 1970

Incane Characteristics in 1969 of Families am .Unrelated

Individuals in Census Tracts with a Poverty Rate of 20

Percent or More: 1970

5

Persons by Family Status and Age and Families by Income

Deficit in Census Tracts with a Poverty Rate of 20 Percent or More: 1970

6

Characteristics drHousing Units in Census Tracts with a

Poverty Rate of 20 Percent or More: 1970

7

120
SUl;?p!~~.t:ary ~~rt ~r ~ PC(SI

These repo~s, based upon 1970 census data and published as the PC(Sl)

series, provide-special-use statistics of public interest. It is an openended series with more than 100 reports dealing with "such subjects as

"Population and Land Area of Urbanized Areas: 1970 and 1960, '" and "Race

of the Population of the United States by States: 1970."

Also within the PC(Sl) series are 39 reports which summarize information on the population and housing characteristics of poverty neighborhoods in the Nation's 50 largest cities. These reports (listed on page

123) include data for census tracts in which 20 percent or more of all

persons were below the poverty level in 1969. The statistics shown in the

detailed tables are part of a special tabulaton of 1970 census data prepared for the Office of Economic Opportunity to determine the location of

poverty areas and their neighborhood subdivisions, to analyze the characteristics of the residents of these neighborhoods, and to compare residential characteristics of these nighborhoods with other areas. (For further

information on special tabulations, see page 138.)

Similar data, without neighborhood subdivisions, are published in the

report entitled "Low-Income Areas in Large Cities," R::(2)-9B, previously

discussed.

Selected reports within the PC(Sl

to human resource analysts include:

series that should be of interest

PC(Sl)-l Distr ibution of the Negro Population, by

County: 1970

-2 Negro PopulatIon in Selected Places and Selected

Counties: 1970

-9 Population of Places of 10,000 or More by Wards:

1970

-12 Race and Urban and Rural Residence of the Population of the United States, by States: 1970

Race of the Population for SMSA's Urbanized

Areas, and Places of 50,000 or More: 1970

Educational Characteristics of the Population

of the United States: 1970

-22 Employed Status of the Population of the United

States: 1970

121
~rt~~ Title --

1970

-36

-43

-47 Characteristics of Negro Inmigrants to

Selected Metropolitan Areas: 1970

-51 Fertility of Women by Education and Family

Income for the United States: 1970

-54 Household Income in 1969 for States, SMSA's,

Cities, and Counties: 1970

-56 Selected Characteristics of the Population in

Low-Incame Areas in Large Cities: 1970

Characteristics of the Spanish Surname Population by Census Tract for SMSA's in

-57 Arizona: 1970

-58

California:

1970

-59

Colorado:

1970

-60 New Mexico: 1970

-61

Texas:

1970

-63 Per Capita Income, Median Family Income, and

Low- Income Status in 1969 for States, SMSA Is,

am Counties: 1970

-105 Poverty status in 1969 and 1959 of Persons and

Families, for States, SMSA's, Central Cities,

and Counties: 1970 and 1960

122
Report

~~£ Report

~

£!!=:.!~

~~

:IC{Sl)-65

-66

-67

-68

-69

PC(Sl)-85

-86

-87

-88

-89

Miami, Fla.

Milwaukee, Wis.

Minneapolis and St. Paul, Minn.

Newark, N.J.

New Orleans, La.

Atlanta, Ga.

Bal tilrore, M<j.

Birmingham, Ala.

Boston, Mass.

Buffalo and Rochester, N.Y.

-70

-71

-72

-73

-74

-90

-91

-92

-93

-94

Chicago, Ill.

Cincinnati, Ohio

Cleveland and Toledo, Ohio

Columbus, Ohio

Dallas and Fort Worth, Tex.

New York, N.Y.

Norfolk, Va.

Oklahoma City and Tulsa, Okla.

Omaha, Nebr. .

Philadelphia, pa.i

-75

-76

-77

-78

Denver, Colo.

Detroit, Mich.

El Paso, Tex.

Houston, Tex.

-95

-96

-97

-98

Phoenix, Ariz.

Pittsburgh, Pa.

Portland, Oreg.St. 

Louis, Mn

123
Report

nLD1lber Cities

PC(Sl)-79 looianapolis, roo.

RefX)rt

nLUnber

R::(Sl)-99

~

San Antonio, Tex.

-80

-81

-82

-83

-84

-l'f>0

-101

-102

-103

San Diego and San Jose, Calif.

San Francisco and Oakland, Calif

Seattle, Wash.

WashiT¥]ton, D.C.

Jacksonville and Tampa, Fla.

Kansas City, Mo.

Los Angeles and Long Beach, Calif.

Louisville, Ky.

Memphis and Nashville-Davidson, Tenn.

Data for these PC(Sl) reports were extracted from the special tabulation of the 1970 census data prepared for DEO, cited earlier. This tabulation, covering 97 SMSA's shows data for the entire SMSA, each component

county and central city, in addition to neighborhood subdivisions. For

further details, see the Special Tabulations section of this report, page 138.

Reports of the 1970 Census of Housing

ot'

In the 1970 census, a number of questions dealing with housing were

asked of every household; additional housing questions were asked on a

sample basis. Housing items and their corresponding sampling precentages

in the 1970 census included the following:

Rouaina I- 1m

8I8b8.. 01' units at thia ad4reaa 1~

~::O: ;.;ti.::::::::::::::::::::::::::::::::::::::::::::::: ~~ Utcb8A q...cookin, taciUti... *

C.-pl.ts kitche raciliti.. 100 ~

c...ditioD or boueiAI unit a 100.

Vater auppl" 100

null tcril.t 100

Bathtub 0.. above.. 100

a..-t ; 100

r 100

c.-l'OiAl ..tsbli_t OD propert,. 100

Tal... 100

CODtraot ...t 100

T&C8DOT .tatU8 100

_tba ftC&l1t 100

c ts or VO'. reDt Z

Baat.inl equiJDent Z

Year .tn&ctUl'e built ' '.' ' Z

..-be.. or 1IDita in .tructur. ODd -.h8tba.. a trail Z

r... ...aid8ce (ac aDd sal.. or r~ prodllcta) Z *

IADd ued 1'0.. 1'aNiDC s., ". ot _ts.. 15

s-p d18pDaal 15

BathrOl88 15

J.ir CXlDditioDiq 15

jat.-bil.. 15

Storie.. al.ftto.. in .tNcture 5

r...l--tiol. cockilll. _toe.. baatinl 5

B8cI..o.-. 5

Clotb88 ~,_chin. 5

Clotb88 .s.., 5

Diah_.. 5

-rooci t'ree 5

r.l.rl8ioD 5

:~'b;.;;.::::::::::::::::::::::::::::::::::::::::::::::::: ~

*Asked in 1960 census, but omitted for the 1970 census.

124
Housing information from a decennial census can provide a benchmark with

which to compare changes in standards of housing, especially when used with

current statisti~eleased from the Annual Housing Survey (see page 165 of

this report). In addition, estimated needs, particularly of low income house- holds, may be projected. ~

The results of the housing census are published in seven volumes and a

single supplementary series which are listed below.

Series No. Title

I HC(l)A

HC(l)B

lC(l)A 1 through 58

lC(l)B 1 through 58

II HC(2) 1 through 58

HC(3) 1 through 58

IV HC(4) 1 through 16

v HC(5)

VI HC(6)

HC(7) 1 through 9

Suwlement HC(Sl) 1 through 20

Housing Characteristics for States,

Cities, and Counties (2 chapters A & B

below)

General Housing Characteristics

(chapter A, 58 reports by geographic areas)

Detailed Housing Characteristics

(chapter B, 58 reports by geographic areas)

Metropolitan Housing Characteristics

(247 SMSA reports and U.S. summary)

Block Statistics

(278 reports for approximately 1.7 million

individual Census blocks)

Components of Inventory Change

(15 SMSA reports, 1 report for U.S. and

4 regions)

Residential Finance

(1 volume)

Plumbing Facilities and Estimates of

Dilapidated Housing

(1 volume)

Subject Reports

(9 reports of particular subjects)

Suwlementary Reports

(20 reports of special compilations and

selected tables from large reports)

A description of each volume, its content and geographic coverage

is provided on the following pages.

V~!~ I --Housing Characteristics for States, Cities, and Counties: HC(l)

~neral Housing C~~~~cteri~ HC(l)A This chapter (A) contains

58 reports presenting 1970 statistics of the following items:

.tenure

.kitchen facilities

.plumbing facilities

.nunrer of rooms

.persons per room

.vacancy status

8 contract rent

8 units in structure

8 "mbile homes

8 telePhones

8 value

125
The data are by states (urban and rural), counties, SMSA's, and

urbanized areas and places of 1,000 inhabitants or more.

~~!ed Housing Characteristics: OC(l)B This second chapter (B)

also contains 58 reports of 1970 housing statis1!!cs. The chapter includes:

.tenure

.occupancy and vacancy characteristics

.utilization characteristics

.structural and plumbing characteristics

.equipment, appliances, and fuels

.automobile availability

.second home ownership and financial characteristics

(value and rent)

The data are by states and counties, SMSA's, urbanized areas, and places

of 2,500 inhabitants or more.

Volwre II --MetroIX)litan Housing Characteristics: HC(2)

The HC(2) series consists of one report for each of the 243 SMSA's

identified in the 1970 census, the four SMSA's in Puerto Rico, and a U.S.

sUlTlnary.

These reports provide data for each place of 50,000 inhabitants or

m:>re. The following data are included in considerable detail:

.occupancy and vacancy characteristics

.utilization characteristics

.plumbing and structural characteristics

.equipTlent and awliances

.financial characteristics

.household characteristics

Volume III --Block Statistics: OC(3)

The HC (3) ser ies consists of 278 reports showing data for approximately

1.7 million individual census blocks. The series also includes reports

for communities which were outside census-defined urbanized areas, but

which contracted with the Census Bureau to provide block statistics at the

expense of the local areas. The reports of this series include the number

of housing units and also the number of such units that:

.lacked one or more of several selected

plumbing facilities

.were owner-occupied or renter-occupied

.showed Negro heads of households

.showed more than one person per room

Statistics similar to the data in other housing series are alsoincluded.

126

Volume IV --Conlpc:>nents of Inventory Change: OC(4)

This series, consisting of 16 reports, contains one report for the

United States and the four census-defined regions, and ~e for each of

15 SMSA's. Statistics include new construction, conversions, mergers,

demolitions, and other additions or losses. Data from the 1960 and the

1970 censuses are included.

Volume V --Residential Finance: OC(5)

Residential finances are contained in this volume based on a sample

survey conducted in the spring of 1971 for the Nation as a whole. Data

are presented regarding the financing of private nonfarm residential properties including mortgage debt, manner of property acquisition, homeowner expenses, and other similar statistics for the United States and

census regions.

OC(6)

The series is contained in one volume for the United States as a

whole on "substarrlard" housing units based upon selected criteria to provide

estimates of inadecJuate housing and housing facilities.

VolLnne VII -Subj~t Reports: OC(7)

Consisting of nine reports, the series contains detailed information

provided generally on a national or regional level. Among the subjects

covered are housing characteristics by household composition, housing of

minority groups and senior citizens, and households in mobile homes.

Supplementary Reports: OC(SI

This is an open-ended series of reports which presents miscellaneous

types of housing data am special canpilations which could not be acccmnooated

in the regular final reports, as well as reproouctions of selected

tables from the large reports. Of the 20 reports presently in the

s~lementary report series, these three should be of special interest

to the human resource analyst:

Supplementary

Report No. Title

HC(Sl)-lO Income in 1969 of Families and PrUnary Individuals

in (),mer and Renter Occupied Housing Units for the

United States: 1970

-12 Plumbing Facilities by Persons Per Room and by

Incane in 1969 of Fmnilies and Primary Individuals

for the United States: 1970

-19 Income of Homeowners of Mortgaged Properties

Acquired in 1967-1971 for the United States: 1971

127

Joint Pop~tion and Housing Reports

There are three series of joint population and housing census reports

designated "PHC." The Census Tracts (PHC-l), t;eneral Dem~raphic Trends

for Metropolitan Areas, 1969-1970 (PHC-2), and Emp12yment Profiles of

Selected Law-Income Areas (PHC-3), contain data of interest to the human

resource analyst.

Census Tracts: PHC(l)

This series contains 241 reports each relating to a particular

standard metropolitan statistical area (SMSA) in the United States and

Puerto Rico and in same cases certain areas adjacent to the SMSA. The

tables include population and housing data for the component counties

and places of 25,000 or more inhabitants in the SMSA, as well as tract

level data for SMSA's. Tracts are the smallest areas for which sample

data are published. The tract reports are extremely useful in neighborh~ ~ or small-area analysis. Data items relating to poverty found in

this report series are shown on the next ~e.

Separate tables relate to the N

Spanish language, Spanish surname, 0

parentage for those tracts which hav

particular group. Each report conta

General QemCX;Jraphic Trends for Metrot>olitan Areas, 1960-1970: PHC(2)

This series consists of a national summary report and one report for

each state and the District of CollJnbia. Statistics presented are for

the state and for SMSA's and their central cities and constituent counties.

Comparative 1960 and 1970 data are shown on population counts by age and

race and on suc~ housing subjects as tenure, plLlnbing facilities, value,

and contract rent.

Employment Profiles of Selected Low-Income Areas: PHC(3)

This series consists of 76 reports covering selected low-income areas

in 51 cities, 7 rural areas, and 1 Indian reservation; a United States

summary is also available. The reports contain detailed socioeconomic

data derived fram the Census Employment Survey, which was designed to

obtain more detailed infonnation than was possible from the regular census

on employment related problems in poverty areas.

The survey was mooeled in part after: an ear:lier sur:vey, the 1968;-70

Urban Employment Survey, which was conducted in the pover:ty areas of six

major cities. 1/

Each report provides statistics on such items as job tenure, annual

work experience, annual earnings and incane, weekly earnings of fulltime wage and salary workers ~- by age and sex, fixed monthly income and

128

egro population and to persons of

r persons of Puerto Rican birth or

e a population of 400 or more of the

ins census tract outline maps.
Low-Income Data, Census Tract Reports

Included in Table P-~-1Bcome Characteristics of the Population: 1970

Income Below Poverty Level--Continued

Households Percent Reneroccupied <>NneroCCUPied Meangrossrent Mean Percent val~ lacking of of unit. all some households. or all plumbing ; 'facilities.

Percent of families with incomes:

1.50to1.99 2.00to2.99 3.00ormore 1.25 Less .75to.99 1.00to1.24 .50 to to than .74 1.49 .50 of poverty level. 

Income Below Poverty Level

Families I Mean income deficit. Meanfamilyincome Percent ~rcent receiving of all faillilies publ:lc assistance income. ..

Keansizeoffamily .

With related Mean n\Dllber of related children Imder 18 years. children under 18 years

~

With Mean number related cnildren of related under cnildren 6 years. under 6 years.

Families With Mean number related with female children of related head. under children 18 years. under 18

With Mean number Percent yars related in labor childrer. of related force. under children 6 years. under 6

years.

Familyheads Percent Civilian Percent 65 male in years labor heads and force. Wider over. 65 years. 

Unrelated individuals. Percent of all unrelated individuals. ...

Meaninco ..

Percent receiving public assistance Mean income deficit. incolOO .

Percent 65 years and over.

Persons.. Percent Percent receiving of all persons. Social Security income. ...

Percent Percent 65 years and over. receiving Social Security inco- ...

Related Percent children living with both parents.. under 18 years. 

129
-

~07m8nt Prof'iles of' Selected Low-Income Areas:

Report Series PHC-(3)

RePort Ho. ReI!Qrt No. Area Area

~(3)-1

-2

-3

-4

-5

-6

-7

-8

-9

-10

UJnted States SumIIRu7-Urban Areas PHC(3)-41

NIN York, N.Y.-All SurveY' Areas -4.2

N4N York, N.Y.-Puerto Rican Population -43~

ot Survey Areas -44

~lnhatta.n Borough, New' York CitY'-SUIDJDarT -45

M2lnhattan Borough, New' York CiV-Area I -46

M2Ll1hattan Borough, New York CiV-Area II

BI'OOkJ.Yn Boroup;h, Nev York Civ-8umDIarT

Bz'OOkJ.Yn Borough, New' York City-Area I

Br'OOk1.yn Borough, New York City-Area U

Br'OOk].yn Borough, Nev York CiV-Area III

Bronx Boro~, New' York City

Queens Borough, Nev York City

Los Anv,eles, Calif .~UDDaar,'

Los Angeles, Calif .-Area I

Los Angeles, Calit.-Area II

Chicago, Ill.-8WDmal"1'

Chi~, W.-Area I

Chicago, nl.-Area II

A1:iladelphia, Pa.-8UmIDal"1'

A1:Lladelphia, Pa.-Area I

Ph:i1adelphia, Pa.-Area n

De't;roi t, Mich.

SaJl Francisco, Calif.

ValminRton, D.C.

Boston, Mass.

Pi 'rotsburgh, Pa.

St.. Louis, Mo.

Ba:ltimore, !ti.

-47

-48

-49

-50

-51

-52

-53

-54

-55

-56

-57

-58

Kansas City, Mo.

Denver, Colo.

r"nian_polis, Ind.

New Orleans, La.

O~Jr-1and., Calif'.

Tampa, Fla.

Portland, Ore~.

Hloenix, Ariz.

Columbus, Ohio

San Antonio, Tex.

Dqton, Ohio

Rochester, N.I. -11

-12

-13

-14

-15

-16

-17

-18

-19

-.20

~

Louisville, x,-.

Memphis, Tenn.

Fort Worth, Tex.

Birmingham, Ala.

Toledo, Ohio

Akron, Ohio

-59

-60

-61

-62

-63

-64

Hortolk, Va.

Oklahoma City, Okla.

Jersey City, N.J.

Providence, R.I.

0DI&ba, Nebr.

Youngstown, Ohio

-22

-23 -24

-25

-26

-27

-28

-65

-66

-67

-68

-69

Tulsa, Okla.

Charlotte, N.C.

Wichita, Kans.

Bridgeport, Conn.

Selected Rural Counties in Alabama

-29

-30

-31

-32

-33

-34-

-35

-36

-37

-38

-39

C1I!VelaDd, Ohio

HO1l8ton, Tex.

Ne1lark, N.J.

D&:Llas, Tex.

MiJmeapolis, Minn.

St. Paul, Minn.

-70

-71

-72

-73

-7110

-75

-76

Selected R~ Counties in Appalachia

Selected R~ Counties in Arkansas

Selected Rural Counties in California

Selected R~ Counties in MissoUri

Selected Rural Counties in North Carolina

Selected Rural Counties in New Mexico

Zuni Reservation, N. Mex. Mi:Lvaukee, Wis.

At:Lanta, Ga.

Cillcinnati, Ohio

Bwl'falo, N.Y.

SaIl D1e@, Cali.!.

~

130
expenses. Some housing data such as value of house, rent, and number of

roams, are also available. Reports are available for the cities shown on

page 130. -

.' Table formats are essentially the same for all these reports except

for differences in the detailed tables in the urban and rural reports.

Urban area reports have 14 general tables and 54 detailed tables.

A special guide to the Census Employment Survey may be obtained fram

the Bureau of Labor Statistics, Washington, D.C. 20212. This agency and

its regional offices maintain a limited supply of the report. Special

tabulations are also available.

Census Tape Series and Special Tabulations

More information than is found in printed reports is available to

data users in the form of computer tapes. The basis for all the computer

tapes (and pubJ.ications) from the 1970 census are the Basic Record Tapes

(BRT's) which contain the individual responses to the census questionnaire.

AI though the BRT' s themselves are not available to the publ ic, they are

used to produce summary tapes and publ ic use sample tapes which may be

purchased from the Bureau at the cost of reproduction. Additionally,

special tabulations of data, prepared according to user-specified requirements, are available. As with all Census Bureau data, individual

identifiers have been removed to insure confidentiality.

Basic Record Tapes (BRT's) provide the original source of all

computer tapes and publications relating to the decennial census. These

tapes contain individual responses to census questionnaires. Two

computer tape series that resulted from the BRT's are the Public Use

Summary Tapes and Publ ic Use Sample Tapes. These tape ser ies cover

geographic areas ranging from the Nation to city blocks and can provide

summarized data similar to decennial census publications or sample data

which may be cross-tabulated.

Special tabulations (tabs) can be provided by the Bureau for anyone

having a particular need not met by the regular tape series. Special tabs

are an open-ended method by which the Bureau, using the data users'

specifications, prepares statistical tabulations that are not available

in published reports.

SLmmary Tapes

Based on the 1970 census, these tapes are the source of innumerable

data tabulations. Because census reports are published to meet a wide

variety of needs, many available statistics are not shown. The reasons

for this include the necessity of keeping costs at a minimum and adhering

to geo:jraphic aggregation levels am 3Ubject matter displays of interest to

most users. There is, nevertheless, an imm~nse amount of data containing

greater subject am geo:jraphic detail than is feasible or desirable to

publish.

.31
SlUIInary tapes basically consist of six series referred to as "counts."

~~.~th t.he exception of the 3rd count, each count is further sub-divided

into "files" which usually refer to a particular geographic area. The

first three counts relate to subject items c~llected on a IOO-percent

basis in the census. The second three counts relate to subject items

collected on a S- and IS-percent sample basis in the decennial census.

A 20-percent sample is also available as a result of questions common

to both the S- and IS-percent census sample questions. Except for the

fifth count, computer tapes are arranged by state.

Because of the g~raphic and demographic detail, the most useful

information related to poverty is contained on the 4th-, 5th-, and

6th-count tapes. The table on page 134 summarizes the summary tape

series and its g~raphic coverage.

Fourth Count Summary Tapes

Included in the 4th count are 25 items providing data on poverty

status, reported for census tracts, minor civil divisions (fllK::D's), census

county divisions (CCD's), places of 2,500 inhabitants or more, counties,

states, and other selected areas. These items are listed by number and

title in the listing below.

l'>yerty Data Items, 4th Count SUIIlnary Tapes

10 Aggregate Dollar Income Deficit for Families Below Poverty Level

Aggregate Dollar Income Deficit for Unrelated Individuals 14 Years

Old and Over Below Poverty Level

11

Aggregate Dollar Income of Specified Types Received by Fam,ilies

Below Poverty Level

12

Aggregate Dollar Income Received by ~nrelated Individuals Below

Poverty Level

13

Aggregate Dollar Value of Owner~ccupied Units by Poverty Status

of Family or Primary Individual

14

15 Aggregate Dollar Gross Rent of Renter~ccupied Units by Poverty Status of Family or Prllnary Individual '

Aggregate Dollar Income Deficit Between Specified Poverty Level

and Total Income for Families and Unrelated Individuals

16

82 Ratio of Family Income to Poverty Level

83 Aggregate Number of Persons in Families Below Poverty Level

132
Item No. Title

84 Families bY Presence of Related Children Under 18, Type of Family,

and Poverty Status

85

..

Related Children under 18 by Type of Family, Poverty Status,

and Age

86 Family Heads 65 Years Old and Over by Poverty Status

87 Civilian Male Family Heads 14 to 64 Years Old by Labor

Force and Poverty Status

88 Female I~arnily Heads in the Labor Force with Related Children

Under 6 Years Old by Poverty Status

89 Unrelated Individuals by Age and Poverty Status

90 Populat.ion 65 Years Old and Over by Poverty Status

91 Related Children 5 to 17 Years Old in Families with Incomes

Below $3,000

92 Related Children under 18 Years Old in Families Below Poverty

Level by Presence of Parents

93 Populat.ion Receiving Social Security or Railroad Retirement

by Age and Poverty Status

94 Number of Families Below Poverty Level Receiving Income

of Selected Types

95 Number of Unrelated Individuals Below Poverty Level Receiving

Income of Selected Types

96 Families and Primary Individuals in Housing Units by Tenure

and Poverty Status

Families and Primary Individuals in Housing Units Lacking One

or More Plumbing Facilities by Poverty Status

97

Specified Poverty Level, Type of Family, and Selected Family

Status

98

99 Specified Poverty Level and Age

Fifth Count Summary Tapes

These tapes are the only census product containing data summaries

for ZIP code areas. Data on poverty status are provided in six data items

which are listed on page 135.

133
1970 CElIS US SlJ!.!!.{ARY TAP"'-S

..

Geoerophic

Aro1\/J Co'/£:J"cd

CoClplct.!1 Count

or Sl!mplc

.10. OL

IUld Data Cclls

fo:' f::lch "T~.'1

Rcol:J for U.S. Summury Tapc Scric:l

1111ock Group or Enu-

'crotio/1 Disf.rict

IFile 

A

106

54 t!lblc:I

conttdnini;

400 ~e118

1st Count

F,ilo B 100%

57

Statc, GOWlly, Minor

Civil Divi::ion or

Census COWlly Divioion, l-:CD Place,

Placc. Congressional

Di!ltr;.ct

I-Fila A J.I.,'C~

State, Co~,ty, lunor

Civil Divisio:1 or

CcnSU3 Co~,ty Division, J'lacc, S/.!SA

I and Cnr,Don'?nt ft.rC'lls

93 tabJ.cs

contoining

3,500 cells

2nd Count 100%

F:ue B

151

3rd Co un t Block 100.'

=

containing 238--($ tat-lea ~ .I 238

20 c!!lls

121 tables

containing Fj.le A Tract 143

20%

15%

5%

I.~nor 

Civil Division:or 

Census COW1t.y D" " .

J.vJ.oJ.on

12/ \.:1blc~

containin~ ~th Count

(Pop.)

Fi.1e B 123

Stite, CO\1.'1ty, Placc,

S!-:5A, nnd CoClponent

Areas

Tlact

Minor C1Vll D1V1SJ.on

or Census County

Division

File C contai.n i:18 94

:File 

A

containing 201

20%

15%

5%

11th Count

(Housinl;)

File B contai:Ji~

6 600 c~J.ls

200 tl;bles

icont inin.;

'1;>;,?r.)() c!)lls.

191

I

State. COWlt:r. Place.:

SI'~A. and Co:Jp~ncnt. I.

ft.!'!'!l1; I

File C 106

l.!11c A ~-di;: t I:I? !'-r'.)~n

Fi\c R 5-dicit. ZIP arcas

(~n'::).!.<;AI~)

20~

15%

S%

I 1

' ~~t.~~~~C1 c::: ~~ ..=53 tables'cont.8ini~c 

a~ <,"II.. - 12

5~ ('<'\lnt--

189

6th Count

collt.!1iniIlC

110,000 cclla

~

206

1'l'lIC IIdditiO/l.!\l r.w:rc,er or d:ll.(\ cclls ill Filc C nrc IIOt. I.(luulllt.cd for plllCCIi. T(lbula.ti~ns for

placc8 hllvo tho S4JD8 nWllber or data. cells as Filss A and B.

'IA r:pccial v,er9ion of tho Fifth Count SUm.'DIlr)' Tape hll:! bcCII prcp£\rcQ for cnU/l\crntion di:;tricts,

lIlock ~I'OV~9, tract:!, and minor civil divitlions: File C -LO'o, DC's, CCIIOU5 trllcto, ~:CO'5,

CCD'a (out:!ido of t.rllctcd IIreo9).

134
Poverty Data It~ms, Fifth Co~t {ZIP Code) Sunmary Ta~s

Item No. Title

22 Farnilj.es by Poverty Status and Public Assistlince

23 Families with Female Head by Poverty Status and Related

Children under 18

24 Families by Poverty Status and Related Children Under 18

25 Unrelated Individuals by Poverty Status

26 Poverty Status and Age

27 Related Children Under 18 Years Old by Poverty Status and

Presence of Parents

Sixth Count Summary Tapes

In addition to providing data for the central city and for SMSA's

having a population of over 250,000 inhabitants, the 6th-count also includes

data for smaller SMSA's individual counties inside the SMSA's and large nonSMSA counties. The 11 items contained on the 6th count related to poverty

are listed on the following page.

All summary tapes are available for each state, but usually more than

one reel of tape per state per count will be required.

Technical documentation is included with the purchase of the tapes.

The documentation, 1970 Census Users Guide (2 parts), includes descriptions

of the tables contained on the tapes in numer ical order by tape location

and may be purchased separately from the tapes themselves. A detailed

description of the summary tape series, arranged alphabetically by data

item title with corresponding tape reference and item number, is also available. This publication, Index_to-1~70 Census Summary Tapes, also provides

a section with cross-references by topic.

For additional information concerning documentation of the summary tape

series and their purchase, contact:

Data User Services Division

Bureau of the CensusWashington, 

D.C. 20233

~bl icU~ S~.!~ Tape~

The Public Use Sample Tapes of b~ic records from the 1970 census

also provide information of use to hillnan resource analysts. There are six

basic sample tapes each containing sample records for one percent of the

population (approximately 2 million individuals). The user may obtain a

135
sample drawn from either IS-percent or S-percent sample records with one

of three types of geographic coverage:

(1)

(2)

(3)

county groups (including all SMSA's over 250,000 inhabitants) states '

neighborhood characteristics

Poverty Data Items, Sixth ~o!!!!~ Sumnary Tape~

Item No. Title

Disabled Population 16 to 64 Years Old (Excluding Inmates) by Race,

Sex, Age, Duration of Disability, Marital Status, Presence of Own

Children under 18 Years Old, Years of School Completed, Income,

Poverty Status, Labor Force Status, and Occupation

Family Members and Unrelated Individuals 14 Years Old and Over by

Race, Sex, Family Status, Household Relationship, Age, and Ratio

of Family Income to Poverty Level

Part I -Aggregate Dollar Income Deficit of Families Below Poverty

Level by Race, Age, Number of Related Children under 18 Years Old,

Sex and Marital Status

Part II -Families by Race, Poverty Status, Age, Number of Related

Children under 18 Years Old, Sex and Marital Status

Families by Race, Poverty Status, Sex, Age, Related Children, and

Labor Force Status

1500 Families by Race, Poverty Status, Weeks Worked, Sex, Occupation,

and Class of Worker

Families by Race, Poverty Status, Sex, Age, Related Children, and

Years of School Completed

Part I -Aggregate Dollar Income of Families by Race, Poverty

Status, Sex, Age, and Related Children under 18 Years Old

Part II -Families by Race, Poverty Status, Sex, Age, Related

Children under 18 Years Old, and Type of Income

Part I -Aggregate Dollar Income Deficit of Families and Unrelated

Individuals Below Poverty Level by Race, Sex, Family Status, Age,

and Related Children under 18 Years Old

1530

Part II -Families and Unrelated Individuals with Income Below

Poverty Level by Race,... Sex, Income Deficit, Family Status, Age,

and Related Children under 18 Years Old

136
Item No. Title

Part I ~Aggregate Dollar Income of Families by Race, Sex, Poverty

Status, and Related Children under 18 Years Old

."

Part II -Families by Race, Sex, Poverty Status, Income, and

Related Children under 18 Years Old

Population 3 to 24 Years Old Enrolled in School by Race, Poverty

Status, Sex, Year of School in Which Enrolled, Type of School, and

Age of Person

Population 14 to 24 Years Old Enrolled in School by Race, Poverty

Status, Sex, Years of School Completed, and Age

Characteristics of people and households as recorded in the census

basic records will be on the public use sample records, but geographic

information and n,arnes will not appear. Income characteristics are included

in the record of each household recorded in $100 intervals by type of

income. This permits the data to be tabulated to compare demographic

characteristics of poverty/non-poverty populations. Obviously these tabulations also can be used for studies of low-income families according

to alternative po11erty definitions.

In addition 1:0 the dem:)graphic and housing characteristics

which appear in each public use sample, neighborhood characteristics

samples are also available. The neighborhoods themselves will not be

identified, but will have an average population fo 4-5,000 inhabitants.

Characteristics of these neighborhoods include:

.the proportion of families below the poverty level

.the percent of families with incomes under $5,000 and

over $15,000

.the percent of Black or Spanish Amer ican population

.average household size, etc.

These characteristics will make it possible to tabulate characteristics of the population by neighborhood.

A detailed description of the Public Use Sample Tapes, including

technical documentation, is available. This publication, Public Use

S~lesof Ba~ic Records.Fro~ the ~~7~. ~e~~~~, and further information

concerning this tape series is available from:

Data User Services Division

Bureau of the Census

Washington, D.C. 20233

137
Special Tabulations

Special tabulations of poverty information can be obtained from the

Bureau of the Census on a cost-reimbursable basis. These tabulations can

be performed for special geographic and/or income levels as requested by

the data user. Information utilized for the special tabulation are subject

to the same legal safeguards as all Bureau publications to insure confidenti-ality.

The number of geographic areas for which special tabulations can be

made available is limited by the information contained on the census Sand ISo-percent sample basic rec()rds. To insure confidentiality of

individual records, summary data are frequently suppressed where the number

of reporting units in a tabulation is small. Consequently, suppression

frequently occurs for poverty tabulations by race in small geographic areas

where there may be relatively few persons in a particular racial category.

The Office of Education of the Department of Health, Education,

and Welfare required data by particular school districts to allocate

funds under Title I of the Elementary and Secondary Education Amendments

Act of 1974. Since census data are not collected by this geographic

area, it was necessary to allocate data from the enumeration districts

(ED's) which fell within the boundaries of a particular school district.

Although it was often difficult to obtain completely accurate statistics,

this special tabulation provided workable income data which could be

compared by school district. Examples of the resulting data are

display~:d on pages 141 and 142.

The second tabulation, using 12 alternative poverty measures, is

currently being tabulated as part of the research on the accuracy and

currency of poverty measurement. These tabulations use the 1 in 100

sample of the 1970 Decennial Census of Population and Housing as part

of the Department of Health, Education, and Welfare's program to review

the present poverty definition as required by Title I of the Education

Amendments Act of 1974. They are also being tabulated from the Basic

March Current Population Survey Tapes for income years 1967,1969,1971,

1973, and 1974. Geographic levels used to display these data include:

.total Uni ted States

.region

.state (1 in 100 sample only)

.metropolitan areas

.central cities

.balance of metropolitan areas

.non-metropolitan areas

The list on the following page describes the 12 methodologies used

for determining alternative measures of poverty.

A special tabulation of poverty by county and state is available

for the cost of reprints from the Community Services Administration

138
The followin~iB a description of the methodology used to derive

each of the 12 alternative pover~ measures.

1.

.' "Current poverty measure": Uses full matrix of 124 poverty

cutoffs which was applied to the data published in the 1970

census rep:>rts.

2. Same as No.1, except that each threshold is multiplied qy 1.25.

3. Same as No.1, except that each threshold is multiplied by- 1.50.

4. Same as No.1, except that each threshold is multiplied by 2.00.

5.

6.

For famili43s uses 50% of the medi~ family income, i.e. $9,590-:-2=

$4,795, ami for unrelated individuals uses 50% of their median

income, i.13.$2,489 '-: 2=$1,245. (Source: 1970 Census of Population, Vol. I, Table 105).

Uses single dollar cutoff, $3,748, which is the weighted average

threshold :t"or a nonfarm 4-person family. (Source: 1970 Census

of Population, Vol. II, Part 9A, "Low-Income Population," Table A-I).

7. Uses a sinl~le dollar cutoff, $3,200, which results in a total

poverty population equal to that obtained ~ using the "Current

pOverty melisure" (see No.1 above).

8. Same as No.1, except that both farm ~~ nonfarm families use

the cutoff:B for nonfarm residence.

9. Same as No.1, except that all families use the nonfarm, male head

cutoffs.

...

10.

Uses weighted thresholds for nonfarm, male heads as shown below:

1 person: Under 65 years $1,980

65 years and over 1,770

2 persons: Head under 65 years 2,474

Head 65 years and over 2,221

3 persons 2,942

4 persons 3,750

5 persons 4,416

6 persons 4,690

7 or more persons 6,123

1.970 Census of Population, Vol. II, Part 9A,

Income Population," Table A-I.

"Low- Source:

Uses 50% of median family income for a 4-person, 2-child, male head,

nonfarm family as base case, i.e. $10~94 7 2=$5,247.

11.

12. Uses 50% of U.S. median income as base case, i.e. $9,59072=$4,795.

139
Source:

Special tabulations of the 1 in 100 sample of the 1970 census

prepared for the Office of the Assistant Secretary for Planning

and Evaluation of the Department of Health, Education, and

Welfare by the Data User Services Division, Bureau of the Census.

~

140
f.

Examples of Special Tabulations

Brazos County, Te~[as: Children -1 Years Old in Families Havin

!ncomes Below Spe(~ified Amounts --Minor Civil Divisions

--

Minor Civil Divisions

Bryan College

Station

2267

Northeast

Brazos

530

, 

County

Total

12,608

Brazos -

609

South

Brazos

8714 488

Total 

5-17 years

Poor 2113 128 33 188 302 2,764

$2000 615 32 23 29 79 778

$2500 867 98 23 29 84 1,101

$3000 1032 104 23 95 154 1,408

$3500 1226 110 23 140 226 1,725

$4000 1396 129 33 140 241 1,939

$4500 1805 178 45 160 295 2,483

$5000 2089 243 67 222 295 2,916

$5500 2416 314 78 268 324 3,400

$6000 2709 338 78 268 324 3,717

Non-poor 6601 2139 497 300 307 9,844

Specia:L tabulation of 1970 census data prepared for the

Office of Education, DHEW ~ the Data User Services

Division, Bureau of the Census.

SOURCE:

141
E::mmples of Special Tabulations

Brazos CountY Texas: Children -1 Years Old in Families Havin

~mes Below Specified Amounts --School Districts

School Districts

A&M CSD Bry-an ISD Navasota ISD Total

i'rotal 

5-17 years 2369 9864 380 12,613

Poor 131 2492 144 2,767

,$2000 35 721 23 779

:$2500 101 978 23 1,102

:~3000 112 1222 76 1,410

$3500 118 1496 113 1,767

$4000 131 1691 113 1,941

~)4500 201 2169 11.6 2,486

~)5000 251 2499 169 2,919

t'5500 316 2881 206 3,403

~,6ooo 345 3169 206 3,720

Non-poor 2238 7372 236 9,846

SOURCE: Special tabulation of 1970 census data prepared for the

Office of Education, DREW by the Data User Services

Division, Bureau of the Census.

142
\ 

.1 ...,--  .. ~.....~ ~I:t .11.  1:- -O&J I...Q.L.L=.a

the "Ten CSA (OEO) State and County Socio-Econanic Tables" was undertaken

by the Bureau at then OED's request based upon the 1970 census. Much of

the data resuJ~iRg from this tabulation were previously unavailable in

Census Bureau publications. Data are so extensive that millions of

pages would bE! required to show them for all states and counties. As

a result, nearly 50 reels of canputer "tape are available, at cost, for

copying or printouts. The follCMing lists the tables contained on thetapes.

Table No. Table

1 Poverty Status in 1969 of Persons by Age, Sex, and

Relationship to Head of Family

2 Poverty Status in 1969 of Persons 14 Years Old and

Over by Age, Sex, Family Relationship, Work Experience

in 1969, and Employment Status in Week Preceding 1970

Census

3 Families and Unrelated Irnividuals with Head Orner

A.ge 65, by Poverty Status in 1969, Number of Earners,

Sex of Head, and Presence of Related Children Orner

14 am Orner 6

Employed Persons 14 and Over by Poverty Status in

1969, Age Group, Family Status, Sex, Occupation and

Full or Part-Time, Status During 1970 Census Week

4

Poverty Status in 1969 of Persons 14 to 21 Years Old

by Years of School Completed, Major Activity LastWeek, 

Age, and Sex (excludes heads and wives)

5

Non-Farm Housing Rentals as a Ratio to Family Income

by Family Income to Poverty Level in 1969 of Primary

Occupant Uni t

6

Non-Farm Home Values as a Ratio to Family Income

by Ratio of Family Income to Poverty Level in 1969

of Primary Occupant Unit

7

Crowding and Presence of Plumbing Facilities by

Poverty Status in 1969 of Primary Occupant Unit

8

Income in 1969 of Families and Unrelated Individuals

by Size of Family and Poverty Status in 1969

9

Percent of Total Family Income from Each Source:

Mean Amount Per Recipient Family by Sex of Head

and Poverty Status in 1969

10

143
All of the tables are repeated by one or more of four different types of

residence (all areas, urban, rural nonfarm, and rural farm). Additionally,

nearly all tables present data for "all incane levels," for the poor, am

for those under 125 percent of the poverty line and for whites, Negroes,

Indians, Chinese, Japanese, Spanish languag~ and Hawaiians. This

racial and ethnic detail is believed to be unique among census tabulations.

