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Measuring Poverty: A New Approach (1995)

Chapter: Index

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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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Suggested Citation:"Index." National Research Council. 1995. Measuring Poverty: A New Approach. Washington, DC: The National Academies Press. doi: 10.17226/4759.
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INDEX 489 Index A in Consumer Expenditure Survey, 402, Absolute thresholds, 25, 31, 32, 46, 47, 405 54, 98-99, 102, 103 data quality, 408-409 Accounting periods, 13, 72, 85-86, in family resource definition, 13, 37, 293-295, 333 71-72, 86, 211, 214-218, 295 AFDC, 294, 295-296, 333 in March CPS, 211, 216, 402, 405, effect on poverty rate, 296 408-409 Aid to Families with Dependent Children in Panel Study of Income Dynamics, (AFDC), 21, 50 402, 405 accounting period, 294, 295-296, 333 in Survey of Income and Program Partic- benefit levels, 14-15, 92, 94-96, 335, ipation, 402, 405, 408-409 336-352, 359-375 Assistance programs, 1, 21, 26, 387 budget constraints, 342-343 expenditures, 320-321, 323, 433, 434-436 eligibility and need standards, 14, 15, in Panel Study of Income Dynamics, 399 66, 92-93, 215, 333, 335, 352-381, poverty rate among participants, 1, 436, 437, 444-446 75-76, 259, 260, 261, 262, 264 , 265, incentive effects, 15, 95-96, 345-350 267-268 market basket use, 354, 357, 358 see also Aid to Families with Dependent participation in other programs, 94, 95, Children (AFDC); 317, 320, 321, 336-345 passim , Education programs; 437-444 passim Eligibility standards; poverty guidelines use, 358, 359 Food assistance; Aid to Refugees, 436 Housing assistance; American Housing Survey (AHS), 114, In-kind benefits; 116, 117, 189, 194, 200, 221, 223, 245 Jobs and training programs; Analysis see Policy formation and analysis Medical benefits; Annuities, 216, 217 State-administered programs; Assets Veterans benefits and pensions

INDEX 490 B Census Bureau Basic living needs, 3-4, 5, 6, 22-23, 40, Consumer Expenditure Survey, 391 48, 50, 51, 52, 105, 143 -144, Current Population Survey, 395, 407, 147-151, 152-153, 203, 386-387. 414, 415, 416 See also Clothing; data improvement and research role, 44 Food requirements and spending; experimental poverty statistics, 7, 23, Housing and shelter costs 25, 52-53, 105, 205, 219, 312-313 Basic Needs Budget (BNB), 116-118. official poverty rate and statistics, 5, 17, See also Expert budgets and standards 24, 25, 43, 44 Before-tax (gross) income public-use data tapes, 12, 83, 282 and AFDC eligibility, 92 Senior Redesign Team, 401 in current threshold, 2, 3, 25, 29-30, 38, Survey of Income and Program Partici- 40, 97, 203, 204, 206-207, 290 pation, 285, 400, 401, 407, 419 in proposed family resource definition, tax estimates, 70, 238-240, 406-407 10, 66, 209 CEX see Consumer Expenditure Survey Behavioral equivalence scale, 169-174 Child and Adult Care Food Program, 439 Black population, 82-83, 286-287, 412-413 Child care expenses, 2, 27, 45, 102, 118, poverty rates, 75, 259, 260, 261, 262, 331 264, 265, 268-269 in expert budgets, 117, 118 Borrowing, 36, 211, 212 and family resource definition, 5, 9, 10, Bracketing, 216n, 274n 37, 40, 66, 70, 102, 145 , 204, 209, Bureau of Census see Census Bureau 240-242 Bureau of Labor Statistics (BLS), 23 survey coverage, 241, 408 area price indexes, 8, 61, 65, 183, Children, 24, 315-316 186-188 equivalence scales for, 7, 8, 60, 160, Consumer Expenditure Survey, 13, 44, 161-162, 165-166, 169-170, 172, 85, 292, 391, 392 173, 177-178 Current Population Survey, 395 poverty rates, 75, 76, 257, 260, 261, Family Budgets Program, 33-34, 265, 268-269 117-118, 120-122, 128, 166, 168, see also Family composition and type 185 , 186, 189, 190-191 Child support, 27-28, 45, 331 Bureau of the Budget, 17, 24, 163. and family resource definition, 5, 10, See also Office of Management and 40, 66, 71, 102, 204, 210, 243-244, Budget 267 Business cycles and recessions, 49-50, 52, survey coverage, 244, 408 133, 147, 158 Civilian Health and Medical Programs for the Veterans' Administration C (CHAMPVA), 407, 408 Civilian Health and Medical Programs of Canada, 127, 134. the Uniformed Services (CHAM- See also Statistics Canada PUS), 407, 408 Categorical budgets, 116-119 Census see Decennial census

