Antonik Rural Poverty Margaret R. Antonik PVS 101: Introduction to Poverty Studies Furman University 3 May 2010 1 Antonik 2 Lyndon Johnson, Robert Kennedy, Jesse Jackson and John Edwards are a few noted politicians who have made the trek to Appalachia, a rural area with concentrated poverty, during campaign seasons. In an article in Salon, Dee Davis, the president of the Center for Rural Strategies, described the effects that one of these visits had on rallying against rural poverty, “I listened to Edwards try to discuss Appalachian poverty with several reporters from the national press...they were far more interested in the size of his house and the price of his haircut”1. Rural poverty is a reality in the United States that often seems to be overlooked––urban poverty, its causes and the grit of inner-city life tend to be what one sees in the media. Eight in ten Americans live in urban settings2, leaving the sixty million people in rural areas, especially those that are poor, to less attention from justice seekers, policy makers and the American public. In order to develop a greater understanding of rural poverty and to shape policies that alleviate rural hardships, the causes, severity, and demographics of rural poverty must be understood. In addition, knowledge of the additional challenges that rural poor are presented with, reasons for why they may be ignored and the state of past and current programs available to the rural poor are important in addressing rural poverty. To begin exploring the issues, rural poverty must be defined. A metropolitan area is a county with an urbanized area of at least 50,000 people, regardless of total population. If an outlying county is economically tied to a metropolitan one, as determined by the number of commuters that travel between the counties, then that county is also deemed metropolitan. All other counties are designated as nonmetropolitan. The term metropolitan is generally used synonymously with urban, and nonmetropolitan is often equated with rural. Technically, a Davis, D. (2008, May 20). Why Don’t Those Hillbillies Like Obama? [Editorial]. Salon. Retrieved from http://www.salon.com/news/opinion/feature/2008/05/20/appalachia/index.html 2 Brown, D. L., & Swanson, L. E. (Eds.). (2003). Challenges for Rural America in the Twenty-First Century. University Park, PA: Pennsylvania State University Press, p. I 1 Antonik 3 metropolitan area includes suburban and central city, while an urban area is defined as only central city. Around 75 percent of counties in the United States are nonmetropolitan, yet only 20 percent of the population lives in those areas 3. A person in poverty does not have a sufficient income to provide basic needs like food, housing, clothing and other services. For statistical computations, employment rates and income are used to define poverty. In 2002, the poverty line for an individual under age sixty-five was $9,359, $14,494 for a three-person family and $21, 469 for a five-person family4. Many more rural Americans, however, experience financial burdens than statistics point out, for living in rural areas presents unique challenges. An understanding of the demographics of rural America allows people to dispel any stereotypes that are associated with rural life and rural poverty. Over the last forty years, the demographics have changed greatly. Beginning in the 1970s, nonmetropolitan areas had greater population gains than metropolitan areas, and people were leaving urban centers for the better housing and lower production costs of rural America, bringing with them new social, political and economic ideas and institutions. The Northeast, Mountain West, parts of the South, Ozarks and Upper Great Lakes saw populations gains while population losses were seen in the Mississippi Delta, the Midwest and the Corn Belt5. For the first time in 150 years, rural areas were experiencing net in-migration6. Rural counties with unique offerings, such as tourism, places for retirement or manufacturing incentives grew most quickly. Counties with traditional economic practices of agriculture and mining were less likely to gain population7. Also, population de-concentration, or suburbanization, has been much more prevalent with growth in 3 Brown, p. I Rural Poverty at a Glance (Rural Development Research Report No. 100). (2004, July). Retrieved from USDA Economic Research Service website: http://www.ers.usda.gov/publications/rdrr100/rdrr100.pdf 5 Brown, p. 21 6 Brown, p. 19 7 Cloke, p. 95 4 Antonik 4 areas that are in close proximity to metropolitan counties. It is important to note that these changes have altered the scene in rural America and brought new challenges in community life, economic viability and political influence. The rural and urban poverty rates have followed the same trends through these periods, but rural poverty rates have always been slightly higher. As of 2002, 14.2 percent of nonmetropolitan America is poor––this amounts to approximately 7.5 million people––while 11.6 percent of the metropolitan population is poor8. Concentrations of persistently poor counties are found in the South, including the Mississippi Delta and Appalachia, Native American reservations and Southwestern border towns. In many of these areas, more than half the population is poor9. 