Request for reprints of computer tapes or printouts should be

mailed to:

Machine Readable Archives Branch

National Archives

Pennsylvania Avenue, N.W.

Washington, D.C. 20408

For additional descriptive information regarding the tabulation,

contact:

Office of Operations

Community Services Administration

Washington, D.C. 20506

Another special tabulation that may be of special interest to the

study of poverty within cities am SMSA's is that requested by Operation

LEAP, an action agency in Phoenix, Arizona, affiliated with the former

Office of Economic Opportunity. This tabulation focused on low-income

neighborhoods in 105 large cities. Data were tabulated for entire SMSA's,

their component counties, central cities, am each neighborhood subdivision

of the central city's poverty area.

The content of this tabulation includes (1) seven printed tables

of data for each geographic area, (2) maps and tract listings of poverty

areas for each city having a contiguous poverty area with a population of

20,000 or more, and (3) a set of computer tapes storing all of the printed

data.

The following data are included in the tabulation:

.counts of persons and percent below poverty level

by race arrl Spanish language

.relationship to head of household

.school enrollment

.years of school completed

.persons 16 to 21 years old not in school

.employment status for persons 16 years old and

older by sex arrl age

.occupation

.amount arrl type of income for families arrl

unrelated irrlividuals

.ratio of income to poverty level arrl difference

between family income and poverty level

.housing characteristics

144
Most of these jLtems are cross-classified by poverty status.

information regarding this tabulation, contact:

For further

population Division

Bureau of the Census

washington, D.C. 20233

Requests for cost estimates to prepare special tabulations should

specify the geographic area(s) and subject(s) desired. A brief

description of the project should also be included. Further information regarding special tabs should be directed to:

Data User Services Division

Bureau of the Census

Washington, D.C. 20233

c~

145
OTHER CENSUSES

~n addition to the more familiar decennial census of population and

housing, the Bureau of the Census conducts other Censuses at five-year

intervals. These censuses include: .

.the economic censuses

-retail trade

-wholesale trade

-selected service industries

-construction industries

-manufactures

-mineral industries

-transportation

.the census of agriculture

.the census of governments

While generally not as relevant to the human resource analyst as

the Decennial Census of population and housing, these censuses should be

investigated as they can provide basic or complementary data that can

be extremely useful to the human resource analyst, researcher, or planner.

Economic Censuses

The economic censuses are taken at five-year intervals for years

ending "2" and "7". The 1972 Economic Censuses cover approximately

5 mill ion establ ishments and are composed of the censuses of:

.retail trade

.wholesale trade

.selected service industries

.construction industries

.manufactures

.mineral industries

.transportation

Also included are the economic censuses of the three outlying areas --

Puerto Rico, Virgin Islands, and Guam --and the enterprise statistics

program, which details the economic characteristics of firms which

hold several establishments under common ownership.

Standard Industrial Classification (SIC) Code --

The Census Bureau defines the scope of its economic censuses (with

the exception of the census of transportation) and tabulates the results

of these censuses on the ba~s of the Standard Industrial Classification

(SIC) system. The SIC system divides the Nation's economic activities

into ten broad. industrial divisions (generally identified by the first

146
digit of the codes), 2-digit major groups, 3-digit industry $ub-groups,

and 4-digit dptailed industries. For example:

-.]

Division

Major Group

Irrlustry Sub-group

Detailed Irrlustry

2

22

225

2257

Manufacturing

Textile Mill ProducbS

Knitting Mills

Circular Knit Fabrics

The use of the SIC system facilitates analysis and promotes uniformity

and comparability of statistical data among all organizations interested

in economic studies.

GeCXjraphic CO\~

Data from the 1972 Economic Censuses are available for the following

geographical areas:

.United States

.Regions and Divisions

.States

.Counties

.Standard Metropolitan Statistical Areas

.Standard Consol idated Areas

.Places (cities am other incorporated am

unincorporated places)

.Central Business District (CBD). A CBD is defined

by the Census Bureau as an area of very high land

valuation, with a high concentration of retail

businesses and high traffic flow. It is defined

in terms of existing census tract lines.

.Major Retail Center (MRC). An MRC is a concentration

of retail stores (located inside the SMSA, but

outside the central business district) having at least

$5 million in retail sales am a minimum of 10 retail

establishments, one of which is classified as a

department store.

.Downtown Business Area (DBA). A DBA is a specialized

type of major retail center which is located in a

major city with less than 100,000 population.

.Other Special Purpose Districts. Some publications

for the economic censuses show statistics for areas

defined for special purposes including production

areas, oil am gas districts, petroleum regions,

travel regions, etc.

~ajor Data It~

The 1972 Economic Censuses provide statistics on the economic

activity of almost every segment of American business and industry.

The figure on the next page lists the major data items collected

for the individual censuses within the economic censuses program.

147
Major Data Items Collected in the Economic Censuses

Economic Censuses

Item

Mineral

Industries

.\Ianufactunng

Wholesale

Trade

Construction

Retail I

Trade I Services

Number of employes

Production (Construction) workers -

A!l other employees Total quarterly 

.

x

x

x

x

x

x

x

x

x x x x

Payrolls

Production (Construction) workers

Total... All wages. other employees x

x

x

x

x

x

x

x

x x x x

Operating expenses including payroll... x

x

x

x

'X

'X

'X

x

x

x

lX

lX

lX

'x

'x

'x

Supplemental labor costs

Total Voluntary programs Legally required " '" ...

Production worker man-hours quarterly.. x x

x 'x

x

x

x

x

x

x

x

x

x

x

x

x

IX

'X

Cost of materials. etc.

Materials. supplies. etc...

Specific materials ...

Products bought and resold.

Total. Purchased Specific Contract Fuels consumed work fuels electricity consumed 

x

x

x

x

x

Inventories

By state of fabrication

Total.

x

x x

x

x

x

x

x

x

x

x

':<

'x

'x

IX

IX

IX

'x

IX

IX

x

X

2X

Capital expenditures

Mineral ~ew Used ~ewstructures machinery plant development and and and equipment equipment additions... ad exploration..

Total. x 'X IX 'X x

x

x

x

x

x

x

Quantity of electricity

Generated Electricity sold : Purchased 

Gross value, fixed assets

Total. Buildings Mineral ~Iachinery properties and and other equipment structures x

x

x

x

x

x

x

x

x IX 'x 'x

Total sales (receipts) Merchandise (commodity) lines

Value of shipments or products.

Specific products

x

x

x

x

x

x

x

x

x

Legal form of organization..

Water use

x x

x

x

x

IX

IX

'X

IX

'X

'X

'X

'X

'X

Rental payments. total...

Building and structures

Machinery and equipment

x

x

x

'Data collected on a sample basis only. Totals will be available only lat the U.S. level

the census of wholesale trade. sample includes merchant wholesalers only. i

'Used plant and equipment collected separately.

For

148
Availability of Data

Data user~_~hould refer to the Mini-Guide to the 1972 Economic

Censuses for a detailed description of the products available from

the economic censuses. They may also consult publication program

announcements available from any u.s. Department of .Carnmerce District

Office or from:

Publication Services Division

U.S. Bureau of the Census

Washington, D.C. 20233

The printed reports from the 1972 Economic Census may be purchasedfrom:

Superintendent of Documents

u.S. Government Printing Office

washington, D.C. 20402

The same statistics found in the published reports are also

available on computer tape. In the case of the census of transportation, much more data are available on tapes than are published. Canputer

tapes from the economic censuses, along with corresponding technical

documentat ion, may be purchased from:

Data User Services Division

Bureau of the Census

Washington, D.C. 20233

Special t~)ulations are also available.

Census of Agriculture

The census of agriculture is the primary source of canprehensive

coordinated data about farm products and the agriculture econany that

are canparable, county by county, on a nationwide basis. This census

is taken every five years during years erxiing in "4" and "9".

~ajor Data Itel~

Data fran Ithe 1969 am 1974 Censuses of Agriculture are presented

on:

.number of farms

.average value of land and buildings per farm

.acrea3e and production for major crops

.numbers and kinds of livestock on farms

.characteristics of farm operators by

-~rship/tenancy

-age

-race

149
-days of off-farm work

-residence

-tenure

.farm equipnent

.farm expenditures

.farm finance

.agricultural services by

-type of organization

-gross receipts

-payroll

-labor

Less detailed information is provided for farms with sales of $2,500

or less.

~~~ilabili !:~

The 1969 Census of Agriculture is the last census for which either

publications or cOOlputer tapes are reooily available. The results of

the 1974 census are being mooe public through March 1976.

'rhe results of the 1969 Census of Agriculture are available in six

volllnl~s :

Volume I: ~~a.Re~r~~ contain state and county

data published In 55 separate parts for each state

and island territory.

Volume II: General Repor~ contains state data in

nine separately pufilished-chapters.

Volumes III through VI contain special reports on

agricultural subjects including irrigation, drainage,

agricultural services, etc., or statistical methods.

Canputer tapes containing data published in the staooard county reports

are also available.

Census of Governments

From the census of governments, the Bureau of the Census provides

detailed statistics on the activities of many individual governments.

These I~overnmental units include school districts, general purpose

governments such as counties, municipalities and townships, and special

distril:ts such as housing authorities am bridge camnissions. The

census of governments is comucted every five years for years ending

in "2" and "7".

-'

150
In the rep)rts data are generally presented for the Nation, for

states, and for standard metropol i tan statist ical ar~as on county,

municipal, and township governments by size classes; on school districts

and on special (~ricts. Data for the 1972 Census of Governments

cover the following major subject fields:

.governmental organization

.taxable property values and assessment-sales

price ratios

.public employment

.governmental finances

.loca:l government in metropolitan areas

A separate volume entitled ~~p~ga~ S~~!es consists of five

separate reports on selected subJects including employee-retirement

systems of state and local governments, state reports on state and

local government finances, state payments to local governments, historical

statistics on g~'ernmental finances and erlt'loyment, and a graphic sUlTlnary

of the 1972 Censlls of Governments.

Data from the 1.972 Census of Governments are also available on

computer tape.

151
SURVEYS

In addition to the various censuses, the Census Bureau conducts many

reg~ar or recurring surveys each year to provide important intercensal data.

special or one-time surveys are also taken. Many of the recurring or special

studies are undertaken for organizations §uch as other Federal agencies, state

and local governments, and private groUps. Data are collected not only

through the use of sample surveys, but also by use of limited information

fram records kept for administrative purposes by other government agencies.

For example, the Bureau summarizes and publishes data about building permits

(report series C-40), and also uses the permits in the design of a sample

for obtaining other aspects of construction activity.

Current reports are available from the Bureau on population, housing,

economic activities, and governments. (Specialized agricultural reports are

also available but not described in this report.) Additional major surveys,

conducted on a reimbursable basis for various Federal agencies, cover such

areas as population and consumer expenditures, crime, health, and social

services.

Order forms, as well as information on the prices of current Census

Bureau reports, can be obtained through the Subscriber Services Section of

the Bureau of the Census. Reports are also available through the Government

Printing Office or the u.S. Department of Commerce District Field Offices.

Microfiche, computer tapes, and special tabulations are also available; the

Data User Services Division should be contacted for further information.

For information on surveys sponsored by other agencies, the agency

for whom the survey was conducted should be contacted directly. The

chart at the end of this section (page 178) provides a quick reference

guide to the current surveys of the Bureau of the Census and their

respective sponsoring agencies.

Current Population Survey

Since it is the major source of comprehensive data collected on a

monthly basis, the Current Population Survey will be covered in some

detail in this section. Several supplements to the Current Population

Survey --income and school enrollment, for example --provide current

data that are particularly useful to a study of poverty within the

scope of the Education Amendments of 1974.

The Current Population Survey (CPS) has been conducted monthly

since 1940. The prilnary purpose of the CPS is to obtain monthly labor

force statistics for the Department of Labor; it is funded jointly by

the Census Bureau and the Bureau of Labor Statistics.

rrhe CPS provides a large amount of information on the social and

economic status of the population of the United States. It is a major

source for estimates of total employment and unemployment. The survey

provides information on the personal characteristics of the labor force

152
such as age, race, sex, education, marital, and ethnic status. Statistics

on occupation, industry, and class of worker are also obtained from theCPS.

The survey provides data on hours worked and provides information

on part-time workers and workers on overtime. Detail~d information on

persons who are in the labor force and are seeking work is provided on

a regular basis. These data provide informaton on the labor reserve,

such as what their past work experiences have been and whether they plan

to reenter the labor market. Additional data are also collected on

persons classified as not in the labor force. These persons comprise

those civilians 14 years old and older who are neither employed nor

seeking work including those engaged in own home housework, attending

school, the long-term physically or mentally disabled, persons retired

or too old to work, seasonal workers for whom the CPS week fell in an

off season, or persons who gave up finding a job.

Additional subjects are included in the survey periodically as

supplemental inquiries.

Analysis of data on the labor force is done by the Bureau of Labor

Statistics and the data are regularly published in monthly press

releases and in Emplo~and_Ear~ings, a monthly publication of the

Bureau of Labor Statistics. Supplementary data collected through the

survey are analyzed and published by the sponsoring agency or by the

Bureau of the Census.

For definitions of the income and poverty concepts used in the

Current Population Survey, see Appendix, page 213.

Sample ~sign

The sample design used for the CPS is based to a large extent on

the distribution of the population reported in the decennial census. The

sample for the CPS is located in 461 sample areas comprising 923 counties

and independent cities, with coverage in every state and the District of

Columbia. These areas were selected by dividing the entire area of the

United States, consisting of 3,146 counties and independent cities, into

1,931 primary sampling units (PSU 's). Generally, a PSU consists of a

county or a number of contiguous counties. Each SMSA constitutes a

separate primary sampling unit. Each PSU is defined to be as heterogeneous as possible and to include both urban and rural residents of

all economic levels with diverse occupations and industries.

The PSU's are grouped into 376 strata. A stratum consists of a

set of PSU's as much alike as possible in various characteristics such

as geographic region, population density, rate of growth, proportion

nonwhite, etc. Many SMSA's are strata by themselves. In half the

strata containing more than one PSU, a single PSU is selected at random

for each stratum, as a representative of the stratum. In the other

half of the strata two independent selections of PSU's were made.

153
Some PSU's were selected both times. This process resulted in the

selection of 461 PSU's from the 376 strata.

_-Each fiK>nth 47,000 occupied units are designated for interview.

AOOut 2,000 of these households are visited, but interviews are not

obtained because the occupants are not fouMd at home after repeated

calls or are unavailable for some other reason: this represents a noninterview rate for the survey of about 4 percent. In addition, there

are about 8,000 sample units in an average fiK>nth which are visited, but

found to be vacant or otherwise not to be interviewed.

Within each of the 461 PSU's the number of households to be

enumerated each month is determined by applying a within-PSU sampling

ratio rather than the assignment of a fixed ratio. Part of the sample

is changed each month. Each household in the CPS is interviewed for a

period of four consecutive months, dropped from the survey for a period

of eight months, interviewed for another four-month period, and then

dropped from the sample permanently. Under this rotation system, 75

percent of the sample is common from month to month and 50 percent from

year to year. Not all individuals who were in the sample households at

the time of the first interview are still there during the last interview period. The CPS is a sample of households found at a given address,

not of individuals; approximately 20 percent of the population change

their place of residence each year.

Changes in the CPS

Several changes have occurred in the CPS since it was first begun

under the auspices of the Works Program Administration in 1940. These

changes have included the addition of new items and a broadening of the

sampling base, as well as changes in concepts, sampling techniques and

tabulation methods. These changes have tended to increase the precision of survey results. The table on the next page shows the change

in the sample coverage of the CPS from 1947 through the present time.

For a conplete description of changes in the CPS, see "Concepts

and Methods used in Manpower Statistics from the Current Population

Survey," Current Population Reports, Series P-23, No. 22.

The CPS is currently undergoing expansion in 28 states for the

purpose of providing reliable estimates of labor force characteristics

at the state level. At present, only national figures are tabulated.

Of particular interest to the poverty analyst are the changes that

have occurred in the methods of imputing unanswered income questions. For

example, missing income items are imputed or allocated by values which

are obtained from active respondents with similar economic and demographic

characteristics. Beginning with the March 1962 survey all income data

were imputed when a respondent did not answer one or more of the income

items. Beginning in March 1966 only the unanswered income items were

imputed. Starting in 1968 the Bureau of the Census introduced i~roved

154
Brief Description of the Current Population Survey

Households

visited, not

occupied

Time period

Aug. Mar. Aug. Jan. Jan. Aug. May Feb. 1956 194754 1960 19637 1921 to to to to to Dec. Apr. Jan. Feb. Dec. July 1975 1959 1956 196 1954 1963 1971 1972 8,000

8,000

8,500

6,000

6,000

6,000

3,000-3,500

3,000-3,500

lThree sample areas were added in 1960 to represent Alaska and Hawaii afterlStatehooct.

Note: Prior to 1966, income data were collected from approximately 75 percent of

occupied households in CPS.

income edit and allclcation procedures: the set of social and economic

characteristics withlin which the imputations are made were expanded;

inconsistent reporting was eliminated; and a new imputation prqcedure

which assigns missinlg earnings entries first and then utilizes the earnings information to assign missing sources of income other than earnings.

Additional information on the treatment of nonresponses and

allocations and on the definitions of income and poverty used in the

Current Population Survey are provided in the appendix (page 213) of this

report.

Data Accur acyand Compar ab!l! ty

Modern sampling theory provides methods for measuring the range of

errors due to sampling. Methods are also available for measuring the

effect of response variability, undercoverage, and non interviews in the

Current Population Survey. Estimates of sampling and response variability

are provided in EnploylTent and Earnings, a IOOnthly publication of the

Bureau of Labor Statistics, and in many census reports based on the CPS,

thus permitting the user to take this factor into account in interpreting

the data. In general, smaller figures and small differences between

figures are subject to relatively large variation and should be inter~

preted with caution.

Another factor to be considered is that income data are usually underreported in household surveys such as the Current Population Survey. To

estimate the magnitude of underreporting in~he CPS, estimates of aggregate

money income for each source of income collected in the CPS have been made

from independent data sources such as the Bureau of Economic Analysis,

the Social Security Administration, the Veterans' Administration, etc.

155
The introduction and appendix of most of the reports in the P-60

Series, Current Population Reports: Consumer Inccme, provide a more

detailed discussion of underreporting on the Current Population Survey.

In most cases income data from the CPR are not directly comparable

with other income data due to differences in coverage, definitions, and/or

estunation procedures. The introductory text or the appendix of t~

P-60 reports describes the comparability of CPS data with data provided

from:

.Bureau of Economic Analysis (~)

personal income series

.Department of Agriculture

farm incane ser ies

.Surveys of consumer finances

.Federal income tax data

.Old-age, survivors' disability and

health insurance earnings record

data.

~ernents to the Current Population Survey

The CPS is frequently used as a vehicle for obtaining data on a

variety of subjects relating to the general population. In recent years,

supplemental inquiries have included questions on immunizations against

selected diseases, school enrollment, participation in food stamps and other

welfare programs, multiple job holding, work experience, and income. In most

months of the year, a supplemental inquiry is included in the survey.

Supplements to the CPS may be recurring or they may be single-time

supplements conducted for a special purpose. Examples of recurring

supplements include the work experience and income supplement collected

in March, the multiple job holding-premium pay collected in May, the

immunization survey in September, the school enrollment supplement

collected in October, and the survey of hired farm wage workers in

December. These supplements may be sponsored by other Federal agencies,

such as the Department of Labor, the Department of Health, Education, and

Welfare, or by the Bureau of the Census itself. A list ot 1975

supplements is provided below.

January 1975 no supplement

Screen for Survey of Preschool C~il~ Sa~e ~e~t~~

Identified child care centers attended by 3-6 year

olds for mail-out survey to obtain information on

their characteristics. .

February 1975

156
March 1975 Ann~al De~raphic Supplerren!:

Wbrk experience and income during the previousyear; 

migration.

April 1975 Food Stamp Recipie!!cy ~,

Receipt of food stamps during 1974; cost and value

of food stamps received during most recent month

in 1975.

May 1975 Qua! _Jobholding/premium PayjUsual Hours

Incidence of multiple jobholding and receipt of

over-time premiums; usual hours worked per week

and associated pay rates.

Survey of Adult Education

To measure enrollment in post secondary education

or training courses (other than full-time college);

type of course, type of facility, cost and source

of financing.

June 1975 ~rit~l History/C~ild Spacing/BirthE~cta~!2n§ Questions concerning number of marriages, number

and birth dates of children ~ver born, and birth

expectations.

July 1975 Survey of Lan9uages

Questions concerning country of birth, mother tongue,

languages spoken other than English, difficulty

speaking or reading English, school instruction

which was taught in a language other than English.

August 1975 Food Stanp Rec!piency

Receipt of food stamps during previous 12 months,

cost and value of food stamps received in most recent of last 4 months, receipt of transfer payments

during previous month, housing costs during previous

m:>nth .

September 1975

Nationa! 

Inmuni~atio!! Survey

Questions concerning incidences of various diseases

and heart and lung conditions and prevalence of

immunization against specified diseases.

October 1975 Annua! Schoo! Enrollment Survey

Current enrollment status, grade level, living

arrangements while attending school, usage of Basic

Educational Opportunity Grants program.

November 1975 Survey of Workers' Earnings

Similar to May 1975 supplement on dual jotilolding,

premium pay, and usual hours.

157
December 1975 ~urvey of_~~!m ~!:~.

Annual survey concernIng IncIdence of farm work

for cash wages during the year, migratory status,

farm and nonfarm earnings, etc.

~~ ~tamp Recipi~AC~ (See August supplement)

~vailability of Dat9:

Six series of current population reports are derived either totally

or in part from the Current Po~lation Survey and suwlements. These

series, which are described in the next section, include Population

Charclcteristics, ~~Studie~, :"Qpulation Estimates and Prolections,

{o'eaeral-State Cooperative Proqram ]:or Pooulation Estimate~, ~

PoDUJ.ation, ana <..:onsumer Inco~

Demographic Surveys Division

Bureau of the Census

Washington, D.C. 20233

For copies of reports, contact:

Population Division

Bureau of the CensusWashington, 

D.C. 20233

~tion Cha~~: Series P-20

Approximately 15 reports are issued each year in this series.

Data are provided for the Nation, for metropolitan/nonmetropolitan

areas, and for selected areas. Recent reports are listed on the

following page.

158
Report No. Title

Educational Attainment in the United States:

1973 am 1974.

March

*

Voter Participation in November 1974 (Advance Report)

Household and Family Characteristics: March 1974

277 Fertility Expectations of American Women: June 1974

Population Profile of the United States: 1974

Persons of Spanish Origin in the United States:

March 1974

Income and Expenses of Students Enrolled in Postsecondary Schools: October 1973

Households and Families by Type: March 1975

(Advance Report)

Persons of Spanish Origin in the United States:

March 1975 (Advance Report)

283

College Plans of High School Seniors: October 1974

Mobility of the Population of the United States:

March 1970 to March 1975

School Enroltment -Social and Economic Characteristics

of Students: October 1974 (Advance Report) ""

Additional report titles in this series may be found in the Bureau of the

Census Catalog.

Special Studies: Series P-23

Several reports are issued yearly in this series. Geographic detail

includes national and metropolitan/nonmetropolitan area data. State data

are sometimes presented. Some recent reports of interest to the human

resource analyst include the following:

Report No.

19

Title

Characteristics of Families Residing in the Poverty Areas,

March 1966

Changes in Economic Level in Nine Neighborhoods in

Cleveland: 1960 to 1965

20

159
Report No. Title

28 Revision in Poverty Statistics, 1959 to 1968

33 Trends in Social and EQonarnic Conditions in Metropolitan

and Nonrnetropol i tan Areas

37 Social and Economic Characteristics of the Population

in Metropolitan and Nonmetropolitan Areas: 1970 and

1960

39 Differences Between Incomes of White and Negro Families

by Work Experience of Wife and Region: 1970, 1969, and

1959

47 Illustrative Projections of Money Income Size Distributions for Families and Unrelated Individuals

50 Fanale Family Heoos

51 Characteristics of American Youth: 1974

54 The Social and Economic Status of the Black Population

in the United States, 1974

55 Social and Economic Characteristics of the Metropolitan

and Nonmetropolitan Population, 1974 and 1970

57 iocial and Economic Characteristics of the Older

Population: 1974

Population Estimates and Projections: Series P-25

Estimates of population between decennial censuses are calculated by

the Bureau of the Census for the United States, individual states, standard

metropolitan statistical areas, and for the outlying areas. These estimates

are for July 1 of each year. Since 1970 base data have been fram the 1970

census; various administrative records and/or surveys have been used to update or estUmate and project the population fram 1970 forward.

The principal subjects covered in this series include:

.monthly estllnates for the u.s.

.annual (mid-year) estimates by age, race and sex for the U.S.

broad age groups for States

SMSA's (by constituent counties); and

Puerto Rico and the ~lying Areas

.biennial proj ections of voting age population for states

160
.projections by age and sex for the U.S

.prQj~tions of the total population for states

.projections of households, families, schoo} enrollment, and

educational attainment for the u.s.

A special series of reports within the P-25 series (Nos. 546-595)

presents estimates of 1973 population and 1972 per capita income for counties

and incorporated places for the fifty states. These estimates were developed

to provide ~ates of the data elements used in Federal revenue sharing allo-cations. 

Each report presents the estimates of 1973 population and 1972 per

capita income, as well as base year data from the 1970 census, as seen in the

illustration on the next page.

Other aspects of the revenue sharing program such as the General Revenue

Sharing Survey, are described. later in this section (see page 171). The Bureau

publishes two series of population estimates and projections. The P-25 series

contains estimates and projections for the United States, states, metropolitan

areas, counties and localities. The P-26 series presents county population

estimates prepared under the auspices of the Federal-State Cooperative

Program for Local Population Estimates. The P-26 series is described in the

following section.

Federal-State Cooperative Program for Population Estimates: Series P-26

The Federal-State Cooperative Statistics Program is a joint effort of

the Census Bureau and the state governments to develop annual series of county

population estimates. This would furnish a single set of county and SMSA

population estimates for potential state and Federal planning and funding

purposes. All 50 states and the Commonwealth of Puerto Rico are presently

participating in the program. While states do not use the same methods for

population estimation, all methods produce estimates, births and deaths

(natural increase), net migration, total population change, and total population. Each state report provides estimates of the total population for the

two most recent years and corrected 1970 census total population data, as

seen in the table on page 163:

In states where the officially designated state agency has opted not

to publish county estimates in the P-26 series, the Bureau of the Census

publishes these estimates in the P-25 series. Reports are published periodically, but each state is covered every year.

For further information concerning the program, contact:

Federal-State Cooperative Program

for Local Population Estimates

poPJlation Division

u.S. Bureau of the CensusWashington, 

D.C. 20233

161
POPUlATION. 1970 AND 1973. AND RElATED PER CAPITA INCOME (PCI)

FOR REVENUE SHARING AREAS

(1970 population and related PC! ligures may reflect corrections to census counts or annexations. Estimates 01 percent change

lOr PCllor places 01 500 or less are not applicable. See text)

POPULATION PER CAPIrA "'HEY IHCOle

(DOLLARS)

PERCENT

CHA.'ICE

33C

7

14S

14S

73

3

3

2

8

Z

1

3

1

t

46

40

26

1

1

15

15

15

14

14

1

3

1

'302 583

82211

418

283

360

J42

126385

126.85

66281

144

L8

50J

400

9J

3451 I

345L

99

2 LO'- 31'

1167

312

L84

'26

24L6

L46

186

218

249

2S9

L88

121

2S1

19'

L 141

3 48S

21S

9S

914

10J

Z14

88

216

L84 l'

383 I 1 8S11'

1 164

45 864

39 11S

21 L50!

26'

1.504[

1351

68) I

13 556

13 SS6

L3 ~S6

14 2S0 I

14 lSO I

1 ~:

) SJ3 I

"31

l 202 !

9.~

-12..I

-G.'"

-1.6i -S."'

-7.

is.

lS.J

10.9

17.4

27.8

.10.3

-8.0

-20.4/

7.

7.6

9.1

7.9

5.4

9.0

9.0 ,

4.J

7.4

16.6

8.9

2.7

0.9

4.4

4.2 i

11.7

8.7

18.' I

].1

-2.0

5.6

5..

].2

5.0 I

5.8

6.1 i

1.1 I

S.6 i 7.6 '

5.

9.

7.

8.8

2.1

1.7

-1.8

23.4

lS.4

15.4

lO..l

12.]12.]

12.3

-0.1

-0.1

22.] :,

-].9

-6.9 i

-2.5

48.0

" 872

.635

.517

4 517

4517

4517

5 )86

5386

\ 6961

5 072 I

, 071

3,3

3,2'

552

2 641

2 641

24L3

2212

2 4131

I

2 21~

2 126 I

2126190) I

) 5081

2126

2126

2 12~

2126

2 126

2126

2 126

2 12~

2126

5 280

2468

12 371

2372,

) 5~9

237L 2 372 1

2 )'2

2 371

2 372 1

2 )71 !

2 )721

5 566

5 689

4 999 1

5019

5 102 I

.1531

) 9961

) ~96;

4026 :

645) I

6453 I

6452 I

I

4524 f

45241

i

4656 :

4 \69!

~ 1)0 I 4 570 '

4 109 I

3 125

I

3311

2 200

2404

3308 1

2619

4 192

4192

3991

5858

4061

516

500

863

2 809

2809

566

1 680

1088

1336

1336

396 5'5

2 312

1336

580

834

829

1 100

is)

1336

317

1 260

3 641

1631

1 637

3 441

2418

1637

1 008

2137

498

1 205

1265

862

4012

4161

3 '82

4 224

4 168

3 198

3 662

3719

3838

4685

4685

4 685

3 d06

3 806

I

3661

1Z 139

4 189

4 108

4 1'1

30.8

39.1

,"Ai

iHA)

\HA)

(HA)

28.5

28.5

42.5

,HAl

;HA)

,SAI

;SA;

-6.0

-6.0

,"A)

35.8

(SA;

&6.1

(SA)

'SA)

62.7

51.7

,SA)

.,' '~I

[SA)

(SA)

(SA)

,SA)

,SA)

iSA)

(XA)

45.0

50.8

(SA)

(XA)

45.2

(NA)

(SAI

(SA)

(SA)

I"A)

(SA)

XA)

16.7

36.5

25.5

18.8

22.4

;SA)

9.1

7.4

~.,

37.7

37.7

37.7

18.9

l8.9

27.2

;NA)

22.5

'-SA)

12.4

ALEUTIAN STATE OF ISLANDS ALASKA CE,,"US 0["..

UNALASKA SAND ST. KING CREATER ANC:1OMGE PAUL COVE POINT ISLAND ANCHORAGE CENSUS AREA '[VISION BOROUCK..

ANCKORACE CIRDWOOD CLEN "NCOON ALPS CENSUS DIVISION ...

A"COON. TENAKEE BARR&-"ORTH SPRINGS SLOPE CENSUS DIV.

NIGHTHlrtE TOKSOOK AKIAK... AKa!.'!I!'"! B&nlEL CHEPOR.'IAK E&K GOOD"!I/S AKIACIIAK M&KORYt'K IlAPAKIAK NAPASKIAK ANAKTUWK SAUCY I/A[IIWRIGHT "ORTH BEnlEL BAY SLOPE BAY PASS C&NSUS BOROUGH DIVISION ,

TULUKSAX BRISTOL BAY BOROUCK C&NSUS "IV,

ALEKNAGIK CLAiKS i>ILLINCIIAM EKIIOK BRISroL POINT MY C""SUS D[VISI , ...

~KOTAX ""\/!!ALEN ,

"'1/ PORT rocIAX NONDALTON ST1.'YAKOK OtLDEN .

CORDOVA FAIRBANKS NORTH KAlNES. KAlNES FAIRBA.'lKS KAIKES CORlJOVA-!«:CARTHY PAIRBANKS POLE BOROUCH C&NSUS NORTH C&NSUS DIVIS[ON STAR "IVISIO~.. C&NSUS BOROUGH DIV ,.

JUM&AU GREATER KENAI KEN"I.COOK JUNEAU PENI"SULA JUNEAU CENSUS INLET BOROCI;K BDROUGH D[VISION C&NSUS PART DIV ~. ..

KACIIE~.. UNAI KOMER. .

SELDOVIA S"~A

162

1)58

161

445

278

))9

)17

674

674

"96

169

23

451

368

7

,

715 I

715 I

108.

270

3)2

467

)/00

192

565

817

159

191

220

260

270

210

\38

210

201

124

681

227~"

~60

109

227

89 1

228

198

79 j

419 !

989 i

267 I

8)414091

.66,

327 I

I

1)5 I

559 !

a20!

225 i

n'l

225 I

I

234 I

23" I

125 l

7) ,

289 I

.2& I

779 I
ESTIMATES OF THE POPULATION OF METROPOLITAN AREAS AND THEIR COMPONENT

COUNTIES: ARKANSAS. JULY I, 1974 AND 1975

(SMSA totals rounded independently ot county numbers)

JULY 1.

1975

(PROVISIONAL!

APRIL 1-

1970

(CENSUS)

JULY I,

19711 STANOARD METROPDLITAN STATISTICAL

AREA AND COUNTY

PERCENT

FAVETTEVILLE-SPRINGOAI.E. ARK i

BENTON '

IASHINGTON '..""'.."""...j

FORT SNITH, ARK.-OKLA. I

(ARK. PORTION)

CRAWFORD SEBASTIAN ,f

LITTLE ROCK-NORTH LITTLE I

ROCK, ARK i

FOULASK I ; .'..."..'. I

SAL I NE " I

.

MENPHIS, TENN.-ARK.-NISS. I

(ARK. PORTION) ,

CRITTENDEN ,

PINE BLUFF. ARK '.'.'..." I

JEFFERSON... .' Ij

TExARKANA, TEXAS-TEXAR1<ANA. ARK.

LITTLE RIVER (ARK. PORTION) ,!

NILLER " ,

1'16.000 I

58.700

87.'00 I

127,8116

50,117&

77,370

CHANGE. 1970 COMPONENTS OF CHANGE.

TO 1975 1970 TO 1975'

NET MIGRATION

NUMBER OEATHS

I

21,200 I 16,6 J 11.800 I 7,000 16,"°0 9.20°' 18-'1 ".700 ',400 I 7,900 12,000 I 15.5 7,100 ,,500, 8,400

12.8

1'.7

10.9

114,000 '

29,300 !

811,600 !

I

358,700 I

316,100

112.600 ,

!

50,300 I

50,300 I

811,700 I

811,700 !

104.914

25.677

79.2J7

)5.000 I'

".700

)0.)00 I

"".000 ,

)7.000

6.900 I

I

2.)00 ,

2.)00 i

-1,700 i

-1.700 I

"00 '00 I

(11

29.11 14.6 )11.2

'23,296

287,189

'6,107

"8,106

"8,106

85"29

85,'29

211,100

19,JOO

5,1100

I

-1,000 I

-1,000 ;

!

-5,200 I

-5,200 !

7.6 6.7

15.0

-2.1

-2.1

-6.1

-6.1

1119,100I'

59,700

89"'00 I

I

1J9,900 I

JO,JOO I

109,500 I

J67,JOO

JZII, ZOO

IIJ,OOO

50,1100 I

50,1100 I

8J,700 I

8J,700 I

",,000

I11,700

JJ,IIOO i

8J5,JOO

1.280,600

114.800

11.500

".'00

1111,5791

11,1911

)),)S5

JJ.J 9,800 I ',700 I JO,800 i

18.2 I 2'1100 1 1"00 J,700

J8.21 7,1100 4,200 27,100

1'.6 J',200 16,000 12.9r J2,000 14,'00

19.2 J,200 1,600

4.71 ,,600 2,1100

4.7 ',600 I 2,1100

-2.0 " 8,100 I 11,600 I

-2.0 8'100: 4,600 I ,

1.0 I 4,'00 2,800 I -l,JOO I '.' I 1,200 700 I (21 I

-0.1 J,'OO 2,100 I -1,'00 I

.'8,'00 I 611,1100 I

7','00 60,1100

-2.9

-0.3

-3.8

NONHETROPOLITAN METROPOLITAN 798,'00

1,269,'00

1'.8 I 75,100

7.7 1106,'00

8.8

5.1

Z LESS THAN 50 PERSONS OR LESS THAN 0.05 PERCENT.

'BIRTHS ANO OEATHS ARE BA!IEO ON REPORTEO VITAL STATISTICS FROM APRIL 1. 1910 TO DECEMBER ]1. 197.. WITH EXTIIAPOLATIOMS TO

JUNE ]0. 1975. NET MIGRATION IS THE DIFFERENCE BETWEEN NET CHANGE ANO NATURAL INCREASE.

Farm Population: Series P-27

This annual report presents data on the size of the farm population

as well as on selected population characteristics such as age, race, labor

force status, and class of workers. The data are based on estimates prepared

cooperatively by the Bureau of the Census and the Econarni9 Research Service

of the ~partment of Agriculture. Only national data are presented.

Consumer Incane: Series P-60

Several reports in this series are issued annually. They provide

national statistics for metropolitan/nonmetropolitan and rural farm/rural

nonfarm areas. Subjects covered include:

.money income of families and persons (advance and

final data reports for each year)

.household and money income and selected social

and economic characteristics of households

(one report per year)

.characteristics of the poverty population (oovance

and final data reports for each year)

163
.annual mean income, 1 ifetime income, and educational

attainnent for men in the U. S. for selected years

--(occasional reports)

Selected reports of interest to the human resour~e analyst are listed below.

~~ Title

54 The Extent of Poverty in the United States, 1959

to 1966

61

67

Characteristics of Families and Persons Living in

Metropolitan Poverty Areas: 1967

,

Socioeconomic Trends in Poverty Areas: 1960 to 1968

68 Poverty in the Unitoo States: 1959 to 1968

7:l Poverty Continues to Decline in 1969 (Advance Report)

76 24 Million Americans -Poverty in the United States: 1969

7'7 Poverty Increases by 1.2 Million in 1970 (Advance Report)

81 Characteristics of the Low-Income Population:

Characteristics of the Low-Income Population:

(Advance Report)

8:2

86 Characteristics of the Low-Incame Population:

~, Characteristics of the Low-Income Population:

(Mvance Report)

88 1972

91 Characteristics of the Low-Incame Population: 1972

Characteristics of the Low-Income Population:

(Mvance Re{X>rt)

9,4 1973

Supplernenta~y Report on the Low-Incane Population:

1966 to 1972

95

98 Characteristics of the Low-Income Population:

Money Income and Poverty Status of Families and

Persons in the U.S.: 1974 (Advance Report)

99

Money Income in 1974 of Families and Persons in the

United States

101

Characteristics of the Population Below the Poverty

Level: 1974

102

164
Current Housing Reports

In addition to a major new survey --the Annual Housing Survey-'

the Bureau of the Census conducts several other surveys to provide

statistics on the Nation I s housing supply. These include the Housing

Vacancy Survey and the Survey of Market Absorption.

For more detailed information on the current housing statistics produced

by the Bureau, contact:

Housing Division

Bureau of the Census

Washington, D.C. 20233

Annual Housing Survey: Series H-ISO

One of the newest surveys at the Bureau of the Census, the Annual

Housing Survey, Series H-lSO, is especially relevant to human resource

analysts. This survey has been developed in response to a long-standing

need for frequent and up-to-date information on the Nation I s housing supply.

A joint und,ertaking of the Bureau of the Census and the Department of

Housing and Urban Development, the survey covers such items as:

.number and characteristics of residential living units

.measures of losses and new construction

.presence of plumbing facilities

.frequency of mechanical and utility breakdowns in units

.characteristics of recent movers

.indicators of physical condition of units

.neighborhood conditions

.financial characteristics

.characteristics of occupants

The Annual Housing Survey consists of two parts: (1) a national sample

of housing units from urban and rural areas whose residents are interviewed

every year; and (2) metropolitan area samples from 60 selected standard

metropolitan statistical areas, including the largest and many of the smaller,

fast-growing areas, with one-third of them to be examined in detail every

third year.

Joint Department of Housing and Urban Development-Census Bureau Reports

are issued on the data collected through the Annual Housing Survey. Reports

are published in the H-150 series and include the following titles.

Report ~

H-lSO-73A

Title

General Housing Characteristics , for the United

States and Regions

165
!~eport No. Title

Indicators of Housing and Neighborhood Quality

for the United States and Regions

.

Financial Characteristics of the Housing Inventory

for the Uni ted States and Reg ions

Housing Characteristics of Recent Movers for the

Uni ted States and Reg ions

Statistics from the national sample are tabulated for the entire United

States; for each of the four major geographic regions; for all SMSA's in the

United States (both inside and outside central city) and for the remainder

of the country. After the second survey urban and rural tabulations

will also be published. For the samples from metropolitan areas, data for

the largest SMSA's are shown for the area as a whole as well as for inside

and outside the central city of the area. For the SMSA's with a smaller

sample, data are shown only for the area as a whole.

Housing Vacancy Survey

The Housing Vacancy Survey is the source of information about

residential alterations ana repairs. Data are collected on the number of

rooms, presence or absence of plumbing facilities, the number of units in

the building, and the amount of rent or current value of the property.

This information is combined with data on vacant housing units from the

Current Population Survey in order to canpare the characteristics of occupied

and vacant units and to determine the housing vacancy rate.

The resultant report series H-lll, ~ousing Vacancies, consists of four

press releases and quarterly and annual reports. Data are national totals

for the U.S., census geographic regions, inside and outside SMSA's, and

central cities of SMSA's.

~!!~vey of Market Absorption

This survey is designed to provide cata concerning the rate at which

nonsubsidized and unfurnished privately financed units in buildings with five

or more units are rented (or absorbed). The sample is selected fram buildings

report,ed as coopleted in a sample of building permits in the Housi~ Starts

Survey'. (See Current Construction Reports, page 168).

The reports entitled ~arket Abs~rpti~~ of A?artment~ (Series 8-130)

providle data on characteristics of the units such as rent, sizes of apartments, number of bedrooms, and the length of time the units are vacant.

Report~s are issued both quarterly am annually. The quarterly report provides

u.S. clatai the annual report provides data for the U.S. and for regions and

incluCles additional statistics on facilities am services offered in new

rentaJ. units, such as parking, free utilities, and swilmling pools.

166
1972-73 Consumer Ex~nditure Survey

The purpose of the Consumer Expenditure Survey is t,o provide comprehensive data on the expenditures, income, assets, and liabilities of the

Nation's households. This is a decennial survey, conducted by the Bureau

of the Census for the Bureau of Labor Statistics during 1972-74. While the

results of the survey are used primarily for updating the Consumer Price

Index (CPI), these data are also useful to the human resource analyst in

determining poverty definitions, levels, and scope.

The Consumer Expenditure Survey is actually two separate but related

surveys: a quarterly survey in which each consumer unit is interviewed every

three months over a IS-month period; and a diary or recordkeeping survey

completed at home by the respondent during two one-week periods.

General information on respondents in both surveys includes: age, race,

sex, occupation, and education of the household head; family size, composition

and income; housing status, and vehicle ownership. The major types of

expenditure data collected in the quarterly survey include global estimates

of expenditures for food and beverages, small and major appliances, motor

vehicles, housing, real estate, and numerous other goods and services, as well

as data on annual income, work experience, and changes in assets and liabilities.

The major components of the recordkeeping survey are expenditures for

food, household supplies, personal care products, and nonprescription drugs.

Other items of interest that appear in one or the other of the two surveys

include: food stamp purchases; residential mobility; additional vocationaltechnical training; availability of complete kitchen facilities; composition

of income, assets, and liabilities; cost of leisure activities, housing

(purchase, rental, and maintenance), insurance, and education; and fuel

consumption. For major and minor equipment purchases, information is

collected on such things as trade-in allowances, sales taxes, terms of purchase (cash, credit, etc.), and returns for credit or refund.

Data from the 1972-73 Consumer Expenditure Survey are available from

the Bureau of Labor Statistics. Analysis efforts concentrate on updating

the Consumer Pr ice Index. However, other data are analyzed and reported.

Questions regarding the survey should be directed to the following source:

Division of Living Conditions Studies

Bureau of Labor Statistics

u.S. Department of Labor

Washington, D.C. 20210

Survey of Purchases and Ownership

This survey covers household spending on major durable goods such as

autanobiles and appliances. Data previously collected in the Survey of

Consumer Buying Expectations (discontinued in 1973) are now collected as a

subsample of the annual Housing Survey. Occasional reports on this survey

are issueq in report series P-65, ~onsumer Buying Indicat~.

167
Economi.c-Surveys

In oodition to the econanic censuses tak,en every five years, the

Bureau conducts periodic economic survey programs. These ongoing sample

surveys cover three major areas of the economy: business, construction,

and industry. The surveys provide more tllnely, but less detailed information than the econanic censuses. From the current surveys many different

series of reports evolve. These reports are usually published on a monthly

basis, often with additional quarterly and annual reports. At this time

there are nine current business reports (retail, wholesale, and service),

eight current construction reports (housing starts, housing completions,

value of new construction put in place, etc.), and over 100 current

industrial reports (manufacturing) and the annual survey of manufacturers.

Current Business Reports

More timely, but less detailoo information is collectoo by periodic

surveys of a small sample of businesses in retail and wholesale trade' and

selected service industries. The samples used are primarily designed to

represent the Nation as a whole, although same information on retail and

wholesale trade is provided for smaller areas.

~1e infonnation is released in series of weekly, monthly, quarterly,

annual, or seasonal reports corresponding to the frequency of the surveys

Descri]?tions of the sample and other explanatory materials are given in

each i:5sue.

Included in the series of current business reports are the following:

.Weekly Retail Sales

.Advance Monthly Retail Sales

.Monthly Department Store Sales in Selectoo Areas

.Final Weekly Sales Estimates

.Monthly Retail Trroe

.Annual Report, Retail Tr roe

.Monthly Selected Service Receipts

.Monthly Wholesale Trroe: Sales and Inventions

Current Construction Reports

Statistics on construction include current data on new housing units

and other types of construction authorized by building pennits; housing

starts, sales, aM canpletions; value of new construction put in place;

residential alterations and repairs; aM price iMex for new one-family

houses sold.

Information is available in a series of monthly, quarterly, and annual

report.s that generally provide national and regional statistics. A special

serie~; (C-4l) provides monthly data on authorizoo construction in the

Washington, D.C. area.

168
Current statistics are available on the following topics. The publication series number is provided to aid analysts in referencing the document.

.Housing Starts (C-20 series) .'1

.Housing Completions (C-22 series)

.Sales of New One-Family Houses (C-25 series)

.Price Index of New One-Family Houses Sold (C-27 series)

.Value of New Construction Put in Place (C-30 series)

.New Housing Units Authori~ed by Building Permits (C-40

ser ,ies)

.Authorized Construction -Washington, D.C. Area (C-4l

series)

.Housing Units Authorized for Demolition in

Permit-Issuing Places (C-45 series)

.Residential Alterations and Repairs (C-50 series)

In addition to the construction data published by the Census Bureau,

several series collected and compiled by the Census Bureau are included in

the monthly report., Construction Review, published by the Bureau of

. Damestlc Commerce, u.s. Department of Commerce. These series are

!!on-resid~ntial C9:nstruction Authorized in Permit Issuing Places and Federal

Construction Awards.

County Business Patterns

~~unty _B~~in;ss pa~te;ns is an annual publication preparro under the

directIon of the EconomIc Surveys Division of the Bureau. County Business

Patterns provides statistics on reporting units, first quarter Federal

Insurance Contribution Act (FICA) taxable payroll, and March 12 pay period

employment by industrial classification and county location. Data are primarily derived fram employment and taxable payroll information reported on

Treasury Form 941, Schedule A. Supplemental information is providro by a

special survey of multi-location companies. Summary statistics are given

on number of employees, first quarter payroll, total annual payroll, number

of establishments, and number of establishments by employment size class.

County Business Pa~ter~s cOlTers approximately 8()0 detailro kinds of business

basro upon Standard Industrial Classification (SIC) designations. 2/ Geographic areas cOlTered incllrle total U.S., individual states, standard

metropolitan statistical areas, and individual counties.

Prior to the report year 1974, C~~ty- Bus!!;!e~s ~~tte~~s was limited to

first quarter FICA taxable payrolls, thereby elllnlnatlng identifiable

seasonal operation trends. Beginning with report year 1974 (available early

1976), data on total annual payroll will be added. The addition of annual

payroll data should help to adjust radical seasonal activity experienced by

many irrlustries.

~O~~y_Busi~~ss.P~;~~~g~ is the cunnination of a joint effort between

the SOClal Securltjr Adminlstration and the Census Bureau to upjate classifications of reporting units in addition to maintaining comparability and

consistency with other statistics issued by the Bureau. As in previous

169
years, data for counties and states are available on computer tape on a costreimbursable basis.

~ent Industrial Reports

The Current Industrial Reports series presents data for approximately

5,000 prooucts representing more than one-third of all U.S. manufacturing.

With this series the Bureau supplements the data on products collected in

the annual surveys and the censuses of manufacture with current measures of

manufacturing productivity.

Data are usually presented for the u.s. as a whole and are published

for j.ndustries in the following categories based on the 2-digi t major

groupings of the Standard Industrial Classification code:

.processed foOOs

.textile mill products

.apparel and leather

.lumber, furniture, and paper products

.chemicals, rubber, and plastics

.stone, clay, and glass products

.primary metals

.intermediate metal products

.machinery and equipment

The series includes monthly, quarterly, and annual reports. The monthly

and <;fuarterly series include annual slmlnaries.

~u Survey of Manufactures

The Annual Survey of Manufactures

by the five-year census of manufactures

date basic statistics on key measures 0

and geographic areas. The survey cover

a representative sample of smaller ones

The areas for which data are published include divisions, states,

selected standard metropolitan statistical areas, and large industrialcounties. 

Information obtained from the survey includes:

.total employment and payroll

.production workers (total, man-hours, wages)

.value added by manufacture

.value of shipnents 'j~! f . 1 '

.cost 0 materla s "",,;[!1;; }C': ) 

.capital expend i tures ":;~':;J:c:'(i~

.fuel and electrkal energy used !

.expenditures for new plant and equipmen~

.book value of fixed assets

.rental payments for buildings, structures,

machinery, and equipment

.supplements to payrolls

170

is conducted for the years not covered

.The annual survey provides up-tof manufacturing activity for industriess 

all large manufacturing plants and

.
Economic Surveys Division

U.S. Bureau of the Census

Washington, D.C. 20233

Government Surveys

Several per iodic surveys provide the basis for a number of annual and

quarterly publications dealing with local governments. Public employment

and payrolls for October of each year and revenue and expenditure of state

and local governments on a fiscal-year basis constitute the bulk of the data

collected through these surveys.

Results of these surveys have been issued in four annual reports

dealing respecti'\7ely with the finances of states, municipalities, all

governments, and selected metropolitan areas. Since 1963 the Bureau has

also developed ~1ree quarterly reports presenting financial statistics

for state and local governments. These deal with tax revenue, construction

expenditures, aruj holdings of selected enployee-retirement systems.

Special studies on subjects relating to state and local governments

are also published occasionally. These include criminal justice expenditures for selected large governmental units; property assessment ratio

studies; and env:ironmental quality control expenditure for selected large

governmental units.

The figure on the next page provides summary information on current

goverrurent reports.

~neral Revenue Sharing Survey

Conducted annually by the Bureau of the Census, this survey collects

information on tile taxes and intergovernmental r~venues of 38,000 generalpurpose governmental units. These data are used by the Office of Revenue

Sharing (Department of the Treasury) as a factor in determining revenue

sharing grants to each locality.

171
Summary Information on Current Government Reports

r

Geogra~ic detail

ReIX)rt title belCN U.S. level

State Government Finances States

City Government Finances

Frequency of

issue

Annual

Large cities; selected towns,

townshi~ Annual

County Government Finances

Annual

Govermental Finances Local Governme1t Finances in Selected Annual

Metropolitan Areas and Large Counties...

Counties with 100,000 or more

population

States

Selected 3'1SA I S am their Caltponent counties and central

cities: 61 other large counties Annual

Annual

Annual

States

States; selected counties

aOO cities

States; selected ~IS;

counties; cities Quarterly

None Quarterly

Quarterly

Annual

None

State Tax Collections Finances of Employee-Retirement Systems

Quarterly Summary of State and Local of State and Local Governments 

Construction Tax HoldiIJJs Expenditure of State and

HoldiIJJs of Selecte:! Public ~loyee- Local \nJerments 

Public City Retirement ~loyment ~loyment Systems 

Annual

Countyenployrnent Annual

States

Cities with 50,000 or

IOOre population

Counties with 100,000 or

more population

72 large ~~'s and their component counties and central

cities: 61 other large counties

Local G<Nerment r)I1plojment in Selected

Metropolitan Areas and Large Counties... Annual

None Periooic

Varies by stooy Occasional

Chart Book of Government Finances and

Special Studies of Governments E)nployment 

172
The Census Bureau also provide special population estimates as part

of the revenue shar ing program (see page 161 of this section). Two special

surveys, the on~_-:.t.jme "Place/Minor Civil Division Relationship Survey" and

the annual "Boundary and Annexation Survey" provide data on local boundary

changes and other factors which may affect the calculanion of local revenue

sharing entitlement amounts.

Health Surveys

The Bureau of the Census conducts three data collection efforts for the

National Center for Health Statistics of the Department of Health, Education,

and Welfare. These three are the Health Interview Survey, the Health

Examination Survey, and the Hospital Discharge Survey. The Bureau of the

Census participates in survey planning and sample design; it interviews the

respondents and transfers the raw data to computer tape. The National Center

for Health Statistics analyzes the data and publishes related reports. Inquiries regarding these surveys should be directed to:

National Center for Health Statistics

Rockville, Maryland 20852

Health Interview_Survey

In the Health Interview Survey, currently reaching about 48,000 households

each year, information is collected through household interviews. The sample

is representative of the entire civilian population, excluding those in

institutions. The major purpose of the survey is to provide information on

the health status of the population and the utilization of medical services.

The data include facts on health and on population characteristics related

to illness, injury, and disability, as well as the cost and uses of medical

services.

Health Examination Survey

The Health Examination Survey draws samples of the civilian, noninstitutionalized population, and by means of medical and dental examinations and

various tests and measurements, undertakes to characterize the population

1-74 years of age. Besides various socioeconomic data, the survey seeks to

obtain diagnostic data on the prevalence of illness, including previously unrecognized and undiagnosed ailments. The survey presently involves about

12,000 households a year.

~ospita! 

Discharge Survey

The third of the three surveys, the Hospital Discharge Survey, is a continuous data collection effort based on information transcribed from daily

hospital records of a sample of short-stay and special hospitals in the u.S.

Results are used to determine the nature and extent of illnesses diagnosed

and treated in hospitals as well as the amount of in-hospital care required

relative to the final diagnosis and age of the patient.

173
Current Medicare Survey

This survey is conducted by the Census Bureau for the Social SecurityAdministration

Data on services and char~es covered and not covered by

Medicare --by age, race, sex, education, geographic location, and other

characteristics of patients --are used to determine how widely Medicare

is being used and to determine what changes may be needed in the program.

Inquiries regarding the Current Medicare Survey should be directed to:

Division of Health Insurance Statistics

Social Security AdministrationWashington, 

D.C. 20501

Supplemental Income Survey

This survey, currently being conducted over a two-year period, provides

data for measur ing changes in welfare payments for the aged and disabled. Initial interviews were conducted in October and November of 1973 with '

follow-up interviews in 1974. The survey included approximately 20,000

individuals who had participated in the July 1973 CPS and was supplemented

with a portion selected from SSA administrative records. Preliminary

findings are expected to be published during 1976. Inquiries about the

Supplemental Income Survey should be directed to:

Supplemental Security Statistics

Social Security Administration

Washington, D.C. 20501

Retirement History Survey

This one-time survey covers the period 1969-1979 and provides data on

the income, migration, assets, work history, and health of an initial 1969

sample of retirees. For further information contact:

Office of Research and Statistics

Social Security AdministrationWashington, 

D.C. 20501

Survey of Gallonage Sale of Gasoline

This survey provides national statistics for the number of establishments and gallons of gasoline sold, based on a sample of all stations. The

survey will soon be expanded to include the gallon price of gasoline. For

further information contact:

Office of Energy Statistics

Federal Energy Administration

2000 M Street, NW

Washington, D.C. 20461

174
National Crime Survey

Conducted ~he Bureau of the Census for the Law Enforcement Assistance

Administration, this survey provides data on kinds and number of incidents,

data on the socioeconomic characteristics of the victims of crimes, and information on other aspects of crime such as medical expenses and the value of lost

possessions. Additional information such as attitudes toward crime and the

police is also collected periodically.

Reports fram the National Cr ime Survey consist of:

~

.quarterly estimates of change that show

change of incidence of crime fram the

national sample

.detailed annual reports which provide crime

rates by type of crime, victim characteristics, geographic distribution, etc. on

an aggregate basis

.individual cities reports

For further information on the National Crime Survey, contact

Law Enforcement Assistance Administration

u.s. Department of Justice

Washington, D.C. 20530

Commercial Victimization Survey

Conducted in conjunction with the National Crtme Survey, the Commercial

Victtmization Survey measures the exte~t of burglary and robbery ca1rnitted

against commercial establishments. It is intended, also, to determine the

effect of programs initiated by LEAA. Publication of Ca1rnercial Victtmization Survey data is included with the National Crime Survey reports. For further information on this survey, contact: .

Law Enforcement Assistance Administr ation

u.s. Department of Justice

Washington, D.C. 20530

Survey of Inmates of State Correctional Facilities

This survey was conducted in 1974 and involved a five percent sample of

all inmates in state correctional institutions. Items include s~iodemographic

data, as well as questions regarding the inmates' prior incomes, occupations,

and education. For further info~ation contact: "'-

Law Enforcement Assistance Administration

u.s. Department of Justice

Washington, D.C. 20530

175
New York City Housing and Vacancy Survey

Thlls survey has been conducted approximately every three years by the

Bureau for the City of New York and provides measures of the quality and

quantity of housing units in the city. Data'items include statistics on

income, households below the poverty level, and public assistance. For further

information on the latest survey (1975) contact:

New York Housing & Development Administration

Department of Rent and Housing Maintenance

Office of Rent Control

New York, New York 10038

Survey of Early Childhood Centers

Conducted by the Bureau of the Census for the National Center for

Educational Statistics, this survey is designed to develop national statistics

for estimates of the type and size of preschools. The sample for the survey

was based on the results of the February 1975 supplement to the Current Population Survey, "Screen for Survey of Preschool Child Care Centers." For

further information contact:

National Center for Educational Statistics

400 Marylarrl Avenue, SW

Washington, D.C. 20202

Survey of Income and Education

The Survey of Income and Education (SIE) is a one-time survey to determine

for each state the number of children aged 5 to 17 living in families at

or below the poverty level (as defined by the Bureau in compiling the 1970

Decennial Census). It will be conducted by the Bureau in consultation

with the Department of Health, Education, and Welfare to fulfill the requirements of the Education Amendments of 1974 (PL 93-380).

I

The sample population for this survey will consist of the entire

March 1976 Current Pqpulation Survey sample plus a general population

sample of approximately 190,000 households.

Infonnation will be collected on both money and non-money income to

make the data more useful in studying the meaning of the poverty concept

and the manner in which this relative measure may be developed for more

accurate and current use in financial assistance programs. Selected information will also be gathered on the education of the population and to

detennine the number of persons who, because. of limited English speaking

ability, are in need of bilingual educational teaching and counseling.

Currently it is anticipated that tabulations of poor children by

state will be made available by Decanber 1, 1976, and counts of persons with

English language difficulty by state by March 30, 1977. The remaining

176
tabulations are expected to be available dur ing the year 197~.

info~ation concerning this survey, contact: !

For further

Demographic Surveys Division

Bureau of the Census

Washington, D.C. 20233

177
cmlmTO CURI!ENT SURVEYS

rrequ.ncy

at Survey

i

HontJlly

I 

Report

Series No.

FrequencyI Survey at' RePOrt

C!1rr8Qt "

Population I

Surv.,. I Supplement. l

Sponsor

Bureau ot' I.bor Stati8tic'; I

I

Cen8U8I 

VarioU8 Agencie8 I

P-20

P-23

P-25

Approx. 15 per yr.

,.jeveral per 78=

&nthly-Advanced

I Census Reports

Generated

I Population CharacteristicsI 

Special Studies

..

Population Estimates 8. Projection

Fedsral-State Cooperative Program

tor Population Estimates

1&%2 Population

Consumer Income

P-26

P-27

P~

-'ever&! per ~

£Zmual

Hver&! per yearI

Azmual

Housing

SurveT

Annual Dept. ot'

Hou.ing &. Urban

Devuopment I

Census

Annual Housing Survey 8-150 Almual and

Occasional

Census -.uarter17 and

Housing Vacanc7 ~

Surve7

Houaing Vacancies 8-111

Survey of' Market

Ab8orption

I &nthl,.

! Quarterly

I &nthl,. Dept. of'

Houaing&Urban

DevelolXl8nt

Market ibsorption of Apartments 11-130 ~er17 and

jmwal

Consumer

Expend! ture

Survey

De c eImial Bureau ot Labor

Statistics

None

Irregular

(Sub.ample

of' ADmJU

Housing

Surve7 )

Survey of' Consumer Buying Indicators P-65 uccaaional

Purchases and

Owerahip Census

Weekl,.

li)ntbl,.

Quarterl,.

ArIm1al

Seasonal

Current Census Buaine..

SurveTl

CB

CB

weeklyI

'~nthly

BD

Ba

sa

Ba

as

It)nthly

Weekly

..onthly

AnnualI

It)n thly

..eeklT Retail Seles

Advance !i)nt.hlT Retail Seles

!i)nt.hlT Department Store Sel.s in

Selected Areas

FinU ...ekl7 Seles Estimatee

!i)nt.hlT Retail Trade

AImu&l Report, Retail trade

MonthlT Selected Service Receipts

Mont.hlT Wholesale trade: Seles and

Inventoriee BW itJnthl7

Mont.hl7

Quarterl,-

Jzmual

Cen8U8/ Dept.

ot Ho~iag &.

Urban

Development

~

C-~

C-25

Current

ConstnctiOD

Surveys

C-27

C-3Q

c-J!Q

C-41

HoU8ing starts I . I

HoU8ing Completion

~es o~ New On..P'8laU7 llou..

Price Index o~ New 0ne-J'aIIil7 HoU8..

Sold

Value ot' New Construction Put in

Place

lIouaing Authorized b7 BuildiAg Permit

and Public Contracts

Authorized Construction-Washington,

D.C. Area

Housing Uni ta Authorized t'or n-oJjtio~

in Pe~t Iseuing Places! 19

Residential Alterations and Repeirs

c-45

C-50

I Annual

~erl,./Ann~

~thl,.

Quarterl,.

Annual

Census

and

Others

Various -according to product M

~

MA

Ilt)n~7

~'uart.er17

IAmIual

Current

Industrial

Surveys

*Joint Censua/HUD report. 178
~ Survey

CQlmty Buainess

Patte1'D8

Census/Social

Security Administration

Cenwa

COImt,. Buainess Patterns

GUIDE ro CURR!%fT SURVEYS (Contillued)

--

rrequen07 Cen5U8 Beports Beport Frequency

Ot' ~ Series 110. ot' Beport

Annual CBP Annual

,

Annual H70(AS)

Vol. 1-10

ADn~ Survey of

Manufactures

Azmual SurveT of Manutacturee Imnual

Surve,. of Minort,. Minorit7-Qwed Bueiness

01Jned Business

.terpriS8S

I 

Cenaua i EverT 5 Y8&r8 Eve~ 5 !E-1

Years

(Part ot

EconolRic

Cen8U8es)

Annual Census GE

GE

jzmual

jzmual

GoV8nlDlent

~lo1Dl8nt

(Z jzm~

Government AzmuU Census

!'inances

Amwal

Amwal

Azmual

Azmual

GJ'

ADDUal

Azmual

Public ~O1ll81t in (rear): 

Cit7 Emplo1Dl8nt in (rear)

Local Covensment Emplo,ment in

Selected lfetropolitan J.reaa and

t..rge Counties

i Finances of Emplo788 Retirement

S78~ of State and Local Covernacte in (Fiscal Year)

State Covernment Finances (Fis~ YrI 

Cit7 CovernMnt l'in&nces (Fucal Yr.I 

Covernmental l'in&nC8S (Fiscal rear)

Local CoVWnlment Finances in

Selected Metropolitan Anu and

t..rge Colmti8s (Fiscal rear)': 

State 1'8% Collection in (Fiscal rr.)

Constrllction Expenditure of State

to Lo~ Covernments

I Holdinp of Selected Public

ImpJ.O188 -Retirnent S78te118I

Quarterl7 Su=ar7 of State &. Local

1'ax Revenue

Construction Quarterly Cen8U8

Expenditure at'

State ..Local

Govenlments

00 Quarterl7

GR Quarterl,.

G'1 Quarterl,.

Special Surveys Occuional Cenaua and

OccuionallT

Ot.her j,genciee

Census

GSS

!fos, 51-72

II State end Local Government Special

Studie.

Iou.

Occasional ..'

General BevenU8 Jlmual

Sharing Survey

Na~ CeIlt.er

tor Health

Statistics

Ongoillg Ion.

Health Interview

SurYe,.

OngoiAg NatioDal Center

tor Health

Stati8tice

Health E-~a- Ilona

tion BurTs,.

Ongoinr National Center

tor Seal th

Stetiatica

Social Seouri t,.

i Adaini8tration

Social Securi t,.

Adainistra tion

Ho8pi tal Dis- None

chargeSurv87

CurreIIt Iofedicare Sone

Slu'Ve,.

Once None Supplemental

Income Survey

SocW Security

AdIIinistration

Feders.l ~8r'lJ'

AdIIinis tra t i on

Retirement

History Surveyi 

Survey of Galloni I.p Sale of, 

Gasoline

Once

I, 

Mont.hlT

I NoneI;

None

179
GtJIm 1'0 CURR!2iT SURVEIS (Contiml8d)

Frequency

ot Report

CensU8 Repo rta

Generated

Report

Series No.

Natiaaal Crime Bone

Surve:r

Ongoing

C_rcial

Victimization

~T

Ongoing !r.w &1f'crcuent

Aa.i8tance Adm.

!rone

SurY.7 at I:IIDatee None

at Stete

Carrectiallal

YaciU tiee

Once

! Iev Ii;~ City

attice ot Bct

IControl

None

'Natioual Center

tor Educational

Statutics

StJrve,. at Earl,. None

,Childhood

I

, Centers

Su%'YeT at Income

8IId EdIloatioA

Once To Be Determined

~

180
ADDITIONAL PROGRAMS OF THE BUREAU OF THE CENSUS

Severnl adqitional programs and publications of the Bureau of the

Census are included in this section. Those publications covered usually

present data of a special interest and/or a particular geographic level

and are generally published less frequently than regular Bureau reports;

most are summar ies of the 1970 Decennial Census. Publ ications discussedare:

.Statistical Abstract of the United States

.Congressional District Data Book

.County and City Data Book

.Pocket Data Book, U.S.A.

.State and Central City Profiles

.Social Indicators 1973

.Data Access Descriptions

Also included in this section are descriptions of maps and special

censuses. In addition to the description of Special Censuses (a list of

censuses taken in 1974 is shown in the Appendix, page 200), the following

two map series are discussed:

.United States Maps

.Urban Atlas

Statistical Abstract of the United States

A handy refer.ence, the ~atistical Abs~ract of the United Sta~~s, contains

varied statistical information about the United States. Published annually

since 1878, it is the standard summary of statistics on the social, political,

and economic organization of the country.

The Statistical ~s~ras~ contains a selection of data from the publications and records of more than 100 government organizations, over 100

private groups, and several international organizations. The statistics

appear in over 1,400 tables, charts, and maps. A guide to sources l-ists

more than 800 publications where additional statistics can be found.

Figures are generally national totals. However, data for regions and

individual states are included when available; statistics for cities or

other relatively small geographic units ap~ar in only a few instances.

Data for smaller areas are presented in various supplements to the

Statistical Abstract such as the Congressional District Data Book, the

Co~tyand City Data Book, and the Pocket Data Book, U.S.A.

181
The Abstrac~ deals with such general topics as:

.Population

.Vital Statistics, Health, and Nutrition

.Immigration and Naturalization .Education ,.

.Law Enforcement, Federal Courts, and Prisons

.Geography and Environment

.Public Lands, Parks, Recreation, and Travel

.Labor Force, Employment, and Earnings

.National Defense and Veterans Affairs

.Social Insurance and Welfare Services

.Incane, Ex~rrlitures, arrl Wealth

.Prices

.Elections

.Federal Government Finances arrl Employment

.Banking, Finance, and Insurance

.Business Enterprise

.Canmunications I

.Agriculture

A final section presents basic statistics for standard metropolitan

statistical areas. The publication is not available on tape.

Congressional District Data Book

'nle ~~ngres~i~nal.Dist;ict ~at~ ~~k presents over 250 data items

on populatlon and housing characterlstics in 1970 and recent election

statistics for each state and its districts of the 93rd Congress.

Data for each coT'¥Jressional district aM state include:

.Population by race and nativity, age,

sex, residence, incane, poverty status,

education, employment, marital status,

veteran status, and migration

.Housing characteristics --tenure, plumbing,

value, rent, and overcrowding

.Vote cast in congressional and presidential

elections, 1966 to 1970, by party (Source:

National Republican Congressional Committee)

Maps showing congressional district boundaries are also included. There

are 45 separate reports in this series, with one report comprising the States

of Alaska, Delaware, Nevada, North Dakota, Vermont, and wyoming. The reports

are also available as a single bound volume and on computer tape. A summary

table for each state presents population data for places of 10,000 inhabitants

or more within each congressional district.

182
County and City Data Book

.Population

-population

-,density

-change

-net migration

-urban population

-white and Negro population

-age

-population living in group quarters

-persons of Spanish heritage

-birth and death rates

.Educat ion

-school years completed

-school enrollment

183
.Labor Force

-total and civilian labor force

-employed/unemployed

-employed persons by industry and by

goverrment

-persons using public transportation

to work

.Families am Incane

families with income, by size group, and

median family income, by race

families and persons below poverty

level

per capi ta money income

.Social Security and Public Assistance

-Social Security monthly benefits

-public assistance recipients and payments

.Housing

-total units

-median number of rooms

-~e of unit

-vacancy rate, homeowner and rental units

-occupied units

-aver~e persons per unit

-median value (owner-occupied) .and median

gross rent (renter-occ~ied)

-occupied units lacking plumbing facil.ities

-Negro-occupied units

-occupied units wi'th selected equipment

.Manufactures

-all employees: annual aver ages and payroll

-production workers: annual average, man

hours,; and wages

.Retail Trade/Selected Serv ices/Wholesale

Trade/Mineral ~ndustries

number of establishments/rec~ipts by selected

type

payroll and paid employees

184
ro..!

50

~

Wi",

~

.mal

5\

L-

I

1JXX1' $4.0(9

-S3.CXo.

62

ated and working 1 or IrK>re

off farm

"--

_t

p.,.

53

$5,000- $1

-

158,9990 $1

_t

,,",.

-

54

-

Fwniliol wilh incom.-

55

-

68

-

COUNTIES

57

-

185

68 =F

All 'amillot

~-

~. hr. ~. ~. ...,.

-t _t I _t _t I 00/,.,.

2 '18,11.11 21.- :.; ~~-- 12.11 5.1 1.2 6 (,5 6075 181

2062 17.9 '9.6 18.1 111.' 9.8 1.9 1.2 II 09 6700 2526

'6 5"6 16.5 1'.9 12.5 16.11 22.2 10.6 '.1 798 9208 5 120

"681 9.8 10.7 9.1 1,.7 29.5 10.' 2.' 885 9 '8" 5761

772 111.0 25.5 18.) 111.5 16.8 2.6 2.2 575 72)8 II 178

'075 I,.a '2.1 19.& 15. 10.2 5.6 1.1 ~ 81 66'0 2707

1 796 12.8 22.2 15.6 15.9 15.9 6.1 1.' 6 51 7,~92 , 860

10"5 15.11 1'.5 1',) 15.0 211.7 8.9 2.1 807' 1 1115 90116 II 7118

.'

1 517 16.2 25.4 2:.0 19.5 9.2 7.8 2.8 52112 2 808 8 266 '899

6010 17.6 20.\ 16.9 111.2 17.11 8.8 2.1 67192019 8 702 II 178

1 ~57 20.0 '2.~ 18.9 16.6 1'.9 '.2 .", 8'" 2 9'1 7"5'8' 201

56)9 10.0 111.7 15.6 17.8 20.7 6.0 1.0 7222 1711 7'82 5 5'~

6'0 17.9 '1.7 25.11 18.1 6.8 '.0 .8 41116'0'0 6050 '289

, 5115 12.2 26.7 le.2 17.9 12.5 5.6 1.2 5551 2660 62'" , 079

1 '98 15.2 JO.9 1~." 16.1 12.7 5.7 .6 II 972 2 885 51195 '000

1 17' 8.0 '2.1 1(.7 15.' 11.2 11.2 1.8 491'2906 II 91) 181

~ 607 15. 21.5 11-.7 17.' 1".' 5.8 1.9 599'211'11 7009'812

65U 12.4 17.7 1f.7 15.5 17.1 7.8 2.' 6781 1 978 7899 '917

5 4'9 15.5 22.' It.1 16.6 17.1 5.8 2.7 6367 2241 8011 '775

2566 18.2 29.1 1(.8 15.9 15., 6.0 1.1 5111172719 7759'282

2751 15.6 28.0 1~.2 16.5 12.8 11.7 1.2 5 JO8 2 787 6007 '11116

1 8118 16.1 2..8 1e.1 19.6 17.8 11.0 ., 57"62570 7 529 '7111

11 5~8 16.' 18.7 1".5 1".9 22.. 6.6 2.1 7250 1 697 8 62' ~ 115

6 25 11.11 1'.11 11. 17.2 22.6 6.5 1.6 7699 1 11111 8 55' 11681

1 9' 6. ',.~ 211.11 16. 10.6 '.11 .2 II 560 '001 II 560 181

1 507 15.11 26.8 1".1 17.8 1'.6 ,.6 .7 5 '97 2 75' 7'61 '785

2 17~ 111.1 22.11 20.1 19.8 111.0 .., 1.1 5668 2612 61171 II 019

l' 8 9.2 12.5 1~.' 15. 25.2 6.6 2.' 8 107 1 127 8209 51151

8 6' III,

5 88 12. 1 I. I:;. 16. 2'., 6.8 2.0 7 71111 ,77 8 '76 5 292 ; 17.6 1.. 16.2 18.9 8.1 1.8 7092 1 781 779' 4 175

II 51 12. 18.8 1J. 18. 18.6 8.' 1.6 6908 1 890 77111 '926

II 09 17. 28.7 1;.8 1'.7 16.0 5.9 1.7 567926011 8286' '61

1 49 !9. 29.2 1/.5 18. 1'.2 2.8 2.1 52972795 7882 '5'5

55 15. 34.7 21. 9. 15.2 11.0 1.' 11419'029 7800 '000

2 12 9.1 17.9 21.11 17. 15.8 5.8 1.7 595021151 60811 C81

1 14 1'.2 29.1 21.5 16.4 12.7 ,.2 .11 II 9'6 2 895 5'115 '622

111 75 9. 9.' 1Z.7 17.0 211.1 10.1 2.7 8275 1 010 8 '112 660"

1 7' 1)' ~ 30.2 2,>.5 15.2 12.0 11.7 1.2 4 919 2 90' 5 9111 2 782

'662 12.1 28.& 17.611.,.9 1..7 4.5 .9 5 "8 2 758 6629 2779

2 26 12. 20.9 1~.8 16.2 19.' 4.2 .5 65082 105 8 199 II '211

260 17.) 21.7 21.7 15.6 16.6 6.1 1.9 55262 528 7 96~ , 55~

The following figure is an example of how these data and their level

&I

M- '¥!Iily

Whl..

60

1-

N-.o

81

15.2

21.2

'11.5

2T.5

1'.2

16.1

111..

21.2

.

_t

p.,.

---

15..

'5.5

'0.9

'1.1

21.5

111.0

"'.6

25.9

11'.0

'1.2

26.5

21.9

25.5

'5.0

22.0

".0

'7.'

20.'

15.6

1'."

14.9

'5."

~'.5

26.6

20.5

2..5

"'.1

11.1

20.9

'2.7

111.2

25.'

'2.5

82

~

--

Flmili..

25 Low -,

_i-

"-no 01 '-

-I

11'.2

37.2

27.7

11'.,

39.3

".11

30.2

3'.7

112.2

3..2

39.6

3'.,

SO..

11'.2

'3.0

'2.6

22.,

21.,

'1.9

1111.2

'2.6

17.11

21.7

'1.11

'1.6

111.2

16.0

29.9

112.7

Q9.'

2'.9

111.6

112.1;

27.2

21.7

18.,

20.2

1111.,

110.6

33.7

".,

.-

-t

.-.,..

83

II 212

2 0~8

28 ~89

2 897

989

4 .05

'989

2 77~

~ 869

1 184

2879

.'1'

, 02~

'569

7518

2 100

4790

10608

226'

1 ~28

60'1

7 1~2

11 060

279'

24'1

, 114

2668

7 "1

1 "9

1725

1 I~O

II ~~9

6 879

28"

8 VO

~ 605

7691

~ '81

, 6~7

~ 660

2679

M

-

h

46.9

4,1.5

114...

29.6

4,.9

4...2

44.0

..8...

..,...

..,.5

414.1

414.2

51.'

42~4

45,2

".7

4107

45,,9

4_1

40.2

42.0

42.8

44.5

34.5

0

'5.'

/16.7

/12.5

11...7

/10.2

/11.9

"./1

'7.9

50...

41.'

115.6

52.1

41.14

44.0

'5.7

'9.5

-

Pw.

-

65

-

85

-

-

-

YO"

ee

1 67>

1 8.l0

20)7

1 687

2 7~4

2 116

1 ~66

1 ~8~

2 109

1 7~7

208

2 }12

2 2$6

2 ~}O

2 )8~

1 606

1 ""0

1 782

2 )1~

1 ,~~

1 767

1 9"~

2 169

2 0~4

1 64~

1 71)

1 621

1 ~~"

1499

1 6~9

2 0~8

1 'Ill

2 )00

2482

1 97"

1 "'7

1 n)

2 ~72

2 ~61

1 '182

2 0)4

17

-

of detail are displayed:
The contents of most of the tables presented in the County and

City Data Book are available on computer tape and punch cards.

-The County and City Data Book is a small-area supplement to the

Statistical Abstract of the United States.

Pocket Data Book: U.S.A.

This reference book, issued biennially presents a summary of the

Statistical Abstract and provides a compact selection of statistics on

all major facets of the social, economic, and political structure of

the United States. A summary section provides statistics in charts and

graphs and a brief narrative text, followed by more detailed statj.stical

tables and additional charts in 28 subject matter sections.

Sections are devoted to the following: population, vital statistics,'immigration, land and environment, government, elections, national

defense and veterans, law enforcement, labor, health, education, science,

welfare, income, prices, parks and recreation, agriculture, forests

and fisheries, business enterprise, manufactures, mining, construction

and housing, transportation, communications, power, finance and

insurance, distribution and services, and foreign commerce.

Among the specific subjects covered are fertility rates; birth

expectations of wives; suicide mortality rates; air pollution;

Federal subsidies; Congressional bills vetoed; u.s. aid to Indochina

and Thailand; juvenile court cases handled; changes in earnings,

compensation, and pri~es; union membership by state; nursing homes;

energy consumption indicators; energy projections; and credit-card

banking. The Pocket Data Book, U.S.A. is a supplement to the

Statlstlcal Abstract of the Unlted States

State and Ceqtral City Profiles

These two series of reports are comprised of individual computergenerated statistical profiles for each state and for the standard

metropolitan statistical areas identified in the 1970 census. Data for

the central city of each SMSA are also presented. Included in the

reports are selected demographic, economic, and housing characteristics

obtained from the 1970 Censuses of Population and Housing.

This report is written in narrative form as shown in the example on the

next page which illustrates a section of the profile for one Midwestern City.

186
LINCOLNI NEBRASKA

LDW-INCOME POPULATION

OF THE 36,171 FA~I~IES IN LINCOLN, 2,040, OR '.6 PERCENT, HAD

1969 INcOMES WHICH ~E~E BE!.CW THE Low-INCOME (POVERTY) L..VEL. TI4E

TER,,\S 'POVERTY' Alirl 'I.CW-I~CC~E' ARE USED INTERC"~"GEABL.Y IN

CENSUS BUREAU PU9L.I:ATIONS. L.Ow-l~tOME STATUS IS BASED ON

ESTIMATED MINI~U~ INCCME NESCS FO~ VARIOUS FAMIL.Y' SIZES,

OFFICIALLY ADOPTED FCR STAT!STICAL.' PURPOS~S BY T~E U.S.

GOVERNMENT~ THE LOW-INCO~E ~EVE~ WAS, FOR EXA~PL.E, ABCUT J3,7~0

FOR A FOUR-PERSON FA.~IlY I~ 1969, A~D ABOUT $l,BOO FOR UNRELATEO

INDIVIDUALS. LOw-INCC~E STATISJ'!CS EACL.UCE INMATES OF

INSTITUTIONS,' MEMBERS OF T~. AR~EO FORCES L.IVING IN 9ARRACKS,

COLl!GE STUOENTS LIVI~IG IN C~R~ITORItS, ANO UNRELATEO iNCIVIDUAL.S

UNDE~ 1~ YEARS OLD. FOR TH. SMSA, 6.0"PE~'ENT OF ALL FA~ILIES ~E~E

BELOW THE Low-INCO~E L.EVEL, FAMILIES WITH A WOMAN AS HE10

CO~PRISEO 3'.1 PERCENT OF THE LOW-INCOME FAMILIES IN LINCOLN,

THERE WAS A TOTAL OF 13,282 PERSOr~S 8ELCW THE LOW-INCOME LEVEL

IN THE CITy IN 1969. PERSONS 8E~OW THE LOW-INCOME LEVEL

REPREScNTED 9.' PERCE;~T OF ALL PER~ONS IN THE CITy, CCMPAREO TO

9.6 PERCENT FOR T~E SMSA. IN THe CITY, ~7,8 PERCENT OF THESE

PERSONS WERE ~E~8ERS OF FAMILIES," wHILE THE REMAINOER WERE

UNREL.ATEO INOIVIDUALS, CHILDREN UNQE~ 18 YEARS OF AGE ~EoRESENTED

19.7 PERCENT OF ALL P~RSONS 8ELOW THE LOW-INCOME LEVEL, kHIL.E

PE~SONS 6' YEA~S AND OVER CCMPRIseo 22.1 PE~cENT OF T~e CITY'S

LOW-INCOME POPU\.ATICN, FOR THE S~SA, THe COMPARAa~E FIGURES WERE

21,6 PERCENT ANO 21.9 PE~CENT; RESPECTIVELY.

PERSONS BELOW THE LOW-INCOME LEVEL IN 1969, BV FAMILV STATUS,

'QR THE CITV ANQ ~MSA

CITY SMSA

NUMBER PERCENT NUM8ER PERCENT

8ELOW BELOW S~LOW BELOW

LOW~INC LOW-I~C Ldk-tNC LOW.INC

LE~E~ LEVEL LEVEL LEveL

ALL PERSONS, , " , , , 13,28Z 9,5 15.001 9,6

65 YEARS AND OVER. , , Z,940 21,2 3.291 21,2

IN FAMILIES, , , , , , , " , , ~.345 5,2 .7,743 5,6

FAMILV HEADS, , , , , , .., , 2.040 5,6 02.436. 6,0

MALE. °, , , , ., , ,°, ., , ~,]23 4,0 1.66~ 4,4

FEMALE~ 0, , , , , , ., ., .117 ~2.3 f 711 12,5

RE~ATED CHILCREN UNOER 18 YRS. Z,616 6,0 3.236 6,5

OTHER FAMILY MEM8ERS , .., .~,689 ~,O 2,0'1 ~,o~

UNRELA1ED INOIVIOIJALS , , , ., ~,937 38,6 7,258 38,7

U.S. BUREAU OF T~E CENSUS PAGE l~

The reports present statistical descriptions of the following

general areas:

.Population Characteristics

-age

-racial canposition

-family size

-mobility of population

-foreign stock

-veteran status

-school enrollment

-educational attainment

-labor force status

-major occupations and industries

187
-incane

-poverty population

.Housing Characteristics

-tenure

-persons per roan ..

-availability of plumbing facilities

-value of home or rent paid

-type of structure and age

-availability of selected equipment

-automobiles available

In many cases statistics for persons of Spanish language are

incl uded in each category.

While not as detailed as many other Bureau reports, the state

and central city profiles present basic data in an accessible and

understandable form. The profiles are available fram the:

Data User Services Division

U.S. Bureau of the Census

Washington, D.C. 20233

Social Indicators 1973

This publication, prepared and issued by the Office of Management

and Budget in cooperation with the Bureau of the Census, contains

statistics fram various Federal ageQcies. Statistics were selected

and organized to describe social conditions and trends in the United

States. Eight major social areas are examined, mostly on the national

level:

.incane

.housing

.leisure

.recreation

.health

.public safety

.education

.enployment

Each chapter contains a brief text, charts, technical notes, and

tables with sources for data given. The next issue, anticipated in

mid-year 1976, tentatively will became an annual issue tnereafter.

~ocial Indicators, 1973 is available from the Government Printing Office.

Data Access Descriptions

This open-ended series of reports is issued approximately four or five

times each year. Each report series is an introduction to Census Bureau

data for persons with data requirements not fully met by other printed

reports. Reports cover special topics and are numbered consecutively by

date of issue. The list on the following page includes the DAD reports

currently available.

188
LISTING OF DATA ACCESS DESCRIPTIONS (DAD) IN CURRENT USE

DAD

1!2-:-

Date ot issue ~

13 March 1970 First Count Summary ,Tapes From the 1970 Ccnsus ot Populat1~' and Housing

14 March 1970 Items Contained in the 1970 Census of Population and Housing

April 1970 Contract Block Statistics Program

18 June 1970 General Information About Summary Tapes

19 August 1970 Printed Reports From the 1970 Census--Housing, Volume II

20 November 1970 Availability of Place of Work Data" in the 1970 Census

21 December 1970 Census Bureau Unpublished Data and Special Services: Policy and Delineation

22 March 1971 Fourth Count Summary Tapes From the 1970 Census ot Population and Housing

24 May 1971 Public Use Samples of Basic Records From the 1960 and 1970 Censuses

25 July 1971 Third Count (Block) Summary Tapes From the 1910 Census at Population

and Housing

26 December 1971 Second Count Summary Tapes From the 1970 Census ot Popu1at~on and Housing

27 January 1972

28 May 1972

Pr1nted Reports From t,he 1970 Census of Popu1at1on and Hous1ng

De11neat1on of Problem Housing Areas

29 May 1972 Low-Income Data From the 1970 Census

30 August 1972 Sixth Count Summary Tapes From the 1970 Census of Population and Housing

31 November 1972 Printed Reports Issued by the Bureau of the Census for Economic/ G.overnments,

and Agriculture Censuses

32 May 1973 Subject Reports From the 1970 Census of Populatinn and Housiug

33 August 1973 1970 Census Geography: Concepts, Products, and Programs

February 1974 Transportation Statistics Available From the Bureau ot the Census

35 February 1974 1960 Census of Population and Housing: Availability ot Published and

Unpublished Data

36

"December 

1974 1970 Census Fifth Count for ZIP Codes, _Counties, and Smaller Areas

37 December 1974 Microdata from the Current Population Survey--The Annual D~mographic File

38 August 1975 Current Survey Statistics Available From the Bureau ot the Census

Printed Reports Related to the 1970 Census of Population and Housing

(title tentative)

39 Forthcoming

40 May 1975 Data on Selected Racial Groups Available From the Bureau ot the Census

Data on the Spanish Ancestry Population Available From the 1970 Censu

of Population and Housing

41 May 1975

189
For further information concerning the DAD report ser ies, contact

Data User Services Division

Bureau of the Census

Washington, D.C. 20233

.

Special Censuses

Special censuses are generally undertaken on the authorization

of an appropriate local government which agrees to pay all the

necessary expenses. The content of special censuses is usually limited

to questions on relationship to the head of household, age, race, and

sex, although additional items may be included at the request and expense of the sponsor.

For areas which have a special census population of 50,000

or more, a separate publication showing data for the area by age, race,

and sex is prepared. If the area has census tracts, these data are

shown by tracts.

In addition to taking special censuses, the Bureau also has a

procedure by which it can determine the population of a municipality

as of April 1, 1970, for places which have been incorporated since the

1970 census. By the same method, the Bureau can also determine the

1970 population of areas annexed to incorporated places since the 1970

census. Inquir ies regarding special censuses or 1970 population counts

in annexed areas should be addressed to:

The Deputy Director

Bureau of the Census

Washington, D.C. 20233

A list ~f special censuses conducted during 1974 is provided in

the Appendix.

Census Maps

Most of the Bureau's major programs require geographic aids. As

a result, the Bureau has developed maps which are made available to

the public. These maps facilitate the analyst's ability to study and

compare the var ious geographic areas discussed on pages 104 to 109. Maps

have been developed by the Bureau which are used in field operations and

publications; geographic coding systems which relate h~useholds to

political and statistical areas; automated geographic files which

provide references before they are collected and published in reports

and graphic displays; and large maps which display statistics for the

Uni ted States. The Bureau also conducts an annual boundary and

annexation survey (page 173 of this report) to note the territorial

changes in cities, towns, and other separate administrative jurisdictions

190
United States Maps: GE-SO

Select~characteristics fram economic and population censuses are

displayed on large (30 x 42 inches) maps and comprise the GE-SO map

series. This is an open-ended map series presenting data on various

subjects at geographic levels down to individual counties. The data

intervals are represented by different colors. Of particular interest

to the human resource analyst concerned with poverty are the followingmaps:

GE-50,

Map Number Title

-56 Median Family Money Incane for 1969 by Counties

of the United States: 1970

-57 Per Capita Money Income for 1969 by Counties of the

United States: 1970

-58 Families Below the Low-Income Level in 1969 by

Counties of the United States

-69 Percent of Children, 5-17 Years Old Below the

Poverty Level in 1969 b¥ Counties of the United

States: 1970

-70 Number of Children 5-17 Years Old Below the Poverty

, Level. in 1969 by Countie's of the tlniterl States: 1970

For further information concerning these or additional maps available

within the GE-50 map series, contact:

Geography Division

Bureau of the Census

Washington, D.C. 20233

Urban Atlas: GE-80

The atlases in the Urban Atlas series provide a graphic presentation

of selected census tract statistics as reported in the 1970 Decennial

Census of Population and Hol5ing. Atlases included in this series

include the largest 65 SMSA's that were in existence at the time of the

1970 census. A recent development of the Bureau, it is anticipated

that the Urban Atlas series will be canpleted by the end of 1976.

Each atlas contains 12 maps. Eleven of these maps depict by tract

selected census socioeconomic characteristics, and one map, also at the

tract level, shows the interrelationship of two of these characteristics.

Additional data shown for any tract in the atlas can be found in the Census

Tract Reports, PHC(l), for each SMSA.

191
Geography

Bureau of

Washington

192

Divisionthe 

Census, 

D.C. 20233
BUREAU OF ECONOMIC ANALYSIS

The Bureau-e£ Economic Analysis (BEA) can provide labor market information and population/income projections unavailable from other sources.

Statistical products include employment estimates, speCial tabulations on

migration, long-term economic projections, and projections for populations

and incomes by state, county, and SMSA to the year 2020.

BEA has established the initial components of a comprehensive regional

infonnation system. The major components are measures of personal

income and employment by type and by broad induStry gro~s. The figure

on the following page is an example of the detail prcrluced by the system

displaying total and per capita personal income. Data are tabulated

for states, SMSA' s, and counties and published in Survey of Current

Business, a BEA publication issued monthly with weekly supplements. The

most recent report is Volume 55, Number 10, October 1975. (A complete

listing of BEA publications is located in the Appendix, page A-4.) Preceding years' statistics are also shown for easy comparison and analysis.

Personal inc~e as defined by BEA is the current income received

by residents of an area from all sources. It is measured before

deduction of income and other personal taxes, but after deduction of

personal contribution to Social Security, government retirement,

and other social insurance programs. Per capita income is derived

by dividing total personal income by total population. When expressed

on a per capita basis, personal income is an indicator of the quality

of consumer markets and of t~e economic well-being of the residents

of an area. Local area personal income estimates are the product of

a complex estimating procedure in which county series for about

325 income i terns are converted into income measures. Most of the

da~ are obtained from Federal and state government agencies which

maintain the data for their own purposes, usually to administer a

program such as unemployment insurance or Social Security. The

remainder of the data are obtained from various censuses or from

private sources such as the American Hospital Association. For a

more detailed explanation of the methods used by BEA in its calculations, see "A Stmnary Description of the Sources and Methods Used

in Estimating County Personal Income" and any issue of §urvey of

Current Business. Both documents are prepared by and available

from the Bureau of Economic Analysis.

Data from the regional economics information system are'distributed to the Bureaus of Business and Economic Research of one or

more major state universities in each state, and to the economic

development or planning agency of each state government. For

additional information concerning availability of the system's

data, contact:

193
, 51

:~-.:::::::::: 2.~

,. 1.142

3d

..59

4

2

10

23

7

Ny , 

k~eiai::::::::::::::::: ~

24

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~:,o~V..::::::::::::::::: 54~

\Vbit. PIne.. " 33

Carson City 63

Ham""".. 2.537

113

ro

469

?is

M7

179

97

1M

-~' 212

96

.' 31.1"

62~

1.1711

4.008

.'.' '...' 1.628

:m

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~1~

...548

~ 2.478

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1. 222

, 2.373

.' '...' 1.96'1

1.&12

7~9

1, re\

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I ' ~I

~

Union 2.~

WaneR m

Ne. M 2.876

BorneUUo 1.004

Catron 6

Cbav 132

Colfax.. 31

CUITY 121

De Boca 7

Dona Ana. .., 192

Eddy 117

Omnl 

II

70

., 

12

4

154

91

11

69

~

6

-,-, 121

~f:~;';.b&:::::::::::::: ~f

Roose,.olt.. $0

SandovaL 27

Son Ju"" 128

San :'1;0..1 40

BOllIa Fe 1.\'1

810rm 1;-

Socorro ::I

T 31

Set at end of

§urvey of Current Business, April 1975, (Table2), P. 46.

Source:

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1..0 2.1'08 3.113 3.5.\1 20

1.i.1 :!.541 3.~ 3.8.~ 16

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3.~. 7 2. 178 !, 76! 3. 7M 18

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u .S. Department of Commerce, Bureau of Economic Analysis,

I

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Frankllo 113

Fulton 169

000"" :1'

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1 38 9.7 3.'18 3."019 4.3I~ 39

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I II 

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1 2

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, 40

1.1' 2,210' 2.801 3,030 93
Regional Economic Measurement Division

Bureau of Economic Analysis

Washington, D.C. 20230 ,

A particularly helpful publication concerned with income and

population projections to the year 2020 is the seven-volume OBERS

Projections. volumes include, in part, population and income statistics for states Prepared for the Water Resources Council, these 

(Volume IV) and SMSA' s (Volume V). These figures are estimates

based upon historical and current statistical assumptions and incorporate

the Census Bureau's 1972 "Series E" national projections series. (See

Census Series P2S, Number 493 or Number 601 for explanation of the

various projection series B, C, D, E, and F.) OBERS can provide for

the human resource analyst gross long-range estimates for future planning

purposes. The figure on the following page is an example of the data

displayed. For further information concerning OBERS, contact:

Regional Economic Analysis Division

Bureau of Economic Analysis

Washington, D.C. 20230

A system to tabulate migration data has also been developed by

BEA. Statistics for the Migration Analysis Data System are based upon

the Social Security Continuous work History Sample. This sample contains

a I-percent sample of the covered work force derived from employer

records beginning with 1957. The same employees are included in each

year I s sample making it possible to develop a work history for individuals

in the sample for two or more years. Data are available on a metropolitan

or state level for migrants and non4migrants; cross-tabulations by race,

sex, age, industry, wages, and migration status can be provided.

Because of the numerous pos9ible cross-tabulations, no prepared

tabulations have been printed, but BEA will produce tabulations at cost

($500 minimum charge) upon request. Fdr further information concerning

the Migration Analysis Data System, contact the:

Regional Economic Analysis Division

Bureau of Economic AnalysisWashington, 

D.C. 20230

Publications and staff papers from the BEA are listed in the

Apperrlix.

195
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oS
SUMMARY

In additIon to the Decennial Census of Population and Housing

there are many other important programs conducted by.the Bureau of

the Census. The decennial census provides the human resource

analyst with a detailed look at the nation's population. These

benchmark figures can be supplemented by the Bureau's current

census and survey programs.

This guide does not attempt to seek solutions for the causes

of poverty; rather it provides for those concerned with poverty

measurement a reference to the Census Bureau's programs related

to or containing poverty statistics. The extent to which these

items are utilized is ultimately the responsibility of the researcher.

Specific requests for infonnation regarding the Bureau or

particular programs should be directed to the Bureau or its

divisions listed through this report.

197
Footnotes to Technical Paper IX, Part B

1. The Urban Employment Survey was established in 1968 through the join

efforts of the Manpower Administration, the Bureau of Labor Statistics and

the Bureau of the Census. Results of the survey may be obtained by contactin

the Bureau of Labor Statistics, Washington, D.C. 20212.

2. The SIC or Standard Industrial Classification code is a system for

classifying the Nation's economic activity. See pages 146-147 for a more

detailed description of the SIC code.

198
APPENDIX
Special Censuses of 1974 I

January 1, 1974 to Jill1e 30, 11974

r.te

of

"p"'!.l .en..,.

~t.

or

cp.c1al c.nauD

Are. C~t)" u- Ccomt1

ALABAMA

Moody 'own ARIZOIfA

..ayaoa '0"'..""""""""""".

ARXAlfSAS

'I Pirro't iW.at.rD Prairie Calico Tn8uo Do ..ynard 01a Opello Ba'.avill. 8.rryvtlle ~a"iDr'on A'kiDa Bald _.n Ci'Y In"" tow lock Ci'r clty 'owD Grove city Grove cl'y ci'y ci'r ci'rly Ci'y ci'y 'owD CALIPOUIA

Cal...co city Ira.t.y clty 

.t. Clair. January 28 S"C"" I ".ne..co 00 .

K..e ...

.'con , k11 Cook

"..uary Warch February J Warch Warcb Ju.e ry III 27 19II M 7 11 I

"'la...

!ndep"nde." .".'.cton Rando[p Yell "..roll [..O'd'.'e .-ope Wlt1t ...

.:--., CI., .'..'.Cron Po1n..tt ft_ton

I 

Clark C1,.toG Scott Lake/ J February February Fabruary 25 13 '520 

Jun. Juna29 '.rch "anuary January March January .Jan..ry April February April 19..~ ",arc' 21 1852 26T 2" 1$ IT 4 "..

"una .JunaZ4 11 

Wright... H-bo1dt R-boldt DuIIuq Jun. Jun." April January 24 22 21

TraUl

i~.'al ,.pertal r..ruary as re a.., 12 

...ulla April 24 ".,..".,.,

...'

Caribou Ado ~ .".11 .JuneaJ is 17 8 

rLORIDA

W.kulla Co~tY"""..."".' t.

BalaDc. St. Iopcbopp, Marka of c't, tcwn county . ' 

1DAB) .

I

