Urban Economics Paper

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Data and Methods

The data for this research are from the United States 2018 American Community Survey (ACS). The ACS results are extensive and display analytical tables on population in the United States including race, age, family structure, housing, and employment. The ACS shows demographic and economic characteristics for the United States as well as selected housing characteristics for the given year. This survey is a sample of the population and its methodology differs from the decennial census in that it provides population estimates not counts. This means that the ACS reports a margin of errors. In this survey, for any individual living a household, they are asked over fifty questions about their race, level of education, marital status, employment, types of income and many more. The data used in this research were obtained from the census’s census.data.gov website and uses tables (B03001 and B 05006) in the 2017 ACS.

To test my hypothesis of families and their poverty income level and those who receive public assistance do not harm the metropolitan areas overall income, I will create one variable to measure those who receive public assistance. The percentage of individuals who receive public assistance is created by dividing the number of individuals who received public assistance from the total number of individuals in a metropolitan area. The other variable I will use is the median household income. This variable is taken from the 2018 ACS but it identifies household income from the previous 12 months. A scatter plot will be analyzed to identify the relationship between these variables. I hypothesize that areas with more households in poverty will not have a lower median income.