INDEX 491 Clothing, 100, 107, 153, 172 in family resources definition, 36-37 in recommended poverty measure, 3, 4, in food plan development, 111 5, 6, 7, 22, 23, 40, 50, 52, 105, geographic variation, 28-29, 184-186 147-151 in March CPS, 405 Cohabitating couples, 13, 28, 87, 302, in Panel Study of Income Dynamics, 405 305-306 in reference family threshold develop- Commodity Supplemental Food Program, ment, 3, 5, 40, 145 439 and relative thresholds, 31-32, 59, 129 Community Development Block Grant, in Survey of Income and Program Partic- 317 ipation, 405 Community health centers, 437 in threshold update and adjustment, 3-4, Community Services Block Grant, 442 6, 7, 23, 25, 30-31, 40, 45, 49-50, 52, Commuting expenses, 6, 10, 50, 66, 103, 105 70-71, 117, 151-152n, 185, 210, see also Basic living needs; 242-243 Child care expenses; survey coverage, 408 Consumer Expenditure Survey; see also Work expenses Nondiscretionary expenses; Concurrent time series, 5, 7, 43, 44, Work expenses 52-53, 105, 158, 281, 282, 287-288 Cost-of-living adjustment see Poverty Conference on Economic Progress, 340 threshold adjustment Consumer Expenditure Survey (CEX), Council of Economic Advisers (CEA), 26, 120, 168, 201, 391-395 162 as basis for threshold, 5, 6, 7, 13, 51-52, CPS see Current Population Survey; 85, 104, 105, 146-153, 155-158, 210, March income supplement 290-292 Credit cards, 36, 211, 212, 213 data coverage and content, 214, Crime, 20, 100, 314 393-395, 402, 404-405 Crisis resource definition, 36, 72, 212n, data quality, 85, 157, 213-214, 392-393, 214-218, 297 403 Current Population Reports, 25, 293 Diary Survey, 146, 391, 392, 393 Current Population Survey (CPS), 395, historical time series, 52, 155 396, 413-414 Interview Survey, 146-147, 151, 210, sample size and design, 204n, 395-396 391, 392, 393-395, 403 see also March income supplement poverty estimates, 81, 214, 403 sample size and design, 12, 13, 65, 85, D 156-157, 208, 210, 213-214, Data quality, 1, 4, 39 291-292, 392-393, 402, 404 assets, 408-409 Consumer Price Index (CPI), 43, 110-111, Consumer Expenditure Survey, 85, 157, 146, 201, 391-392 213-214, 392-393, 403 and threshold adjustment, 7, 24, 52, and family resource definition, 37, 65, 102-103, 105, 123-124, 182-183 204 Consumption and spending patterns, 39, income, 65, 402-406, 411-420 51, 102, 402, 405 March Current Population Survey, 204, determination of thresholds, 23, 50-51 283, 403, 410, 411-420

INDEX 492 Panel Study of Income Dynamics, 403 E Survey of Income and Program Partici- Earned Income Tax Credit (EITC), 18, 30, pation, 11, 403-404, 406-410, 411-420 80-81, 207, 238, 277, 331 , 333 taxes, 407 eligibility, 436, 446 Data sources see Consumer Expenditure Earnings Survey; capacity, 430-431 Decennial census; in proposed poverty measure, 2 March income supplement; Earnings data Panel Study of Income Dynamics; in Current Population Survey, 403 Survey of Income and Program Partici- in Survey of Income and Program Partic- pation ipation, 403 Decennial census, 144 Economic deprivation and well-being, 1, housing data, 8, 62, 183, 189, 190, 194, 18, 19-23, 89, 99-100, 298 -299, 195, 199-200 314-316 income data, 12, 84, 289-290 Economic resources see Family resources Demographic characteristics, 97 definition in Consumer Expenditure Survey, 392, Economies of scale, 7-8, 24, 28, 60, 101, 393 162, 163, 164-165 in Current Population Survey, 396 Economy Food Plan, 24, 32, 33, 108-109, in Panel Study of Income Dynamics, 398 110, 111, 163, 164. in Survey of Income and Program Partic- See also Minimum diet (USDA plans) ipation, 401 Education programs, 436, 441-442 Department of Health and Human Ser- EITC see Earned Income Tax Credit vices (HHS), 18n, 89-90, 122, 169, Elderly see Older persons 317n, 326, 357-358, 374. Eligibility standards See also Assistance programs; accounting periods, 72, 85-86, 215-216, Poverty guidelines; 294-295, 297 and under names of specific programs area median income, 433n, 434-435, Department of Housing and Urban Devel- 436, 437, 443 opment (HUD), 8, 114, 116, 188, derived from poverty guidelines, 14-15, 189-190, 200, 223, 436, 446. 18, 18n, 43, 89-92, 169, 317, See also Fair market rents; 318-324, 327-330, 433, 434, 436-444 Housing assistance; disposable income determination, 14, Public housing 90, 318-320, 330-333 Dependent care, 242, 408. participation in other programs, 321, See also Child care expenses 433, 434, 436, 437 Deprivation index, 22, 35-36, 99-100 program-specific, 323, 435, 436, 444-448 Disposable (after-tax) income, 11-12, 143 Emergency room care, 30 in assistance program determination, 14, Employee benefits, 219-220 90, 318-320, 330-333 health insurance, 29, 30, 68, 118, 230-231 in family resource definition, 9, 10, 40, Employment see Earnings; 43, 66, 69-70, 90, 144-145, 206-210, Jobs and training programs; 218-219, 290 Labor force participation; monitoring changes in, 3, 42 Unemployment rates; Distribution of income, 13, 23, 46, 88, Work expenses; 309, 311 Working families