~~~:~~t;~~~:::::::::::::::::::::::: i

Stda Sprinc. c'ty :

IUII«)IS

8l_'ncda'. Brei- ~k.. eo_na'. Iol'DCbrook Scb-1 nl' Diotrict C_ity .'1' villa vil1aC.'.'.' 3C. CoD.oli4ated 1 DuPa.e o.,p... 'roquo"...",.., Will Cankake o11d 0'11.. February Mareb ..arcb "un.20 "a, 1 21 8 20 

I Libert,.'lle I Cook , DoltOD I Liale IW.. i LeRoy ..ra,al.k. Cb.t- '-c bard .ortbS.uk at"""""a Wortbbrook Park ...foot.ot.a c..at... Brei- (;o41.y D Oek. Lonox -tcwnob'p Couaty-Unl.corporated c:..o.. V'lla Foreat Aurora rillace city rillaC .ill villac rilla villa vill'a&8 nll ritoen.b'p villace Soutb villa vil1ace villace city at rilla (port) e04 of Are. table. OII1y. Lake Dupaco C_kook SancLa"ke W111 Lake CuPace.ne Cook_k MCLe'D , o11d 0"11 : JURe i Febru.ry i"u.e April "un...,21 "aouary23 "anuary Ju... .a,31 January February February JUDe "anuary .ay 9 13 14 33 , 15 , 17 16 t ri 4 4 

May 13 ;...

Jan...ry 28

B.rkel., "'xincton

Weode. Juae3

Rockock... ".

.'VO.""...,.,... .'uk..h Polk ...

Daft ...

..uke.', kil..uk Vtl V I.u Cl.tr~ o tncto 

January 18 '

January 21 1

June 4 '

January Ja..uary June .a~ May .ay 6 20 0 20 " 10 3 1

June 4 1

.ay 14 ;

ILLI'OIS--CoIttl.""

: Vall.y Sout. Weate.. War...abu" Sh -.at South City Jaek.o.vtll. Belott Vt.. Sprl..a Viii vtlla villa vttla etty IXDIANA vtll Vill 

Scottabur. ctty .""':'.' ' Clarkaville to Ioaavtlle taw , D7-r taw , 

I~A

"

8el- elty ".' "1

X_boldt etty Sherrill taw NO"" _A Dakota City to .' "' 

81ll8boro elty ' P_YLVAWJA

nlte Co_,COra_rry She._CO Opper Aatoa 'aat Aatty 'ottln South...toa taw..hl t t taw.aht to..ahlp ahlp to.."lp ahIP SOIiI'. town..lp CAa.tllA taw.aht ::.., ;.; ! llerka Daupht Che.t.r Dla Butl.r Mereer Bucke.ver Ju.. Ja.u'ry.B Ja.uary15 Janu.ry2S J- A.rillt ..rcb 3 .C IS 5 I 

,

t.- t ..Ai.. ett., 8OVnI _A

Stu-.!' city W ISC'*S If

Beloit .ltY.'.' '.""...'.""'

Srooktt.td Beloit tawn eity ' "". 1

Dol.fI.ld to.ft...: ".'.

Genoa _a 'Itchburc Vill..e .111..e towe 1 '

.: t Vill..e ."' "

St. .: t. t W.a&1..too taw 'e..uk.e taw St. 'ra.cta city 1

-"-pre..nt' .ero.

M Rot ..,'loble.

'IKOrJM)r.tect 00 -.-ber 3, 1973.

'IKOrJM)rated Oft re.""...,. 26, 1970.

'IKOrJM)rated oa s.pt..ber 21, 1973.

The Bureau also conducted tWo censuses whict

were limited to annexed areas. The resultf

of these censuses are as follows:

~ Census date Populatior

Annexations to--

Bloomington, ill. June 12 37

Rockford, ul. Janua-ry 4 .2,05

200
SPEx::IAL CENSUSES TAKEN IXJRnl:;

July 1, 1974 to December 31, 1974

Dat.

of ".1e...u.

0.,.

of

.peCI.1 ..a.u.

Aze. C_t7 C~t7

~:

UIZOIIA

I 

Ct_.n Bolone. C~ty ctty of county I '~AS Sept_be. 11

AUru8' 2. No_ber .! .1u1r l5

wo~be.. 1.

October 21

AU~8' 7

Octobe.. .

Sept-.. 13

ILLI.-IIS--Coatiaat. Oarla. cit, ~ Pace oad K... Jul,2- 'Sou_u.. nll"' j Cook oM ~ Pop I Oct_r 31

Ii nal., Park vill'" , Cook oM will... .-cust 27

Thot.. cit, CUatGa ..pt.aber 23

..oxoada nll Leko S.pt_r 2-

li.. nlls" , Cook --L.a -"Cust 13

Willowb.-k vill'" ".., Qu Pace Mov_r.

._rid.. vill ' ~ Ps Jul, iO

Yorknll. cit, ...all I October 23

IIDIAaA

C l t '.'..'"

Grittit~ tOWft ~ Motta to-a.. '"

...OiC880 tova -..t V ctt, ' '

Wars.. city YalparaLOO city Tell Cit, cit, I~A 1

._lt~ laaper La" "

Po.., La' perryort.r Ka.i...'o

00-. 8

'u.,..t 28

Oc.ober 11

Dec_r 10

AuCU..28

OC.ober 10

ooc._r .

'.pt_.r 30

S.p,.."r 20

1..-k1a~ t C.ailhead No-be. 14

8'7...t city Sall , -_be. 12

"lark.ville city Joba --be. 9_a. 

city ~.Oa Oct_r 12""-'ie. 

city Faulk_r Uct_r 31

m..eaOoe 8e~ city Fulton. I.ard.

a~ SOa'P 4

.J-.aboro ci.y C..icOead , No_be. 10

C Lau C'ty city Cra'cOead r be. .,

1.auri.. .ity Ba.t ,

Little lock c'ty Pulaaki Aucuat 16

Mal city Ho. Sp.1nc ' 'ucuat 21

ManUa city I Miaa'aa'pp' I ~o_be. 20

..a lid.. city i 8entoa Octobe. I".ryri11. 

city pe.ry No_be. 11

Poc"'oetaa ~ity "~olph July'

uyao t _01 Sept.ebe. 0

lal- city Fultoe __bar 13

Ibend.. city "rant _aaba. 11

S~nacdala city "atoe and

.aahiactoe Sept_be. Z7

Weat Fork City .aahiaatoe Oct_. 3

Wil c,ty , "o_be.,

.11- .itF ,' Aahley No_r 0

--city f ~aa July 1

nA>IIM

lore. LaW-"'al- c,ty..I 

Gm8iIAIPOro 

081..00- c'ty...

Broward...

I

c.tGO.. aad

Walk.r

..pt_ber ~

octo..r 1 Sept._r .

I

J.~ Ad... n

Alo- Carlt.l. ~arl.. 1..111.. I..ptoa Cod.r J~..up ~.,ooa Codarl.ar Itc C_lnll. 501- roll. Gro.. otO,oto,..: Cree. ctt., CIO., cIO., O-aC~t"'r'.'.' town.btp ctO"".' olt., oto., t_..lItp oto., ,ow..!ttp 010., (pert) ' ' " ' ". '. 1 Polk 81ac. r...n.lln Polk W.b.t.r Jolla na'fd Modi 8uellaft&D ..'.' &ad Ha War , '

...t rr-o lort. TtfUa Lucaa ~tbe.t., t_ohlp ctt,: ._.!tlp olt., (pert) ..., ';...

Grab.. Libert., Mod- -.-Oown.lItp ,_rt 8AMta Jeffer- ,... Lt~o1a Iowa ::~t=-"':'~;:::::::::::::::::::: Osford n '-, ,ort. 8ort!t S.1aber 8111. OSlo", _..,..tlle Corenll. l-aC1t.,el'".",.., Ctt., towaa.tp t t"o t_!ttp t Vall., Libert, ct.., .own...tp Ltbero., town.aip town.bip O_.lItp ctty towa.b1p tow...1p otO, oto, cit., lp oto., ctt, city oownohtp (pert) (pert) (pert) , :::::::::::::::: ; 

Ial- .a_acooa Oa1a Coralnll. QaJ...r.toy Luce. ctt., t--Nlp townNtp oowa.htp '.tCilta ctt, (part) cto., Waa.1ncta '...' ' October 10

Meria ctt., I.t_." ' 1 Oct_r 30

_all t ' ' I _t 'o_r 12

~.0"a1. t .a Aucua.13

PriaPerc a1t., O'8ri.", '. October 29

l1..ratde att., 1 waohtllCt.-a October 1

StOQS COftter city Sious ISept_r IT

V.. ".er 010"" "..."",., ~lla ,."CU.t 13

.ell- t Waohtacton I Aucua. 14

.tlta t Cedar and

MuacattG8 ".p._r 9

July 30

I~

I'.~ c1ty l-t&1o 8.-. c1ty I~" c1ty ILLIKOI.

&1a1p ..il c ~_r.8

_alva1. ..il Rock 1.1 '~t_r 18

c1'y 1 X Jvly 18

.Ia.balto ..il Mod1ooa AVCU.t l'

llutr.lo Gro.. "ila Cook oDd Laka... ()ct_r 3

,".ry "il.ce MoIWory Sept_r'4

ICedar..il. "il.ce St.pha...Oft .ucu.t 1

ICb1caco I1dce ..11 Cook Au t 20

'18.- ..il S ~o_ber 2.

Ink Gro.. V111.ce .111 C~O Pac- October 3

, city X .July 10

1 1 Crea. ..il C~k OCt_r 30

lackar ..il M_roe S.pt_r 11

,_racber ..il laakak July IS

llicpry mil. city C Sapt_r S

IBorr Ea...a. .1il Cook October II

L!ocoloab1re ..il Lau OCtober 21

_t "il.C Cbaapa1p "0...b8r.2.

..tt.- nil Cooo S.pt_r.4

..d1ot01... nil..a C~k _-ber 3

1.10 nil L.ka OCtober 31 IMuzTayrtil. nil.ce Yo Octo..r 34

Oak La- .1il C Sapt_r.

01J1OPia Fi.ld. n11 Cook October 31

P.rk For..t viil... (..Iaetad

I a Oftiy) C-k W111... .July'3

hk10 c1ty Poor1. and

T 11 "o_r 14

n...o c1ty x.adal1 .July 30

p_tooa Be." nil Mad1oov AuCU.t 28

Ioeb.il. c1ty 0.1 "o_r 2.

Iol11no M.odcw. Clty Cook Sept..ber S

-L.'. Be..o nil LaU A t 20

-Lake P.r' n11 Lake "o_r 1.

S- roo'oot.. ...od or t..1..

...bt

malGAX

..11- cit, -r at .1MI or ta~l..

201
SPOCIAL CENSUSFB (Continued)

Doto

01

opocl.1

co..u.

~to

of

_cial

"OOd

~

c...tJ An. Co..."

Clay.. Lake of the Wooda! 

::::::::::::::::

_..y i

Bent08 aDd

Steam i

"o.._r 12

"'CU" 8

Willi...o rr...klio ,,"c..be. 4

Oc:t-. 15

TDWESSEE

Fra..kll.. citr ' '..,

.""tlalo1 town "-111

Cor..11 citr "".,...,..,. Cl,.an nlla".."".. j."' '.'.'. 

~Iton t """.."'...

Bir.. Ilr.. W.at Silvar Two Modlaon Rockland Riv.ra Milwa..- La.. villacitr villa c1tr nll nlla '...'...' 

KIIlllISOTA

Oilwo.t. Llttl. Lak. Willi... e."'.tt. Roo 8.1.- 11 of C.n.d. tbe ctt, lt elty of ett, city W_. city cowoty city (part) Coomt, 

Manitowoc... Keno"' Bu.nett.. Mtl.uk.e Ma..thon Dodge Chipp _e LaCro..e .

Wood

..o_..r 1S

"o_r 11

IIUKU8' 14

flc'ober 22

AUKUS' 12

'.p' r 5

AUKU8' l'

.oy_..r 21

,,"c..be. 2

uec 10

S.pt_..r S

No_"r 12

Wl8818&IPPI

C_ncton L ,...l T ..

.'YD'.'

Octob4r 1

Sopte-"r 27

October 18

Sopt_r 2~

Coll1~. Se~.tob1. K.ridi.~ boro town city city city

'-IKG

RaDCII town

-1S80URI

Wort' Kan'" Ctt, att, _U

Sh.rid... i Ju17 23

Clay

-"pr...n.. 

"ro. NA No' &v.11ab1..

'Iacorpor... ~ No_Hr 18, 1973.

" .'.'...'.'.."" , ' Jul715

Y' ' '...: 

::::::::::::::::

, ..minct

The Bureau also tonducted two censuses which wert

limited to annexed areas. The results of these censuse

are as follows:

~ Census date Populatior

Annexations toParagould, Ark.

Darlington, S.C.

September 3

July 5

1,49'

26!

oct_r 29

aockiQCh" '.

Mercer

_m Roa8oy

-.curt.i

.arpy s. Pap111i00 G1lMore Gil ..lle- Pepi11ioo 11p}8IId Pairn.. Pore.t 8811e- La Melia-Poreat Pe-l.tford-Sprincti.1d B1ib181o1 Goo41~k G...t... Papillioo La 8811e- Platt. V1aCawoty Viata Pr.cinct City Precinct Prec1nct Praciact Prec1nct Precinct Yillace Prec1nct Precinct Precinct Precinct Precinct Precinct Precinct city c1ty P...c1nct nllap City "n. !fo. Mo. "°. Mo. Prec1nct Mo. : "°. 1 3 a Precinct 3 a a 1 "°. .

WubtnctOD Ricbla. Sp..i...field Sp..iacfield Precinct nllace ~ P...cinct vtllap ~B:C "°. 1 

Seabrook toea JEt; .JEBSE1'

.a.t Wi.oo.. toea8b1p M)R'IV ~A

I»nla city Lake city ~

B- -city PEIIIIS"/1. V AM I A

CI8Jou to...abip "rka .July 9 -

BoDo..r tOellabip aea..r Aucuat 19

Batfi.ld tOO1\8bip Koot~~ry .July a

Laflin borou~b L.zerne 00'-" 11

loGeer prondance to..."'1" Koot~~ry .July 9

Wnrtb.."ton townabl." Bucka i July 16

Pl,.outb towaabi" I KODt.~ry i oa 12

Shrewsbary bara Yark I July 22

W1.1kea-Bar... t~sbip Luzeroe Se,._r10

SOIrrB CA-.IWA

S1.a"aODY111. City GreenY111e :;ept_ber30

TurbeY111. town I C1arelodon loctaber 14

See tootnot.a at end of table.

202
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Volume II, Section-2. COM 73-11144

ECONOMTC ACTIVITY IN THE UNITED s.rATES AND STANDARD

MEl'ROPOLITAN STATISTICAL AREAS, HISTORICAL Al:ffi PRQJ~CTED: 1950-2020. PB 216 607

u ~S. DIRECT INVESTMENTS ABROAD, 1966, --PART II: INVESTMENT POSITION, FINANCIAL AND OPERATING DATA--three

cover the direct investment position of U.S. reporters

and give their affiliates' balance sheets, statements

of income, sources and uses of funds. Considerable

data are given on employment by affiliates, affiliate

sales ~ destination, and exports of the reporters.

Based on data received from 3,400 u.S. reporters

covering 23,000 foreign affiliates.

GROUP 1: PRELIMINARY REPORT ON FOREIGN AFFILIATm

OF TKE U.S. PErROLEUM INDUSTRY. COM 72-10097

COM 72-10096

GROUP 2: PBELnfiNARY REPORT ON FOREIGN AFFILIATES

OF U.S. MANUFACTURING INDUSTRIES. .-'

GROUP 3: PRELDfINARY REPORT ON FOREIGN AFFILIATES

OF U.S. INDUSTRIES OTHER THAN MANUFACTURING AND

PErROLEOM

ALL INDUSTRIES-SUMMARY: PRELDUNARY RESULTS FOR

PART II, ALL INDUSTRY GROUPS. COM 72-10441

SPECIAL SURVEY OF U.S. MULTINATIONAL' COMPANIES, 1970. COM 72-11392

206
BUREAU OF roONOMIC STAFF PAPERSNOTE:

The fo1lowin~ staff papers are available in both

paper copy and microfiche

Staff Paper No. Author

George Jaszi

Murray Brown

Wm. R. Allen

E. Wm. Dinkelacher

Albert A. Hirsch

Samuel F. Brown

1 -The Quarterly National Income and Product Accounts

of the United States 1942-62

2 -Depreciation & Corporate Profits

3 -National Income, Absorption, and Balance of

Payments

4 -Alternative Tax Incentives for Investment

5 -Predicting Housing Starts

6 -Price Variation in New Houses, 1959-61

Lowell D. Ashby

John Mattila

7 -Regional Change in a National Setting

8 -A Methodology of Comparative Analysis of

Regional Growth

9 -A Pattern of Balances of Payments Between

World Regions in 1970 Eve~ Parrish

10 -Forcasting with Judgmental and Econometric MOdels: Lawrence Grose

A Case Study George Jaazi

Maurice Liebenberg

11 -The Share of Corporate Profits in the Postwar Period Murray Brown

Steven Tzaneff

Joel Popkin

R. A. Wy'kstraWm. 

Waldorf

12 -New Foreign Securities Offered in the U.S., 1952-64

13 -A Study of the Determin~~ts of Both Plant and

Equipment Expenditures

14 -Dynamics of the Regional-National Manpower Mix

15 -Long-run Federal Tax Functions: A Statistical

Analysis

Input-Output Transactions 1961

E. 