4 percent of the counties in the United States are designated as persistently poor, meaning 20 percent or more of their population has live in poverty for the last 30 years. 280 of those counties are in the South, where one in six persons is poor10. Diversity in rural areas has also increased with an influx of minority populations, including Latin Americans, African Americans, and Asians11. Strong correlations between race or ethnicity and poverty exist. Nearly one in four rural African-Americans, Latin Americans and Native Americans live in poverty with 52 percent of Native Americans in nonmetropolitan areas living with incomes at less than half the poverty line. In addition, children are greatly affected by rural poverty. One in five children in rural areas is poor12. Like the rest of America, rural areas are also facing changes in family structure. In nonmetropolitan areas, families headed by a married couple have a poverty rate of 7.2 percent. The rate in a male-headed household is 16.6 8 Rural Poverty at a Glance Cloke, P., Marsden, T., & Mooney, P. H. (Eds.). (2006). Handbook of Rural Studies. London: SAGE Publications, p. 413 10 Rural Poverty at a Glance 11 Brown, pp. 23, 25 12 Rural Poverty at a Glance 9 Antonik 5 percent whereas in a female-headed household, the rate is 37.1 percent, which can be compared to the 27.1 percent poverty rate in metropolitan areas. Where rural families were once larger, younger and from multi-parent households, the number of single parent households is on the rise. Like the trends in urban areas, poverty is more prevalent among women, the least educated, single-headed households, racial minorities and children. These demographics dispel any notion that a stereotypical rural American, especially a poor one, is valid. Single-parent and multi-parent households exist. Economies are varied. People of all ethnicities and ages live in rural America. Common misperceptions about rural America include: economies based on agriculture, the importance of traditional or religious values, serene and beautiful landscapes and relaxed atmospheres13. In a survey by the W.K. Kellogg foundation, it was found that common phrases used in describing rural America include “strong sense of family,” “hardworking,” and “commitment to community.” Phrases least designated in people’s responses to describe rural America were “sophisticated,” “lacking initiative,” and “tolerant of others”14. One must look beyond population density, these common perceptions and poverty rates to really analyze rural America and the economic, social and political hardships, especially poverty, faced in nonmetropolitan areas. Misconstrued perceptions along with increased focus on metropolitan areas and the prevalence of working poor are a few reasons why rural poverty may often be overlooked. Naturally, much emphasis is placed on metropolitan areas since they account for 80 percent of the population, or about 240,000,000 people. In a speech on rural America and journalism, Dee Davis, the president of the Center for Rural Strategies talk about the inability of newspapers to reach rural America, “Rural is where the market ends...but even though [rural America] represent 13 14 Perceptions of Rural America. (n.d.). Battle Creek, MI: W.K. Kellogg Foundation. Perceptions of Rural America Antonik 6 a less valuable demographic, they could still use real journalists looking into the issues that matter”15. In general, less attention is paid to rural America due to the concentration of policy makers, population, academia and media in urban areas. Many also have misperceptions about the problems of the working poor and the ambiguities of measuring poverty by just income levels or employment. Since the cost of living is generally lower, rural residents are more able to own assets. Because of employment and the possession of assets, many rural poor are not eligible for welfare programs or other assistance. Across the United States, policies do not reflect the struggles that working poor face in securing an adequate living. These misunderstandings about poverty and rural America must be addressed in order to fix the problems being faced across the country. Many causes of poverty are universal, but rural areas are particularly affected by any structural disadvantages, which include social inequalities, changes in economic structures and diminishing family and community support. Social and economic inequalities have played a large role in the cause of poverty in both rural and urban areas as well as the way social and political policies have been implanted throughout history. In many persistently poor rural areas, two-class systems have been the norm. In the Mississippi Delta, sharecroppers dominated the economic, social and political scenes, and, in Appalachia, coal barons have possessed the most authority. In these systems, one group holds the power while the other is left to great disadvantages. Forming economic and social policy that helps the disadvantage is difficult in this system. In American Dream, Jason DeParle takes note of the effect that sharecropper culture had on an individual, “She was attuned to an aspect of sharecropper life that would prove cause for Davis, D. (2005, June 12). Misperceptions have consequences. Keynote speech presented at “Rural America, Community Issues” conference. 