INDEX 493 Energy assistance, 407, 443-444 threshold adjustments by, 2, 4, 5, 17, 23, Engel scaling method, 168, 170-172 25, 26, 40, 45, 51, 97, 101, 159-182, Equivalence scales, 28, 31, 44n, 45, 97, 208, 249, 250, 251 101, 110, 148-149, 159-182 units of analysis, 13, 87, 302-307 behavioral, 169-174 see also Reference family threshold; for children, 7, 8, 60, 160, 161-162, Single persons; 165-166, 169-170, 172, 173, 177-178 Working families current threshold, 162-166, 178-179 Family Planning Services (Title X), 439 effects on poverty estimates, 266-267, Family resources definition, 4, 5, 9-11, 269-271 19, 26, 36-37, 39-40, 42, 65-66, programmatic, 166, 168-169 203-206 recommended method, 59-60, 161-162, alternative, 13, 89, 204, 309, 313-314 175-181 consumption as, 13, 36-37, 65, 81, 85, for reference family thresholds, 7-8, 208, 210-214, 290-291, 292 58-60, 159-162, 166 crisis, 36, 72, 212n, 214-218, 297 in relative thresholds, 126-127n, 130 periodic review of, 5, 43, 44 subjective, 174-175 recommended changes in, 10, 11, 66, European Community, 31, 126 81-82, 206, 249-256, 266-269 Expert budgets and standards, 6, 31, see also Assets; 32-34, 53, 98-99, 107-124, 125 , 144 Disposable (after-tax) income; categorical approaches, 116-119 Income; and consumption patterns, 3, 34, 49, In-kind benefits; 107-108, 110, 120, 124, 166 Time resources detailed budget approaches, 119-123 Family Support Act (FSA), 93, 335, 341, food budgets, 47, 48-49, 104, 107, 374 108-114, 120 Farm families, 24, 109, 164 multiplier approaches, 108-116 Federal funding allocation, 18, 89n, 198, price changes, 120, 123-124 317 thresholds, 47, 54, 115, 118, 122, 142 Fendler, Carol, 24-25 Expert Committee on Family Budget Follow Through program, 441 Revisions, 47, 54, 128-129, 134, 142, Food assistance, 50, 439-441. 154, 185 See also Food Stamp Program; School nutrition programs; F Special Supplemental Nutrition Program Fair market rents, 114, 122, 188, 189-190, for Women, Infants, and Children 194, 200 (WIC); Family Assistance Plan (FAP), 341 and under names of other programs Family composition and type, 25, 27-28, Food requirements and spending, 48-49, 44-45n, 101 102-103, 153, 170-172 basic needs budget, 117 expert budgets, 47, 48-49, 104, 107, comparative analyses, 38 108-114, 120 economies of scale, 7-8, 24, 28, 60, 101, in Panel Study of Income Dynamics, 399 162, 163, 164-165 in recommended poverty measure, 3, 4, gender of household head, 24, 25, 109 5, 6, 7, 22, 23, 40, 50, 52, 105, 143, sharing of resources, 13, 87, 302, 147-151 303-305, 306