Roberts

N. VaccaraA. 

Fisher

17 -SIMEMOD, A General Purpose Computer Program to

Simula te and Forecast with Econometric Models George R. Green

18 -Toward Development of a National-Regional Impact

Evalua tion System and the Upper Licking Area

Pilot Study

19 -Input-Output Transactions: 1966

Input-Output Analysis as a Predictive Tool Arlene K. Shapiro

207
Staff Paper No. Author

Daniel B. Radner

Edward C. Budd

John Hinrichs

21 -Size Distribution of Family Personal Income:

lMethodo1ogy and Estimates for 1964

Albert A. Hirsch

Maurice Liebenberg

George R. Green

22 -The BEA Quarter~ Econometric Model

23 -Reliability of the ~rter~ National Income

and Product Accounts of the United States,

1947-71 AJ1Rn H. Young

24 -Empirical Tes.ts of Input-Output

Review and C ri tique

Forecasts:

Roger H. Bezdek

208
Telephone Contacts for Data Users

No.7 Bureau of the Census April 1976

(Area Code 301)

763-5190

-5192

-7273

-5360

Vincent P. Barabba

Robert L. Hagan

Henry H. Smith, Chief

Pennie Harvison

Diractor

Deputy Director

Public Information Office

Congressio~ Liaison Office

-5167

-2777

-2863

-2832

-7646

-2672

-7670

DD!OGRAPHIC FIELDS

Associate Director for Demographic Fields Daniel B. Levine

Demographic Surveys Division (DSD) Earle J. Gerson, Chief

Housing Division (HOUS) Arthur F. Young, Chief

International Statistical Programs Center (ISPC) J. Timothy Sprehe, Chief

Population Division (pop) Meyer Zitter, Chief

Statistical Methods Division (SMD) Charles D. Jones, Acting Chief

Assistant Director for Demographic Censuses, and

Chief, Demographic Census Staff (DCB) David L. Kaplan

Demographic Subject Matter Contacts

pop

1/

1/

1/

1/

1/

1/

1/

1/

-5184

-5072

-7571

-7890

-5716

-5161

-5184

-5303

-5161

-7571

-5226

-5100

-5032

-5507

-2773

-2748

-7325

-5169

-5032

-5050

-2825

-5189

-5161

-5508

Robert Warren

Gilbert Felton

Elmore Seraile

Nampeo McKenney

Joel Miller

Robert Speaker

Robert Warren

Maurice Moore

Robert Speaker

Age and Sex: Vnited States

States (age only)

Aliens

Americans Overseas

Annexation Population Counts

Apportionment

Armed Forces

Births and Birth Expectations; Fertility Statistics

Census Tract Population

Citizenship--Foreign Born Persons, Country of Birth;

Foreign Stock Persons, Mother Tongue

Commuting (Journey to Work)--Means of Transportation;

Place of Work II

D5D

pop

DSD

II

005"

"

pop"

"

"

"

DSD

ROU5 "

"

"

pop"

"

"

"

"

!SPC

pop

DSD

pop

"

"

-5682

-5060

-5682

-5161

-5l~

-5189

-2870

-5161

-2764

-5255

-5303

-5716

-5002 or -5020

Elmore Seraile

Philip Fulton

Gail Hoff

Jack McNeil

George Gray

Gregory Russell

Morris Gorinson

Marsha.ll Turner

Clifton Jordon

Jack McNeil

Larry Suter

Paula Schneider

Arthur Norton

Robert Speaker

Evan Davey

Bill Downs

Elmo Beach

Aneda France

Betty Kent

George Patterson

Gordon Green

Frank Burns

Robert Speaker

John Priebe

Arthur Norton

Samuel Baum

Richard Forstall

Robert Mangold

Kris Hansen

Martin O'Connell

Joel Miller

Consumer Expendi ture Survey

Consumer Purchases and Ownership of Durables

Crime Victimization Survey

Current Population Survey

Decennial Census: General Plan5

Content and Tabulations

Minority Statistics Program

Disabled

Education; School Enrollment

Employment; Unemployment; Labor Force

Families--Size; Number; Marital Status

Farm Population

Health Surveys

Housing: Housing Information, Decennial Census

Annual Housing Survey

Housing Vacancy Data

Residential Finance

Income Statistics: Decennial Census

Current Surveys

Revenue Sharing

Incorporated/Unincorporated Places

Industry and Occupation Statistics

Institutional Population

International Population

LEuld Area

Longi tudinal Surveys

Migration; Mobility

Mortality and/or Death

Population Count Complaints

Population: General Information; Census Data;

Characteristics; Survey Data Nellie Harris "

209
(Area Code 3OJ

763-7722

-5072

-5313

-5184

-7883

-7722

-5300

-5790

-5082

Demographic ~~bject Matter Contacts--con.

Po~ation Estimates and Projections--

Estimates: Counties and Local Areas; Revenue Sharing pop Frederick Cavanaugh

Congressional Districts " Donald Starsinic

-Individual States; SMSA's " Marianne Roberts

United States (National) " Jennifer Peck

Estimates Research ." Richard Irwin

Federal-State Cooperative Program for

Local Population Estimates "

Projections of the Po~ation "

Poverty Statistics; Low Income Areas "

Prisoner Surveys; National Prisoner Statistics DSD

Race and Ethnic Statistics--

Biack, American Indians, and Other Races pop

Spanish Population "

Religion "

Revenue Sharing "

Sampling Methods SMD

Social Stratification POP

Special Censuses DCS

SMSA's--Area Definition and Total Po~ation POP

Special Surveys DSD

Travel Surveys "

Urban/Rural Residence Pop

Veteran Status "

Voting and Registration "

Voting Rights "

Linda Braun

Signe Wetrogan

Arno Winard

Kenneth Brimmer

-7890

-5219

-7571

-5179

-2672

-5050

-5806

-5161

-5507

-5082

-5161

-5050

-5050

-5072

Nampeo McKenney

Edward Fernandez

Elmore Seraile

Joseph Knott

Charles Jones

Larry Suter

George Hum

Richard Forstall

George Gray

Kenneth Briomer

Richard Forstall

Jerry Jennings

Larry Suter

Gilbert Felton

~ONOMIC FIELDS

-5274

-5230

-7564

-7163

-7735

-5342

-7366

-5850

-7~56

Shirley Kallek

Orvin L. Wilhite, Acting Chief

John R. Wikoff, Chief

Jack S. Silver, Chief

Roger H. Bugenhagen, Chief

Leonard R. Jackson, Chief

Sherman Landau, Chief

Milton Eisen, Chief

Associate Director for Economic Fields

Agriculture Division (AGR)

Business Division (BUS)

Construction Statistics Division (CSD)

Economic Surveys Division (ESD)

Foreign Trade Division (FTD)

Governments Division (GOVS)

Industry Division (IND)

Assistant Director for Economic Censuses, and

Chief, Economic Census Staff (ECS) Melvin A. Hendry

Economic Subject Matter Contacts

Agriculture: General Information AGR

Crop Statistics "

Farm Economics "

Livestock Statistics "

Special Surveys "

Construction Statistics:

Census/Industries Surveys

Special Trades; Contractors;

General Contractor-Builder

Current Programs

Construction Authorized by Building Permits (c40 Series);

and Residential Demolitions (C45 Series) "

Housing Starts (C20 Series) "

Housing Completions (C22 Series) "

New Residential Construction in Selected SMSA' 8

(C2l Series) "

Price Indexes for New One-Family Homes Sold (C27 Series) "

Sales of New One-Family Homes (C25 Series) "

Value of New Construction Put 1p. Place (C3Q Series) "

Expenditures on Residential Mlditions, Alterations,

Maintenance and Repairs, and Replacements (C50 Series)

County Business Patterns

Enterprise Statistics

Ealvironmental Surveys

Exports, Origin of

Foreign Trade Information

Fuels and Electric Ealergy Consumed -"

-5230

-7280

-7486

-7281

-591'+

Orvin Wilhite

Donald Jahnke

Arnold Bollenbacker

Thomas Monroe

Kenneth Norell

-5435

-7547

-7165

-7244

-5731

-7842

-5731

-5707

-7314

-5717

-5717

-7642

-7086

-7627

-5616

-5140

-5938

CSD

"

"

Alan Blum

Andrew Visnansk:y

David Siskind

If

ESD"

IND"

ForD

IND

John Pettis

Peter aha

James Ray

William Mittendorf

Barry Rappaport

Juliana Van Berkum

Allan Meyer

Elinor Champion

Robert Schiedel

John Dodds

Paul Berard

'Wayne McCaughey

Paul Finn

John McNamee

210
Economic Subject Matter Contacts--con. (Area Code 301)

763-2842

-7783

-5344

-5086

-5847

-5308

-5272

-5302

-5449

-7666

-5872

-7304

-2510

-7800

-2502

-2518

-5911

-5938

-7690

Governments: Criminal Justice Statistics GaVS

Eastern -Sta~es Government Sector II

Western States' Government Sector II

!mployment "

Finance II

Governmental Organization "

Revenue Sharing "

Taxation "

Industry and Commodi ties Classification ESD

Manufactures: Census/Annual Survey of Manufactures IND

Subject Reports "

Durables "

Nondurables "

Current Programs "

Shipments, Inventories, and Orders "

Durables "

Nondurables "

Mineral Industries "

Minori ty Businesses ESD

Puerto Rico: Censuses of Retail Trade, Wholesale Trade,

and Selected Services Industries BUS

Retail Trade: Census "

Monthly Retail Trade Report; Accounts

Receivable; and Monthly Department Store Sales "

Weekly Retail Sales Report; Advanc& Monthly

Retail Sales; and Retail Inventories Surv&y "

Selected Services Industries: Census "

Current Services Reports "

Transportation: Commodity Transportation Survey;

Truck Inventory and Use;

DomestiG Movement of Foreign Trade Data ESD

Wholesale Trade: Census' BUS

Current Wholesale Sales and Inventories;

Green Coffee Survey; and Canned Food Survey"

Diana Cull

Howard Sales

Richard Neach

AlM Stevens

Vancil Kane

Muriel Miller

John Coleman .I

Earle Knapp

Walter Neece

Arthur Horowitz Ruth Runyan .

Dale Gordon

Michael Zampogna

James Werking

William Menth

Malcolm Bernhardt

Robert Nealon

John McNamee

Cotty Smith

Alvin Barten

Bobby Russell

-7127

-5282

-7128

-7660

-7039

-7077

Conrad Alexander

Irving True

Dorothy Reynolds

Edward Gutbrod

-5430

-5281

-5294

Zigmund Deck8J'

John Kuntz

Ronald Piencykoski

USER SERVICF.S AND FIELD OPERATIONS

-5238

-7720

-5000

(812) 335-1344

(Area Code 301)

763-5574

-7337

I -5266

\ -5045

; -7454

James W. Turbitt

Michael G. Garland, Chief

Curtis T. Hilll Chief

O. Bryant Benton, Chief

Associate ~ector for Field Operationa

and User Services

Data User Services Division (DUSD)

Field Division (FID)

Data Preparation Division (DPD)

User Services Contacts

DUSD

"

"

"

"

Mary Gordon

Frederick Bohme

Paul Manka

Larry Carbaugh

Larry Hartke

Bureau of the Census Catalog

Census Procedures, History of

Central City Profiles

Computer Tapes; Computer Programs

Data User News (Small-Area Data Notes), Monthly Newsletter

Data User Training--Seminars, Workshops, Training

Courses, and Conferences

Indexes to 1970 Census Summary Tapes and to

Selected 1970 Census Printed Reports

-5293

-7368

-5266

-5266

-7368

-5045

Ann D. Casey

II

Map Orders "

Microfilm "

Public Use Samples "

Special Tabulations .,.,." "

Statistical Compendia: Congrossional District Data Reports;

County and City Data Book;

Historical Statistics Series"

Statistica.l Abstract; Pocket Data Book"

SUDDDary Tape Processing Centers "

Unpublished Census Tables "

Paul Zeisset .

Deloris Fentress

Paul Manka

Paul Zeisset

Larry Carbaugh

-5475

-7024

-7454

-5266

Helen Teir

William Lerner

Gary Young

Paul ~Ianka

211
DEFINITIONS AND EXPLANATIONS Section from CURRENT POPULATION

REPORI'S, SERIES P-60, No. 102, "Characteristics of the

-Population Below the Poverty Level: 1974"

DEFINITIONS AND EXPLANATIONS percent to 52 percent. The comparable figures for

families above the low-inco~ level ~re 66 percent and

Population coverage. This report excludes inmates of 70 percent, respectively.

institutions and unrelated individuals under 14 years old.

It includes only those approximately 1.0 million members of the Armed For~s living off post or with their

families on post.

Central cities.' The population inside SMSA's is

further classified as "inside central cities" and "outside

central cities." With a few exceptions, central cities are

Farm-nonfarm residence. The farm population refers determined according to the following criteria:

to rural residents living on farms. The method of

determining farm-nonfarm residence in the present

survey is the same as that used in the 1960 and 1970

censuses and in the Current Population Surveys since

1960, but differs from that used in earlier surveys and

censuses. According to the current definitions, the farm

population consists of all persons living in rural territory

on places of less than 10 acres yielding agricultural

products which sold for $250 or more in the previous

year, or on places of 10 acres or more yielding

agricultural products which sold for $50 or more in the

previous year. Rural persons in institutions, motels, and

tourist camps, and those living on rented places where

no land is used for farming are not classified as farm

population.

1. The larg!st city in an SMSA is always a central

city.

2. One or two additional cities may be secondary

central cities on the basis and in the order of the

following criteria:

a. The additional city or cities have at least

250,000 inhabitants.

b. The additional city or cities have a population

of one-third or more of that of the largest city

and a minimum populatiol:1 of 25,000.

Geo!P'aphic regions. The four major regions of the

United States for which data are presented in this report

represent groups of States, as follows:

Northeast: Connecticut, Maine, Massachusetts,

New Hampshir", New Jer~", Ne;W York, Pel")nsylvania,

Rhode Island, Vermont.

The nonfarm population, as the term is used here,

comprises petsons :iving in urban areas and rural persons

not on farms.

Metropoli~n-nonmetropolitan residence. The population residing in standard metropolitan statistical areas

(SMSA's) constitutes the metropolitan populatipn. Except in New England, an SMSA is a county or group of

contiguous counties which contains at least one city of

50,000 inhabitants or ~re, or "twin cities" with a

combined population of at least so ,000. In addition to

the county or counties containing such a city or cities,

contiguous counties are included in an SMSA if,

according to certain criteria, they are essentially metropolitan in character and are socially and economically

integrated with the central city. In New England,

SMSA's consist of towns and cities, rather than counties.

North Central: Illinois, India.na, Iowa, Kansas,

Michigan, Minnesota, Missoul, Nebraska, Nor1h Dakota,

Ohio, South Dakota, Wiscon_n.

South: Alabama, Arkansas, Delaware, District of

Columbia, Florida, Georgia, Kentucky, Louisiana, Maryland, Mississippi, North Carolina, Oklahoma, South

Carolina, Tennessee, Texas, Virginia, West Virginia.

West: Alaska, Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, New Mexico, Oregon,

Utah, Washington, Wyoming.

North and West: Northeast, North Central, and

West regions combined.

Poverty Areas. For this report poverty areas in

metropolitan areas are defined in terms of census tracts

and in non metropolitan areas in terms of minor civil

divisions (townships, districts, etc.) in which 20 percent

or more of the population was below the low-income

level in 1969. This method of defining poverty areas

differs from the definitions used in past Current

Population Reports.

The 1974 and the revised 1969 and 1971 to 1973

figures shown in this report for SMSA's are based on the

SMSA's as defined on the basis of the 1970 census;

those shown for earlier years refer to SMSA's defined on

the basis of the 1960 census. As a result of these

changes, the proportion of low-income families in 1969

living in metropolitan areas increased from about 49

213
The 1970 census definition was develo~d in order to

provide a statistical index based on income only and to

utilize the small area data on poverty status which were

available in 1970 for the first time in a decennial census.

Resear~ was conducted by the Bureau's staff to find a

definition that would delineate poverty areas for a given

year which would be similar in size and location to

those delineated by the 1960 poverty area definition,

which consisted of an unvwig,ted combination of five

poverty-related socioeconomic characteristics. For this

purpose, the Bureau utilized a s~cial tabulation of

1960 census data for census tracts in a sample of lar~

metropolitan areas. Poverty areas defined by the 1960

low-income area definition vwre compared to those

defined by aggregating all census tracts with poverty

rates above selected cutoff values. Based on this

research, it was determined that areas consisting of

census tracts with poverty rates of 20 percent or more

most closely approximated those defined by the 1960

method. For further details, see 1970 Census of

Population Report PC(2)-9B, "Low-Income Areas in

lar~ Cities," and Supplementary Reports PC(S1 )-65 to

PC(S1 )-103, "Low-Income Neig,borhoods in Large

Cities: 1970."

Mobility status. The population of the United State

has been classified according to mobility status on tho

basis of a comparison between the place of residence 0

each person at the survey date and the place 0

residence 5 years earlier.

, 1. Nonmovers. This g-oup consists of persons wh(

were living in the same house at the end of the period a

at the beginning of the period.

2. Movers. This group consists of all persons whc

were living in a different house in the United States a

the end of the period than at the beginning of thf

period.

3. Persons abroad. This group consists of persons,

either citizens or aliens, whose place of residence wa5

outside the United States at the beginning of the period,

that is, in an outlying area under the jurisdiction of the

United States or in a foreign country.

Income. For each person 14 years old and over in the

sample, questions were asked on the amount of money

inco~ received in the preceding calendar year from

each of the following sources: (1) Money wages or

salary; (2) net inco~ from nonfarm self-employment;

(3) net income from farm self-employ~nt; (4) Social

Security or railroad retire~nt; (5) supple~ntal security income; (6) public assistance or welfare payments;

(7) interest (on savings or bonds); (8) dividends, income

from estates or trusts, or net rental income; (9) veterans'

pay~nts or unemployment and work~n's compensation; (10) private pensions or government employee

pensions; (11) alimony or child support, regular contributions from persons not living in the household, and

other periodic inco~.

Federal regions. The ten standard Federal administrative regions for which data are presented in this

report repreSent groups of States, as follows:

Region I, Boston: Connecticut, Maine, Massa.

chusetts, New Hampshire, Rhooo Island, Vermont.

RegK>n II, New York: New Jersey, New York.

Region III, Philadelphia: Delaware, District of

Columbia, Maryland, Pennsylvania, Virginia, West Virginia.

Region IV, Atlanta: Alabama, Florida, Georgia,

Kentucky, Mississir>pi, North Carolina, South Carolina,

Tennessee.

When an" indefinite amount was reported by the

respondent, a specific value was assigned during processing wherever possible. If the indefinite amount was

reported in terms of a range, the midpoint of the range

was assigned, e.g., $10,000 to $15,000 was coded as

$12,500. Open-ended amounts were converted to specific amounts.

Region V, Chicago: Illinois, Indiana, Michigan,

Minnesota, Ohio, Wisconsin.

Region VI, Dallas-Fort Worth: Arkansas, Louisiana,

New ~xico, Oklahoma, Texas.

It should be noted that although the income statistics

refer to receipts during the preceding year the characteristics of the person, such as age, labor force status, etc.,

and the composition of families refer to the time of the

survey. The income of the family does not include

amounts received by persons who were members of the

family during all or part of the income year if these

persons no longer resided with the family at the time of

enumeration. On the other hand, family income includes amounts reported by related persons who did not

reside with the family during the income year but who

were members of the family at the time of enumeration.

Region VII, Kansas City

Nebraska.

Iowa, Kansas, Missouri,

Region VHI, Denver: Colora~o, Montana, North

Dakota, South Dakota, Utah, Wyoming.

Region IX, San Francisco: Arizona, California,

Hawaii, Nevada.

Region X, Seattle: Alaska, Idaho, Oregon, Washington.

214
sold and services rendered. Expenses include costs of

~ods purchased, rent, heat, light, po~r, depreciation

charges, wages and salaries paid, business taxes (not

personal income taxes), etc. The value of salable

merchandise consumed by the proprietors of retail

stores is not included as part of net income.

Data on income collected in the CPS ~re limited to

money income received before payments for personal

income taxes, Social ~curity, union dues, Medicare

deductions, etc. Money income is the sum of the

amounts received from=-earnings; Social ~curity and

public assistance payments; dividends, interest, and rent;

unemployment and workmen's compensation; government and private employee pensions; and other periodic

income. (Certain money receipts such as capital gains

are not included.) Therefore, money income does not

reflect the fact that many families receive part of their

income in the form of nonrnoney transfers such as food

stamps, health benefits, and subsidized housing; that

many farm families receive nonmoney income in the

form of rent-free housing and goods produced and

consumed on the farm; or that non money incomes are

also received by some nonfarm residents which often

take the form of the use of business transportation and

facilities, full or partial payments by business for

retirement programs, medical and educational expenses,

etc.! These elements should be considered when comparing income levels. Moreover, readers should be aware

that for many different reasons there is a tendency in

household surveys for respondents to underreport their

income. Overall, income earned from wages or salary is

much better reported than other sources of income and

is nearly equal to independent estimates of aggregate

income. By contrast, recent CPS income data on Social

~curity and public assistance payments to beneficiaries

have averaged approximately 89 percent and 75 percent

of independent estimates, respectively.

Net income from farm self-employment is net

money income (gross receipts minus operating expenses)

from the operation of a farm by a person on his own

account, as an owner, renter, or sharecropper. Gross

receipts include the value of all products sold, government crop loans, money received from the rental of

farm equip~nt to others, and incidental receipts from

the sale of wood, Sand, gravel, etc. Operating expenses

include cost of feed, fertilizer. seed, and other farming

supplies, cash wages paid to farmhands, depreciation

charges, cash rent, interest on farm mortgages, farm

building repairs, farm taxes (not State and Federal

income taxes), etc. The value of fuel, food, or other

farm products used for family living is not included as

part of net income. In general, inventory changes "t.'ere

not considered in determining net income; however,

replies based on inco~ tax returns or other official

records do reflect inventory changes.

Social Security includes Social Security pensions

and survivor's benefits, and permanent disability insurance pay~nts made by the Social Security Administration prior to cEductions for ~dical insurance and

railroad retirement insurance checks from the U.S.

Government. "Medicare" reimbursements are not included.

Money wa~s or salary is total money earnin!J)

received for work performed as an employee during the

income year. It includes wa~s, salary, Armed Fprces

pay, commissions, tips, piece-rate payments, and cash

bonuses earned, before deductions were made for taxes,

bonds, pensions, union dues, etc.

Dividends, interest (on savings or bonds), income

from estates or trusts, net rental income or net royalges

include dividends from stockholdings or memoorship in

associations, interest on savings or bonds, periottic

receipts from estates or trust funds, net income from

rental of a house, store, or other property to othern,

receipts from boardern or lod~rn, and net royalties.

Net inco~ from nonfarm self-employ~nt is net

money income (gross receipts minus expenses) from

one's own business, professional enterprise, or partnership. Gross receipts include the value of all goods

Public assistanoo or welfare payments include

public assistance payments such as aid to families with

dependent children, general assistance, and supplemental security income. Separate payments received for

hospital or other medical care (vendor payments) are

excluded from this item.

Unernployment compensation, ~wrnment employee pensions, or veterans' payments include: (1)

Unemployment compensation received from government unemployment insurance a!J!ncies or private

companies during periods of unemployment and any

strike benefits received from union funds; (2) government employee pensions received from retirement pensions paid by Federal, State, county, or other governmental a!J!ncies to former employees (including

members of the Armed Forces) or their survivors; (3)

I Estimates of Federally funded non-money transfer income

programs benefiting persons below the low-income level are

published in the Statistical Abstract. 1975, table 664. "Federal

Outlays Benefiting Low-Income Persons: 1964 to 1974." It

should be noted that federal outlays for in.kind benefits, which

in table 664 include "Medicaid" and "Medicare" in addition to

"Income security in kind", cannot be equated to increases in

consumer income because they do not necessarily release equivalent amounts of funds for either consumption or savings.

215
money paid periodically by the Veterans' Administration to disabled members of the Armed Forces or to

survivors of deceased veterans, subsistence allowances

paid to wterans for education and on-the-job training,

as well as so-called "refunds" paid to ex-5ervicemen as

GI insurance premiums; also includes (4) workmen's

compensation received periodically from public or

private insurance companies for injuries incurred at

work. The cost of this insurance must have been paid by

the employer and not by the person.

families, or families in which the sole breadwinner had

recently died or had left the household. Ho ever, many

of the families and unrelated individuals who reported

no income probably had some money income which was

not recorded in the survey.

.

Median income. The ~dian income is the amount

which divides the distribution into two equal groups,

one having incomes above the median, and the other

having incomes below the ~dian.

Private pensions, annuities, alimony, regular contributions from persons not living in the household, and

other periodic income include the following types of

income: (1) Private pensions or retirement benefits paid

to a retired person or his survivors by a former employer

or by a union, either directly or through an insurance

company; (2) periodic receipts from annuities or insurance; (3) alimony and child support; (4) contributions

received periodically from persons not living in the

household; and (5) other periodic income such as

military family allotments, net gambling winnings, and

other kinds of periodic income other than earnings.

Mean income. The rrean incorre is the amount

obtained by dividing the total income of a group by the

number of families or unrelated individuals (as appropriate) in that !roup.

Income per family member. The income per family

member is the avera!J! amount of income available to

every man, woman, and child in a family. Income per

family member is derived by dividing the total family

income of a !J"oup by the number of fami I~ members in

the same group.

Comparability of Current Population Survey income

data with other data from Bureau of Economic Analysis

(BEA) personal income series. The income data presented in this report are not directly comparable with

estimates of aggregate personal income prepared by the

Bureau of Economic Analysis (formerly the Office of

Business Economics) of the Department of Commerce.

The lack of correspondence stems from the following

differences in definition and coverage:

Receipts not counted as income. Receipts from the

following sources were not included as income: (1)

Money received from the sale of property, such as

stocks, bonds, a house, or a car (unless the person was

engaged in the business of selling such property, in

which case the net proceeds would be counted as

income from self~mployment); (2) withdrawals of bank

deposits; (3) money borro~d; (4) tax refunds; (5) gifts;

and (6) lump sum inheritances or insurance pay~nt§.

Income definition. The personal income series includes, among other items" the following types of

nonmoney income which are not incluood in the census

definition: Wa~s received in kind, the value of food and

fuel produced and consumed on farms, the net rental

value of owner-occupied homes, the property income

received by mutual life insurance companies, and the

value' of the services of banks and other financial

intermediaries renoored to persons without the assessment of specific char~s. These items of income in kind

account for about 4 percent of total personal income.

The Census Bureau oofinition of income, on the other

hand, includes such items as regular contributions for

support received from persons who do not reside in the

same living quarter, income received from roomers and

boarders residing in households, and employee contributions for social insurance which are not included in

the personal income series. These items, however,

represent a much smaller income total than the nonmoney items included in personal income.

All sources of income may be combined into two

major types:

Total money earnings-the al~braic sum of money

wages or salary and net income from farm and nonfarm

self-employment; and

Inco~ other than earnings-the al~braic sum of

all soures of money inco~ exrept wa~s and salaries

and income from self-emploYment.

Total money income. The al!J!braic sum of money

wag!s and salaries, net income from self-employment,

and income other than earnings represents total money

income. The total income of a family is the algebraic

sum of the amounts received by all income recipients in

the family.

The income tables for families and unrelated individuals include in the lowest income !rOup (under

$1,000) those that were classified as having no income

in the income year and those reporting~ loss in net

income from farm and nonfarm self-employment or in

rental income. Many of these ..wre living on income "in

kind:' savings, or gifts; or were newly constituted

families, unrelated individuals who had recently left

Source of data. The personal income series is

estimated largely on the basis of data derived from

business and governmental sources. These sources

include the industrial and population censuses, employ"

ers' wage reports under the Social Security programs,

216
and records of disbursementS to individuals by governmental agencies. The income data presented. in the

census reports, on the other hand, are based directly on

field surveys of househQ!qs. As discussed in the section

"Source and reliability of the estimates," income data

obtained in household interviews are subject to various

types of reporting errors which tend to produce an

understatement of income. It is estimated that the

income surveys conducted by the Bureau of the Census

during the past few years have obtained about 89

percent of the comparable aggregate total money

income, 97 percent of the comparable aggregate money

wage or salary income, 89 percent of the comparable

aggregate money Social Security income. and 75 percent

of the comparable aggregate money public assistance

income included in the personal income series prepared

by the BEA. Comparable estimates are not available for

the low-income population.

combined impact of these two modifications resulted in

an increase of 360,000 poor families and 1.6 million

poor persons in 1967. The reasons for making these

changes are outlined relow.

Change in cost of, living adjustment. Annual revisions

of the SSA poverty thresholds ~re based only on the

average per capita cost of the foods in the economy food

bud~t. This method of updating these cutoffs did not

fully reflect increases in the overall cost of living during

the 1960's. The pace at which the general cost of living

advanced in the 1960's was not uniformly matched by

increases in the price of goods in the economy food

plan. Thus, ~neral price chan~s since 1959 ~re not

paralleled by comparable chan~s in the poverty thresholds. The differences between changes in the cost of

the economy food budget and the overall cost of living

led to the adoption of the CPI as the basis for annual

revisions in the income cutoffs.

Poverty (low-income) definition. Poverty statistics

presented in this report are based on a definition

developed by the Social Security Administration in

1964 and revised by a Federal Intera~ncy Committee

in 1969.

Table A-1 shows the chan~s in the cpr between 1959

and 1974 and the corresponding average thresholds for a

nonfarm family of four.

Statistics presented in Census Bureau reports prior to

publication of Current Population Repo~, ~ries P-60,

No. 68, "Poverty in the United States, 1959 to 1968:'

were based on the poverty index developed by the

Social ~curity Administration (SSA) in 1964. This

index provided a ran~ of income cutoffs adjusted by

such factors as family size, sex of the family head,

numbe'r of children under 18 yearS old,' and farmnonfarm residence. At the core of this definition of

poverty was a nutritionally adequate food plan ("economy" plan) desigled by the Department of Agriculture

for "emer~ncy or tempOrary use'when funds are'low."

It was determined from the Department of Agriculture's

1955 survey of food consumption that families of three

or more persons spend approximately one-third of their

income on food; the poverty level for these families was,

therefore, set at three times the cost of the economy

food plan. For smaller families and persons living alone,

the cost of the economy food plan was multiplied by

factors that were slightly higher in order to compensate

for the relatively lar~r fixed expenses of these smaller

households. Annual revisions of these SSA poverty

cutoffs were based on price changes of the items in the

economy food budget.

Table A-1. Changes Between 1959 and 1974 in the

Consumer Price Index and the Average

Low-Income Threshold for a Nonfarm Family of

Four

Average threshold

for a nonfarm

family of four

persons

-

Year

$5,038

4,540

4,275

4,137

3,968

3,743

3,553

3,410

3,317

3,223

3,169

3,128

3,089

3,054

3,022

2,973

161.1

145.1

136.6

132.3

126.8 I

119.7

113.6

109.1

106.0

103.1

101.3

100.0

98.8

97.7

96.

95.2

1974 3 .

1972 1. 1970 .

1969 .

1968. 1967 .

1966 51964 .

1963. 21961 .

1960 .

1959 .

As a result of deliberations of a Federal Interagency

Committee in 1969, the following two modifications to

the original SSA definition of poverty were recom.

mended: (1) that the SSA thresholds for nonfarm

families be retained for the base year 1963, but that

annual adjustments in the levels be based on changes in

the Consumer Price Index (CPt) rather than on changes

in the cost of food included in the economy food plan;

and (2) that the farm thresholds be raised from 70 to 85

percent of the corresponding nonfarm levels. The

Change in the farm-nonfarm relationship. Under the

old definition, the poverty thresholds for farm families

were adjusted for the avera~ value of food consumed

by these families which they had grown themselves.

217
Based on a 1961 study of household consumption

which indicated that the value of food produred by

farm families for home use amounted to about 30

percent of their total food bud!JO't, the poverty cutoffs

for farm families were established at 70 perrent of the

nonfarm levels-:--

Up to the present ti~, no entirely satisfactory means

of determining the income required for equivalent levels

of living for farm and nonfarm families has been

provided by studies on this subject. Further research is

needed to analyze the differences in the costs bet~en

farm and nonfarm families. Although it is not yet

possible to quantify exactly all the factors contributing

to cost of living differences bet~en farm and nonfarm

families, rnsearch already completed suggests that the

differences are not as !J"eat as provided for by the 70

percent differential. After weighing the available evidence, the Review Committee agreed that narrowing the

farm-nonfarm differential to 85 percent more nearly

reflects the overall cost of living differences bet~en

farm and nonfarm families than the previously used

differential.

income status of that family. If the family's total

income is less than its corresponding cutoff, the fami Iy

is classified as below the low-income level. The average

thresholds shown in table A-3 ~re weighted by the

presence and number of children. For example, for a

gven size of family, sex of head, and residence cate~ry,

the weighted average threshold for that group is

obtained' bV multiplying the threshold for each presence

and number of children cate~ry within the given family

size by the number of families in that category. These

products are then aggre~ted across the entire range of

presence and number of children categories, and the

total aggre~te is divided by the total number of families

in the group to yield the ~ighted average threshold at

the low-incorre level for that" size fami Iy.

Because fami Iy composition varies by farm-nonfarm

residence, the weig,ted average thresholds at the low.

incorre level for farm families, as shown in table A-3,

will not be exactly 85 percent of the nonfarm levels.

Moreover, since family composition does not remain

constant from year to year, the weighted average

thresholds for 1974 will not reflect, identically, the

change in the CPI bet~en 1974 and earlier years.

Alternate level. Because the poverty cEfinition currently in use by the Federal Government does not meet

all the needs of the analysts of the data, a variation was

introduced at the same time that modifications \Wre

made to the SSA poverty index and set at 125 percent

of the official govern~nt standard. This altemate

cutoff is obtained by multiplying the income cutoffs at

the low-income level by 1.25. Thus, the inco~ cutoff

for a nonfarm fami IV of four at 125 percent of the

low-inco~ level is $6,298. Tables 2, and 46-48 present

selected data for persons, families, and unrelated individuals below 125 percent of the low-inco~ level. Also,

all the data presented in detailed tables 7, 20, 21, 23,

25-29, 40, 41 and 44 of this report have been tabulated

for this additional level and are available upon request

for the years 1959 t,hrough 1974. Requests for these

unpublished data, giving a specific description of the

figures desired, may be made in writing to the Chief,

Population Division, Bureau of the Census, Washington,

D.C. 20233.

Since the basic thresholds used to lEtermine the

low-incorre status of families and unrelated individuals

are applied to all families and unrelated individuals, the

weighted low-incorre thresholds are derived using all

families and unrelated individuals rather than just those

families and unrelated individuals classified as below the

low-income level. To obtain the weighted low-income

thresholds for families and unrelated individuals below

125 percent of the low-income level, the weighted

thresholds shown in table A-3 may be multiplied

directly by 1.25.

Income deficit. Income deijcit is the difference

between the total income of families and unrelated

individuals below the low-income level, and their respective income thresholds. In computing the income

deficit, fami lies reporting a net income loss are assigned

zero dollars and for such cases the deficit is equal to the

low-income threshold. This measure provides an estimate of the amount which would be required to raise

the incomes of all low-income families and unrelated

individuals to their respective low-income thresholds.

The income deficit is thus a measure of the degree of

impoverishment of a family or unrelated individual.

However, caution must be exercised in comparing the

avera~ deficit of families of different racial groups.

Since the low-income thresholds used in this report are

based on family size and composition, apparent differences in the average income deficits of racial groups

may, to some extent, be a function of the differences in

these characteristics. It must also be remembered that

the thresholds in this report vary according to the sex of

the family head. Thus, differences in the avera~ deficit

between families with a male or female head may be in

part attributable to both differences in thresholds and

to differences in family size and composition.

Weighted average thresholds at the low-income level.

The low-inco~ cutoffs used by the Bureau of the

Census to determine the low-income status of families

and unrelated individuals consist of a set of 124

thresholds arranged in a four-dimensional matrix consisting of family size (from one person, i.e., unrelated

individuals, to seven or mor'e person famHies) crossclassified by presence and number of fami Iy members

under 18 years old (from no children present to six or

more children present); sex of head, and farm-nonfarm

residence (Table A-2). Unrelated individuals and twoperson families are further differentiated by age of head

(under 65 years and 65 years and over). The total family

income of each family in the sample is tested against the

appropriate dollar threshold to determine the low218
SOUOCE: u.s. Bureau

Population Below the

Reports., Series P-60

219

of the Census, "Char

Poverty Level: 1974,, 

No. 102, Table A-2.

acteristics of the

..Current Population
Table 2. Weighted Average Thresholds at the Low-Income Level in 1974 by SiZE

of Family and Sex of Head, by Farrn-Nonfarrn Residence

Nonfana Farm

Size of family unit Total

To"tal Female

head:

.t,2 ,487

2,5571

2,352

3,191

3,294

2,958

3,910

5,008

5,912

6,651

8,165

$2,610

2,658 II 

/ 2,387 3,220

3,329

2,984

3,957

5,040

5,957

6,706

8,2781

12,029

2,089

2,002

2,632

2,706

2,533

3,133

-1,262

5,072

5,702

7,066

1 person (unrelated individual)

6 J 4572 persons Head prsons 65 persons Head 14 years to 14 65 64 years or to years and more 64 over years and over 

'For one person (i.e. unrelated individual). sex of the individual

SOURCE: U.S. Bureau of the Census, "Characteristics of the Population Below

the Poverty Level: 1974," Current Population Repor~s, Series P-60, No. 102,

Table A-3.

Median inco~ ~ficit. The median income deficit

is the amount which divides the distribution into two

equal groups, one having an income deficit above the

median and the other having an income deficit below

the median.

Subfamily. A subfamily is a married couple with 0

without children, or one parent with one or more OWl

single children under 18 years old, living in a householt

and related to, but not including, the head of th.

household or his wife. The most common example of i

subfamily is a young married couple sharing the horn!

of the husband's or wife's parents. Members of (

subfamily are also members of a primary family. Th!

number of subfamilies, therefore, is not included in th!

number of families:

Mean income deficit. The mean incorre deficit is

the amount obtained by dividing the total income

deficit of a group below the low-incorre leve.1 by the

number of families or unrelated individuals (as appro- .

priate) in that group.

Marital status. The marital status classification refers

to the status at the.ti~ of enu~ration. "Separated" is

regarded as a subdivision of the category "married" ~nd

incll.tdes persons '4Iith legal separations. those livrng

apart with intentions of obtaining a divorce, and other

persons permanently or temporarily separated because

of marital discord.

Deficit per family ~mber. '{he ooficit p~r family

member is the avera~ amount of money necessary to

raise every man, woman, and child in a family out of

poverty. The deficit per family rT1ember is derived by

dividing the total family income deficit of a group by

the number of family members in the same group.

Size of family. The term "size of family" refers to the

number of persons who are living tof;1Jther and are

related to each other by blood, marriaf;1J, or adoption.

Family, The term "family," as used in this report,

refers to a group of t'M> or more persons related by

blood, marria~, or adoption and residing to~ther; all

such persons are considered as members of the same

fami Iy. Thus, if the son of the head of the household

and the son's wife are in the household, they are treated

as part of the head's family, On the other hand, a lod~r

and his wife not related to the head of the household or

an unrelated servant and his wife are considered as

additional families, and not a part of the household

head's family.

Unrelated individual. The term "unrelated individuals:' as used in this report, refers to persons 14 years

old and over (other than inmates of institutions) who

are not living with any relatives. An unrelated individual

may constitute a one-person household by himself, or

he may be part of a hou~hold including one or more

other families or unrelated individuals, or he may reside

in !J"oup quarters such as a rooming house. Thus, a

widow living by herself or with one or more other

persons not related to her and a lod!J?r not related to

the head of the hou~hold or to anyone else in the

household are examples of unrelated individuals.

Head of family. One person in each family was

designated as the head. Women are not classified as

heads if their husbands are resident memoors of the

family at the time of the survey. In other cases, the head

is usually the person regarded as the head by members

of the fami Iy. Married couples related to the head of a

family are included in the head's family and are not

classified as separate families.