15 Antonik 7 less optimism: the widespread social chaos, in particular the fluid family structure”16. He goes on to note how economically, sharecropping hindered any progress17. Rent-seeking economies, those that are based on agriculture or mining, reflect these inequalities, create divisions of labor, hinder foreign investments, disable upward mobility and creates static culture18. These historical inequalities and their products in society have wreaked havoc on the disadvantaged. Economically, the scene in rural America has changed drastically. The number of people employed in agricultural jobs has dropped by 70 percent––from 1950 to 1999, the number of family farms has fallen by 60 percent––and employment in hunting, fishing, gathering, mining and forestry has been reduced by 50 percent19. The farm crisis in the 1980s, caused by low commodity prices, left families depending on agriculture in financial crisis; as a result, counties dependent on farming are still experiencing ill-effects. All in all, rural economies are very diverse with activity occurring in manufacturing, particularly industries that have sought out rural areas for lower production costs, farming, mining, and hospitality. The US Department of Agriculture divides counties based on their primary economic characteristics: 25 percent of nonmetropolitan counties are agricultural-based, 7 percent are mining-based, 23 percent are manufacturing-based, 11 percent are government-based and 14 percent are service-sector based20. Globalization and trade liberalization have had lasting effects on the state of rural economies. Small towns compete for businesses and manufacturers through business incentives, and corporations are increasingly controlling economic development. Manufacturing jobs have been outsourced for even lower production costs. As a result, much more employment is 16 DeParle, J. (2004). American Dream. New York: Penguin Group, p. 21 DeParle, p. 26 18 Cloke, p. 97 19 Brown, p. 135 20 Cloke, p. 93 17 Antonik 8 available in hospitality, janitorial work and retail. These jobs and the lack of adequate job opportunity leave a larger amount of people in the working poor class or unemployed. The future for rural economies may not be so dim. In response to the increases in in-migration, rural areas have seen increases in human capital; as a result, rural areas “may be able to upgrade to a dependent economy hosting an industrial plant from a multinational corporation, and eventually become an entrepreneurial economy”21. Since economics are not separable from the politics and culture, economic policy and cultural and social understanding. must enable these advances to occur. The common trends across the country in family structure and community are contributing to poverty, but these changing economic structures in rural areas have placed extra strain on families, communities, social relationships and access to healthcare, education and housing. Three-fourths of nonmetropolitan residents have at least 35 percent of their residents commuting to other counties for work22. Low population densities, population de-concentration and the lack of job opportunities have caused greater commutes and thus greater needs for reliable transportation and childcare. Civic engagement, community participation and social support are also often sacrificed as a result of long commutes and shift away from production to consumerism. Rural communities must find a way to bridge the old and the new, to support community while also living in a consumer-oriented society. Those in rural areas often have less access to adequate healthcare, education and housing. Healthcare disparities exist between metropolitan and nonmetropolitan counties. Suicide rates, death rates from motor-vehicle accidents, heart disease death rates and many other disease- 21 22 Cloke, p. 99 Brown, 167 Antonik 9 related death rates are much higher in rural areas23. Rural people and urban people have similar insurance coverage rates, but rural people are much more likely to be underinsured24. In addition, basic care is usually all that is available, leaving rural areas with little or no specialty care. Education needs are also often ignored in rural schools. Current concerns include distributing funds through grants or property taxes rather than fixed amounts per student, high requirements or credentials for teachers, poor facilities and inability to attract quality teachers25. In the United States, rural homes account for about 20 percent of occupied homes, but they account for over 30 percent of homes without adequate plumbing26. Affordability for housing is also an issue: 5.5 million, or a quarter, of all nonmetropolitan households are paying more than 30 percent of their income on housing costs. 2.4 million are spending over 50 percent of their income on housing costs27. Key problems with housing in rural areas include imbalances in supply and demand, strict regulations on construction and land use, less owner-occupation, increasing rent burdens, and insecure tenants28. Rural homelessness, which is more likely to be experienced by single mothers and families29, is also a reality. The lack of adequate services creates a cycle of poverty from which any mobility is difficult. In addition to these structural causes of poverty, individual explanations also exist. Family structures have already been mentioned, but many strains on family and community can be attributed to structural failures. Drug abuse remains a large problem in rural America––drug abusers are more likely to be lifetime users in rural areas30. While not playing a large role in 23 Brown, p. 291 Brown, p. 295 25 Dillon, S. (2010, March 18). Lawmakers Say Needs of Rural Schools are Overlooked. New York Times, p. A20. 