INDEX 494 storage and preparation, 24, 109 Health insurance coverage, 2, 29, 118 see also Minimum diet (USDA plans) in Current Population Survey, 397 Food Stamp Program, 3, 30, 94, 97, 111, employer-provided, 29, 30, 68, 118, 168, 320, 321, 331, 336, 440 230-231 accounting period, 294, 295-296 poverty rates for uninsured, 75, 76, 259, eligibility, 215, 323, 326-327, 333, 260, 261, 262, 264, 265, 268-269 439-440 premiums, 5, 10, 29, 40, 45, 66, 68, 102, survey coverage, 407, 417, 419 209 valuation of benefits, 67-68, 220, 224 in Survey of Income and Program Partic- Foster Care program, 436 ipation, 401 Foster Grandparents program, 442 in surveys, 407, 408 valuation as income, 65-66, 67-69, 205, G 227-231, 233-234 Gallup Poll, 26, 34, 50, 137-140, 175. Health status, 2, 20, 36, 89, 314, 315 See also Subjective thresholds and medical costs, 29 General Social Survey, 34n, 135, 139 in Panel Study of Income Dynamics, Geographic mobility and migration, 399 399, 405 AFDC impacts, 94, 341, 346-349 in Survey of Income and Program Partic- Geographic variation, 1, 2, 11, 38-39, 77, ipation, 405, 411 246 Hedonic regression analysis, 190, in AFDC needs standards, 14, 92-93, 191-193, 194, 246 359-375 Hispanic population, 135 consumption and spending, 28-29, poverty rates, 75, 259, 260, 261, 262, 184-186 264, 265, 268-269 in expert budgets, 117, 121 Home ownership services, 71, 244-246 food costs, 24 Household appliances and supplies, 5, 50, hedonic regression analysis, 190, 100, 117, 120, 163 191-193, 194, 246 Household Food Consumption Survey, housing costs, 2, 8, 29, 45, 62-65, 77, 24, 27, 108-109, 111 183, 188-200 Households see Family composition and threshold adjustments for, 4, 5, 8-9, 23, type; 40, 41, 45, 60-65, 97, 182-201 Family resources definition; see also Midwest region; Reference family threshold Northeast region; Housing and shelter costs, 70-71, 246 South region; in expert budgets, 107, 117, 119-120, 121 West region geographic variation, 2, 8, 29, 45, Government see Assistance programs; 62-65, 77, 183, 188-200 Policy formation and analysis multipliers, 114-116 Gross Domestic Product (GDP), 128 in Panel Study of Income Dynamics, 399, 405 H in recommended poverty measure, 3, 4, Head-count ratio, 87-88, 308-309, 310, 6, 7, 22, 23, 40, 50, 51, 105 311-312, 314 in Survey of Income and Program Partic- Head Start program, 90, 317, 323, 324, ipation, 401, 405 332, 441 see also Fair market rents Health and Retirement Study, 409n

INDEX 495 Housing assistance, 50, 407, 436n. Food Stamp Program; See also Public housing; Housing assistance; Rent subsidies Public housing; HUD see Department of Housing and Rent subsidies; Urban Development School nutrition programs; Special Supplemental Nutrition Pro- I gram for Women, Infants, and Chil- Imputed rent, 71, 244-246 dren (WIC) Incentive effects, 15, 95-96, 345-350 Interagency Forum on Aging-Related Income, 39 Statistics, 288n averages, 13, 23, 88, 309, 312 Interarea variation see Geographic varia- in Consumer Expenditure Survey, tion 394-395, 402, 403-404 Internal Revenue Service (IRS), 117, 238, in Current Population Survey, 12, 83, 409n 204, 205, 282, 395, 396-397, 402, International comparisons, 26, 31, 125, 403, 404, 411-420 126-128 data quality, 65, 402-406, 411-420 Iso-prop scaling method, 172 distribution of, 13, 23, 46, 88, 309, 311 in Panel Study of Income Dynamics, J 398-399, 402, 403, 404 Job Corps, 442-443 in Survey of Income and Program Partic- Jobs and training programs, 321, 442-443 ipation, 12, 83, 282-283, 401 , 402, 403, 404, 406, 411-420 L see also Before-tax (gross) income; Labor force participation Disposable (after-tax) income; in Consumer Expenditure Survey, 393 Earnings; in Current Population Survey, 396, 403, Eligibility standards; 411 Family resources definition; in Panel Study of Income Dynamics, 398 In-kind benefits in Survey of Income and Program Partic- Income Survey Development Program ipation, 401 (ISDP), 175, 404, 409, 414 of women with children, 2, 27, 204 Indexes of poverty, 87-88, 308-314. see also Earnings; See also Deprivation index; Work expenses; Head-count ratio; Working families Poverty gap Legal Services, 442 Inflation see Price changes and inflation Leisure activity, 100 In-kind benefits, 42, 117 Literacy and illiteracy, 20, 36 in family resource definition, 9, 10, 37, Living standard see Standard of living 66-67, 97, 203-204, 206-207, 209, Low-Cost Food Plan, 24n, 108n, 116, 219-223, 389-390 117, 121, 149. in March CPS, 219, 220-221, 407 See also Minimum diet (USDA) plans in proposed poverty measure, 2, 4, 5, Low-income cut-offs (LICOs), 127-128, 40, 78 134, 172 in Survey of Income and Program Partic- Low-Income Home Energy Assistance ipation, 219, 223, 407 Program (LIHEAP), 443-444 valuation of, 30, 67, 219-223 Low-income measures (LIMs), 128 see also Energy assistance;