Own children and related children. "Own" children in

a family are sons and daughters, including stepchildren

and adoPted children, of the family head. "Related"

220

1$2,495 2,562I 

2,364I 

3,211

3,312

2,982

3,936

5,038

5,950

6,699

8,253

! ~2,413

2,458 I

2,357

3,167

3,230

2,986

3,822

5,014

5,882

6,642

8,079

I .~2,092I

2,013 2,197 

2,707

2,819

2,535

3,331

4,302

5,05;

5,700

7,018 i
example, a median of 9.0 represents the completion of

the first year of high school and a median of 13.0 means

completion of the first year of co/le~.

children in a family include own children and all other

children in the hou~hold who are related to the family

head by blood rnarria~, or adoption.

Number of earners. This number includes all persons

in the family with $1 or more in wa~s and salaries, or

$1 or more or a loss in net income from farm or

nonfarm self-employment.

Labor force and employment status. The definitions

of labor force and employrrent status in this report

relate to family heads and unrelated individuals 14 years

old and over.

Age. The age classification is based on the a~ of the

person at his last birthday.

Employed. Employed persons comprise (1) all

civilians who, during the specified week, did any work

at all as paid employees or in .their own business or

profession, or on their own farm, or who worked 15

hours or more as unpaid workers on a farm or in a

business operated by a member of the f~mily, and (2) all

those who were not working but who had jobs or

businesses from v\it1ich they were temporarily absent

because of illness, bad weather, vacation, or labormanagement dispute, or because they were taking time

off for personal reasons, whether or not they were paid

by their employers for time off, and whether or not

they were seeking other jobs. Excluded from the

employed group are persons whose only activity consisted of work around the house (such as own home

housework, painting or repairing own home, etc.) or

volunteer work for religious, charitable, and similar

organizations.

Race. The population is divided into three groups on

the basis of race: white, Negro, and "other races." The

last category includes Indians, Japanese, Chinese, and

any other race except white and Negro.

Unemployed. Unemployed persons are those civilians who, during the survey week, had no employment but were available for work and (1) had engaged in

any specific jobseeki~g aCtivity within me past 4 week~,

such as registering at a public or private employrrent

office, meeting with prospective employers, checking

with friends or relatives, .placing or answering advertisements, writing letters~of application, or being on II union

or professional register; (2) were waiting to be called

back to a job from whicl'l they had been I~id off; or (3)

were waiting to repOrt to a new wage or salary job

within 30 days.

Spanish origin. To reduce the sampling variability and

thereby increase the reliability of the data for persons of

Spanish origin, the number of "Spanish households" in

the March 1975 CPS was doubled compared to earlier

years. This was accomplished by interviewing in March

1975, in addition to the "regular" sample, the households from the November 1974 sample containing at

least one person of Spanish origin. Because of changes in

sample design, question ~rding, and allocation procedures to assign origin to persons under 14 years of

age, the overall count of persons of Spanish origin in the

March 1973 to 1975 CPS is not strictly comparable with

data for earlier years. Comparability of Spanish origin

data from the March 1973 CPS with those for earlier

years js di~ussed in C/,Jrrent Popul.-:ion Reports, Series

P-20, No. 264, "Persons of Spanish Origin in the United

States: March 1973."

Yea'rs of school completed. Dat£ on years of school

completed in this report were derived from the combination of answers to questions concerning the highest

grade of school attended by the pel'son and whether or

not that grade was finished. The questions on educational attainment apply only to progress in "regular"

schools. Such schools include graded public, private, and

parochial elementary and high schools (both junior and

senior high), colleges, universities, and professional

schools, whether day schools or night schools. Thus,

regular schooling is that which may advance a person

toward an elementary school certificate or a hilj1 school

diploma, or a college, university, or professional school

degree. Schooling in other than regular schools was

counted only if the credits obtained were regarded as

transferable to a school in the regular school system.

The median years of school completed is defined as

the value which divides the distribution into two equal

groups, one having completed more schooling and one

having completed less schooling than the median. These

medians are expressed in terms of a continuous series of

numbers representing years of school completed. For

Labor force. Persons are classified as in the labor

force if they were employed as civilians, unemployed, or

in the Arm!d Forces during the survey 'M!ek. The

"civilian labor force" is comprised of all civilians

classified as employed or unemployed.

221

Not in the labor force. All civil ians 14 years old

and over who are not classified as employed or

unemployed are defined as "not in the labor force."

This group who are neither employed nor seeking work

includes persons engaged only in own home housework,

attending school, or unable to work because of longterm physical or mental illness; persons who are retired

or too old to work; seasonal workers for whom the

...,survey week fell in an off season; and the voluntarily

idle. Persons doing only unpaid family work (less than

15 hours) are also classified as not in the labor force.
Occupation, industry, and class of worker. Persons

are classified according to the civilian job held lon!J!st

during the year. Persons who held two jobs or more

~re repol:ted in the job at which they worked the

greatest number of weeks.

The occupation and industry groupings included in

this report were based on the classification system used

in the 1970 census, as were the data included in Current

Population Reports, Series P-GO, Nos. 81, 86, 91 and98.

A detailed comparison of the 1970 classification systems to those used during the 1960's may be found in

the Bureau of the Census Technical Paper 26, 1970

Occupation and Industry Classification System~

Terms of Their 1960 Occupatlon-andlndustry EIe-:

~.

provided less than 35 hours of work per week in a

majority of the weeks in which he worked during the

year. He is classified as having worked at full-time jobs if

he worked 35 hours or more per week during a majority

of the ~eks in which he worked.

r

Year-round full-time worker. A year-round full-time

worker is one who worked primarily at full-time civilian

jobs (35 hours or more per week) for 50 weeks or more

during the preceding calendar year.

Nonworker. A nonworker is one who did not do any

civilian work in the calendar year preceding the survey.

Main reason for working part year. For persons who

~rked 1 to 49 weeks during the year, the main reason

for working part year is based on the response to the

question "What were you doing ~ of the remaining

weeks?"

In addition to the chan!J! in occupational titles

between the March 1972 and the March 1971 surveys

which did not affect the comparability of the data, a

supplemental question, "What were your most important activities or duties?" was added which provided

additional information for classifying persons by occupation. In general, the major impact of this supplemental question was to reclassify some persons from the

"mana!J!rs" classification into other types of occupations (primarily into the major occupation group of

"craft and kindred workers").

Main reason for not working. For persons who

reported that they did not work at a civilian job for pay

or profit or on a family-operated farm or business

during the year, the main reason for not working is

derived from the response to the question "What were

you doing ~ of last year?"

Rounding. Percenta~s are rounded to the nearest

tenth of a percent; therefore, the percentages in a

distribution do not always add to exactly 100.0 percent.

The totals, however, are always shown as 100.0.

Moreover, individual figures are rounded to the nearest

thousand without being adjusted to group totals, which

are independently rounded; percenta~s are based on

the unrounded numbers.

Class of worker refers to the subdivision of workers

into three !Toups: Wa~ and salary workers, selfemployed workers, and unpaid family workers. The first

group refers to persons working for wages, salaries,

commissions, tips, pay "in kind", or at piece rate for

private employer or for any government unit. The

se~nd !T°up refers to persons :.working in their 'own

business, profession, or trade, for profit or fees. The

thil'd group refers to persons working without pay in a

business operated by a member of the household to

whom they are related by blood or marria~.

Base figures. An estimate of the size of the base

(number of persons and families, etc.) of each percent is

shown in most of the tables of this report. The 1971 to

1974, and revised 1970 and 1969 base figures shown in

this report were prepared by inflating weighted sample

results to ag-ee with independent estimates of the

population based on statistics updated from the 1970

census. The base figures for the years 1961 to 1969

were inflated to estimates derived from the 1960 census.

The data for the years prior to 1961 were based on the

1950 census.

Work experience. A person with work experience is

one who, during the preceding calendar year, did any

civilian ~rk for payor profit or worked without pay

on a family-operated farm or business at any time

during the year, on a part-time or full-time basisWeeks worked in the income year. Persons are

classified according to the number of different \Weks

during the preceding calendar year in which they did

any civilian 'M)rk for payor profit (including paid

vacations and sick leave) or worked without pay on a

family-operated farm or business.

The major effects resulting from the introduction of

population controls and estimation procedures based on

the 1970 census were to raise the number of fami lies

from 51.2 million to 51.6 million in the March 1970

CPS and to lower the number of related children under

18 from 69.8 to 68.7 million. However, the number of

poor families and the number of related children below

the low-income level remained about the same-5

million and about 9.5 million, respectively.

Part-time or fu"-ti~ jobs. A person is classified as

having worked at part-titre jobs during the preceding

calendar year if he worked at civilian jobs which

222
LIMITATIONS OF THE POVERTY

CONCEPT

poverty for u~ in the financial assistance program authorized by Title I of the Elementary and Secondary

Education Act of 1965 may be more accurately and

currently developed." At the end of 1974 an interagency Poverty Study Task Force was established under

the leadership OT HEW which has undertaken an intensive review of the present definition of poverty and

of the implications of various alternatives. A final report

is to be submitted to the Congress by the end of calendar year 1975. Inquiries concerning the work of the

Poverty Study Task Force should be addressed to Ms.

Bette Mahoney, Office of the Assistant Secretary for

Planning and Evaluation, HEW.

In analyzing data -on the low-income population, the

following limitations should be noted. The low-income

concept has been developed in order to identify, in

dollar terms, a minimum level of income adequacy for

families of different types in keeping with American

consumption patterns. Based on an analysis of the

percent of income devoted to food expenditures, an

estimate was developed of the minimum cost at which

an American family, making avera~ choices, can be

provided with a diet meeting 'recommended nutritional

~als. Consequently, it is an overall statistical yardstick

which reflects the different consu~tion requirements

of families of different size, taking into account family

composition and farm-nonfarm residence. Insofar as

individual circumstances or consumption patterns differ,

the dollar value of the low-income threshold for a given

family size may not represent the money income

required by an individual family to maintain a level of

economic well being equivalent to other families with

similar incomes. For a discussion of the limitations of

money income as a measure of economic status, see

"Trends and Composition of the Low-Income Population," by Renee Miller and Amo Winard, Proceedings

of the Social Statistics Section, American Statistical

Association, 1974.

COMPARABILITY OF ESTIMATES FROM

MARCH 1975 CPS WITH ESTIMATES FOR

PREVIOUS YEARS

The data for 1971 to 1974 are in some instances not

entirely comparable to figures for earlier years because

of revisions in the Current Population Survey. Starting

in January 1972, 1970 census-based population controls, metropolitan residence definitions, and other

materials were introduced into the sample and estimation procedures. The major item affecting comparability at the overall national level is the introduction of

population controls based on the 1970 census. Figures

for previous years are tied in with 1960 census-based

population controls. In a number of instances, data

from the March 1970 and 1971 CPS's were revised to ,

take accour1t of 1 S70 censtls-based population controls,"

thus providing some measure of the impact of the

chan~s (see Table 3, Current Population Reports, Series

P-60, No. 91). Basical I,y , these changes should nave no~

substantial impact on summary measures, such as

medians and means, and on proportional measures,

such as percent distributions and low-income or poverty

rates. Howev,er, the chan~s may have more impact on

the population levels in different subgroupings such as

the totar number of persons or families either overall,

within some particular income interval, or below the

low-income level. A detailed de&:ription of these

chan~s appears in the Bureau of Labor Statistics report,

"Employment and Earnings," Vol. 18, No.8, February

1972.

The original intent of the poverty definition was not

for administrative use in any specific program; it was to

be a statistical yardstick. The pro~lem arises ~en this

concept, in the absence of any other measure, is used to

determine eligibility in programs to aid the poor. In

April 1973, the Intera~ncy Committee on Income

Distribution and Poverty was reqtlested by the Statistical Pol icy Division of the Office of Mana~ment and

Bud~t to conduct a thorough review of the statistics on

income and poverty. Three subcommittees, one focusing

on updating the poverty threshold, another on measuring cash income, and the third on measuring noncash

income, met throughout the summer of 1973 and came

up with a number of recommendations. One of the

conclusions reached by the Subcommittee on Updating

the Poverty Threshold was that the development of

separate measures for eligibility in programs should

receive high priority. For a summary of the research

recommendations of the Intera~ncy Committee see

"Review of Poverty and Income Distribution Statistics"

by Bette S. Mahoney, Statistical Reporter, Statistical

Policy Division, Office of Mana~ment and Bud~t,

January 1974.

The figures shown in this report for metropolitan

areas (SMSA'sl are based on me SMSA's as defined on

the basis of the 1970 census; those published in earlier

years referred to SMSA's as defined on the basis of the

1960 census. There are sig'lificant differences in the

population classified as metropolitan from each of these

definitions. For the 1970 definition of SMSA's. see

1970 Census of Population, United States Summary,

PC(1 I.A 1, "Number of Inhabitants."

A further review of the poverty definition is now

underway. The Education Amendments of 1974 require

the Assistant Secretary of Education, Department of

Health, Education and Welfare, to supervise a "thorough

study of the manner in which the relative measure of

223
Another change in the Current Population Survey,

which affects occupational data only is the inclusion of

a supplemental question, "What \Wre your most important activities or duties?" v.flich provided additional

information for classifying persons by occupation. In

general. the impact of this supplemental question was to

reclassify some persons from the "mana~rs" classification into other types of occupations (primarily into

the major occupation g-oup of "craft and kindred

workers").

Beginning with the March 1966 survey, however, ir,

the event a respondent did not ansvwr one or more 01

the incOn"M! questions, the missing income data for this

person were imputed for only those income items which

were not answered. Each of the earnings items was

handled individually, whereas income items other than

earnings were handled as a group. Characteristics used in

this imputation are a~, family status, race, residence,

weeks worked, and major occupation group. The income amount assigned to' a nonrespondent is that

observed for another person with similar demog-aphic

and economic characteristics who did respond and who

has been selected systematically in the order in which

individual records are processed.

NONRESPONSES AND ALLOCATIONS

In the March 1975 C:PS, no information was recorded

for approximately 5 percent of the 47,000 households

because no interview could be obtained during the week

in which the enumeration was conducted. In order to

account for these households, the weights assigned to

other sample households of similar characteristics residing in the same sample areas were increased accordingly. In addition, complete income information was

not reported for about 22 percent of all families and 16

percent of all unrelated individuals. Overall, about 16

percent of all persons 14 years old and over in

households that were interviewed did not report complete income information.

In the tabulation of income from surveys prior to

1962, the distributions by income levels had been based

only on those cases which reported complete income

information. The assumption implicit in this method

was that persons who do not provide income information have the same income distribution as those who

do provide such information. Using income data for

1958, a comparison was made of the income distributions obtained before and after the assignment of

income to nonrespondents on the basis of known

demographic and economic characteristics. This comparison indicated that the procedure for making individual assignments of income to nonrespondents rgsuited in slightly' higher estimates of the proportion of

families and individuals in the upper income classes than

those obtained from the distributions based solely on

those reporting on income. (See Current Population

Reports. Series P-60, No.33, tables F and G.)

Although nonresponse rates for families by lowincome status are not available, it is known that families

in the lower income intervals tend to have lower

non response rates than those in the middle and upper

income intervals. This is due in part to the fact that

lower income families have less complicated financial

anangements than those in other income groups. For a

more detailed discussion of this topic see paper by

Mitsuo Ono and Herman P. Miller, "Income Nonresponses in the Current Population Survey" published

in Proceedings o~cial Statistics Section, American

Statistical Association, 1969.

Beginning with the 1967 CPS, the Bureau of the

eensus introduced improved income edit and allocation

procedures. The main feature of the new procedures is a

more refined method for imputing missing income data

which expands the use of information already known

about that person. Among the major improvements

made affecting the in~me data are the following: (1) an

expanded set of social and economic characteristi.cs

within which the imputations are made; in addition to

age, race, occupation, and weeks worked, the new

procedures include sex and type of family member as

major variables within which the missing income items

are imputed; (2) the elimination of inconsistent reporting which resulted in having workers with no

earnings and earners with no weeks worked; and (3) the

new imputation procedure assigns missing earnings

entries first and then util izes the earnings information to

assigl missing sources of income other than earnings.

For more detailed information on the characteristics

of nonrespondents, see "Characteristics of Income

Nonrespondents in the Current Population Survey," by

Emmett Spiers, John Coder, and Mitsuo Ono, American

S.ta~istical .Association Proceedings of the SociaiS"ta=

tistics Section, 1971.

In order that the maximum amount of information

can be utilized, missing income items are imputed or

allocated by values which are obtained from active

respondents with similar economic and demo graph ic

characteristics. Beginning with the March 1962 survey,

when a respondent did not ans~r one or more of the

income items, all of his income data were imputed.

224
However, because of coding errors in the processing

of the 1968 CPS data, in that year alone it was not

possible to apply all the aforementioned improvements

to the editing and -aftOcation procedures. Since these

errors produced an under-estirnate of income, they had

the effect of over-stating the number of poor.

schedules; (4) training instructions were strengthened by

including more detailed explanations and more examples; and (5) the interview !J"°up training session was

shifted from February to March.

Modifications in collecting income data in the March

1970 Current Population Survey. The Bureau introduced modifications in the collection of income data for

the March 1970 CPS supplement. These were: (1) An

advance letter informing households about the collection of income data was mailed to all households

except. those in the first and fifth months. The latter

households received special letters which explained the

need for collecting both CPS and census data; (2)

information on work experience and income was collected simultaneously for the full sample (in .previous

years, work experience information was collected separately from income datal; (3) the interview period was

extended one week for three-fourths of the sample

(using followup calls and separate questionnaires). In

addition, modified procedures which were incorporated

in the March 1969 CPS supplement were also implemented in the March 1970 CPS. Owrall, data indicate

that the use of these procedures has resulted in some

improvement in the collection of income data. The

family income non response rate has not only dropped

by 5 percentage points (from 19 to 14 percent) but also

it appears that the proportion of aggregate income

amounts collected in the March 1970 CPS relative to

bench~rk totals has increased slightly in the March

1970 CPS suppl~nt as compared with the proportion

collected in the March 1969 CPSsupplement.

In addition, it was discovered that the computer

procedures for editing certain incorrect income codes

caused an upward bias in the income data for some

respondents and therefore would tend to produce an

underestimate of the number of poor. It is estimated

that the net impact of these errors had the effect of

overestimating the number of poor families by about

120 thousand. Due to these errors affecting the income

data for 1967, data for that year are not strictly

comparable with those shown for 1966, and 1968 to

1974.

Comparison of 1966 poverty data according to

original and revised editing and allocation procedures. In

order to evaluate the impact of the new procedures, the

poverty data from the March 1967 CPS were rerun, thus

providing a bridge for the 1966 income year showing

the results of both the earlier and the new procedures.

Both series of data are shown in table 1 of Current

Population Reports, Series P-60, No. 98. The"ijeiieraj

impact of the new allocation procedure was to shift the

income distribution slightly upward, thus decreasing by

416,000 the number of poor families. A more detailed

description of the new computer editing and allocation

procedures may be found in Current Population Reports, Series P-60, No. 59, "Income in 1967 of Families

Iiithe United States," pages 17 to 19. "

Modification in -collecting inco~ data in the March

1971 Current Population Survey. The Bureau continued

to use the improved procedures which 'Nere incorporated in the March 1970 CPS. Procedural changes that

were instituted in the March 1971 CPS, among others,

were:

QUESTIONNAIRE AND PROCEDURAL CHANGES

Modifications in collecting inco~ data in the MarchApril 1969 CPS. Several modifications were introduced

in the collection of income data in the March and April

CPS supplements. These include (1) extension of the

interview period of the six rotation groups for which

income questions were asked in March and the use of

followup forms in these six groups to accommodate

household respondents who needed more time to obtain

the required income information (it is estimated that

some members of approximately 4,4f,)Q households, or

9 percent of the total relevant households, made use of

these followup forms); (2) modification of the design

and content of the questionnaire to allow for more

detailed questioning of certain income items; thus,

boxes for gross receipts, business expenses, and net

income have been added to the self-employment income

questions to help the interviewer and respondent determine net income, and "yes-no" circles were added to

the questions on income other than earnings in order to

ascertain whether the respondent received or did not

receive income; (3) field office editing procedures were

extended to a 100 percent income edit of the CPS

1. The interview period was extended one week for

all households in the sample (using follow-up calls and

separate questionnaires). In the previous year's survey,

the interview period- was extended for only threefourths of the sample.

2. Incorm from net royalties was included in the

question covering estates, trusts, or dividends, interest

on savings accounts or bonds, and net rental income. In

previous surveys, income from net royalties was included in the question covering private pensions, annuities, alimony, regular contributions from persons not

living in this hou~hold, and anything else.

3. An additional regional office follow-up was made

by telephone to obtain income amounts for all followup cases containing one or more persons who were not

interviewed during the original follow-up period, except

for refusal.

225
Modifications in collecting incolM data in the March

1975 Current Population Survey. Several modifications

in the desig1 and content of the questionnaire were

introduced in the March 1975 CPS to allow for more

detailed qu~oning of certdin income items. These

changes were:

but ions from nonhousehold members, (2) reluctance to

reveal certain types of income, e.g.; public assistance (3)

rounding estimates, (4) misunderstanding the question,

(5) lack of information, especially covering family

members not present at the time of interview, (6)

interviewers' errors, (7) processing errors, etc. For more

details 'on this topic of income underreporting in

censu~ and surveys, see (1) Income Distribution in the

United States ( a 1960 Census r..10nograph), by Herman

P. Miller, Bureau of the Census, 1966, (2) The Structure

of Income, by Irving B. Kravis, University of Pennsylvania, 1962; and (3) "Size Distribution of Family

Personal Income: Methodology and Estimates for

1964," by Edward C. Budd, Daniel B. Radner, and John

C. Hinrichs, Bureau of Economic Analysis, BEA.SP

73-21, June 1973.

1. In the March 1974 CPS. income from aid to

families with dependent children, old a~ assistance, and

aid to the blind or totally disabled were asked in one

combined question on welfare payments. Beginning in

January 1974, the, prog-ams for old a~ assistance and

aid to the blind or totally disabled were replaced by the

Supplemental Security pro(;l"am. Therefore, in MQrch

1975 a separate question was asked for the receipt of

supplemental security income. Income from aid to

families with dependent children or any other assistance

was asked under the general category of public assistance or welfare payments.

2. In the March 1974 CPS, income from interest, net

rental income or income from estates, trusts, or dividends was asked in one question. In the 1975 CPS these

income types were asked as two questions with income

received from ii1terest on savings accounts or bonds

included in one question and income from estates,

trusts, or dividends in the other.

3. In the March 1974 CPS, income received from

private pensions was asked along with alimony and

certain other income items while income from government employee pensions was asked along with veterans'

payments, unemployment compensation and workmen's

compensation. In the March 1975 CPS, income received

from both private and government employee pensions

(including military retirement) were extracted from

their previous categories and asked as one combined

question.

In order to expedite processing of the March 1975

CPS data, it was decided to tabulate the income data

according to the same income groupings used from the

March 1974 CPS data. The new information on supplemental security income was tabulated along with public

assistance since it replaced old a~ assistance and aid to

the blind or totally disabled. It is planned to incorporate

the detailed income categories into the published

income tabulations for the March 1976 CPS.

OTHER LIMITATIONS OF THE DATA

Although every effoi1 is made to reduce the errorn of

underreporting, nonreporting or' misreporting of inco~

data in the Current Population Survey, they still occur

because of various reasons. Some of these are,f-1)

overlooking income received, especially small amounts

of income types not regularly received, e.g., contri226
Index

The following is-an alphabetized listing of titles and subjects included in

this report and their corresponding page references. Although not all items

in this report are presented, the listings provided snould direct the reader

to the area(s) of concern more rapidly than will the table of contents.

Annual Housing Survey, 165

Annual Survey of Manufacturers,

Annual Demographic File, 165

BG (Block Group), 108

Basic Record Tapes, 131

Block, 108

Block Group, 108

Boundary and Annexation Survey (Revenue Sharing), 171

Bureau of Economic Analysis, 193

Publications, Staff Papers, 203

Bureau of the Census Catalog, 102

Bureau of the Census Guide to Programs and Publications, 102

Bureau of the Census Regional Offices, 212

CCD (Census County Division), 107

Census Bureau Programs, Overview, 100

Census County Division, 107

Census Data (Considerations), 103

CensUS Geography, 104

Census Geography (figure), 105

Census of Agriculture, 149

Census of Governments, 150

Census of Housing, 1970 Reports of, 124

Census of Population, 1970 Reports of, 112

Census Tape Series and Special Tabulations, 131

Census Tract, 108

Census (Overview), 100

Characteristics of Population, 114

Commercial Victimization Survey, 175

Computer Tapes, 131

Congressional District Book, 182

Consumer Expenditure Survey, 167

Consumer Income, 163 and 214

Counties, 107

County and City Data Book, 183

County Business Patterns, 169

Currency of 1970 Census Data, 109

Current Business Reports, 168

Current Construction Reports, 168

Current Housing Reports, 165

Current Industrial Reports, 170

Current Medicare Survey, 174

227
Current Population Survey, 152

Definitions and Explanations, 213

DAD (rrata Access Descriptions), 188

Data Access Descriptions, 188 '.

Data Availability (Overview), 101

Decennial Census of Population and Housing, 112

ED (Enumeration District), 108

Economic Censuses, 146

EconOOlic Surveys, 168

Enumeration District, 108

Farm Population, 163

Federal-State Cooperative Program for Population Estimates, 161

General Revenue Sharing Survey, 171

Geographic Areas, see Census Geography

Geographic Coverage, 104

Government Surveys, 171

Health Examination Survey, 173

Health Interview Survey, 173

Health Surveys, 173

Hospital Discharge Survey, 173

Housing Vacancy Survey, 166

looex to 1970 Cens4s Stmmary Tapes, 103

looex to Selected 1970 Census Reports, 103

Joint Population and Housing Reports, 128

Maps, 190

OCD (Minor Civil Division), 107

Minor Civil Division, 107

National Crime Survey, 175

New York City Housing and Vacancy Survey, 176

Place, 108

Pocket Data Book:. U.S.A., 186

Population Characteristics, 158

Population Estimates and Projections, 158

Poverty Definition, 97, and 217

Programs of the Bureau of the Census (Overview), 100

Publications (Overview), 101

Publications and Staff Papers, Bureau of Economic Analysis, 203

Public Use Sample Tapes, 135

228
























































































































































































































































































































































































































































THE MEASURE OF POVERTY

Technical Paper X V

Analytical Support for Cost-of-Living

Differentials in the Poverty Threshold

Economic Research Service

U.S. Department of Agriculture

By:

U.S. Department of Health, Education, and Welfare
DEPARTMENT OF HEALTH, EDUCATION. AND WELFlAoRE

I

OFFICE OF THE SECRETARY

~'ASHINGTON. D.C. 20201

October 19,1976

Virginia Trotter

Assistant Secretary for Education

Department of Health, Education,

and Welfare

William A. Morrill

Assistant Secretary for Planning

and Evaluation

Department of Health, Education,

and Welfare

I am pleased to forward Technical Paper XV, "Analytical SupJ:x)rt for

Cost-of-Living Differentials in the Poverty Threshold". It contains

supporting data for the report entitled The Measure of Poverty which

was prepared in compliance with section 823 of the Education Amendments

of 1974. This report is based on a study compiled by the Economic

Research Service, Department of Agriculture, for use by the Poverty

Studies Task Force, with fina~:ial support provided by the Office of

the Assistant Secretary for Education, Department of Health, Education

and Welfare. The views presented are those of the individual authors

and not those of the Task Force as a whole. In this report all readily

available Federal consumption data (as of July 1975) are analyzed for

differences in the costs of consuming food, clothing, housing and other

expenditures using several residential definitions.

/~ ?7J~ or

Bette Mahoney

Chairman

Poverty Studies Task Force
TABLE OF CCllI'ENTS

~

FORWARDING LETrER f

iii

vi PREFACE. ~

roVERI'Y S'IWIES TASK FORCE ~ viii

I

TECHNICAL PAPERS I

ix

ACKN<MLEOCoMENT 1

x

SUltf.1ARY 1. xi

TECHNICAL PAPER XV -ANALYTICAL SUProRT FOR COST-oF-LIVIOO

DIFFERENTIAIB IN THE roVERl'Y THRESHOID ,' 1

cd . Intr uctlOn. i. 1

I Procedures. ~ 2

VARIATIONS IN FAMILY LIVING COSTS ~ 4

Food 6

Cloth ing 10

Housing ~ 14

Transportation. ~. 22

C . S .i ormnun1ty erV1CeS ~ 29

Medical Services ~ 30

VARIATIOOS IN FAMILY LIVING coors: BLS-USDA COMPARISON ..~ 34

FCXJrnarES ~ 37
TABLE OF CCNI'ENTS

~

FORWARDING LETrER ~~ iii

PREFACE. '1 vi

TECHNICAL PAPERS .1 ix

ACmMLEl:x:;MENT I.~ x

SUr-fttARy I. xi

TECHNICAL PAPER XV -ANALYTICAL SUPOORT FOR COST-oF-LI~jIOO

DIFFERENTIALS IN THE OOVERTY THRESHOLD ~.~ 1

Introduction. r 0. . 1

Procedures. ~ 2

VARIATIOOS IN FAMILY LIVING COSTS ~t 4

Food ~ ... 6

Clothing. 4 10

, Housing ,..

14

Transportation J 22

COImnunity Services .1.. 29

Medical Services .1. 30

VARIATIOOS IN FAMILY LIVING cosrs: BIS-USDA COMPARISON... .1 34

EOOllImES 1 37
LIST OF TABLES

~

TABLE 1.

{

Food Expense Per Capita Per Week, u.s. Survey of Consumer

Expenditures, July 1972-June 1973 1 7

TABLE 2. Cost of Food-at-Home Relationship Using Three Methods of

Valuing Horne-Produced Food, Household Food Consumption

Survey, 1965-66 I 8

TABLE 3. Source of Home-Produced Food (Retail Value), Household

Food ConsUIrption Survey, 1965-66 I 8

TABLE 4. Poor Families: Characteristics and Money Value of Food,

North Central and South, by Urbanization 10

TABLE 5. The Range of Prices for Selected Clothing IItems: BIB,

SRS, and Mail-Order, Adjusted to 1971-72 .1 12

TABLE 6. Adjusted Average Clothing Expenditures for Selected

Outerwear by Region and Income for Family pf Four,

Rural and Urban ! 13

Median Values of Total Housing Units Having All Plumbing

Facilities for Rural and Urban Places in Each Census

Region and for Units Built from 1965-1970

TABLE 7.

15

Median Rents of Total Housing Units Having All PIlDnbing

Fac~lities for Ru~al an~ Urban Places in Epch Census

RegIon and for UnIts BUIlt from 1965-1970 r

TABLE 8.

18

Rent Distribution Overlap (Index of Integration) of Rural

Areas in Each Region with Places of Selected Population

Size in Each Reg ion, 1970

TABLE 9.

20

Rent Distribution Overlap (Index of Integration) of

Each Lowest Rent Size of Place with the Same Size

of Place in Other Regions, 1970

TABLE 10.

20

Average Expenditure for Maintenance and Repairs, and

Construction Improvements for One-Unit Owner

Occupied Residential Properties; by Region

and Location of Property, 1969 to 1972 ...~

TABLE 11.

21

Annual Housing Costs of a Low Budget Four-Person

Family, Autumn 1973 i

TABLE 12.

23

TABLE 13.

24

Distribution of First Mortgage Loans on One-Unit, Home

Owner Properties by Interest Rates Paid and

by Location of Properties, 1971 I
~

TABLE 14. Distribution of First Mortgage Loans on One-unit, Home

Owner Properties by Years-to-Maturdty of Loans and by

Location of Properties, 1971 24

TABLE 15. Incidence of Households Owning Cars and Light Trucks

by Residence and Income, July 1972 25

Annual Trips, Vehicle-Miles, and Average Trip Length

Per Household According to Residence and Purpose

TABLE 16.

27

Annual Transportation Expenditures by All Families in

United States, by Urbanization and Location Inside

and Outside Metropolitan Areas, 1960-1961

TABLE 17.

28

Annual Transportation Expenditures by All Families in

United States, by Urbanization and Money Income

After Taxes, 1960-61

TABLE 18.

28

Per Capita Local Government Finance Inside and Outside

SMSA's, 1971-72

TABLE 19.

29

TABLE 20.

31

Non-Federal Physician-Population Ratios by Size of

County, 1972

TABLE 21.

31

Distribution of Non-Federal Physicians per 100,000

Population by SMSA and'Non-SMSA Areas, 1972

Hospital Beds Per 100,000 Population, by Metropolitan

aand Nonrnetropolitan Areas, ~970

TABLE 22.

32

Major BLS Consumption Categor ies for Which SRS Collects

Pr ice Data on Some Items

TABLE 23.

35

Item Coverage and "Matches" Between Comparable BlS

and SRS Consumption Categories

TABLE 24.

36
PREFACE

Section 823 of the Education Amendments of 1974 (PL 93-~80)

requires a thorough study of the manner in which the i

relative measure of poverty for use in the financial

assistance program, authorized by Title I of the Elementary

and Secondary Education Act of 1965, may be more accurately

and currently developed.

That financial assistance program is administered by the Commissioner

of Education, through the Office of Education, Department of Health,

Education, and Welfare. An important feature is the use of a formula

prescr ibed by Section 103 of the Elementary and Secondary Education Act

for the annual distribution of' Federal funds to school districts. A

significant factor in the formula is the number of school-age children

5 to 17 in poor families within each school district. The measure of

poverty which is used, and which is the subject of the study mandated

by Section 823, is the Federal government's official statistical definition

of poverty (also known as the Orshansky, OMB, Census Bureau, or Social

Security poverty lines).

Other work related to poverty measurement has been called for in

recent legislative acts. In the Comprehensive Employment and Training

Act, the Secretary of Labor is directed to develop and maintain comprehensive household budget data at different levels of living, including

a "level of adequacy." Any sum review of the level of adequacy must

necessarily be closely related to measures of poverty- The Housing and

Community Development Act of 1974 gives the Secretary of HUD authority

to adjust the poverty measure to reflect local variations in the cost

of living. The Conference Report accompanying it directs the Secretary

to develop or obtain data with respect to the "extent of poverty" by

metropolitan areas and to submit sum data to the Congress as part of

a March 31,1977, report.

Because of the broad scope of the subject matter, coverage of the

study of the measure of poverty mandated by Section 823 of the Education

Amendments of 1974 was extended to include implications of. the study

findings for the poverty-related programs of all affected Federal

departments and agencies. The Title I program of the Elementary and

Secondary Education Act was given the most detailed treatment, to meet

the legislatively-mandated specifications for the study as well as to

serve as a primary example of application of the concepts of poverty

measurement to Federal programs. The findings of the study are published

in a report entitled, "The Measure of Poverty." An important objective

of the study was full discussion and documentation of the major elements

of currently applied and potentially usable poverty measures. Material

containing essential supporting documentation for the study was assembled

as technical papers. These have been written to stand alone as complete

technical treatments of specific subjects.

vIJJIli!
The study was performed under the direct guidance of a Poverty

Studies Task Force of the Subcommittee on the Education of the Disadvantag~ and Minorities, Federal Inter-Agency Committee on Education.

Technical papers were prepared at the request of, under the direction I

of, and subject to review by the Task Force me~rs. Some papers

are primarily the work of one or two persons; these are attributed to

their authors. Others result from the collective input of Task Force

members or advisors and no specific attribution is given except to

the Task Force, as a whole.

The following listings show members of the Poverty Studies Task

Force by appropriate Federal departments and agencies, and the titles

and authors of the technical papers.

'!his report contains Technical Paper XV, "Analytic Support for

Cost-of-Living Differentials in the Poverty ~resholds." The report

was prepared by Thomas A. Carlin, Project Coordinator and General

Compiler, Gladys Caspar, Christine Hager, Linda Hatcher, Ronald Kampe,

Corinne LeBovit, and Clara Rice.

To obtain copies of the report, "'n:1e Measure of Poverty," or any

of the technical papers, please write to:

Office of the Assistant Secretary for Planning and Evaluation

Department of Health, Education, and Welfare

200 Independence Avenue, S.W.

Roam 4430 -South Portal Building

Washington, O. C. 20201 I

ix
TEx:::HNICAL PAPERS

I. Documentation of Background Information

and Rationale for Current Poverty Matrix

II. Adninistrative and

the Terms "Poverty,

Other Related Terms

I-k>llie Orshansky

~ial Security Administration

Poverty Studies Task Force

with assistance from Ellen Kraus

III A Review of the Definition and

Measurement of Poverty

Urban Systems Research

aOO Engineering, Inc.

IV. Bureau of Labor Statistics Family

Budgets progr am

Mark Sher~

Bureau of Labor Statistics

V. The Consumer Pr ice Index Jill King 1

Mathematica, In'F.

VI. Wealth and the Accounting Period in

the Measurement of Means

Nelson McClung and Eugene Steuerle

Department of the Treasury

Janice Peskln

Health, Education, and Welfare

Jill King

Mathematica, Inc.

VII. In-Kind Income and the Measurement of

Poverty

VIII. The 1972-73 Consumer Expenditure

Survey

IX. Inventory of Federal Data Bases Related

to the Measurement of Poverty

(A) Non-Census Data Bases

(B) Census Data Bases

Connie Citro, Mathematica, Inc.

Bureau of the Census

Effect of Using a Poverty Definition

Based on Household Income

Jack McNeil, Doug Sater, Arno Winard

Bureau of the Census

XI. Update of the Orshansky Index r-!ollie Orshansky

Soclal Security Administration

XII. Food Plans for Poverty Measurement Betty Peterkin i

Department of Agriculture

XIII. Relative Poverty Jack (lk;Neil

Bureau of the Census

XIV. Relative Measure of Poverty Stanley Stephenson

Health, Education, and Welfare

xv. Analytic Support for Cost-of-Living

Differentials in the Poverty Thresholds

XVI. Implications of Alternative Measures

of Poverty on Title I of the Elementary

and Secondary Education Act

Thomas Carlin

Department of Agriculture

Abdul Khan and Herman Miller

Health, Education, and welfare

XVII. 

The Sensitivity of the Incidence of

Poverty to Different Measures of

Income: School-aged Children and

Families

Survey Research Center

University of Michigan

Character istics of Low-Income

Populations Under Alternative

Poverty Definitions .,-'

XVIII Lawrence Brown

Health, Education, and Welfare

xi

Legislative Usages of" "~w IncOOle," and
A C KNO WLEIX; EMENT

This report is based on a study compiled by the Economic Research

Service, USDA, for use by the Poverty Studies Task Force, Office of the

Assistant Secretary for Planning and Evaluation, DREW, pursuant to Section 823 of Public Law 93-380, Education Amendments of 1974. Financial

support was provided by the Office of the Assistant Secretary for Education, DHEW, under reimbursable agreement number AOO-75-035.

.Public Law 93-380 required that a study be undertaken of the measures of poverty used in administering Title I of the Elementary and

Secondary Education Act of 1965. Congress specifically requested that

adjustments for regional, climatic, metropolitan, urban, suburban, and

rural differences be included in the analysis.

The following people helped prepare material for this report.

Thomas A. Carlin -Project Coordinator and

General Compiler

Gladys Caspar -Statistical Support

Christine Hager -Clothing

Linda Hatcher -Secretarial Support

Ronald Kampe -Housing

Corinne LeBovit -Food

Clar a Rice -Statistical Support

xii
SUMMARY

-

The j?resent residential differential in the poverty threshold was

introduced in the mid-1960's. This differentiQi for farm families was

based on the assumption that farmers produce some of their own food,

thus, needed less money income in order to enjoy a standard of living

comparable to urban residents. Since that time, many have argued for

including additional residential differentials to accommodate cost-ofliving differences among regions, cities, etc. Others have argued that

the current farm differential unduly discriminates against farmers and

that any residential differential is inequitable. These issues become

increasingly critical as more and more Federal programs incorporate the

poverty definition into formulas for distributing funds.

