Personal Economic Well-Being

.. examining characteristics, patterns and change in personal economic well-being; learning about what per capita personal income by county tells us. Per capita personal income (PCPI) is the best single measure of personal economic well-being. PCPI differs American Community Survey (ACS) measure of per capita income, median household income and similar income measures as PCPI includes non-monetary income .. PCPI provides a more comprehensive measure. This post provides an update focused on new data released November 2022, county level personal income time series data starting in 1969.

Patterns of 2021 Per Capita Personal Income by County

.. click graphic for larger view
.. use VDA Web GIS for Web-based interactive viewing/analytics.
.. see this more detailed analytical framework for analytics using VDA Desktop.

Importance of these Data
How is the regional economy doing? How is it trending? What policies might be changed to improve personal economic well-being? Answers to these and similar questions are why knowing about personal income and its derivation, components is important — to residents, businesses and governments. While median household income is often considered the best measure of buying power for an area, it is not the best measure of personal or household economic well-being. PCPI and the Regional Economic Information System provides insights and answers to these questions.

U.S. Change in PCPI
In U.S. metropolitan areas, PCPI increased 7.3 percent in 2021, up from 6.0 percent in 2020. In U.S. nonmetropolitan areas, PCPI increased 7.5 percent, down from 7.9 percent.

Regional Economic Information System
PCPI is a small part of the broader Regional Economic Information System (REIS). The following links show examples of detailed tables for Harris County, TX comparing 2019 and 2021 developed using the ProximityOne REIS package. Develop these profiles for any county for your selected year 1970 through 2021.
  • Personal Income by Major Source
  • Earnings by Source & Sector
  • Employment by Type & Sector
  • Transfer Payments
  • Economic Profile
  • Farm Income & Expenditures

About VDA GIS
VDA Web GIS is a decision-making information resource designed to help stakeholders create and apply insight. Use VDA Web GIS with only a Web browser; nothing to install; GIS experience not required. VDA Web GIS has been developed and is maintained by Warren Glimpse, ProximityOne (Alexandria, VA) and Takashi Hamilton, Tsukasa Consulting (Osaka, Japan).

About the Author
Warren Glimpse is former senior Census Bureau statistician responsible for national scope statistical programs and innovative data access and use operations. He is also the former associate director of the U.S. Office of Federal Statistical Policy and Standards for data access and use. He has more than 20 years of experience in the private sector developing data resources and tools for integration and analysis of geographic, demographic, economic and business data. Join Warren on LinkedIn.

Neighborhood Median Family Income: Measuring Economic Well-Being

.. Median Family Income ($MFI) and Median Household Income ($MHI) are two measures of economic well-being. Based on the 2018 American Community Survey 1-year (ACS) data, the U.S. 2018 $MFI was estimated to be $76,401 while the $MHI was estimated to be $61,937 .. both in 2018/current dollars. Create insights into patterns of well-being by neighborhood using geospatial analysis. $MFI patterns are illustrated by the following thematic pattern map.

Patterns of Economic Prosperity by Neighborhood/Census Tract
The following view shows patterns of $MFI by census tract for the inner beltway area of Houston/Harris County, TX. Income interval color patterns are shown in the inset legend. Tracts are labeled with $MFI. Click graphic for larger view. Expand browser window for best quality view. Larger view shows tracts labeled with tract code. It is easy to see how west Houston and east Houston areas differ.

– view developed with ProximityOne CV XE GIS software and related GIS project.
– these $MFI data are based on the 2018 ACS 5-year estimates.

This section focuses on $MFI but could just as well focus on $MHI and yet other related income measures. $MFI will almost always be greater that $MHI, generally by a large margin. See the U.S. 2018 $MFI and $MHI in context of related demographic-economic measure here. See more about the distinctions/definitions of families and and households below.

The ACS data are a unique source of income and related data at the neighborhood or sub-county level. View more about accessing and using the 2018 ACS 5-year estimates.

Family Definition
A family is a group of two people or more (one of whom is the householder) related by birth, marriage, or adoption and residing together; all such people (including related subfamily members) are considered as members of one family. The number of families is equal to the number of family households. However, the count of family members differs from the count of family household members because family household members include any non-relatives living in the household.