INDEX 496 Low-rent housing see Public housing; Medicare, 29, 228, 229, 407, 408 Rent subsidies Metropolitan areas, 28, 29, 186-187 Midwest region, 29, 63, 187, 189 M poverty rates, 75, 259, 260, 261, 265, March income supplement (March CPS), 268-269 17, 282-283, 391, 395-397 Migrant health centers, 324, 439 compared to Survey of Income and Pro- Migration see Geographic mobility and gram Participation, 278-280, 398, migration 403, 406-420 Military health benefits, 407, 408 compared with Panel Study of Income Military service, 399 Dynamics, 398, 403 Minimum diet (USDA plans), 24, 33, data coverage and content, 81, 396-397, 110-111 402, 404-405, 406-411 in basic needs budget, 117 data quality, 204, 283, 403, 410, 411-420 as basis of official poverty measure, 2, poverty estimates, 12, 25, 83, 214, 21-22, 24, 32, 48-49, 97-98, 101, 278-290, 281, 293, 403, 406, 409, 102, 104, 108-110, 162-165 411, 415, 418, 420 for older persons, 28 sample size and design, 204n, 282, 396, Minimum wage, 26 402, 404, 409, 410, 411-412 Minority groups, 12, 82-83, 269, 282 Market basket, 46, 102-103, 122, Moderate-Cost Food Plan, 121 184-185, 186-187, 391-392 Mothers' pensions, 338-339 AFDC use, 354, 357, 358 Multipliers, 25, 32-33, 34 Married couple households, 45n, 101 and consumption patterns, 26, 32, 104, Material poverty see Economic depriva- 108 tion and well-being expert budgets, 108-116 Maternal and Child Health Services Block food share, 2, 22, 24-25, 26, 32, 48, 49, Grant (Title V), 437-438 97-98, 102, 104, 109, 110 -116 Means testing see Eligibility standards housing share, 114-116 Medicaid, 29, 93, 228, 229, 407, 408, proposed poverty measure, 6, 7, 22, 23, 438-439 50, 51, 52, 56-57, 104, 105, 106, Medical benefits, 387, 407, 408, 437-439 144, 145, 151-153 valuation of, 30, 223-225 see also Health insurance coverage; N Medicaid; National Child Care Survey, 27 Medicare; National Income and Product Accounts and names of other programs (NIPA), 143-144n, 154-155 Medical costs, 2, 29, 45, 87, 226, 271-274 comparison with household survey esti- in expert budgets, 118 mates, 392-393, 409 and family resource definition, 5, 10, National Institute of Child Health and 40, 66, 67-69, 78, 102, 204, 209, Human Development, 397 223-225, 267, 268-269, 388-389 National Institute on Aging, 397 survey coverage, 226, 408 National Medical Expenditure Survey variation in, 2, 9-10, 29, 68, 205 (NMES), 234, 235n, 272-274 Medical risk index, 10, 11, 68-69, 225, National Science Foundation, 397 231-237

INDEX 497 Nationwide Food Consumption Survey, data quality, 403 24, 111 poverty estimates, 269n, 307-308, 403, Near-money benefits see In-kind benefits 409-410 Noncustodial parents, 27-28, 244 sample size and design, 397-398, 404 Nondiscretionary expenses, 6, 102, Panel to Evaluate SIPP, 400-401, 414 206-207, 208 Parents see Noncustodial parents; deduction from income, 45, 78, 97, 101, Single-parent families 204 Periodic reviews, 1, 4, 5, 42-44 see also Child care expenses; Perkins Act see Vocational Education Child support; Opportunities Medical costs; Persistent poverty, 298-301 Taxes; Personal care expenses, 5, 50, 107, Work expenses 117-118, 151 Nonfamily households, 28 Physical health see Health status single person, 28, 45n, 101 Policy formation and analysis, 1, 2, 3, 18, Nonmetropolitan areas, 28, 186 21, 38, 42, 68, 80-81, 97, 313-314 Northeast region, 28, 29, 63, 77, 185, 186, and expert budgets, 33, 34 187, 189 and relative thresholds, 32, 98 poverty rates, 75, 259, 260, 261, 262, taxes, 3, 28-29 264, 265, 268-269 welfare, 95-96, 294 Population census see Decennial census O Population coverage Office of Economic Opportunity (OEO), in Consumer Expenditure Survey, 412n 17, 26, 340 in decennial census, 412-413 and Panel Study of Income Dynamics, in March CPS, 411, 412-413 397 in Survey of Income and Program Partic- poverty guidelines, 18n, 169 ipation, 12, 82-83, 282, 286 -287, Office of Management and Budget, 4, 5, 411, 412-413 43-44, 283 Population group variation, 1, 3, 11, 18, Office of the Assistant Secretary for Plan- 38-39, 74-77, 257-262, 264-266 ning and Evaluation, 397 medical costs, 2, 9-10, 29, 68, 205 Older persons, 24, 28, 161, 164-165, 246 Poverty gap, 88, 309, 311, 312 poverty rates, 75, 77, 257, 260, 261, Poverty guidelines, 18n, 122, 169, 317n 262, 264-265, 268-269 AFDC use, 358, 359 Operational feasibility, 3, 4, 39, 40 Poverty measure, 18, 21, 25-31 Organization for Economic Cooperation consistency in, 4, 21, 37 and Development (OECD), 126, 168, criteria for selection, 4, 37-39, 40 177, 178-180 depth and intensity of poverty, 23, Orshansky, Mollie, 17, 22, 24-25, 32, 101, 87-88, 310-311 102, 108-110, 162-163, 312n elements of, 4-5, 23, 40-42, 98 as eligibility standard, 14, 90, 375-381 P periodic review, 1, 4, 5, 42-44 Panel Study of Income Dynamics (PSID), persistent, 13, 86, 294, 295, 298-301 13, 86, 295, 391, 397-400 short periods, 13, 72, 85-86, 215, 294, data coverage and content, 398-400, 295-298 402, 404-405

