During COVID-19, wealthier people now less mobile than poorer people

Researchers found changes in mobility patterns among Americans of different income levels during COVID-19:

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Writing in the journal PNAS, researchers from several California universities describe how they used anonymized cell phone location data and census info to show a dramatic reversal in how mobile Americans have been this year. Before Covid-19 struck, rich Americans moved about more than poor Americans—they can always afford to travel. But between January and April, that flipped. Rich folk are now far more likely to stay completely at home than poor folk: The study found that 25 percent more high earners stayed completely at home during the pandemic, compared to the number of them who had stayed home before. That increase was only 10 percent among low earners. And that has major implications for how we as a nation can fight the pandemic.

“In the early stages of the Covid-19 pandemic, there was a clear mobility response across the board,” says University of California, Davis environmental economist Joakim Weill, lead author on the paper. “In the US, everyone started to stay at home more. But we also found that there is a clear differential between wealthier communities and poor communities, where individuals in wealthier neighborhoods tended to stay at home much more than people in poorer neighborhoods.”…

Close to half of the wealthiest Americans stayed completely at home on weekdays in April, compared to less than 40 percent of low-earners. The poor traveled farther distances on average: In the same month, people who live in lower-income areas traveled between 5 and 6 kilometers, while the rich traveled closer to 4. The rich nearly halved their visits to recreational and retail areas in April, while the poor cut their visits by only a quarter—perhaps because their jobs required them to return to work there.

To be clear, the researchers can’t definitively say why the data shows this dramatic discrepancy, but they can begin to speculate. For one, essential workers often earn lower incomes, like clerks at grocery stores and pharmacies. Indeed, the US Bureau of Labor Statistics has found that among Americans 25 and older with less than a high school diploma, just 5 percent teleworked in June. On the other hand, 54 percent of Americans with a bachelor’s or more advanced degree were able to work remotely.

Social class is connected to mobility, health, and a whole lot of factors in social life. The anonymized cell phone data also seems to align with other patterns: those who can leaving certain big cities as well as differences in COVID-19 cases across communities and racial and ethnic groups.

As the article goes on to note, the fact that anyone can contract COVID-19 is not the same as saying everyone has the same likelihood of contracting COVID-19. Those with resources have more options in how to respond to crises plus more options when it comes to treatment. These differences are generally present regarding health but a large pandemic reveals some of the underlying patterns that deserve attention.

Community disparities in COVID-19 cases mean districts and schools will need to respond differently

Given disparities in who is more at risk for COVID-19 (higher proportions of Blacks and Latinos, differences across suburban communities), school districts and possibly even schools within districts might need different plans to address the situation. In the Chicago suburbs, many districts have already announced plans for the start of school.

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Yet, what the plans are and in which communities is interesting to observe. Approaches can vary quite a bit with some opting for all remote learning to start, others going with a hybrid model (alternating attendance), and a few considering more in-person instruction. Wealthier communities that go for remote options may have more flexibility: parents and families can provide for childcare or have adults who can work from home and technology is plentiful. Furthermore, some communities appear to have a lower risk of COVID-19 compared to other places where people work in different kinds of jobs and households are larger. And larger school districts that encompass pockets of residents from different social classes and racial and ethnic groups could have very different situations within their schools. To some degree, this is nothing new: outcomes can vary for students within schools and districts. At the same time, COVID-19 (and other crises) help expose inequalities already present and may exacerbate them further.

That said, it might difficult to develop one-size-fits-all options even at the district level, let alone among county education boards or state education boards, unless there is a lot of homogeneity. The residential segregation common in the United States which then affects who attends what schools as well as  COVID-19 cases means addressing learning and safety together could require flexibility across schools.

Naperville considering affordable housing – but primarily for current residents?

Naperville will soon discuss recommendations from a consultant regarding affordable housing. Several of the suggestions point to at least some of the affordable housing serving current residents:

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Commissioners say the ideas are designed to help the city meet a state mandate on affordable housing and provide more places where seniors, young professionals and others who can’t afford many of the houses in Naperville can live…

Establish a rehabilitation loan fund to help low-income senior homeowners make repairs so they can age in place.

Establish a housing trust fund to help veterans, seniors, populations with special housing needs and first responders (including nurses, police officers and firefighters) purchase a home…

These ideas and others are listed in the report from SB Friedman, which found that roughly 22% of homeowners and 44% of renters in Naperville are spending more than 30% of their income on housing, making them “cost-burdened.” Many of these households are low-income, the report found, saying “there appears to be a considerable need for both owner- and renter-occupied affordable housing and income-restricted housing throughout the city to meet current residents’ needs.”

One way for wealthier suburbs to address affordable housing is to look for solutions for some of the populations mentioned above: seniors who are retired and are downsizing or having a hard time affording local housing on a restricted income; young professionals who are just out of school and looking to establish their career; and local workers who are seen as essential to the community such as teachers, fire fighters, and police officers. These are all groups that a wealthier suburb would want to keep as older residents should be able to age in place, attracting young professionals is important for keeping a strong tax base and having more young families in the community, and having certain occupations near their jobs and involved in the community is viewed as a plus.