Statistically reliable consumption data are important in helping

to justify the need for residential differentials in a poverty threshold

based on a needs standard. In this report all readily available Federal

consumption data (as of July 1975) are analyzed for differences in the

costs of consuming food, clothing, housing, and other expenditures using

several residential definitions. Major emphasis is placed on data available since the Bureau of Labor Statistics' 1960-6[ Consumer Expenditure

Survey.

Analysis of the 1965 Household Food Consumption Survey suggests the

key issue concerning differentials in food expenditure between urban and

rural areas was home-produced food. This, of cource, was the central

argument for the original farm differential in the current poverty threshold. Producing food at home does involve costs, both direct cash outlays

and indirect opportunity costs, or the income possibilities foregone by

committing land, labor, or capital resources to home production. Two

pricing systems were used in an attempt to capture these costs. When

home-produced food was valued at retail prices, what would have be~n spent

for the same food in a retail store, there was only a 7 to 8 percent difference in expenditures between urban and rural families. Valuing food' at

farm pr ices increases the differential between urban and rural nonfarm

families to 10 percent and to 20 percent between urban and farm families.

The meager data available suggest that ~ere is no appreciable difference in clothing expenditures between urban and rural families. For example

all families have access to clothing of similar quality at similar prices

through mail-order catalogs. Families in rural areas also shop in stores

similar to those used by urban families. Data are not available to isolate

the effect of urbanization on clothing needs. Regional variations in clothing expenditures also appear to be minimal. The only available survey data

(as of July 1975) for answering this question are from the 1960-61 CEX which

are quite outdated. Part of the lack of regional variations in clothing expenditures can be attributed to the wide climatic variations within regions.

Housing was one area where considerable residential variation occurred

both by region and by urbanization. In terms of shelter (rents and value),

there was little difference in median outlays between many rural areas and

xiii
urban places of 2,500 to 50,000 population. Within some regions, rural

housing was more costly than in central city areas. Among regions,

hoUSing outlays tend to be lower in the,South. Median values and rents

appear to be about 20 percent higher in ~etro than in nonrnetro areas.

However, rental units are less prevalent outside cities. Financing arrangements also affect ownership costs. In rural areas, repayment periods are shorter and interest rates are higher on home loans.

Housing outlays for maintenance, repairs, and improvements are

lower in nonrnetro areas. However, these expenditures are not always

lower than similar outlays in central cities of SMSA's, particularly

in the Northeast and West. Utility costs are also an important factor

in housing differentials. Rural households heat more often with L-P

gas, a high-priced fuel, and less often with natural gas. There is

little information, however, on how this might affect housing differentials.

There is little hard evidence that transportation costs are considerably higher in rural areas. Rural households do travel more miles, but

with less stop-and-go driving, they tend to get better mileage. The biggest difference in the transportation situation between rural and urban

families is the lack of public transportation in rural communities.

The lower tax rates evidenced in nonmetro areas appear to carry with

them lower quantity and quality community services, especially those special services vitally important to low-income people. Research in this

area is sketchy, but one recent study suggests that the real costs of

services in rural America are much higher than direct outlays might suggest. Health care is a good example. The shortage of physicians is more

acute in rural areas; patients tend to drive longer distances to obtain

health services, emergency health services are more likely to be deficient~.

work-related injury rates are higher, and a comprehensive approach to

health care delivery is less likely to be present.

There has yet to be a cross-sectional consumption surveyor a set of

hypothetical family expenditure budgets which adequately represents all

elements of Amer ican society using the same methodology and statistical

design. Most existing consumption data either sufficiently samples only a

limited residential group, such as urban wage earners, or covers only a

limited consumption category, such as housing. Family expenditure budgets

cannot be developed for a var iety of residential classifications from

existing data. Data utilized by the Bureau of Labor Statistics in their

annual budget for an urban family of four could not be satisfactorily

matched with annual data collected by the U.S. Department of Agriculture

for use in computing the index of prices paid by farmers for family living

because of two factors. First, quality control was a serious problem in

comparing data for items priced by both agencies. Second, the number of

items which did "match," given the quality control problems, was too small

on which to base global results.

xiv
There appears to be no strong basis upon which to make a decision concerning residential differentials in a poverty threshold using available

consumption data. Although differences in food and housing costs were apparent among various residential classificatio~s, it would be difficult to

develop simple residential differentials that would be equitable. The interaction between these two items and other components of the family budget is also unclear. Any decision on cost-of-living differentials would

still be arbitrary without better data as a basis for judgment.

xv
ANALYTICAL SUProRI' FOR COOT-QF-LIVING DIFFEPENTIALS IN THE roVERI'Y THRESHOLD

INrroDUCTION

The first residential differential was introduced into the current poverty definition in the mid-1960's. This differential for farm families, currently 15 percent, was based on the assumption that farmers produced some of

their own food, thus, needed less money income in order to enjoy a standard

of living comparable to an urban resident. 14/ Many have suggested that

similar regional differentials should be introduced, arguing, for example,

that it costs less to live in the South than in the North. Others have argued

that the current farm differential unduly discriminates against farmers and

that any residential differential is inequitable. These issues become increasingly critical as more and more Federal programs incorporate the poverty

definition into formulas for distributing funds.

The current poverty definition was built around both a needs standard

and information concerning the consumption behavior of people. 14/ The

needs standard involved food consumption and the concept of a nUtritionally

adequate diet. Once nutritional needs were specified, a low-cost diet was

developed which satisfied these needs, thus, the concepts underlying the

economy food plan. Observations of consumer expenditure patterns showed that

families spend one-third of their income on food. This observation told us

something about the consumer I s preference for food versus nonfood items.

These notions --nutritional adequacy and consumption preferences --were

all merged into the poverty definition. Thus, the issues surrounding differentials in the poverty threshold were not purely economic, that is, they

invol ve more than pr ice.

Two elements in addition to income interact in determining how much a

consumer will spend on a particular consumption category. The first is price

which, to a great degree, is purely economic. The other element is the quantity desired. Quantity encompasses aspects of both a physical amount and

quality considerations. Social and psychological elements playas large a

role, or larger, in helping to specify quantity consumed than does price.

Thus, when someone argues that it is cheaper to 1 i ve in place A than in place

B, one is uncertain as to whether prices are lower in area A or the life style

in area A differs from that in B or both. One recent study analyzed the cost

of the Bureau of Labor Statistics' (BLS) intermediate budget standardized for

differences in the composition of the market basket between regions and discovered that such standardization "leads to a reduction in the interarea differential in consumption costs between areas of highest and lowest cost." 15, p._ll/

This result suggests that life style does playa role in explaining reg1onal

differentials in living costs. This distinction becomes important when establishing residential differentials in the poverty threshold. If the basis

of a differential is primarily life style, then people not conforming

to the prominent life style in a r~ion could be penalized. What is more,

if the prevailing life style is continually changing, then the differential

must continually change to accommodate the situation. This has been the

justification for the reexamination of the farm differential in the current

poverty definition.
There were two specific objectives of this study. First, to analyze

available data on the cost of consuming food, clothing, housing, and other

items for differences among various residential classifications for the

United States, and second, to determine to what e~tent the analysis of

available information could s~port differentials in the poverty definition

based on residence.

PI«EDURES

Two approaches were used in this analysis. The first approach involved

exploring available data from a variety of sources to obtain insights into

variations in living costs. This survey approach concentrated on data made

available since the 1960-61 Consumer Expenditure Survey (CEX), the nX>st recent readily available nationwide source on expenditure patterns. Detailed

data from the 1972-73 BLS Consumer Expenditure Survey was not available in

time for use in this paper. Some information from the diary portion of the

survey will be referred to later in the paper. Such sources as the 1965

USDA Food Consumption Survey, the 1970 Census of Hbusing, the Federal Highway Administration's 1969 National Transportation Study, and others were

used. The second approach explored the possibility of obtaining variations

in family living costs by residence using a budgeting technique. The basic

idea behind this approach was to specify a particular market basket of goods

and services for a given size family under a specified life style. These

goods and services would then be priced in different residential areas.

Differences in costs would then be assumed to reflect differences in pr ices

paid. The effect of variations in life style would also be explored by

varying the components of the market basket. '!his approach would utilize

data collected by BLS and the u.S. Department of Agriculture (USDA) and was

referred to as a budget "match."

Three basic sets of residential definitions are referred to throughout

the report. The definition of residence in any study such as this is extremely important. There is a variety of residential or geographic variations

which could be explored. For exanple, political boundaries such as states or

counties, incorporated places with alternative population densities, and regions like North or South are most often the bases for residential ciassification. Sometimes the type of industry, such as farming, forms the basis of

the definition. On other occasions, geographical characteristics such as highplains, 

mountains, or coastal plains constitute the definition. Distinctions

based on one residential classification system may not apply under an alternative system, thus, generalizations are often not possible. Additional data

are required to provide consistent, statistically reliable expenditure estimates for many proposed alternative classification systems. Standard Metropolitan Statistical Areas (SMSA's) refer to a county or group of contiguous

counties which contain at least one city qf 50,000 inhabitants or more, or

"twin cities" with a combined population of 50,000 or more. Nonmetro areas

refer to areas outside official SMSA counties. The metropolitan classification differs technically from the urban-rural classification. The urban

population consists of all persons living in places of 2,500 inhabitants

or more incorporated as cities, villages, boroughs, and towns. The rural

population includes those persons living outside unban areas. The rural

2
population can be divided into two groups, the rural farm population, which

includes £ural people residing on farms, and rural nonfarm people. When

the terms farm and nonfarm are used as a dichotomy, the nonfarm population

includes the rural nonfarm and urban gro~s. ~ese two classification systems are not mutually exclusive, that is, elements of the rural population,

for example, can be found in SMSA's. In the report, some data are presented

using one classification system, some another, and some using both. This is

an inherent, almost unavoidable, problem when a var iety of data is used.

A third system based on political units is also referred to... Incorporated

places are defined as political units incorporated as cities, boroughs,

towns, and villages. Unincorporated places are closely settled population

centers without corporate limits.

3
VARIATIOOS IN FAMILY LIVING COOTS

Insights into the quality and quantity of goods and services consumed

by rural and urban households can be obtained fraw a variety of sources.

The most recent, readily available nationwide source of data on the consumption patterns of urban and rural people is the 1960-61 Consumer Expenditure

Survey (CEX), now 15 years old. Detailed data from the 1972-73 CEX were not

available for statistical analysis at the time of this writing (July 1975).

However, the 1965 Household Food Expenditure Survey, conducted by USDA,

provides some insight into food cons~tion patterns. Housing characteristics

are available from the 1970 Census of Population and Housing. Differences in

the characteristics of rural and urban transportation can be obtained from the

1969-70 National Transportation Study. Other data provide insights into

clothing costs and the nature of medical services.

This section is presented in two parts. First, a review of study findings

based on the 1960-61 CEX data concerning rural-urban differences in consumption

will be developed, and second, analysis of the other data sources available

since the 1960-61 CEX will be presented. I

REVIEW OF 1960-61 CEX STUDIES

Murphy 13/ analyzed tabulations on spending and savings patterns of fam

ilies in urban and rural areas. In general, the level of income and expenditure was lower in rural than in urban areas. Data for all U.S. families

showed urban and rural nonfarm families spending about the same proportion of

before tax income for current living, while farm families spent about 10 percent less. The proportion of expenditures associated with shelter was considerably less in rural areas because a higher proportion of rural residents

are home owners. However, the higher proportion of expenditures associated

with transportation costs in rural areas helped to offset some of the difference. Some of the gross differences between rural and urban family expenditures were reduced when nearness to a metropolitan area (SMSA) was considered.

In general, families outside SMSA' s had lower incanes and lower associated

expenditures than their metro counterparts.

Murphy also controlled for income in the tabulations. Similar contrasts

in spending patterns between urban and rural families emerged at each income

level. Those with incanes below $3,000 (1960-61 dollars) went into debt to

maintain spending levels. Farm families, however, incurred almost three times

the dissavings of urban families and more than four times the dissavings of rural nonfarm families. At the higher incane levels, farm families saved considerably more of their income than their urban and rural nonfarm counterparts.

Murphy attributed the apparent greater thriftiness of rural people to their association with self-employment rather than to where they lived. The tabulations

showed a similar frugality on the part of urban self-employed families. Thus,

difference in consumption and savings between rur~l and urban families wa~, in

part, due to the higher proportion of self-employed families in rural areas.

Murp6y did note significant diminishing of urban-rural income and spending

differences between 1941 and 1961. Murphy attributed this "narrowing of the

4
gap" to outmigration from rural areas and increasing tendency of farmers

to hold ~farm jobs.

Madden et al. utilized the 1960-61 Consumer Expenditure Survey to explore equivalent levels of living between rural and urban families. 10/

The key assumption in their analysis was that two families are at the-same

level of living if they can afford the same level of food expenditure. The

authors developed a set of multiple regression equations to estimate various expenditure components. The required income, based on equal food expenditure, was then obtained by adding the estimated expenditures for a

given set of family and urbanization characteristics.

Madden found that the required income, consistent with the economy

food plan, varied by region, urbanization, and by family size and type.

For example, farm families of a comparable size and type would require 70

percent as much income in the North Central and 90 percent as much income

in the South as an urban family. In the North Central region, rural nonfarm families of four, with the oldest child 6 to 17 years, who owned homes,

required more income than their urban counterparts; the same family renting

in the South would also require more income. The authors indicated that

their analysis controlled only for food and failed to consider the quality

differences of other goods and services between rural and urban areas.

Lee and Phillips analyzed differences in consumption patterns in farm

and nonfarm households using the 1960-61 CEX. 9/ The authors were concerned with but four basic dependent variables: income, household size,

region, and urbanization. Their results "indicated that consumption patterns differ significantly...for the U.S. as a whole, although differences

are not as marked on a regional basis". 9,. p; .5~1/ When the authors controlled for income variability (farm household Incomes are more variable than

nonfarm), similar differences emerged, although a small number of items became

insignificantly different. Differences between farm and nonfarm groups were

the same when levels of income and family size were also held constant. The

authors suggested that pr ice var iations may also play an important role in

differences in consumption patterns, but the analysis of price differences

required time ser ies data which are not available.

Several points emerge from these studies. Although there appear to be

differences in the expenditure patterns of rural and urban families~ other

variables besides residence affect these results. The other variables include income, family size and type, and price. The effect of one of these

variables differs for different levels of urbanization. Thus, consumption

behavior varies among families within a residential category as well as

among residents. A single residential differential in a poverty threshold

would not treat all families equitably. Secondly, differences in consumption patterns between rural and urban families may well be diminishing.

Further exploration of the changing consumption patterns of rural families

must await the 1972-73 CEX data. Finally, cross-sectional data, such as the

decennial CEX, does not provide all the insights necessary to analyze

completely rural-urban differences in expenditure behavior. Price is one

5
important factor in explaining consumption behavior, and such analysis

can only be=accomplished using time series data.

Expenditures for food, clothing, and housin~ constitute an important

component of family expenditures. For example, these items amounted to

72 percent of total family consumption for an urban family of four persons

on a lower standard budget in autumn 1974. 28/ These three items amounted

to 49.5 percent of total expenditures for family living reported by farmoperator families in 1973. 21/ Transportation costs accounted for 28.8

percent of total expenditures for farm-operator families, the largest expenditure component. Motor vehicle purchases accounted for over 70 percent

of total transportation expenditures in 1973. Farm incomes were also the

highest on record in 1973. This may account for the apparently high transportation costs reported by farm-operator families in the 1973 survey.

Expenditures in these categories and others will be explored below.

FOOD

Residential differences in the cost of feeding a family were examined

from several perspectives using two sources of data, the diary portion of

the 1972-73 BLS Consumer Expenditure Survey and the 1965-66 USDA Household

Food Consumption Survey. 20,29/

I

Comparisons from 1972-73 Consurer Ex~nditure Survey

Limited data from the diary portion of the CEX are available for tentative analyses of rural-urban differences in fnod expenditures. Data are

tabulated for urban and rural families inside and outside SMSA's. Per

capita spending for food appears much higher for urban than for rural families inside SMSA's, but varies little in relationship to degree of urbanization outside of SMSA's (Table 1). Therefore, what appear as overall

urban-rural differences reflect largely the inside-outside SMSA difference.

Value of Horne-Produced Food: Results from the 1965-66 Household Food

-.-

Consumpt1on Survey

It is generally assumed that rural people need to purchase less food

because of home production. The importance of home-produced food in the

family budget for any residential group hinges on the extent to which families participate in home production and the value attributed to it. Homeproduced food included not only crop and animal foods raised for family use,

but also food obtained from hunting, fishing, and gathering from the wild.

About 40 percent of the households in the United States used some homeproduced food during a week in summer 1965, the SQason with the highest rate

of use. Nearly all of the farm families, two-thirds of the rural nonfarm,

and one-fourth of the urban had some home-produced food dur ing the summer.

For farm famil ies, home production contr ibuted one-third or more of the protein, calcium, riboflavin, and Vitamins A and C in the diet during the survey

year as well as considerable quantities of other nutrients.

6
Table 1. Food Expense Per Capita Per Week, U.S. Survey of Consumer

Expenditures, July 1972-June 1973

Area Total food (~) ! Index: Urban = 100 .~~---

All U.S.

Urban

Rural

10.46

10.71

8.72

100

102

83

11.10

11.49

8.71

Inside SMSA

Urban

Rural

106

110

83

Outside SMSA

Urban

Rural

9.02

9.22

8.72

86

88

83

SOURCE: "Additional results from latest Survey of Consumer Expenditures released by BIS," U.S. Department of Labor 75-276,

May 15,1975.

Actual out-of-pocket per person food costs for rural farm families in

1965-66 were approximately 40 percent less than for urban families (Table 2).

This difference was narrowed considerably when home-produced food was valued

at retail prices or what it would have cost the family had all food been

purchased in a retail store. When home-produced foods were valued at average prices paid by families in the same region and degree of urbanization,

purchasing the same or similar items, the difference in per meal-equivalent

cost of food used at home was about 7 to 8 percent less for rural than for

urban famil ies (Table 2).

Producing foods does involve costs, both direct cash outlays and opportunity costs, or the income foregone by committing land, labor, or capital

resources to home production. Thus, the actual differential between rural

farm and urban families lies somewhere between 7 and 40 percent. In this

analysis, it was assumed that prices at the farm level would reflect the costs

of production. Recalculating per meal equivalent costs using farm prices to

estimate the cost of home-produced food resulted in a rural farm-urban differential of about 20 percent (Table 2). Differences among techniques and among

families should be noted because calculations of urban-rural differences in

living costs have been based on a variety of methods of valuing home-produced

food (and other farm-furnished items) without necessarily being explicit about

the assumptions in the system.

Home-produoed food contributed slightly over 1-1/2 percent of the average urban family's food bill (at retail prices). Most of this came from gardens and quite a bit from fish and game (Table 3). Farm families obtained

one-third of their food (retail value) from home production. Most of this

was from animal products --primarily meat and milk.

7
Table 2.- Cost of Food-at-Horne Relationship Using Three Methods of

Valui~Horne-Produced Food, Household Food Cons~tion Survey,

1965-66 .

--:1

looex: Urban = 100 I I

!~~ Urban Rural nonfarm Rural farm

Home-produced food:

Not valued 100 87 62

Valued at:

Farm prices

Retail pr ices

100

100

90

93

79

92

SOURCES:

Food Consumption of Households in the U.S., Seasons and

Years, 1965-66, Agr. Res. Serv., USDA, March 1972. Farm

prices fran Agricultural Statistics. I

Yet, even aIOOng farm families there was great variation in home production. About a fourth used little or no home-produced food during an average week in 1965-66. At the other extreme, about one-twentieth used home

produced food with a retail value of over $8 per person per week --about

the average of all food purchased and raised for all u.s. families.

I

Tabl~ 3. Source of Home-Produced Food (Re~il Val~e), Household Food

Consumption Survey, 1965-66 I

In Percent:

Item Urban Rural nonfarm Rural farm

All home-produced food: 100 ~OO 100

10

7

18

7

42

58

3

8

38

17

66

34

Fish and game

Poultry, eggs

Other meat

Milk and cream

Total animal

Garden crop

18

4

10

a/

12

68

2:1 Less than 005 ~rcento

Food Consumption of Households in the U.S~, Seasons and Year

1965-66, Agr. Res. Serv., USDA, March 1972.

roJRCE :

8
Value of home-produced food used

at home per person per week Percentage of

households

Under

$1 -

$3 -

$5 -

$8 or

26

34

23

13

4

A special tabulation was made from the data tapes of the spr ing 1965

portion of the 1965-66 Household Food Consumption Survey. Families were

classified by the revised SSA poverty thresholds applied to 1965. The criteria involved income specifications for each family size for farm and nonfarm families. Comparisons were limited to the North Central and Southern

regions in order to have enough rural observations.

I

Poor families used food with a money value (purchased plus non-purchased

food valued at retail value) of about $6 per person per week in the South and

$7 to $8 in the North Central region (Table 4). Poor farm families were larger

than city families and had younger hOOlemakers who were less likely to be working. Fewer of the homemakers were also heads of household. In the South,

rural nonfarm families were between farm and city in all of these characteristics. Poor rural nonfarm families in the North Central region were smaller

and older than either city or farm. Among both city and farm families, those

in the South were larger and older than those in the North Central. Farm families provided over a third of the money value of their diets from home prOduction, which nearly all reported. Seventy percent of rural nonfarm families

used home-prOduced food dur ing the survey week, which accounted for about 20

percent of total food costs. Even urban families, on the average, derived

some benefits from home prOduction. !

The dollars spent on food were lower on farms in each region and lower

in the South than in the North. Food expense for North Central rur al nonfarm

and urban families was nearly the same. In the South, food expense for rural

nonfarm was about midway between farm and urban.

Pr ice per pound for 20 pr incipal food items was explored. There were no

consistent differences between poor and nonpoor families in the same loCale,

between the two regions, or among urbanizations in the same region. For example, all groups of North Central families paid an laver age of 21 to 22 cents

per quart for fresh fluid whole milk; all groups of families in the South

paid 25 to 26 cents. Farm families paid a little l~ss than city families for

chicken; SOuthern a little less than North Central in each urbanization group

On the other hand, sugar pr ices were the same everywhere. Onions were more

9

$1$3$5$8

more
Table 4~ Poor Families: Characteristics and Money Value of Food,

!f Home-produced food valued at retail prices.

SOUHCE: Household Food Consumption Survey, Spring 1965, speclal tabulation. Poverty

defined by SSA guidelines.

expensive in rural areas than in cities; apples showed the reverse; potatoes

were more expensive in cities in the North and for farm families in the South.

Price of items as such does not determine differences in expenditure. Families, particularly those on limited budgets, however, might make many of

their choices based on relative prices of items available to them.

In summary, the key issue concerning differentials in food expenditures

between urban and rural areas was home-produced food. Producing food at home

does involve costs, both direct cash outlays and indirect opportunity costs,

or the income possibilities foregone by committing land, labor, or capital

resources to home production. There is no standard procedure for estimating

these costs and, thus, benefits from home productio~. Similarly, not all

farm families participate in home production.

I.

CLOrHING

In this section, two main hypotheses were examined: (I) There is no

significant price difference for a given bundle of clothing goods between

rural and urban areas and' among regions; and (2) given a constant set of

prices, the quantity and description of clothing items differ among regions

mainly because of climatic conditions. Other studies have addressed the

issues of clothing expenditures and budgets. 2, 6/ These studies report

little variation in family clothing costs due ~ variation in residence.

10

North Central and South, by Urbanization

-North Central .1 SOuth

Rural Rural .! Rural Rural

Item Urban nonfann fann Iurban nonfann fann

Number of ~r famil ies 138 77 155 284 214 286

Proportion of total families

(percent) 12 19 19 24 35 34

Family size (persons) 3.0 2.7 4.0 3.3 3.8 4.8

Homemaker:

Median age (years) 50 63 47 57 55 51

Employed outslde of home (percent) 20 14 14 24 19 16

Non~ites (percent) 33 3 1 48 26 33

Female heads (percent) 50 36 6 53 32 7

Money value of food per caplta per

week ($) al

All f'Ood 7.12 8.06 8.15 6.32 5.84 5.98

Purchased 6.75 6.60 4.76 5.87 4.67 3.72

Away-from-rxxne .56 .78 .53 .67 .53 .52

At home 6.19 5.82 4.23 5.20 4.14 3.20

Non-~rchased .37 1.46 3.39 .45 1.17 2.26

Iiome-produced .09 1.04 3.25 .13 .80 2.10

Percent Using home-produced food 21 70 98 29 70 93
~ice Co~r iso~~

Preference studies indicate that families in nonrnetro areas shop in

stores similar to those used by urban families. 8/ Most, especially nonrnetro

families, shopped in the city. More metro dwellers shopped in suburbs than

did nonmetro famil ies. However, metro residents I shopped more often in fabr ic

stores, while nonrnetro families depended upon dePartment and chain stores.

Other studies indicate that urbanization ha~ little influence on fiber

preferences. 5, 8/ Over 50 percent of the mothe~s in the sample taken by

Clayton preferrea polyester and cotton blends for all types of clothing.

Mothers in all groups liked durable press and easy-care fabrics. Community

size and region had little or no effect on fiber preference. 31

Clifik3.tic Variation

BLS adjusts quantity weights to reflect dif~rences in needs caused by

climatic conditions. The underlying assumption ~s that persons in colder

areas need more clothing or would wear out heavy blothing faster than persons

in warmer areas. Based on the BLS quantity weights, one might expect that

certain cities and perhaps specific regions requ~e different clothing than

other areas.

Taking the question of differences by region a step further, clothing

expenditures in four regions --Northeast, North Central, West, and South --

are examined using data from the 1960-61 CEX for selected items of heavy

outerwear. Average expenditures, adjusted for the number of families of

four persons reporting nonzero amounts, are shown for each region and for

two low-income groups (Table 6). Average expenditures for the items were

highest in the Northeast. The smallest number of families reporting expenditures was in the South. Expenditures were often lowest in the South as well

When the data were arrayed by family income, the cost advantage in the

South, except for selected items, appeared to disappear. Thus, the data do

not support totally the hypothesis that heavy outerwear expenditures are

higher in the Northeast and North Central regions than in the South. However, the number of families in each income gro~ may be too small to make

statistically reliable comparisons. :

11
=~ --.~ Mail-order-

~- SRS range B151 range range (l~

38.70-53.70 20.90-30.10 19.58-49.90

21.57-54.00

8.99-15.95

30.56-79.95

4.49-9.99

2.99-7.97

8.46-9.69

62.10-75.60

7.14-12.44

67.12-90.21

Men's

Topcoats

Sui t jackets

Dress slacks

Suits

Work pants

Work shirts

Work suits

Dress shirts

Sports shirts

Undershorts

Undershirts

Hosiery

9.42-11.20

5.31-6.52

4.76-5.86

1.08-1.22

1.02-1.26

.49-.56

(cotton)

13.00-16.80

11.80-14.90

3.78-4.76

9.29-11.69

3.35-5.10

2.99-4.93

.99-1.12

.9~-1.07

.8[-1.02

4.99-6.99

2.99-9.99

.88-1.86

.88-1.75

.99-2.25

(dress)

10.99-26.99

10.57-23.79

5.00

Dress shoes

Work shoes

Rubber-s

7.1~-10.94

14.5~-17.21

4.19-4.93

Boys'

Overalls

Sweaters

Jackets

Shoes

3.74-4.34

6.00-7.99

8.37-14.10

8.10-10.50

2.87-4.34

5.53-7.83

12.36-22.05

13.49-16.38

3.39-6.99

3.99-6.99

13.99-23.99

4.99-9.97

Girls'

Shoes

Dresses

Coats

Socks

5.81-8.61

5.01-6.74

16.90-25.90

.52-.59

12.30-13.39

5.02-6.89

18.48-22.03

.93-1.08

4.99-14.00

3.99-6.99

15.99-32.97

.48-.83

37.20-55.60

19.80-33.40

8.60-10.10

4.59-7.14

40.84-58.93

19.08~27.49

4.19-6.11

3.87-5.61

34.50-57.40

14.99-52.00

7.80-10.00

3.99-4.99

10.00-26.00

1.59-6.50

3.00-14.00

.69-1.46

2.97-6.00

8.99-13.50

6.99-13.99

2.42-3.99

7.85-12.48

.58-.83

3.96-5.55

7.68-10.50

10.91-16.07

3.58-4.56

5.00-8.01

.84-1.07

4.04-5.24

8.94-11.70

9.84-13.40

Women's

Coats

Carcoats

Sweaters

Blouses

Dresses

Slips

Girdles

Panties

Nightgowns

Dress shoes

Casual shoes

12
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Several factors might explain the results. First, families in the North

may not necessarily require more expensive apparel. Heating, air conditioning,

frequency of dress changes, layering of garments, and preferences for easy-care

fabrics may balance the climatic conditions. Second, the quantity of clothing

purchased in a given year presents problems. Does a winter coat wear out in

five years or in eight? Do children need new boots every year because the

sizes of their feet change? To what extent can they use siblings' discards?

Data are not available to estimate such use-depreciation. A third explanation discounts the theory that climatic conditions do not require different

apparel. Interarea variations in climate may affect results for a given

region. For example, the Western region extends from Washington to California

and includes both mountains and deserts. Similarly, the South extends as far

north as Appalachia and Kansas where winters are quite cool.

In sUlm\ary, the available data do not seem to support the assumption of

wide variations in clothing costs by region or degree of urbanization. On

the other hand, there are too many problems with existing data to state emphatically that differences do not exist. While rural and urban families may

have access to the same quality of merchandise through mail-order catalogs,

the extent to which they purchase by mail is not known. Data are not available to isolate the effect of residence on clothing needs. And family size,

income, preferences, and activities may affect clothing purchases more than

urbanization. In addition, it is not possible to treat clothing and other

household expenditures separately. Clothing needs often come after food,

shelter, or transportation in the set of household priorities.

HOUSING

Many interacting factors contribute to the cost of housing. For example,

costs of owning or renting differ, and this difference can be accentuated by

bOth the type and quality of housing and the area in which it is located. Because of the different type, size, and quality of housing occupied by owners

and renters, bOth owned and rented housing were analyzed.

The 1970 Census of Housing tends to support a mixed picture of ruralurban home values (Table 7). Median values differ little between rural and

smaller urban places outside urbanized areas (2,500 to 50,000 population) except in the Northeast (New England and Middle Atlantic) where rural values

are higher. In fact, rural home values in the Northeast are higher than home

values in some of the larger SMSA's. Home values in SMSA's are higher than

rural values in all other regions.

These value differences may reflect building lot values. Burnham and

Jones found no substantial difference in remodeling and construction costs

among economic or geographic reg ions in Ohio in 1969. 4/ However, land

values were found to vary drastically within areas of Ohio, but Burnham and

Jones did not speculate as to ~ reason.

Some of the value differences between rural areas and ~1SA' s may be due

to the different age mix of homes. The housing value ratio of rural to outside central cities (mainly suburbs of SMSA's) for the U.S. is greater for

14
Table 7. Median Values of Total Housing Units Having all Plumbing Facilities

for Rural and Urban Places in Each Census Region and for Units Built from

1965-1970 (Index: Rural nonfarm = 100)

All housing ,'Housing bUllt from 1965-1970

Medlan Medlan

Region and size of place value ($) a! Index value ($) a! Index

United States

Outside SMSA

Rural nonfarm 14,100 100 21,900 100

2,500 to 50,000 pop. 13,900 99 22,800 104

Inside SMSA

Central cities 16,500 117 26,000 119

Outside central citiies 22,100 157 30,000 137

27,600

25,800

100

93

21,000

17,300

100

82

19,000

23,200

90

110

24,800

30,600

90

III

16,600

14,000

100

84

26,700

26,100

27~600

32,500

100

98

14,800

22,700

89

137

103

122

New England

Outside SMSA

Rural nonfarm

2,500 to 50,000 IX'P.

Inside SMSA

Central cities

Outside central cities

Middle Atlantic

Outslde SMSA

Rural nonfarm

2,500 to 50,000 IX'P.

Inside SMSA

Central cities

Outside central cities

100

105

15,100 100

93

24,100

25,300

109

148

27,500

32,400

114

134

16,500

22,400

10,300

13,100

100

127

20.200

23.100

25.000

28.800

100

114

124

143

15,600

19,800

151

192

East North Central

Outslde Slo1SA

Rural nonfarm

2,500 to 50,000 ~p.

Inside SMSA

Central cities

Outside central cities

vlest North Central

Outs1.oe Slo1SA

Rural nonfarm

2,500 to 50,000 pop.

Inside SMSA

Central cities

Outside central cities

100

106

19,900

22,600

22,800

28,300

100

114

13,300

14,100

115

142

14,600

20,100

110

151

South Atlantic

CAltslde ~

Rural nonfarm

2,500 to 50,000 ~p.

Inside ~

Central cities

CAltside central cities

15
Table 7. Continued

(Index: Rural nonfarm = 100)

All hOUSlng -" -~', Houslng built from 1965-1970

Median, Median

ion and size of lace value ($) al Index value ($) al Index

East South Central

QJtside SMSA

Rural nonfarm 11,100 100 16,100 100

2,500 to 50,000 pop. 12,800 115 19,100 119

Inside SMSA

Central cities 14,400 127 22,500 140

QJtside central cities 16,600 150 22,700 141

West South Central

Qltslde SMSA

Rural nonfarm 9,500 100 16,000

2,500 to 50,000 pop. 10,700 113 19,000

Inside SMSA

Central cities 24,200

Outside central cities 22,000

100119151138 19,20016,600

202175

10,000

14,000

17,000

19,600

100

140

22,600

21,800

100

96

170

196

24,500

26,100

108

115

Mountain

QJtside SI-LSA

Rural nonfarm

2,500 to 50,000 ~p.

Inside ~

Central cities

QJtside central cities

18,100

17,700

100

98

26,000

25,600

31,900

32,500

100

98

22,300

23,800

123

131

123

125

Pacific

Outside SMSA

Rural nonfarm

2,500 to 50,000

Inside SMSA

Central cities

Outside central cities

~ Rounded to nearest $100.

SOURCE: Special tabulations from the One-In-A-Hundred Neighborhood Characteristics Sample,

Census of Population and Housing, 1970, Bureau of Census.

.-

16
all housing than when only housing built from 1965-70 is considered. This

same relatIonship exists in all regions except the New England region where

the ratio is about equal for the two time periods.

,

,

Median gross rents follow the same pattern as median values (Table 8).

Rents, like values, are higher in urbanized areas, tend to be about the same

in rural and the smaller places outside urbqnized areas, are lower in the

South, and higer in the Northeast. In the New England, Middle Atlantic, and

East North Central regions, rents are higher in rural areas than in places of

2,500 to 50,000 population. The opposite is true in the remaining regions.

Large variations in median rent exist between rural and urban places or

between geographic regions. There is also a large rent overlap that can be

measured by an index of integration which measures the sum of the commonalities

expressed in terms of percentage shared in each class interval of two frequencydistributions. 

32/ The index of integration can be derived by summing for

each class interval the lowest percentage for either of. the two distributions.

For example, if the frequency distribution of housing rents in a rural place

was super imposed on the frequency distr ibution of housing rents in an urban

place, the index of integration would measure the area common to both distributions. The greater the degree of overlap, the greater the index of integration. An index.of 1.00 would be the measure of a perfect overlap of the two

fr~ency distributions, while an index of zero would be a measure of nooverlap.

The distribution overlap is great when rural places are compared to places

of 2,500 to 50,000 population and, to a lesser extent, central cities in the

same region (Table 9). This tends to tone down the differences in the median

rent as it shows there is a very large cOlIlIK>nality of rents in rural places

and places of 2,500 to 50,000 population, and rural places and central cities

within a region.

There is less rent distribution overlap when the lowest rent region for

each of the four size places is compared to the same size of place in each of

the other regions (Table 10).

The data in Tables 9 and 10 imply that there is more variation between

regions in any size of place category than between size of place within regions.

These data also imply a large number of common rents in all regions and all sizes

of place.

Data collected in 1972 show about 70 percent of the total cost for housing

maintenance and repair and ~rovements for one-unit home owners was spent on

improvements and 30 percent on maintenance and repair. About half of all maintenance and repair costs was spent on painting and papering. Expenditures for

inprovements and upkeep are generally related to the value of the property.

The higher the property value, the greater the expenditure per property.

Harne owners in the South report the lowest expenditures for maintenance

and repairs and construction improvement, while the North Central tends to

be the highest (Table 11). With the exception of central cities in the

17
Table 8. Median Rents of Total Housing Units Having all Plumbing Facilities

152

147

101

91

100

90

100

97

110

132

109

131

152

170

100

112

106

98

100

93

140

142

100

101

120

143

113

135

151

174

108

124

84

91

100

145

100

108

102

13~

150

169

100

129

147

166

119

173

Middle Atlantic

Outside ~

Rural nonfarm

2,500 to 50,000 lX>p.

Inside ~

Central cities

Outslde central cities

East North Central

Outside ~

Rural nonfarm

2,500 to 50,000 lX>p.

Inside SMSA

Central cities

Outslde central cities

West North Central

Outside ~

Rural nonfarm

2,500 to 50,000 lX>p.

Inside ~

Central cities

Outside central cities

86

87

100

101

120

128

142

165

100

107

103

141

120

164

118

138

South Atlantic

CAltside SKSA

.Rural nonfarm

2,500 to 50,000 fX)p.

Inside SKSA

Central cities

Outslde central cities

18

for Ru~l and Urban Places in Each Census Reg ion and for Units from

1965-1970 (Index: Rural nonfarm = 100)

All hOUSln9' HOUSlng Qy~lt_from 1965-1970

Medlan Medlan

ion and size of lace rent ($) Index rent ($) Index

Unlted States

Outside SMSA

Rural nonfarm 91 100 123 100

2,500 to 50,000 pop. 91 100 132 107

Inside SMSA

Central cities 107 118 149 121

Outside central cities 135 148 167 136

New England

QJtside SMSA

Rural nonfarm 115 100 156 100

2,500 to 50,000 pop. 99 86 144 92

Inside SMSA

Central cities 110 96 151 97

Outside central cities 130 113 168 108
Table 8. Continued

(Index: Rural nonfarm = 100)

All housing Houslng bUllt from 1965-1970

Median M~lan

Fegion and size of place rent ($) Index rent ($) Index

East South Central

Outside SMSA

Rural nonfarm 74 100 91 100

2,500 to 50,000 pop. 75 101 96 105

Inside SMSA

Central citles 87 118 128 141

Outside central cities 98 132 142 156

100

107

85

109

loa

128

174

178

70

75

96

121

137

173

148

151

West South Central

Outslde 5r-1'3A

Rural nonfarm

2,500 to 50,000 ~p.

Inside SMSA

Central cities

Outside central cities

Mountain

(),ltside SMSA

Rur al nonfarm

2,500 to 50,000 EX>P.

Inside SMSA

Central cities

(),ltside central cities

100

100

125

148

108

124

100

115

134

140

88

86

110

130

145

151

132

140

100

106

li8

123

98

110

120

135

100

112

122

138

156

163

Pacific

Outside SMSA

Rural nonfarm

2,500 to 50,000 pJp.

Inside SMSA

Central cities

Outslde central cities

SOURCE: Special tabulations from the One-In-A-Hundred Neighborhood Characteristics Sample,

Census of Population and Housing, 1970, Bureau of Census.