INDEX 498 see also Economic deprivation and well- see also Equivalence scales being; Poverty thresholds, 98-100 Equivalence scales; absolute, 25, 31, 32, 46, 47, 54, 98-99, Family resources definition; 102, 103 Multipliers; after-tax concept, 29, 38, 97 Poverty threshold adjustment; allowance for ''other expenses," 5-6, 50 Poverty thresholds; components, 3-4, 40, 77-80, 266-269 Reference family threshold current, 2, 6, 17, 30, 55, 106 Poverty statistics, 26, 38, 42, 43 deprivation index, 35-36, 99-100 alternative indexes, 20, 87-89, 100, development of original, 1, 17, 24-25, 308-316 32, 48, 104, 108-110 data sources, 11-12, 40, 41, 81-83, 84, expert budgets, 6, 31, 32-34, 53, 98-99, 280-292, 391-420 107-124, 125, 144 effects of proposed measure, 11, 72-81, farm families, 24, 109, 164 247, 256-278 implementation, 5-6, 7, 53-55, 105-106, experimental, 23, 25, 205, 219, 312-313 145-158 international comparisons, 26, 31, 125, relative, 6, 31-32, 34, 35, 37, 42-43, 46, 126-128 47, 49-50, 54, 98-99, 104, 112, March Current Population Survey, 12, 113-114, 124-134, 141, 142 25, 83, 214, 278-290, 293, 403, 406, subjective, 6, 34-35, 47, 50, 51, 54, 409, 411, 415, 418, 420 134-140, 141, 142 official rate, 17, 25, 43 see also Poverty guidelines; quality, 403, 405-406, 411 Reference family threshold Survey of Income and Program Partici- President's Commission on Income Main- pation, 11, 81, 214, 278-290, 296, tenance, 340 297-298, 403, 406, 411, 415, 420 Price changes and inflation unit of analysis, 13, 86-87, 301-307 current threshold adjustment for, 2-3, 6, unit of presentation, 307-308 17, 24, 25, 26, 31, 42, 46, 102, 110 see also Time periods; and expert budgets, 120, 123-124 Time series and trend data proposed threshold adjustment for, 7, Poverty Studies Task Force, 188 52-53, 105, 158 Poverty threshold adjustment Programmatic equivalence scale, 166, assistance program implications, 14, 91, 168-169 327-329, 377-380 PSID see Panel Study of Income Dynamics for consumption patterns, 3-4, 6, 7, 23, Psychological health, 20, 89, 100, 314, 315 25, 30-31, 40, 45, 49-50, 52, 103, 105 Public acceptability and understanding, 1, by family type, 2, 4, 5, 17, 23, 25, 26, 3, 4, 21, 22, 38, 40, 48 40, 45, 51, 97, 101, 159-182, 208 Public assistance see Assistance programs geographic variation, 4, 5, 8-9, 23, 40, Public housing, 407, 446-447 41, 45, 60-65, 97, 182-201 valuation of benefit, 30, 221 over time, 7, 46, 48, 51, 52, 103, 104, Public opinion polls, 26, 34-35, 50, 134, 105, 154-157 135-137, 174-175 price changes, 7, 24, 52-53, 102-103, Public policy see Policy formation and 105, 123-124, 158, 182-183 analysis for working families, 45, 97, 102, 145 Public-use data tapes, 12, 83, 282