26 Cloke, p. 433 27 Cloke, p. 435 28 Cloke, p. 439 29 Cloke, p. 438 30 Warner, B. D., & Leukefeld, C. G. (2001). Rural-urban differences in substance use and treatment utilization among prisoners. American Journal of Drug and Alcohol Abuse, 27(2), 265-280. 24 Antonik 10 academia, the culture of poverty, which attributes one’s economic hardships to irresponsible behavior and beliefs, is often sited among the political drives for shaping policy: “Public opinion finds [the culture of poverty theories] congenial explanations for individual and group failure to prosper and a way to blame the victim rather than social conditions”31. More often than not, individual failures are, in fact, a result of structural inadequacies. Programs exist that work in response to these structural causes and to alleviate poverty in both rural and urban areas, but their effectiveness in rural America is questionable. Welfare is a prime example of this. Despite the similar, if not higher, poverty rates, rural poor are much less likely to receive welfare, and when they do, they receive less money on average32. In rural areas, welfare recipients generally have higher levels of education and job experience, but fewer job opportunities, including an average pay of $5.50 per hour, and services are available. Following reforms, rolls generally declined, but economic difficulties in the last few years have reversed this trend. Many issues exist with welfare in a rural context. Welfare to work programs that were popular with the reform in the 1990s are difficult as a result of low population densities and needs for essential services like childcare and transportation. These services, which can often be provided or subsidized by the government in metropolitan settings, are less available. The success of welfare has varied greatly from state to state. Employment boosts were similar in the first year following reform in both rural and urban areas; however, rural areas experienced a sharp decline in those boosts in year two while urban areas did not. Caseloads did decline in the same numbers in both rural and urban areas, but places such as the Mississippi Delta, who have even less services to offer, had greater difficulties in reducing caseloads. In Minnesota, economic status did not improve for rural welfare recipients while urban recipients received larger average 31 Cloke, p. 415 Rodgers, H. R., Jr., & Weiher, G. (Eds.). (1989). Rural Poverty: Special Causes and Policy Reforms. Westport, CT: Greenwood Press, p. xiv 32 Antonik 11 earnings. Overall, more work and reform is needed that improves economic status across the board for welfare recipients33. What can we do to address all of these aforementioned issues? The key to many initiatives is collaboration between rural areas, with urban centers, among policy makers and among citizens. In Brown’s Challenges for Rural America in the 21st Century, six characteristics of community development are cited34. The first is the encouragement of entrepreneurial opportunities, networking and leadership development––this initiative would help to ease historical inequalties and spur development. Secondly, empowerment of rural citizens must be emphasized. Thirdly, collaboration must occur among multiple organizations, regional activities, other communities, and nongovernmental organizations. Fourth, community must be emphasized as local but relational. Small town communities must work with urban areas and other rural areas with similarities to develop connections and pool resources, but one’s local community is still important. Fifth, rural areas must have access to information. Lastly, a comprehensive approach must be taken to provide communities with services. All of these community-based initiatives encourage rural America to find a median between an emphasis on local community and using the resources of other urban and rural areas. A community-based approach will allow rural citizens to meet their needs while preserving small town cohesiveness. Another step is to change economic structures. Globalization and trade liberalization have had deleterious affects on rural economies. Promoting civic engagement as well as community and local problem solving are key. Diverse economies are needed that do not rely solely on a corporate environment: “Communities dominated by large national or multinational firms are more vulnerable to greater inequality, lower levels of welfare, and increased rates of social 33 Whitener, L. A., Weber, B. A., & Duncan, G. J. (2001, Fall). Reforming Welfare: Implications for Rural America. In Rural America. Economic Research Service. 