19
Table 9. Rent Distribution Overlap (Index of Integration) a/ oLRural Areas in Each Region with Places of Selected -

Population Size in Each Region, 1970

Slze of place ---"-

OUtslde S~ SMSA

legion 2,5UU to 50,000 Central CAltslde central

~pulation cities cities

United States .984 .854 .647

New England .838 .937 .872

Middle Atlantic .896 .941

.946

.765

E. N. Central .916 .674

W. N. Central .914 .819

S. Atlantic .966 .824 .548

E. S. Central .962 .727

.916

.831

W. S. Central .719 .512

~untain .923 .797 .627

Pacific .890 .814 .697

~ The index of integration measures the degree of overlap of two frequency distributions. An index of 1.000 indicates that two distribut~ons

are equal.

SOUOCE: Special tabulations from the One-In-A-Hundred Neighborhood Characteristics Sample, Census of Population and Housing, 1970,

Bureau of Census.

Table 10. Rent Distribution Overlap (Index of Integration) a/ of Each Lowest Rent Size of Place-With the Same Size of -

Place in Other Regions, 1970

Size of place

Outside S~~

legion Rural 2,500 to Central Outside cennonfarm 50,000 pop. clties tral cities

New England .546 .712 .772 .744

.657 .811 .744

.603

.789

.730

.807

Middle Atlantic

E. N. Central .755 .658

W. N. Central .823 .855

.805 .833 .668

.950

.863

.934 PI

.907

'r}I

.810

South Atlantic

E. S. Central

W. S. Central "2/

.793

t::/

.841

.668

~untain .793 .738

Pacific .678 708 .706

al The index of integration measures the degree of overlap of t~

-frequency distributions. An index of I.OPO indicates that t~

distributions are equal.

Pi Lowest rent region in this size of place.

20
Table 11. Average Expenditure for Maintenance and Repairs, and Construction

ImprovemenFs for I-Unit {),mer Occupied Residential Properties; by Region and

Location of Property: 1969 to 1972

.

Average ex~ndltures ~r -Iooex of average ex~nditures

United States

298 279 265 247 134 107 120

346

300

370

223

291

257

310

261

292

258

313

220

280

265

290

195

155

135

166

100

III

98

119

100

133

117

142

100

144

136

149

100

Inside SMSA's

Inside central cities

Outside central cities

Outside SMSA' s

Northeast

Total 382 295 329 2BB 118 106 113 121

407

330

435

324

303

251

326

277

344

279

371

290

309

203

353

238

126

102

134

100

109

91

118

100

119

96

128

100

130

85

148

100

Inside ~'s

Inside central cities

Outside central cities

Outside SMSA' s

North Central

Total 267 303 263 250 141 102 159

125

107

136

100

128

327

330

364

190

307

251

338

296

286

244

311

228

291

269

304

195

172

136

192

100

104

85

114

100

149

138

156

100

Inside SMSA's

Inside central cities

Outside central cities

Outside S~ I s

SOuth

250 237 216 193

211

212

211

174

129 105

III

118

105

100

116 III

305

319

294

194

247

245

248

186

L57

164

152

100

133

132

133

100

249

265

236

225

121

122

121

100

Inslde SMSA's

Inside central cities

Outside central cities

Outside SMSA' s

West

Total 334 291 275 294 118 116 133 139

348

302

369

284

304

259

326

250

295

276

305

206

320

419

263

212

123

106

130

100

122

104

130

100

143

134

148

100

151

198

124

100

InSlde Sr-5A I S

Inside central cities

Outside central cities

Outside SMSA I s

SOURCE: U.S.. Department of Commerce, 1972 Annual Report --Part 2. One Housing Unit

().mer Occupied Properties, Residential Alterations and Repairs, c50-72A, NoventJer 1973.

"""

21
Northeast, the average expenditure was less outside SMSA's. Presumably,

these same-trends would apply to rental units.

The U.S. Department of Labor published data on annual housing costs for

major metropolitan centers and nonmetropolitan ~rban areas for the four

major census regions (Table 12). In addition to rent, these household operating costs include fuel, water, refuse disposal, and insurance. For a lowbudget family, housing costs were generally lower in the South. Housing

costs between metro and nonmetro urban areas were inconclusive, metro costs

ranging both higher and lower than the nonmetro urban cost in each region.

There are other costs of home occupancy, particularly for home owners.

The ability to afford home ownership is significantly affected by the conditions under which financing can be obtained. In IOOre rural areas, nK>rtgage

interest rates tend to be higher and time to maturity shorter than is the

case in urban areas (Tables 13 and 14). Both of these factors act to increase the money needed for home owning in rural areas.

The cost of utilities, particularly for home heating, may also differ

by a rural-urban division. Rural households heat more often with LP-gas,

a high cost fuel, and less often with natural gas, a lower cost fuel.

However, this also reflects regional variations, as the LP use is concentrated in the Southeast where BTU consumption for home heating is below

the national average.

In summary, housing costs differ very little between rural areas and

places fran 2,500 to 50,000 population. within some regions, rural housing is more costly than that in the central city area. However, between

regions of the country, housing costs tend to be lower in the South. Some

of this difference is probably attributable to differences in the types of

homes. Southern homes normally do not have basements and central heating

systems. Adjustments for differences in these costs would probably make

the housing costs quite comparable. In general, housing cost differences

if used should vary by region and by metro and nonmetro areas and not by a

rural-urban dichotomy.

TRAr~SroRrATION

Rural households depend more heavily on private vehicles to achieve mobility than do urban households, due primarily to the lack of public transportation. Preliminary results from the 1973 farm-operator family living

survey showed that the largest family expenditure was for transportation,

amounting to 29 percent of all expenditures for family living. 21/ Low population density in rural areas may make some forms of public transportation

economically infeasible. Data from a 1969-70 survey by the Department of

Transportation supports this contention. This study used a residential

classification, unincorporated areas and incorporated places, that does not

exactiy conform to the rural-urban designation. The report showed that percentage of employed persons having no public transportation as:

22
Table 12. Annual Housing Costs of a I.aol Btrlget 4-Person Family

a/ The family consists of an employed husband, age 38, a wife not employed

outside the home, an 8-year-old girl, and a 13-year-old boy and lives in a

rented dwelling.

b/ As defined in 1960-61. For a detailed description of current and previous

geographical boundaries, see the 1967 edition of Standard ~tropolitan Statistical Areas, pr:epared by the Office of Manag~t and BlJdjeE:---

c/pl~with population of 2,500 to 50,000.

0/ Renter costs include average contract rent plus the cost of r:equired

amounts amounts of heatJ.ng fuel, gas, electricity, water, specified equipment,

and insurance on household contents. HooIeOwner costs include interest and

pr J.ncLPal payments plus taxes; insur:ance on house and contents; water, r:efuse

diS[X>sal, heating fuel, Jas, electricity, and s~ified e.,'Uipment; and hooIe

r:epalr: and maintenance costs.

SOURCE: .~utumn 1973 Urban Family Budgets and Comparative Indexes for: Selected

Ur:ban Ar:eas, Bur:eau of LaOOr: Statistics, u.S. De;."lartJilent of Labor.

74-304

23

Autumn 1973

T otal (~:~~:rr ~tS) e ter ~o~:r;~:~~~ings House urnJC JCngs

Area Total (renter ,-vsts) & operations

Urban United States $1,627 $1,261 $366

Metro!X)litan areas bl 1,653 1,289 364

Nonmetro!X)litan areas £! 1,509 1,136 373

Northeast:

Boston, Mass. 1,955 1,573 382

Buffalo, N.Y. 1,576 1,204 372

Hartford, Conn. 1,967 1,600 367

Lancaster, Pa. 1,543 1,195 348

New York-Northeastern N.J. 1,697 1,317 380

Philadelphia, Pa.-N.J. 1,482 1,131 351

Pittsburgh, Pa. 1,461 1,109 352

Portlam, Maine 1,810 1,415 395

Nonmetro!X)lij:an areas £! 1,527 l,171 356

North Central:

Cedar Rapids, Iowa 1,598 1,242 356

Champaign-Urbana, Ill. 1,890 1,517 373

Chicago, Ill.-Northwestern 100. 1,751 1,394 357

Cincinnati, Ohio-Ky.-Ioo. 1,403 1,071 332

Cleveland, Ohio 1,532 1,179 353

Dayton, Ohio 1,482 1,125 357

Detroit, Mich. ! 1,472 .1,146 326

Green Bay, Wis. 1,587 1,201 386

100 iana!X)l is , 100. 1,608 1,250 358

Kansas City, Mo.-Kans. 1,503 1,143 360

Milwaukee, Wis. 1,682 1,332 350

Minnea!X)lis-St. Paul. Minn. 1,609 1,260 349

St. Louis, Mo.-Ill. 1,496 1,145 351

Wichita, Kans. 1,542 1,181 361

Nonmetro!X)litan areas £! 1,635 1,265 370

South :

Atlanta, Ga. 1,522 1,134 388

AustJCn, Tex. 1,349 974 375

Baltilmre. Md. 1,749 1,357 392

Baton Rouge, La. 1,368 1,01: 353

Dallas. Tex. 1,423 1,067 356

Durham, N.C. 1,628 1,250 378

Houston, Tex. 1,392 1,OIl 381

Nashville. Tenn. 1,495 1,111 384

Orlando, Fla. 1,793 1,417 376

Washington, D.C.-Md.-Va. 1,840 1,480 360

Nonmetro!X)litan areas sI 1,414 1,031 383

\'/est:

Bakersfield, Calif. 1,496 1,140 356

Denver. Colo. 1,493 1,126 367

Los Angeles-Long Beach, Calif. 1,785 1,429 356

San Diego, Calif. 1,696 1,367 329

San Francisco-oakland, Calif. 1,980 1,609 371

Seattle-Everett, Wash. 1,726 1,340 386

Hooolulu, Hawaii 2,298 1,871 427

No~tro!X)litan areas EI 1,581 1,216 365
Tabre 13. Distribution of First Mortgage Loans on One-unit, Home

Owner Properties by Interest Rates Paid and by Location of

Properties, 1971.'

I.ocation of pro~rties

Interest rate Less than 10,000 and

SMSA's Non-SMSA's rural in non-SMSA's ~~- ~-~ oLII

Percent:

Less than 6 percent 44.7 27.1 24.6

6 percent 21.0 26.9 27.0

More than 6 percent 34.3 46.0 48.4

SOURCE : u.s. Census of Housing, Residential Finance, Vol. V,1970.

Table 14. Distribution of First Mortgage Loans on One-unit, Horne

Owner Properties by Years-to-Maturity of Loans and by

Location of Properties, 1971

~ .' -.. Lc)catJ.on of propertJ.esYears-to-maturity --Less than 10,000 and

of first rortgages SMSA's Non-SMSA's rural in non-SMSA's

Percent:

Less than 12 years 7.8 24.5 28.1

13 to 22 years 26.8 36.9 36.5

23 years or more 63.5 36.4 32.8

No stated term 1.9 2.2 2.6

Years:

z..'edian 25.5 20.3 19.4

SOURCE:

u.s. 

Census of Housing, Residential Finance, Vol. V,1970.

24
Unincorporated areas

Incorporated places

Under 5,000

5,000-24,999

25,000-49,999

50,000-99,999

100,000-999,999

1,000,000 and over

71.3 percent

87.5 wrcent

63.8 Percent

46.9 percent

34.8 percent

20.1 percent

5.3 percent

Employed persons, excluding persons who work at home or at no fixed address,

were asked about the availability of public transportation to and from work.

Over 70 percent of the workers living in unincorporated areas reported no

public transportation available. 31/ As population size increased, the percentage without public transportation declined to a low of slightly over 5

percent in large cities. The same result would most likely hold for non-worktrips.

Thus, access to a private vehicle is extremely important for those living

outside major cities. A higher proportion of nonrnetropolitan residents own

private vehicles ~rticularly relative to central city residents (Table 15).

This is ~rticularly true for lower income households, those reporting less

than $5,000 income in 1972. The incidence of multiple-vehicle ownership is

also considerably higher in nonrnetropolitan areas.

Incidence of Households Owning Cars and Light Trucks by

Residence and Income, July 1972

Table 15.

Metropoll tan areas Nonrnetropoll tan

Income class Central Suburban areas

Total cities rinq

Percent owning one or more vehicles

62

92

97

98

68

96

98

98

Less than $5,000

$5,000-9,999

$10,000-14,999

$15,000 and over

48

85

95

96

39

77

91

92

Percent owning two or more vehicles

9 6 14 2l

32 25 39 52

54 42 61 70

66 58 70 76

less than $5,000

$5,000-9,999

$10,000-14,999

$15,000 or nK>re

U.S. Bureau of the Census, ~urrent Population ~po~t~,

"Consumer Buying looicators, Household o..mership of Cars

and Light Trucks: July 1972," Series P-65, No. ~4, Government Printing Office, Washington, D.C., February 1973.

SOUOCE:

25
The limited data available on the characteristics of vehicles owned show

slight differences between places of residence, particularly for the lower

income groups. The one exception to this general rule is the probability of

light truck ownership. Sixteen percent of nonmstropolitan households with

incomes under $5,000 in July 1972 owned light trucks compared with only 2.1

percent for central city residents and 7.1 percent for suburbanites. A

similar pattern existed for those households reporting income of $5,000 to

$9,999 in 1972.22 Table 1/

There appears to be little difference between metro and nonmetro lowincome households in the average age of cars owned. Households outside

metropolitan areas with incomes under $5,000 owning one car reported the

average age to be 6.0 years, about the same as similar households in central cities. 22, Table 5/ On the average, these same nonmetro families own

the auto about 0.4 of a year longer than their central city counterparts.

Primary data on acquisition costs of vehicles between urban and rural areas

are almost nonexistent. However, one would probably find as much variability

in acquisition costs within a specific residence category as between urban and

rural areas.

The average number of annual miles driven by rural households greatly

exceeds that of urban residents (Table 16). With the exception of households in incorporated places under 5,000 in population, rural residents drove

almost 50 percent more miles in 1969-70 than did their urban counterparts.

Although rural households operate a motor vehicle more and for longer

distances than do urban people, there are few hard data showing relative vehicle operating costs. Those few studies that have been undertaken suggest that

there is little difference in vehicle operating costs by residence. 2L-121

Dqta from the 1960-61 Consumer Expenditure Survey partly confirm the

above conclusion with one exception discussed below (Table 17). There was

little difference in total transportation costs between urban and rural nonfarm families outside SMSA's. Inside SMSA's transportation cost rural nonfarm families 11 percent more than urban families. Transportation costs

were about 10 percent less for farm families than urban families inside and

outside SMSA's. Transportation expenditures other than autolTK)bile costs

were substantially less in rural than in urban areas, supporting the 1969

survey results showing a lack of rural public transportation. Location relative to an SMSA appears to be a bigger factor in transportation costs than

urban-rural residency. Regardless of urbanization, transportation costs

were about 20 percent less outside SMSA' s.

Total transportation costs appear to be higher in rural areas for low

income families than for sUmilar families in urban areas (Table 18). Rural

farm families with income under $3,000 in 1960 spent almost twice as much

on transportation as did their urban counterparts. Rural nonfarm families

spent over two-thirds more. This result suggests that lower transportation

costs in rural areas, to the extent they even exist, may well be a character istic of middle and upper income classes.

26
In summary, it appears the biggest dif£erence between rural and urban

families ~the lack of public transportation in rural communities. This

lack of public transportation is extremely critical for low-income rural

residents as they must own their own vehicle or gepend on relatives and

friends to supply transportation. Lack of a private vehicle would limit

their ability to shop and to obtain services at competitive prices within

the cOl11nunity or region and to seek employment opportunities.

Table 16. Annual Trips, Vehicle-Miles, and Average Trip

Length Per Household According to Residence and Purpose

Unincor- ~~rated places All

porated one-iiiil- places

Purpose areas Under 5,000- 25,000- 50,000- 100,000- lion and and

Annual triPs' 5,000 24,000 49,000 99,000 999,999 over areas .

Earning-a-living 561 401 661 511 481 438 324 506

Family business 601

Soc ial and

recreational

493 217 480 430 369 181

299

134

286

133

336 278 125 312

80

421

187

343

Other 178 145 70 296

Total all

~rposes 1,479 1,344 1,226 700 1,568 1,056 1,870

Average daily

trips 4.3 2.9 5.1 4.1 3.7 3.4 1.9 3.8

4,155

1,027

4,682

2,177

4,275

2,087

6,180 3,801

2,675 1,649

3,426 2,580

448

5,086 4,202 4,016 4,094

462

Vehicle miles

Earning-a-living 6,438 4,124

Family business 3,316 2,271

Soc ial arxi

recreational 4,455 3,946

635 755 540 523 762 Other 1,178

Total all

~rI:x>ses 10,976 14,696 11,601 10,840 9,399 8,210 12,423 15,387

Average daily

vehicle-miles 42.1 30.1 40.2 31.8 29.7 25.8 22.5

SOOR:E: u.s. DepartnB1t of TranS[X)rtation, National Peroonal Tran~rtation StI.Kiy, Re-

~rt No.7, W. 16-17 am Re~rt No. 10, ~. lb.

27
Table 17. Annual Transportation Expenditures by All Families

in Uftited States, by Urbanization and Location Inside and

Outside Metropolitan Areas, 1960-61

Tr anS{XJrtation e~ndi ture (~)

Urbanization Total Autorrobile Other

770

793

737

613

693

700

700

588

77

93

37

25

830

822

920

736

731

718

858

720

99

104

62

16

Total U.S.

Total

Urban

Rural nonfarm

Rural farm

Inside ~'s

Total

Urban

Rural nonfarm

Rural farm

665

683

671

600

626

629

643

574

39

54

28

26

OUtside ~'s

Total

Urban

Rural nonfarm

Rural farm

SOUOCE: Mur};i1y, Kathryn R., "Spending am Saving in Urban and

Rural Areas," Mbnthly Labor Review 88(10): 1169-1176,

October 1965.

168

111

243

292

32

44

16

12

200

155

259

304

Under $3,000

Total

Urban

Rural nonfarm

Rural farm

63

75

31

28

710

681

816

695

773

756

847

723

160

176

107

54

1,243

1,237

1,325

1,082

1,403

1,413

1,432

1,136

$3,000 to 7,499

.Total

Urban

Rural nonfarm

Rural farm

$7,500 and over

Total

Urban

Rural nonfarm

Rural farm

SOOK::E: MurIXtY, Kathryn R., "Speooing aID Saving in Urban and

Rural Areas," Monthly Labor Review 88(10): 1169-1176.

October 1965.

28

Table 18. Annual Transportation Ex[:enditures by All Families

in United States, by Urbanization and Money Income

After Taxes, 1960-61
COMMUNITY SERVICES

Lower tax rates, particularly with respect to property and sales taxes,

are one advantage often advanced for living outsid~ metro areas, and recent

Census Bureau data s~rt this contention (Table 19). Per capita total

revenue collected by local governments outside SMSA' s from own sources in

1971-72 was less than 60 percent of SMSA per capita revenues. Per capita

property tax, one of the more regressive taxes, was 36 percent less outside SMSA's. However, property taxes are a more important source of local

government revenue outside metro areas, and to the extent a higher proportion of the rural poor are home owners, the rural poor have a relatively

higher tax burden than their SMSA counterparts.

Associated with lower taxes outside SMSA's are low per capita expenditures for services, with the exception of highway maintenance (Table 19).

Per capita expenditures for education and hospitals outside SMSA's are about

80 percent of similar SMSA expenditures. The other nonmetro per capita expenditures in Table 19 are 40 percent or less of their metro counterparts.

Table 19. Per Capita Local Government Finance

Inside and Outside SMSA's, 1971-72 ($)

InsIde OutsIde -.~ 

U.S. SMSA's SMSA's

Selected Item ($) ($) ($)

Revenue from own sources

244.71

204.78

21.00

37.89

279.229.

26.

41.

162.57

146.71

8.40

29.26

Taxes, total

Property

Sales and gross receipts

Utility revenue

Direct ex~nditure for

239.42

30.87

43.64

27.28

7.23

25.12

12.69

16.04

11.41

248.

28.

53.

28.

8.

30.

15.

19.

14.

217.40

37.45

18.96

23.49

3.58

11.88

5.01

8.00

3.79

Education

Highways

Public welfare

Hospitals

Health

Police protection

Fire protection

Sewerage

Parks am recreation

u.s. Bureau of the Census, Census of Governments, 1972,

Vol. 5, ~~1. ~~er~!;~ in__Me.t~o~lit~ ~rea~, u.s.

Government Printing Office, Washington, D.C., 1974.

SOURCE :

29

,09

,09,27

,50

,64,12

,97

,86

,76

,67

,90,40

.59
The costs shown in Table 19 reflect direct costs to local governments.

They do not-take into account variations in the quality of services or all

costs to the community. For example, medical services provided in rural

communities, discussed in detail in the next section, are inferior relative

to those in more populated areas. Costs for fire protection do not include

estimates of the higher cost of fire insurance to rural residents, due to

less reliable fire protection, nor the opportunity costs of the volunteer

time given to fire protection in smaller towns and rural areas.

One recent study analyzed the social costs involved in controlling

crime, air po!lution and fire protection, the cost of hospital and education

services, and the cost of providing utility services. 12/ The social costs

of controlling crime were higher in smaller cities than-medium-size cities,

with the least cost city size being about 375,000 people. Social costs increased again as cities became larger. When private costs of fire protection

and private outlays for fire insurance were added to direct public outlays,

the cost of fire protection was much higher in smaller communities than in

cities of 1,000,000 or more. Considerable economies of size exist in hospital services until city size reaches 100,000 or more. These results support

the contention that the real cost of services is much higher in rural America

than direct outlays might suggest.

It is generally recognized that many Federal welfare programs, particularly those designed to aid the poor, are not as readily available in rural

areas. For example, this special problem of horizontal equity is particularly acute for housing subsidies and manpower training programs.!2/ Generally, benefit levels are lower in rural areas, in the South, and in areas

having higher proportions of minority groups. l§( This situation further

complicates the service delivery system in many rural areas. In summary,

direct per capita costs of community services are less outside SMSA's, but

direct costs do not take into account variations in quantity and quality of

the service available.

MEDICAL SERVICES

Health care, or rather, lack of it, is much more critical in rural areas.

The shortage of physicians is more acute; patients must travel longer distances to obtain health services, emergency health services are more deficient, work-related injury rates are higher, and a comprehensive approach to

health care delivery is less likely to be present. 11, p. 1/

The patient-to-physician ratio is higher in nonmetro areas in general,

and in rural areas in particular, than in metro areas (Table 20). There is

only one non-Federal physician for every 2,074 people in nonmetro areas of

less than 10,000 people compared with 421 people per physician in our largestcities. 

In addition, the composition of physician services provided is considerably different in nonmetro areas (Table 21). Though the number of general practitioners per 100,000 people is higher in rural areas, specialists

appear to be predominantly located in metropolitan areas.

30
Table 20.Non-Federal 

Physician-Population Ratios

by Size of County, 1972

-

PopulatIon per

County classification non-Federal physician

Total ~ 643

2,074

1,776

1,282

952

Nonmetropo1itan

Less than 10,000 residents

10,000-24,999 residents

25,000-49,999 residents

50,000 or more residents

974

692

606

497

421

Metropolitan

Less than 50,000 residents

50,000-499,999 residents

500,000-999,999 residents

1,000,000-4,999,999 residents

5,000,000 or more residents

a/ Excludes Puerto Rico and possessions.

SOUOCE:

Distribution of the Physicians in the U.S.,

1972, Regional, State, County, Center for

Heal th Serv ices Research and Developnent,

American Medical Association, Table F.

Table 21. Distribution of Non-Federal Physicians per

100,000 Population by SMSA and ~lon-SMSA Areas, 1972

Per 100,000 I;X)pulation

Non-Federal physicians SffiA Non-SMSA

151.8

27.6

30.4

6.4

21.9

86.7

43.2

Patient care

Office-based practice

General practice

Special practice

Hospital-based practice

Other professional activity 21 14.9

a/ Includes medical teaching, administration, research

ancI other health-care rclated work.

P!~~~_i~tion of the Physicians in the U.S.,

1972, Regional, ~~, County,-Ceriter for

Heal th Serv ices Research am Developnent,

Amer ican Medical Assoc iation, Table F.

SOUOCE :

31
A similar residential discrepancy also shows up for other selected

health per~onnel. Nonrnetro areas reported 223 r~istered nurses per 100,000

population-in 1966 compared with 332 for metro. There were only 35 dentists

per 100,000 nonrnetro persons in 1967 compared w~th alrrost 62 in metro areas.

Recent analysis of the change in the city-size distribution of professional medical personnel shows some trend toward decentralization over the

past 20 years in the upper Midwest. 3/ A general suburbanization of physicians and dentists was suggested in the data as well as increases in medical

personnel located in nonmetropolitan places of 25,000 or more population.

This indicates that suburban and nonmetro cities are, to a greater extent,

becoming the providers of special medical care for the rural population.

Although medical care is available to rural people, the above data suggest two important implications. First, rural people must travel longer

distances to obtain medical services. Secondly, medical personnel available

tend to be less specialized, with particularly heavy case-loads.

Although there are fewer trained medical personnel outside major cities,

there appears to be a larger supply of nonmetro hospital beds (Table 22).

Many of these beds do not meet Hill Burton (construction) standards. It does

not appear that rural areas need more hospitol beds relative to large cities,

but there may be some need for modernization and consolidation.

Table 22. Hospital Beds Per 100,000 Population, by

Metropolitan and Nonmetropolitan Areas, 1970

~~s pe;.!OO,OOO ~op!~ Metro{:x)lltan Nonme tr 0-

Type of hospital areas {:x)litan areas

Total 719.2 977.3

Federal 76.9 80.4

Non-Federal

Psychiatric

Tuberculosis

Other long-term

Comnunity ~

642.4

207.2

9.2

31.8

394.1

897..0

370.6

9.8

21.9

494.7

a/ Short-term general and other special hospitals.

SO~E : Matthews, Tresa H., Health Services In Rural

Anerica, USDA, Agr. Inf. Bul. No. 362, April

1974.

32
Recent data ~ly that there may be a greater relative need for medical

care in rtlEal areas. A 1968-69 DHEW survey showed nonmetro nonfarm residents

as having 255.8 persons injured per 1,000 population, 8.6 persons more than

reported in metro areas. 11/ "Persons injured",was defined as persons whose

injuries either required medical attention or caused a reduction in usual activities for at least one day; minor injuries not meeting these criteria were

excluded in the survey. Farm residents reported the lowest incidence, 225.2

injuries per 1,000 population. A farmer's loss of wor~ may not be directly

comparable with a nonfarmer's loss of work because the farmer's work schedule

is much roore flexible. Work-related injuries are appreciably higher outside

major cities. For example, 35.9 male blue-collar. workers, 17-64 years old,

per 100 employed persons were injured while at work outside SMSA' s in fiscal

1967 compared with 28.5 per 100 employed persons in SMSA's. 11/ Nonmetro

workers reported 27 percent roore days of restricted activity--and 20 percent

roore days lost from work than their metro counterparts. They also reported

11 percent roore bed disability days than did metro male blue-collar workers.

A 1970 employment survey made by the Bureau of the Census obtained

extensive socioeconomic information on the employment-related problems of

disadvantaged persons in seven predominantly rural areas and in 60 urban

areas. 24/ ~e results of this census survey suggest that there may be

little difference in health problems as a barrier to employment between poor

rural areas and poor sections of urban areas. Further research of this nature is needed to determine whether or not the same results hold for health

in general between poor rur al and urban residents.

One important factor in health care costs is the use and availability

of hospital and surgical insurance coverage. The rate of coverage in 1968

for both types of insurance was higher in urban areas than in rural areas,

with farm persons having the lowest rate of coverage of either type of

insurance. 11/ Over 81 percent of SMSA persons under 65 were covered by

hospital insurance, 7 percentage points higher than nonmetro nonfarm persons and 19 percentage points higher than nonmetro farm people. A similar

situation exists for surgical insurance with 80 percent of SMSA, 73 percent

of nonmetro nonfarm, and 60 percent of nonmetro farm people reportingcoverage.

33
VARIATIONS IN FAMILY LIVING COOTS: BIS-USDA CC»tPARISON

-

The Bureau of Labor Statistics (BLS), u.S. Department of Labor, and the

Statistical Reporting Service (SRS), u.S. Department of Agriculture, periodically collect price infonmation for items included in family budgets. The

purpose of BLS's effort is to maintain the Consumer Price Index (CPI), an

index of prices paid by urban wage earners and clerical workers. As a separate but related activity, BLS also publishes annual budgets representing

three standards of living for an urban family of four. Data collected by

SRS are for a similar purpose, to maintain the index of prices paid by

farmers for family living. Both agencies collect separate data and have

developed their own weighting system for their respective indexes. The

choice of the weighting system could be relatively important in detenmining

living costs if observed variations in price fluctuate among items. For

example, item X may cost more in urban areas than in rural while there may

be no difference in the price of item Y. Weighting system A may give more

weight to item X while the opposite is true for weighting system B. Analysis of family living costs using weighting system A may then show more residential difference than would a similar analysis using system B. Although

the importance of the weighting system is recognized, that topic was not

explored in the following discussion.

It has been suggested that the family budgets developed by BLS provide

a basis for a poverty measure. Technical Paper IV in this series addresses

this specific issue. This section explores the feasibility of developing

rural family budgets by substituting rural price data collected by SRS into

the BLS family budget procedure. If this could be done, differences in

living costs between rural and urban areas could be examined. Because the

quantity weights developed by BLS were more detailed and complete, they

were used as the guide. ~

BLS budgets contain nine'basic consumption categories (Table 23). USDA,

however, collects periodic price information on some items in only five of

these basic categories: food, housing, 'transportation, clothing, and personal care. These five categories represented 84 percent of total family

consumption at the lower standard in autumn of 1974. ~

An ite~by-item analysis of each consumption category showed that the

proportion of "matching" elements between the two data series was relatively low (Table 24). For example, BLS shows 132 items in its clothing

budget. SRS prices 56 clothing items. However, only 41 of these "matched"

items are in the BLS budget. This represents 31 percent of the BLS items.

In only one case did more than half of the items in any category match.

The term match should not be interpreted to mean a one to one correspondence between the two data ser ies. The procedure used by SRS to collect

data involves sending questionnaires to independent and chain stores operating in rural areas. Retailers are asked to report prices for the kind or

quality most commonly purchased by farm families or the price for the line

with the largest sales volume. The questionnaire describes only briefly the

specifications for each item. The prices should be in effect on the 15th of

34
Table 23. Major BLS Consumption Categor ies for

Which SRS Collects Price Data on Some Items

BIS consumption .SRS matching

gategories- categories

x

x

x

x

x

x

x

Food

Housing

Shelter--rent or ownership

Awliances

House furnishings

Household operations

Transportation

Auto owner s

Non-owners

Clothing and clothing materials

Personal care

Medical care

Other family consumption

Other costs

Occupa tional expenses and taxes

the survey month and do not include state sales taxes. Sales taxes are'

estimated during data processing. This procedure allows for considerable

variation with respect to prodHct quality.

BLS, on the other hand, specifies much more distinctly the mater ialscontent, 

quality, or construction of the item to be priced. On several

items, more than one such specification is given which does introduce

some quality variation into the estimating procedure. BLS used a variety

of pricing techniques for the initial budgeting. For items having a range

of qualities or specifications, average prices were computed in five "benchmark" cities. Comparable average prices in other cities were estimated by

applying an intercity ratio to the benchmark price. If there was little

variation in prices among reporters and items were priced in CPI outlets

only or in an ex~ded sample using CPI techniques, the budget price was

the average of reported prices. In some cases, prices were based on an

average of mail-order catalog prices. Applicable sales and excise taxes

were included in the estimate~ The prices collected were primarily for

the moderate standard budget. Thus, some adjustments were necessarily made

for inclusion in the lower standard budget. Actual price data for items in

the BLS budgets were last collected in 1969. Since that time, CPI indexes were used to update individual prices. .

The matched items referred to above, thus, mean those items for which the

brief description given by SRS make them a potential candidate for inclusion

in the BLS group. Because items may match by description does not necessarily

mean that SRS prices can be substituted in the BLS budget system. The time of

pr~cing also presents comparability problems. BLS budgets are designed to re35
present those prevailing during the autumn season. SRS prices items periodically thEGughout the year, but not all items are priced during the fall months.

Finally, SRS price estimates are valid only for rural areas at the state level

as opposed to the more local orientation of tAe BLS system. The basic differences between BLS and SRS methodologies in constructing their respective

series make the feasibility of combining the two systems extre~ely tenuous.

Table 24. Item Coverage and "Matches" Between Comparable BIB and SRS

Consumption Categor ies

Expe lture N2: or Items prlcea No. 0 Items Percentage matc

BLS SRS matched is of BLS

Food 95 62 37 39

12

37

10

2

11

7

7

3

5

20

5

3

9

11

1

1

2

16

4

1

5

5

1

1

17

43

40

50

45

71

14

33

Housing

Shelter

FurnishIngs

Textiles

Floor coverings

Furniture

Awliances

Housewares

Other

Household operations 16 6 5 31

132

32

24

33

30

13

56

25

5

20

4

2

41

16

5

15

4

1

31

50

21

45

13

8

Clothing

Mens

&)ys

WOInens

Girls

Materials, services

Trans(X)rtation,

auto owner 21 21 6 29

Personal care 14 2 2 14

Bureau of Labor Statistics, Three Standards of Living for anUrban Family of Four Persons, Bull. No. 1570-5, U.S.~vei:nri\ent

Printing Office, Wasnlngton, D.C., Spring 1967.

SOURCES :

Bureau of ..' ...,

Procedures, ,

u.s. Gover

U.S. Department of Ag~iculture, Agricultural Prices Annual Slmtmary 1973, Statistical Reporting Service, Pr 1-3(74), U.S. Government Printing Office, Washington, D.C., June 1974.

36
FOOrOOrES ro TECHNICAL PAPER XV1.

-Britton, 

Virginia

"Clothing Budgets for Children from the tSDA: Annual Costs at

Three Levels in Four Regions," Horne Econ, Res. Jour., Vol. 1,

No.3, Mar. 1973, pp. 173-184.

2.

"Clothing Quantity Budgets for Individuals," Family Econ. Rev.,

Fall 1974, pp. 3-7.

3.

Brown, David L.

"'llie Redistribution of Physicians and Dentists in IncorIX>rated

Places of the Upper Midwest, 1950-1970," Rural Sociology, Vol. 39

No.2, Summer 1974, pp. 205-223.

4. Burnham, Bruce 0., arrl Ted L. Jones

Housing Costs: Rural Urban Comparisons. Res. Bul. 1022, Wooster,

Ohio, Ohio Agricultural Research arrl Development Center, June 1969

5.

Clayton, 

L. Yvonne

Mbthers' Attitudes Toward Cotton and Other Fibers in Children's

Lightweight Clothing. Mktg. Res. Rpt. 1026. U.S. Dept. Agr.,

Econ. Res. Ser~., July 1974.

6. Er ickson, Ann

"Clothing the American Family: How Much for Whom?," Monthly Labor

Rev., Vol. 91, No.1. u.s. Dept. Labor, Bureau of Labor Statistics,

Jan. 1968, pp. 14-19.

7.

Healy, TinK>thy J.

The Energy of Public Transit Systems. Santa Clara, California,

University of Santa Clara, 1974. Urban fuel consumption was estimated

at 11.5 mpg, for rural areas, 15.5.

8. Kaitz, Evelyn, and Thomas M. Stack

Consumers' Buying Practices, Uses and Preferences for Fibers in

Retail Piece Goods. Mktg. Res. Rpt. 1013. U.S. Dept. Agr.,

Econ. Res. Serv., Feb. 1974.

9. Lee, Feng-Yao, and Keith E. Phillips

"Differences in ConslU11ption Patterns of Farm am Nonfarm Households

in the United States," Amer. Jour. Agr. Econ., Vol. 53, No.4,

Nov. 1971, pp. 573-582.

10.

Madden, J. Patrick, Jean L. Pennock, and Carol M. Jaeger

"Equivalent Levels of Living: A New Approach to Scaling the

Poverty Line to Different Family Characteristics and Place of

Residence," Rural Poverty in the United States. A Re{X>rt by

the President' s National Advisory Committee on Rural Poverty.

May 1968, pp. 545-552.

17
11.

Matthews, Tresa H.

Health Services in Rural America.

Agr., Econ. Res. Serv., Apr. 1974.

Agr. 

Int. Bul. 362. u.s. Dept.

12.

Morr is, Douglas Edmurrl

Economies of City Size: Per Capita Costs of Providing Community

Services. Unpublished Ph.D. dissertation. Stillwater, Oklahoma,

Oklahoma State Univ., 1969.

Murphy, Kathryn R.

"Spending and Saving in Urban and Rural Areas," Monthly Labor

Rev., Vol. 88, No. 10. U.S. Dept. Labor, Bureau of Labor Statistics

Oct. 1965, pp. 1169-1176.

14.

Orshansky, Mollie

"Counting the Poor: Another IA>Ok at the Poverty Profile," Social

Security SuI. u.S. Dept. Health, Education, and Welfare, Social

Security Admin., Jan 1965.

Sherwood, Mark

"Family Budgets and Geographic Differences in Price Leads,"

Monthly Labor Rev., Vol. 98, No.4. U.S. Dept. Labor, Bureau of

Labor Statistics, Apr. 1975, pp. 8-15.

16. Storey, James R.

"Welfare in the 1970's: A National Study of Benefits Available in

100 Local Areas," Studies in Public Welfare, Paper No. 15. Subcommittee on Fiscal Policy, Joint Economic Committee, u.S. Congress,

July 22,1974.

, Alair A. Townsend, and Irene Cox

"How Public Welfare Benefits are Distributed in Low-Income Areas,"

Studies in Public Welfare, Paper No. 16. Subcommittee on Fiscal

Policy, Joint Economic Committee, U.S. Congress, March 26,1973.

u.s. Department of Agriculture, Statistical Reporting Service

Agricultural Prices. May Supplement, 1966.

18. Pr(1-3)(71). 1971.

Agricultural Prices, Annual Summary 1971.

20.

, Agr icu1 tur al Research Serv ice

Food Consumption of Households in the U.S., Seasons and Year

1965-66. Mar. 1972.

, Statistical Reporting Service

Farrn-aperator Family Living Survey 1973.

1975.

21.

News Release, May 13,

38
22.

u.s. Department of Commerce, Bureau of the Census

Employment Profiles of Selected Low-Income Areas.

o~opulation and Housing, Vol. 1 and 69-75. 1972

1970 Census

23.

COnsumer Buying Indicators, Household Ownership of Cars and Light

Trucks: July 1972. Current Population Reports, Series P-6S,

No. 44. Feb. 1973.

Residential Alterations and Repairs: 1972 Annual Report--part 2:

One Housing Unit Owner Occupied Properties. Construction Reports.

Nov. 1973.

25. u.s. Department of Labor, Bureau of Labor Statistics City WOrker I s Family Budget: Pricing, Procedures, Specifications

and Average Prices. Bu1. No. 1570-3. Autumn 1966.

26.

Three Standards of Living for an Urban Family of Four Persons.

Bu1. No. 1570-5. Spring 1967.

27.

Average Retail Prices of Selected Commodities and Services, Fall

1971. r-t)nograph. 1973.

Autumn 1974 Urban Family Budgets and Comparative Indexes for

Selected Urban Areas. News Release, April 9, 1975.

Additional Results from Latest Survey of Consumer Expenditures

Released by BU). 75-276. May 15, 1975.

u.s. Department of Transportation, Federal Highway Administration

Hame-to-Wbrk Trips and Travel. National Personal Transportation

Study, Rpt. No.8. Aug. 1973.

30.

.

Costs of Operat1ng An Automobile.

Apr. 

1974,

32. Weilzamn, Murray S.

Measure of Overlap of Income Distribution of White and Negro

Families in u.s. Tech. Paper 22. U.S. Dept. Commerce, Bureau

of the Census, Apr. 1970.

39