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The Likelihood of Experiencing Relative Poverty over the Life Course

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  • Mark R Rank
  • Thomas A Hirschl

Abstract

Research on poverty in the United States has largely consisted of examining cross-sectional levels of absolute poverty. In this analysis, we focus on understanding relative poverty within a life course context. Specifically, we analyze the likelihood of individuals falling below the 20th percentile and the 10th percentile of the income distribution between the ages of 25 and 60. A series of life tables are constructed using the nationally representative Panel Study of Income Dynamics data set. This includes panel data from 1968 through 2011. Results indicate that the prevalence of relative poverty is quite high. Consequently, between the ages of 25 to 60, 61.8 percent of the population will experience a year below the 20th percentile, and 42.1 percent will experience a year below the 10th percentile. Characteristics associated with experiencing these levels of poverty include those who are younger, nonwhite, female, not married, with 12 years or less of education, or who have a work disability.

Suggested Citation

  • Mark R Rank & Thomas A Hirschl, 2015. "The Likelihood of Experiencing Relative Poverty over the Life Course," PLOS ONE, Public Library of Science, vol. 10(7), pages 1-11, July.
    • Handle: RePEc:plo:pone00:0133513
    DOI: 10.1371/journal.pone.0133513
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    References listed on IDEAS

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    1. Thomas A Hirschl & Mark R Rank, 2015. "The Life Course Dynamics of Affluence," PLOS ONE, Public Library of Science, vol. 10(1), pages 1-10, January.
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    2. Peiyi Lu & Mack Shelley & Yi‐Long Liu, 2021. "Reexamining the poverty cycle in middle and late adulthood: Evidence from the Health and Retirement Study 2002–2014," International Journal of Social Welfare, John Wiley & Sons, vol. 30(2), pages 140-151, April.
    3. Mueller, Tom, 2020. "The poverty balancing equation: Expressing poverty of place as a population process," SocArXiv ws3gd, Center for Open Science.
    4. David Splinter, 2019. "Who Pays No Tax? The Declining Fraction Paying Income Taxes And Increasing Tax Progressivity," Contemporary Economic Policy, Western Economic Association International, vol. 37(3), pages 413-426, July.
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    7. Robert Schoen, 2020. "Dynamic Multistate Models With Constant Cross-Product Ratios: Applications to Poverty Status," Demography, Springer;Population Association of America (PAA), vol. 57(2), pages 779-797, April.

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