34 Brown, p. 387-394 Antonik 12 disruption”35. More emphasis must be placed on economic planning and entrepreneurship in rural areas. For healthcare, affordable health insurance is needed, social and economic inequalities that cause bad health must be addressed, connections to urban institutions and public and private options are needed 36. The Health People 2010 initiative, whose goals are to increase quality of life and eliminate health disparities, guides much of the rural health policies today. More programs providing services to rural America must be implemented, and existing ones must be improved. Welfare must cater more to rural circumstances––policies need to reflect the lack of adequate job opportunities, higher unemployment rates, difficulties of transitioning from welfare to work and inaccessibility to transportation, childcare, education and healthcare. A publication from the Economic Research Service suggests, “Greater flexibility on time limits and work requirements as well as increased efforts to create additional job opportunities could greatly ease the welfare-to-work transition of rural welfare recipients, particularly in the most poor and remote rural areas”37. In order to address rural poverty, much more than these three areas of change in economics, healthcare and public programs such as welfare are needed. The government, particularly the US Department of Agriculture (USDA), addresses housing and infrastructure issues. In the American Recovery and Reinvestment act, $193 million worth of projects are being monitored by the USDA’s Rural Development Community Facilities Program. Grants are going towards school and health facilities, fire and police departments, libraries, community centers and other initiatives that help to provide services to rural towns. The USDA guides a Rural Development team that manages programs across the country and provides jobs to thousands of employees. One program they run is to provide grants to improve the quality of housing. The Rural Business Opportunity Grant program provides economic planning assistance 35 Brown, p. 237 Brown, p. 301 37 Whitener 36 Antonik 13 and training to rural towns of less than 50,000 people. Through such government funded initiatives, community development, economic changes and emphasis on entrepreneurship, rural economies can be stimulated and poverty can be alleviated. Many questions are still left unanswered on the best and most effective way to address poverty, let alone the specifics of rural poverty. However, it is possible, through knowledge of the issues at hand, to make strides against poverty. No stereotype of a poor, rural American exists––African-Americans, whites, Latin Americans, single-parents, children, elderly, farmers, miners and janitors are all at the heart of rural America. Economic changes, histories of social inequalities and the deterioration of community support have presented the residents of rural America with great challenges, but these are not ones that are insurmountable. In the 1970s, President Lyndon Johnson began the War on Poverty. During that time, a third of rural Americans lived in poverty, and adequate healthcare and housing was essentially nonexistent. Through awareness and understanding, citizens have the ability to create change and push for policies that encourage empowerment, economic viability and cultural justice for rural America. Everyone has a role in bringing any issues of social injustice to the forefront, and the fact that rural citizens are facing challenges that could be mitigated is unjust. In his novel The Quiet American, Graham Greene says, “Innocence always calls mutely for protection when we would be so much wiser to guard ourselves against it: innocence is like a dumb leper who has lost his bell, wandering the world, meaning no harm”38. Citizens of the world cannot be passive observers to the injustices in the world. Rural poverty is just one of many obstacles that should not be tolerated. 38 Greene, G. (1955). The Quiet American. London: William Heinemann . Antonik 14 References Brown, D. L., & Swanson, L. E. (Eds.). (2003). Challenges for Rural America in the TwentyFirst Century. University Park, PA: Pennsylvania State University Press. Cloke, P., Marsden, T., & Mooney, P. H. (Eds.). (2006). Handbook of Rural Studies. London: SAGE Publications. Davis, D. (2005, June 12). Misperceptions have consequences. Keynote speech presented at “Rural America, Community Issues” conference. Davis, D. (2008, May 20). Why Don’t Those Hillbillies Like Obama? [Editorial]. Salon. Retrieved from http://www.salon.com/news/opinion/feature/2008/05/20/appalachia/ index.html DeParle, J. (2004). American Dream. New York: Penguin Group. Dillon, S. (2010, March 18). Lawmakers Say Needs of Rural Schools are Overlooked. New York Times, p. A20. Greene, G. (1955). The Quiet American. London: William Heinemann . Pandey, S., Porterfield, S., Hyeji, C.-K., & Hong-Sik, Y. (2003). Welfare Reform in Rural Missouri: The Experience of Families. Journal of Poverty, 7(3), 113-39. Perceptions of Rural America. (n.d.). Battle Creek, MI: W.K. Kellogg Foundation. Rodgers, H. R., Jr., & Weiher, G. (Eds.). (1989). Rural Poverty: Special Causes and Policy Reforms. Westport, CT: Greenwood Press. Rural Poverty at a Glance (Rural Development Research Report No. 100). (2004, July). Retrieved from USDA Economic Research Service website: http://www.ers.usda.gov/ publications/rdrr100/rdrr100.pdf Antonik Warner, B. D., & Leukefeld, C. G. (2001). Rural-urban differences in substance use and treatment utilization among prisoners. American Journal of Drug and Alcohol Abuse, 27(2), 265-280. Whitener, L. A., Weber, B. A., & Duncan, G. J. (2001, Fall). Reforming Welfare: Implications for Rural America. In Rural America. Economic Research Service. 15