 On the Empirical Finding of a Higher Risk of Poverty in Rural Areas: Is Rural Residence Endogenous to Poverty?Monica G. Fisher Journal of Agricultural and Resource Economics, 2005, vol. 30, issue 2, 20 Abstract: This section includes: On the Empirical Finding of a Higher Risk of Poverty in Rural Areas: Is Rural Residence Endogenous to Poverty?:COMMENT, by Thomas A. Hirschl; On the Empirical Finding of a Higher Risk of Poverty in Rural Areas: Is Rural Residence Endogenous to Poverty?: REPLY, by Monica Fisher. Research shows people are more likely to be poor in rural versus urban America. Does this phenomenon partly reflect that people who choose rural residence have unmeasured attributes related to human impoverishment? To address this question, two models are estimated using Panel Study of Income Dynamics data. A single equation Probit model of individual poverty replicates the well-documented finding of higher poverty risk in rural places. However, an instrumental variables approach, accounting for correlation between rural residence and the poverty equation error term, finds no measured effect of rural location on poverty. Results suggest failure to correct for endogeneity or omitted variable bias may overestimate the "rural effect." Keywords: Food; Security; and; Poverty (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:ags:jlaare:31219 Access Statistics for this article More articles in Journal of Agricultural and Resource Economics from Western Agricultural Economics Association Contact information at EDIRC. |
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