Related … an unmarried partner, also known as a domestic partner, is specifically defined as a person who shares a close personal relationship with the reference person. … Same-sex unmarried-partner families or households – reference person and unmarried partner are both male or female.

Household Definition
A household consists of all the people who occupy a housing unit. A house, an apartment or other group of rooms, or a single room, is regarded as a housing unit when it is occupied or intended for occupancy as separate living quarters; that is, when the occupants do not live with any other persons in the structure and there is direct access from the outside or through a common hall.

A household includes the related family members and all the unrelated people, if any, such as lodgers, foster children, wards, or employees who share the housing unit. A person living alone in a housing unit, or a group of unrelated people sharing a housing unit such as partners or roomers, is also counted as a household. The count of households excludes group quarters. There are two major categories of households, “family” and “nonfamily”.

Situation & Outlook Weekly Web Sessions
Join me in a Situation & Outlook web session to discuss more details about demographic-economic estimates and projections.

About the Author
— Warren Glimpse is former senior Census Bureau statistician responsible for innovative data access and use operations. He is also the former associate director of the U.S. Office of Federal Statistical Policy and Standards for data access and use. He has more than 20 years of experience in the private sector developing data resources and tools for integration and analysis of geographic, demographic, economic and business data. Contact Warren. Join Warren on LinkedIn.

Personal Consumption Expenditures by Type & State

.. using Personal Consumption Expenditures (PCE) measures to monitor/examine the strength of a regional economy and consumer buying trends in that region and compare among regions … PCE estimates released in October 2019, show that state personal consumption expenditures increased 5.1 percent in 2018, an acceleration from the 4.4 percent increase in 2017. The percent change in PCE across all states ranged from 7.3 percent in Utah to 3.6 percent in West Virginia.

In 2018, across all states and D.C., per capita PCE was $42,757. Per capita PCE by state ranged from a high of $55,095 (MA) to a low of $31,083 (MS). Per capita PCE in D.C. $63,151. Use the interactive table to example per capita and total PCE by state for 24 categories annually 2010 to 2018.

Per Capita Personal Consumption Expenditures by Category; U.S. 2018
— how does your situation and areas of interest compare to U.S. overall?
— view, sort, query by state and year in the interactive table

Goods and services purchased by people are personal consumption expenditures (PCE). These data provide insights into the strength of a state economy and consumer buying trends. As a major component of GDP, PCE growth has recently accounted for much of the GDP growth. The data reviewed in this section are developed by the Bureau of Economic Analysis (BEA, released each October). ProximityOne develops regional PCE estimates by metro and county. More about PCE.

See related sections:
• State Real Median Household Income
• State Annual Gross Domestic Product by Industry

Per Capita Consumption Expenditures by State, 2018
The following graphic shows patterns of 2018 per capita personal income expenditures (PCE). Intervals show distribution in quintiles, equal number of states per interval. The 2018 U.S. per capita PCE was $42,757. Use CV XE GIS project to examine PCE by types, per cpaita vs total, different years and change. Integrate additional subject matter and types of geography. Click graphic for larger view with details. Expand browser window for bets quality view.

– view developed with ProximityOne CV XE GIS and related GIS project & datasets.

Using the Interactive Table
— which areas have the highest health care expenditures?
Use the interactive table to examine personal consumption expenditures by type and state annually for the period 2010-2018. The following view illustrates use of the table. This view shows use a query to examine only health care expenditures. The table was then sorted in descending order to show the areas with the highest per capita health care expenditures in 2018.

Try using the interactive table to existing states or categories of interest.

Demographic-Economic Analytics Web Sessions
Join me in a Demographics Analytics Lab session to discuss more details about accessing and using wide-ranging demographic-economic data and data analytics. Learn more about using these data for areas and applications of interest.

About the Author
— Warren Glimpse is former senior Census Bureau statistician responsible for innovative data access and use operations. He is also the former associate director of the U.S. Office of Federal Statistical Policy and Standards for data access and use. He has more than 20 years of experience in the private sector developing data resources and tools for integration and analysis of geographic, demographic, economic and business data. Contact Warren. Join Warren on LinkedIn.