At the same time, it is not clear that this gets at the full range of housing needs in the Naperville area, Chicago region, or the United States. There are lots of people who would benefit from cheaper housing costs yet the issue of affordable housing in many places is also connected to race and class. As noted in this article, housing is a social justice issue. Is Naperville addressing social justice issues if it is providing housing for the populations discussed above? Or, would providing housing for those with lower-wage jobs make more sense? Or, could cheaper housing provide opportunities for some future residents to experience upward economic mobility in a community with a lot to offer?

There is still much that could happen in these discussions. Naperville has a lot to offer to residents and it is a well-off and high-status community. What comes out of these conversations could help determine what the population of Naperville looks like in the coming years.

 

More on the wealthy leaving cities, San Francisco edition

The flight of some out of New York City amid COVID-19 has attracted attention. This may also be happening in San Francisco:

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Amid the depths of a global pandemic and financial downturn, the demand for real estate is unexpectedly rocketing in wealthy regions outside San Francisco, reports Bloomberg. Agents say that demand is soaring in affluent areas around the Bay Area such as Napa, Marin and further afield in Carmel, as people who have the means look to get away from the city. Meanwhile, the market in San Francisco and Alameda County is still well below where it was last year.

Elsewhere, Lake Tahoe has also seen a surge in real estate interest. The prospect of living out of the city on an alpine lake while maintaining a career is appealing for a new generation of young buyers, as many tech companies have signaled that remote work may be the new norm for a long time…

Meanwhile, the rental market in San Francisco has dropped significantly, with rates for one-bedroom apartments in the city dropping by 9.2% since June 2019, and hitting a three-year low.

However, buying a new home in an isolated haven in a nearby bucolic county is not an option for lower-income San Francisco residents, and some believe the trend is only exacerbating the wealth divide.

And, as noted in the final paragraph of the story, it is hard to know whether this is a long-term trend. But, this is one of the advantage of wealth and resources: residential options during times when many others are limited in where they can live. And this is not just limited to where they can live; it includes being able to travel back and forth easily, owning or renting multiple properties at the same time, and having all the resources for working from home.

More broadly, the evidence cited above is interesting in that people moving out of the city are not said to be moving very far. They are still within a drive of San Francisco/the Bay Area/Silicon Valley. Are people in the Bay Area more willing to stay close by or do they have to due to work (a need for at least some in the tech industry to be at meetings, see people and products, etc.)? Does this differ from New York City where many of those moving ended up in the suburbs while others left the metro region all together? Staying in driving distance changes the moving experience.

I am also imagining the possibility of a more significant migration than some wealthy people heading for the suburbs or other cool metro areas. What if Facebook said they want to get out of the petri dish of Silicon Valley, be a different kind of tech company that really wants to connect people, and picks up for Omaha or St. Louis or another smaller big city in the middle of the country? Clusters of organizations have particular synergies and efficiencies but if more workers are going to be at home, is there still the same need to locate near everyone else?

Related earlier post: the evidence for this happening in Washington D.C. may not be as strong.

Addressing race without addressing residential segregation?

Residential segregation is a long-standing problem in American society. Through legal and illegal means, formal and informal practices, whites often sought and still seek to keep others, particularly blacks, out of their communities and neighborhoods. While residential segregation has lessened in recent years, it is still persistent and numerous communities disadvantaged decades ago are still struggling because of this.

The ability of people of different races and ethnicities to live near each other is not just about proximity to work and access to jobs (though this is helpful too); there are numerous consequences.

-local schools

-access to local governments, and social services

-interaction with neighbors and people in the community

-political representation at higher levels such as state officials or Congress

-nearby cultural opportunities

-health as well as recreational opportunities

-could provide more options for housing and building wealth

-the chance to address local or community problems together

And the list could go on.

As one example, more minorities living in the American suburbs does not necessarily a guarantee them a better life. When many suburbs were built on and operate on the logic of exclusion, suburban residential segregation subverts the idea of the suburban single-family home representing the American Dream.

Tackling residential segregation is a difficult task. Whiter, wealthier communities are not likely to be on board (see how this plays out with affordable housing conversations). Addressing housing at a national level is hard. But, that does not mean it is not worth addressing.

Argument: COVID-19 cases not necessarily because of density but denser housing and work arrangements

Cities may not be the issue when it comes to COVID-19; rather, the larger issue might be density of homes, work, and travel experienced by some.

The inequalities of cities intersect in the rooms where people live and work. “The densest blocks in New York are in Manhattan, and that is not where cases of coronavirus are most frequent. They’re most frequent in Brooklyn and Queens, and in poorer neighborhoods,” says McDonald, lead scientist at the Nature Conservancy and author of the Nature of Cities analysis. “In Manhattan you might have only two people in a studio apartment, and in parts of Brooklyn or Queens you might have a family of five or six people in a room that size.”

