Rural Poverty & Well-Being – Economic Research Service (.gov)

Rural Poverty and Well-Being: An Analytical Report

This report examines the economic, social, spatial, temporal, and demographic factors influencing poverty among rural residents in the United States, with a focus on aligning findings to the Sustainable Development Goals (SDGs), particularly SDG 1 (No Poverty), SDG 10 (Reduced Inequalities), and SDG 3 (Good Health and Well-being).

1. Overview of Research Focus

The Economic Research Service (ERS) investigates rural poverty by analyzing various determinants affecting poverty status. While food and nutrition assistance are addressed separately, this report emphasizes broader poverty dynamics and well-being in rural areas.

2. Key Subtopics and Data Sources

• Annual statistics from County-level Datasets on Poverty
• State-level rural and urban summaries via State Fact Sheets
• Rural America at a Glance series providing annual updates on rural issues

3. Poverty Trends Over Time

According to U.S. Census Bureau data, nonmetropolitan (nonmetro) areas have consistently exhibited higher poverty rates than metropolitan (metro) areas since the 1960s. Although the gap has narrowed from 4.5 percentage points in the 1980s to approximately 3.1 percentage points in recent years, disparities remain significant.

1. In 2019, the nonmetro poverty rate was 15.4%, compared to 11.9% in metro areas.
2. Nonmetro poverty decreased by 3.0 percentage points from 2013, while metro poverty declined at a faster rate, increasing the poverty gap to 3.5 percentage points in 2019.

Note: The COVID-19 pandemic impacted data collection, delaying official 2020 poverty estimates. Alternative data sources such as the Current Population Survey (CPS) indicate a 2020 poverty rate of 14.1% in nonmetro areas and 11.0% in metro areas.

4. Geographic Distribution of Poverty

Poverty in the U.S. is geographically concentrated, with significant clustering in specific regions, counties, and neighborhoods, which exacerbates challenges related to housing, health, education, and employment, thereby perpetuating poverty cycles.

Regional Variations

• The South exhibits the highest nonmetro poverty rate at 19.7%, nearly 6 percentage points above metro areas.
• The Midwest and Northeast show smaller metro-nonmetro poverty rate differences.
• High poverty concentrations exist in the Southeast (Mississippi Delta, Appalachia), Native American lands, and parts of the Southwest and northern Midwest.

Child Poverty

• In 2019, 21.1% of nonmetro children lived in poverty, compared to 16.1% in metro areas.
• Counties with child poverty rates above 40% are predominantly nonmetro and located mainly in the South and Midwest.
• Persistent child poverty is linked to adverse long-term outcomes, emphasizing the need for targeted interventions aligned with SDG 1 and SDG 4 (Quality Education).

5. Persistent Poverty

ERS defines persistent poverty counties as those with 20% or more of the population living in poverty across multiple decades. There are 353 such counties in the U.S., with 85.3% located in nonmetro areas, predominantly in the South.

• Persistent poverty correlates with limited economic opportunities and social challenges.
• Addressing persistent poverty supports SDG 8 (Decent Work and Economic Growth) and SDG 10 (Reduced Inequalities).

6. Demographic Characteristics of Poverty

Race and Ethnicity

• Nonmetro Black/African American populations had the highest poverty rate in 2019 at 30.7%.
• American Indians/Alaska Natives followed at 29.6%, with Hispanics at 21.7%.
• Nonmetro Whites had a significantly lower poverty rate of 13.3%.

Family Type

• Female-headed nonmetro families without a spouse had a poverty rate of 32.0% in 2019.
• Among these, families with related children experienced a higher rate of 42.6%.
• Married couple families had a much lower poverty rate of 5.4%.

Age Groups

• Children under 5 in nonmetro areas had the highest poverty rate at 24.0%.
• Overall child poverty was 21.1% in nonmetro versus 16.1% in metro areas.
• Senior adults (65+) had similar poverty rates in both areas (~10%).

These disparities highlight the importance of inclusive policies to reduce inequalities and promote well-being, in line with SDG 1, SDG 3, and SDG 10.