U.S. & State Real Median Household Income Trends

.. during the past two years, 2017 and 2018, the real median household income increased by $1,627. Some states experienced a decline in real median household income in the past two years. During the previous two years, 2015 and 2016, the real median household income increased by $3,329. See details in interactive table (opens new page).

Real median household income in the U.S. increased 0.8 percent between the 2017 ACS and 2018 ACS based on the American Community Survey (ACS 2018). The U.S. MHI, based on ACS 2018 (released September 2019), was $61,937. The national MHI has been increasing since 2013. The increase from 2017 is smaller than the prior 3 years, during which MHI increased between 1.8 percent and 3.3 percent annually. This was the second consecutive year that U.S. MHI was higher than 2007.

Household income as used here is the combined gross income of all members of a household, defined as a group of people living together, who are 15 years or older. The median household income is used to examine the economic health of an area or to compare living conditions between geographic regions.

Use the interactive table and related Geographic Information System (GIS) resources to examine income trends and geographic patterns. See details on using GIS project.

Patterns of Real Median Household Income Change; 2016-2018
— change during two calendar years labeled with 2018 real MHI
— click link for larger view; expand browser window for best quality view.

– view developed using ProximityOne CV XE GIS and related GIS project.
– geospatial analyze income characteristics integrated with your data to examine patterns; gain insights.

Median Household Income in the United States: 2005–2018

U.S. & State Median Household Income: Annually 2005–2018 — Interactive Table
The following static graphic illustrates use of the U.S. & State MHI interactive table. This view shows the 10 states/areas ranked on the 2018 real median household income. See pointer, note that D.C. had the highest real 2018 MHI.  

Try it yourself. Use the table to examine different patterns … like which states experienced a decline in a selected year or over a selected period.

Alternative Measures of MHI
There are other ways to measure/estimate MHI. Possibly the most notable alternative is the Census/BLS Current Population Survey (CPS). This topic will be covered in an upcoming blog .. and how ACS and CPS MHI estimates differ. While the CPS can be used to develop state and higher level geography estimates, ACS might be preferred as MHI estimates can also be developed for counties, cities, census tracts and block groups .. and many other political/statistical areas not possible using CPS.

Demographic-Economic Analytics Web Sessions
Join me in a Demographics Analytics Lab session to discuss more details about accessing and using wide-ranging demographic-economic data and data analytics. Learn more about using these data for areas and applications of interest.

About the Author
— Warren Glimpse is former senior Census Bureau statistician responsible for innovative data access and use operations. He is also the former associate director of the U.S. Office of Federal Statistical Policy and Standards for data access and use. He has more than 20 years of experience in the private sector developing data resources and tools for integration and analysis of geographic, demographic, economic and business data. Contact Warren. Join Warren on LinkedIn.

Examining America’s Cities: Demographic-Economic Updates

.. of the approximate 29,500 U.S. cities and places — geographic areas of population concentration — 301 had an ACS 2016 5-year estimated population of 100,000 or more. The median household income among these places, one measure of economic prosperity, ranged from $26,249 (Detroit, MI) to $117,642 (Frisco, TX).

What are the demographic-economic characteristics of your cities/places of interest? How do these compare to peer groups or a metro/state of interest. Learn more using the new city/place demographic interactive tables. Its about more than economic prosperity — using these data provide otherwise unknowable attributes about the demographic, social, economic and housing characteristics of individual cities/places.

Visual Analysis of City/Place Population Dynamics
The following view shows patterns of population percent change by city in the Charlotte, NC/SC metro area.

… view developed using the CV XE GIS software.
… more about above view in City/Place Economic Characteristics section.

Patterns of Economic Prosperity ($MHI) by City/Place
— Northern Virginia, DC, Maryland; part of the Washington, DC metro.

… view developed using the CV XE GIS software.
… click graphic for larger view with places labeled by name and $MHI.

