Local income segregation

2021
united states

Local income segregation refers to the unequal distribution of income among different neighborhoods or residential areas within a particular geographic region. It refers to the phenomenon where people with similar income levels tend to live in close proximity to each other, resulting in distinct areas of higher or lower income concentrations.

Income segregation can occur due to various factors, including residential preferences, housing affordability, and existing patterns of segregation. Some people may choose to live in neighborhoods with similar income levels because of shared interests, amenities, or perceived social status. However, income segregation can also be a result of systemic inequalities and discrimination that limit housing options for lower-income individuals and communities.

The consequences of local income segregation are significant, as it can perpetuate and exacerbate socioeconomic disparities. Areas with higher concentrations of wealthier individuals often have better access to quality education, healthcare, and public services, while lower-income neighborhoods may face limited resources and opportunities. This can contribute to a cycle of poverty and inequality, ultimately affecting the quality of life and social mobility of residents.

Efforts to address local income segregation typically involve policies and initiatives aimed at promoting affordable housing, reducing housing discrimination, and improving access to resources and opportunities for disadvantaged communities. Additionally, promoting diversity and integration in residential areas can help mitigate income segregation and foster more equitable communities.

Further reading

Gallagher R.M. (2021) "Income segregation's impact on local public expenditures: Evidence from municipalities and school districts, 1980 2010", Regional Science and Urban Economics, 90(), pp. -. Elsevier B.V.. DOI: 10.1016/j.regsciurbeco.2021.103710