INDEX 499 Q S Quantity-income-elasticity (q-i-e) tech- Savings, 36, 37, 211 nique, 121, 123 Scale effects see Equivalence scales School nutrition programs, 219, 220-221, R 407 Recession see Business cycles and reces- eligibility, 320-321, 325, 330-331, 440 sions Schwarz and Volgy poverty thresholds, Recommended daily allowances (RDAs), 47, 54, 57, 122, 142, 150-151, 154 111 Senior Community Service Employment Reference family threshold, 6, 31, 44-45, Program, 443 52, 101, 105 Senior Companions, 443 under alternative concepts, 46-48, 54, Shelter see Housing and shelter costs; 111-114, 142, 153-154 Housing assistance annual update, 5, 6, 40, 55, 104, 147 Single-parent families, 27, 117, 346 determination, 5-6, 145-154 Single persons 28,45n, 101 in relative approach, 124, 125, 129-130 poverty rates, 75, 259, 260, 261, 262, scaling, 7-8, 58-60, 159-162, 166 264, 265, 268-269, 270 Relative thresholds, 6, 31-32, 34, 35, 37, SIPP see Survey of Income and Program 42-43, 46, 47, 49-50, 54, 98-99, 104, Participation 112, 113-114, 124-134, 141, 142 Sloan Foundation, 397 Rent subsidies, 114, 221, 223, 407 Smith, Adam, 21, 108 eligibility, 446-447 Social deprivation, 20, 89, 100, 314-315 see also Fair market rents Social Security Administration (SSA), 17, Renwick and Bergmann poverty thresh- 24, 38 olds, 47, 54, 57, 101, 102, 116 -119, threshold development methods, 24, 26, 142, 149-150, 151, 152, 154 32, 47, 162-163 Research activities and needs, 1, 18, 21, Social security tax, 3, 10, 29, 66, 209, 38-39 238-239 on data sources, 12, 84, 288-289 South region, 28, 29, 63-64, 185, 186, geographic cost-of-living differences, 9, 187, 189 62-63, 65, 183, 200-201 poverty rates, 75, 259, 260, 261, 262, in-kind benefits valuation, 223 264, 265, 268-269 poverty measure improvement, 1, 39, Special Milk Program, 325, 440-441 43, 44, 295 Special Supplemental Nutrition Program for Survey of Income and Program Par- for Women, Infants, and Children ticipation, 12, 82-84, 281, 286 -287 (WIC), 219, 407 Roommates, 13, 28, 87, 302, 305, 306 eligibility, 325-326, 441 Rothbarth scaling method, 172-174, 176 SSA see Social Security Administration Ruggles, Patricia, 47, 54, 111, 114, 116, Standard budgets see Expert budgets and 142. standards See also Equivalence scales; Standard of living, 25, 30, 33, 36-37, 100 Poverty thresholds normative, 35-36, 42 relation to thresholds, 2-3, 6, 30-31, 106

INDEX 500 see also Consumption and spending pat- data quality, 11, 403-404, 406-410, terns; 411-420 Economic deprivation and well-being; poverty estimates, 11, 81, 214, 278-290, Expert budgets and standards 296, 297-298, 403, 406, 411, 415, 420 State-administered programs sample size and design, 12, 82-83, 205n, eligibility standards, 436, 437, 443 281, 400-401, 404, 409-410, 412 SSI supplementation, 447-448 use in setting poverty measure, 11, 12, see also Aid to Families with Dependent 40, 82, 83, 278-280, 281-282 Children (AFDC); Surveys see American Housing Survey; Aid to Refugees; Consumer Expenditure Survey; Foster Care program; Current Population Survey; Low-Income Home Energy Assistance Gallup Poll; Program (LIHEAP); Income Survey Development Program; Maternal and Child Health Services March income supplement (March CPS); Block Grant (Title V); Panel Study of Income Dynamics; Medicaid; Public opinion polls; Vocational Education Opportunities Survey of Income and Program Partici- Statistical defensibility, 3, 4, 38-39, 40 pation Statistical Policy Office (OMB), 4, 5, 44 Statistics see Data quality; T Poverty statistics; Taxes, 25, 29-30, 45, 122, 207, 402 Time series and trend data in Consumer Expenditure Survey, 395, Statistics Canada, 127, 128, 180n. 404 See also Low-income cut-offs (LICOs) data quality, 407 Subjective thresholds, 6, 34-35, 47, 50, and family resource definition, 2, 4, 5, 51, 54, 134-140, 141, 142 37, 40, 69-70, 97, 102, 205, 237-240, scaling, 174-175 267 Subsidized housing see Rent subsidies in March Current Population Survey, Summer Food Service Program for Chil- 406-407 dren, 441 in Panel Study of Income Dynamics, Summer Youth Employment and Training 399, 404 Program, 443 policy changes, 3, 28-29 Supplemental Security Income (SSI) in Survey of Income and Program Partic- accounting period, 294 ipation, 239-240, 404, 407 eligibility, 436, 447-448 Telephones, 22, 36, 100 and participation in other programs, Thresholds see Poverty thresholds 433, 438, 439, 442, 443, 444 Thrifty Food Plan, 33, 111, 114, 116, 122, Survey of Consumer Finances, 409n 149, 168. Survey of Economic Opportunity (SEO), See also Minimum diet (USDA plans) 397, 398 Time periods Survey of Income and Program Participa- annual accounting period, 13, 72, 85-86, tion (SIPP), 13, 86, 205, 283 -288, 293-295, 333 295, 391, 400-402 long-term measures, 13, 86, 294, 295, compared with March Current Popula- 298-301 tion Survey, 278-280, 398, 403, short-term measures, 13, 72, 85-86, 215, 406-420 294, 295-298 data coverage and content, 81-83, 223, Time resources, 399, 421-432 284, 401-402, 404-405, 406-411 and earnings potential, 430-431