Interactive Tables — new January 2018
Use these interactive tables to get answers, build insights:
• General Demographics
• Social Characteristics
• Economic Characteristics — used to develop data at top of section
• Housing Characteristics
Related:
• City/Place GeoDemographics Main Section
• Annual City/Place Population Estimates & Trends
• Similar ACS tables: Census Tracts | ZIP Codes | State, Metro & County

More About City/Place GeoStatistical Data and Data Analytics
The term “places” as used here refers to incorporated places and Census Designated Places (CDPs). Incorporated places are political areas having certain governmental powers designated by the corresponding state. Unincorporated places, or Census Designated Places (CDPs), are statistical areas having no official standing and no governmental powers but are recognized as being areas of population concentration. Wide-ranging demographic-economic estimates are developed annually for the approximate 29,500 incorporated cities and CDPs based on the American Community Survey 5-year estimates. See more about the ACS 2016 5-year estimates.

Many cities have planning and data development operations that develop important local data including tax parcel data, building permit data, transportation and infrastructure data … bit generally not the data reviewed in this section. Many cities have no planning department to develop, organize and analyze geographic, demographic, economic data … making these data even more essential.

Increasingly in core sections of metropolitan areas, as shown in the above graphics, a large number of cities/places are contiguous. Many retain their own character evolving over many years. Having the detailed ACS demographic-economic data makes it possible to compare places side by side. Use the same data for related drill down geography such as census tracts and block groups to examine neighborhoods and market areas.

Data Analytics Web Sessions
Join me in a Data Analytics Lab session to discuss more details about accessing and using wide-ranging demographic-economic data and data analytics. Learn more about using these data for areas and applications of interest.

About the Author
— Warren Glimpse is former senior Census Bureau statistician responsible for innovative data access and use operations. He is also the former associate director of the U.S. Office of Federal Statistical Policy and Standards for data access and use. He has more than 20 years of experience in the private sector developing data resources and tools for integration and analysis of geographic, demographic, economic and business data. Contact Warren. Join Warren on LinkedIn.

Metro by Metro: What $100 Buys

.. data and tools to examine the purchasing power of the incomes in different metros and states … this section reviews how you can access to data on what $100 buys by state and metro. Examine patterns of what $100 buys by year, 2008-2014, for all items and by type of goods & services category. Use the interactive table to view, rank, compare the Buying Power Index for each/all states and metros (MSAs). See the main Web page for more details.

What $100 Buys by Metro: 2014
The following graphic shows patterns of 2014 all items buying power of $100 by metro (MSAs). The color patterns/intervals are shown in the inset legend. Click graphic for larger view. Expand browser to full window for best quality view. Use GIS tools to develop thematic pattern maps for a range of data and criteria.

.. view developed using the CV XE GIS software.
.. click map for larger view and details.

Varying prices by region can be normalized using Regional Price Parities (RPP). The RPP is a weighted average of the price level of goods and services for the average consumer in one geographic region compared to all other regions in the U.S. See more about RPP measures. Using the RPP data, what $100 will buy can be determined by state and metro for the categories of all goods and services, goods, services-rents and other services. See about RPP goods and services types.

In the Boston metro, $100 buys about 90.7 percent of all items goods and services due to the high prices there. $100 in Boston seems more like $90.70 compared to the national average. In the Jefferson City, MO metro, the opposite is true. $100 buys all items goods and services due to lower prices in that metro. $100 in the Jefferson City, MO metro is the equivalent of $121.65 of all items goods and services compared to the national price levels.
• the Boston metro all items buying power index is 90.70
• the Jefferson City, MO metro all items buying power index is 121.65

Interactive Table – Top 10 Metros
The following graphic illustrates use of the Buying Power Index interactive table. This graphic shows the 10 metros that have the all items highest Buying Power Index. Use the interactive table to view/examine areas of interest.

– click graphic for larger view.

Join me in a Data Analytics Lab session to discuss more details about accessing and using wide-ranging demographic-economic data and data analytics. Learn more about using these data for areas and applications of interest.

About the Author
— Warren Glimpse is former senior Census Bureau statistician responsible for innovative data access and use operations. He is also the former associate director of the U.S. Office of Federal Statistical Policy and Standards for data access and use. He has more than 20 years of experience in the private sector developing data resources and tools for integration and analysis of geographic, demographic, economic and business data. Contact Warren. Join Warren on LinkedIn.