7. Data Sources and Definitions

Poverty statistics primarily derive from the U.S. Census Bureau’s Annual Social and Economic Supplement (ASEC) to the Current Population Survey (CPS) and the American Community Survey (ACS). Poverty is defined by income thresholds set federally, which do not vary by geographic location, potentially affecting metro-nonmetro comparisons.

• The Supplemental Poverty Measure (SPM) offers an alternative metric accounting for additional factors such as tax payments and geographic housing costs.
• ACS 5-year averages provide detailed regional and county-level data.

8. Regional Definitions

Regions are defined according to U.S. Census Bureau classifications and other federal entities, including the Southeast (Bureau of Economic Analysis), Mississippi Delta (Delta Regional Authority), Appalachia (Appalachian Regional Commission), and Native American lands (Bureau of Indian Affairs).

Conclusion

Rural poverty in the United States remains a significant challenge with complex geographic and demographic dimensions. Persistent poverty, especially among children and minority populations, underscores the need for targeted strategies to achieve the Sustainable Development Goals, particularly SDG 1 (No Poverty), SDG 3 (Good Health and Well-being), SDG 4 (Quality Education), SDG 8 (Decent Work and Economic Growth), and SDG 10 (Reduced Inequalities). Continued research and data analysis are essential to inform effective policy interventions and promote sustainable rural development.

1. Sustainable Development Goals (SDGs) Addressed or Connected

1. SDG 1: No Poverty – The article focuses extensively on poverty rates, poverty demographics, and persistent poverty in rural and nonmetro areas of the United States.
2. SDG 3: Good Health and Well-being – The article mentions poor health conditions linked to concentrated poverty.
3. SDG 4: Quality Education – References to higher school dropout rates in areas of concentrated poverty connect to education issues.
4. SDG 10: Reduced Inequalities – The article discusses income disparities by geography, race/ethnicity, and family type, highlighting inequalities.
5. SDG 11: Sustainable Cities and Communities – Issues of housing quality and spatial poverty distribution relate to sustainable community development.

2. Specific Targets Under Those SDGs Identified

• SDG 1: No Poverty
  • Target 1.1: Eradicate extreme poverty for all people everywhere.
  • Target 1.2: Reduce at least by half the proportion of men, women and children living in poverty in all its dimensions according to national definitions.
  • Target 1.4: Ensure that all men and women have equal rights to economic resources, basic services, and ownership.
• SDG 3: Good Health and Well-being
  • Target 3.8: Achieve universal health coverage, including access to quality essential health-care services.
• SDG 4: Quality Education
  • Target 4.1: Ensure that all girls and boys complete free, equitable and quality primary and secondary education.
  • Target 4.5: Eliminate gender disparities and ensure equal access to all levels of education and vocational training.
• SDG 10: Reduced Inequalities
  • Target 10.2: Empower and promote the social, economic and political inclusion of all.
• SDG 11: Sustainable Cities and Communities
  • Target 11.1: Ensure access for all to adequate, safe and affordable housing and basic services.

3. Indicators Mentioned or Implied to Measure Progress

1. Poverty Rate Indicators:
   • Percentage of population living below the poverty threshold (e.g., 15.4% nonmetro poverty rate in 2019).
   • Child poverty rates (e.g., 21.1% of nonmetro children were poor in 2019).
   • Persistent poverty counties defined by percentage of population in poverty over multiple census periods (20% or more).
2. Demographic Disaggregation:
   • Poverty rates by race/ethnicity (e.g., 30.7% for nonmetro Blacks/African Americans).
   • Poverty rates by family type (e.g., 42.6% poverty rate for nonmetro female-headed families with children).
   • Poverty rates by age group (e.g., 24.0% for children under 5 in nonmetro areas).
3. Geographic Indicators:
   • Metro vs. nonmetro poverty rates.
   • Regional poverty rates and gaps (e.g., South region nonmetro poverty rate of 19.7%).
   • County-level poverty rates and identification of persistent poverty counties.
4. Supplemental Poverty Measure (SPM): An alternative poverty measure that accounts for additional factors such as tax payments and work expenses, adjusted for geographic differences in housing costs.

4. Table of SDGs, Targets, and Indicators

Source: ers.usda.gov