INDEX 501 expenditures, 425-428 Weatherization assistance, 444 in poverty measures, 428-429, 432 Weinberg and Lamas poverty thresholds, valuation, 422-425 47, 54, 114-116, 142 Time series and trend data, 1, 2, 3, 18, 21, Welfare see Assistance programs; 25 Economic deprivation and well-being alternative deprivation indicators, 20 West region, 28, 29, 64, 77, 186, 187, 189 comparative analyses, 26, 38 poverty rates, 75, 259, 260, 261, 262, concurrent series, 5, 7, 43, 44, 52-53, 264, 265, 268-269 105, 158, 281, 282, 287-288 White population, poverty rates, 75, 259, effects of proposed measure, 23, 80-81, 260, 261, 265, 268-269 274-278 WIC program see Special Supplemental relative thresholds, 131-134 Nutrition Program for Women, subjective thresholds, 34, 137-140 Infants, and Children (WIC) and threshold updates, 7, 46, 48, 51, 52, Work expenses, 45, 219-220, 331 103, 104, 105, 154-157 in family resource definition, 2, 4, 5, 9, Townsend, Peter, 22, 35-36, 99-100 37, 40, 66, 70-71, 102, 210, 240-243 Training for Disadvantaged Adults and and relative thresholds, 130 Youth, 443 survey coverage, 151, 408 Transportation see Commuting and trans- see also Child care expenses; portation expenses Commuting expenses Trends see Time series and trend data Working families, 2, 27, 119 basic needs budget, 117 U poverty rates, 1, 27, 75, 76, 259, 260, Unemployment rates, 23, 43, 100, 395 261, 262, 264, 265, 268-269 United Kingdom, 127, 293n and relative thresholds, 130 deprivation index, 35-36 threshold adjustment for, 45, 97, 102, 145 households, 303n, 306-307 time expenditures, 425-428, 431-432 York Family Budget Unit, 119-120 Works Progress Administration (WPA), Unit of analysis, 13, 86-87, 301-307 120 University of Michigan Survey Research Center (SRC), 397 Y Updating procedures, 4, 7, 26, 40, 42-43, York Family Budget Unit, 119-120 46-48, 52-53, 102-105, 144, 387-388 housing cost index, 199-200 periodic review of, 5, 43, 44 U.S. see other part of agency title USDA diet see Economy Food Plan; Minimum diet Utilities, 5, 6, 52, 105 V Vacations, 35, 100 Vaughn poverty thresholds, 47, 54, 110, 112, 113, 130n, 131, 134n, 137-140, 142 Veterans benefits and pensions, 436, 448 Vocational Education Opportunities, Dis- advantaged Activities (Perkins Act), 441-442 W Wages see Earnings Watts Committee see Expert Committee on Family Budget Revisions

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Each year's poverty figures are anxiously awaited by policymakers, analysts, and the media. Yet questions are increasing about the 30-year-old measure as social and economic conditions change.

In Measuring Poverty a distinguished panel provides policymakers with an up-to-date evaluation of

  • Concepts and procedures for deriving the poverty threshold, including adjustments for different family circumstances.
  • Definitions of family resources.
  • Procedures for annual updates of poverty measures.

The volume explores specific issues underlying the poverty measure, analyzes the likely effects of any changes on poverty rates, and discusses the impact on eligibility for public benefits. In supporting its recommendations the panel provides insightful recognition of the political and social dimensions of this key economic indicator.

Measuring Poverty will be important to government officials, policy analysts, statisticians, economists, researchers, and others involved in virtually all poverty and social welfare issues.

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