An analysis from the housing-focused Furman Center at New York University lays out this answer more starkly: Mortality rates were higher in neighborhoods with lower incomes and less density across the geographic space but more density in a given home. That is, more people sharing a room or an apartment. Parts of the city with more renters living in overcrowded conditions had higher levels of infection, even though they had lower population density. And where more people had college degrees, fewer people got sick—possibly because people without college degrees are less likely to be able to work from home, and more likely to be riding public transit and working with other people, all potential points of exposure to the disease.

Class and race differences manifest in differing risk. “For some people who have been exposed, or are experiencing symptoms, staying home is not always the obvious course of action,” says Molly Franke, an epidemiologist at Harvard Medical School. People who don’t have sick leave, who might lose their wages or jobs if they don’t show up, don’t have the option of sheltering in place. They’re out in the world, with more chances to encounter the disease and bring it home to the people they live with. And then, Franke says, things get even worse: “For a patient with Covid-19 to successfully isolate, there must be a separate bedroom and at least two weeks worth of supplies.” Who can afford all that?

On May 18, statistics finally confirmed what the Furman Center analysis had implied. The New York City Department of Health released numbers on deaths from Covid-19 by zip code, and the accompanying map is clarifying: The death rate has been higher in poorer neighborhoods where more people of color live. When Covid-19 came to New York City, rich people threw their Rimowa rolling bags into their Audi Q8s and decamped. But people who are less likely to have access to health care, less likely to have jobs they can do from home, more likely to share housing—as usual, they’re the ones who bear the brunt of the disease. Population density hasn’t been the issue, except on the spatial scale where it’s a proxy for inequality.

The logical next question to me is whether these patterns hold across other cities and communities. Are the unequal outcomes among blacks in Chicago and Latinos in the Chicago suburbs due to the same factors? Do the same patterns hold in Los Angeles where car travel is more common? Would the spread of cases in food processing plants also fit within this explanation (denser working conditions, lower-wage workers living in different conditions)? And if people have resources, they have more space and ability to avoid other people. It would be worth seeing if this applies across the board as well or if working in certain jobs or settings would limit the advantages.

Thinking long-term, I am sure there is more to come on the differential effects of COVID-19.

The budget gap facing Chicago area suburbs due to COVID-19

An online forum with House leaders provided details on how suburban budgets in the Chicago area are affected by COVID-19:

Not only are sales taxes plunging but costs of preventing the respiratory disease are mounting, suburban leaders explained to House Majority Leader Steny Hoyer at an online forum hosted by U.S. Rep. Sean Casten Monday.

Glen Ellyn expects a 20% to 25% reduction in revenue over the next three to six months in the general fund, half of which goes to the police department, Village President Diane McGinley said…

Algonquin Village President John Schmitt said not only is the village shelling out for items like face masks but so far there’s been a 26% reduction in sales taxes revenues…

He noted Hanover Park is facing about $242,000 in COVID-19 expenses and a drop of almost $5.6 million in taxes.

If a retailer or business cannot open or sell at the same level as prior to the pandemic, this affects all sorts of outcomes. As noted above, communities have limited numbers of ways to fill this budget gap. They can look to governments above them – states, the federal government – but that puts their fate in the hands of others and that money may not come quickly or in sufficient amounts. In the short-term, this likely means putting off projects. Longer-term, it could mean some hard decisions about services and local amenities that suburbanites enjoy or think are essential.

The tax revenues might just be the tip of the iceberg; if retailers have to close (already an issue from urban shopping districts to shopping malls), this puts pressure on landlords as well as on communities to fill vacant space (already an issue in suburban communities whether filling big box locations or office parks) both to generate revenue and avoid the appearance of economic loss or blight. Local jobs are affected.

It will be interesting to see if these budget issues widen the gap between suburbs with a lot and those with less. There is already a bifurcated suburban landscape: some communities really struggling and some with a lot of resources, amenities, and status (and many somewhere in between). Those who have more can likely weather this storm better than the suburbs already struggling.

College students see inequalities while doing classes from home

Video conferencing software allows colleges classes to go on during COVID-19 but they can reveal differences between lives at home:

But as each logged in, not everyone’s new reality looked the same.

One student sat at a vacation home on the coast of Maine. Another struggled to keep her mother’s Puerto Rican food truck running while meat vanished from Florida grocery shelves. As one young woman’s father, a private equity executive, urged the family to decamp to a country where infections were falling, another student’s mother in Russia couldn’t afford the plane ticket to bring her daughter home…

She added: “It’s possible to believe that we can bridge inequalities by coming together on the Haverford campus, or that we can at least soften the edges — and then there is this incredible rupture. I’m very worried about what comes next for them.”

I suppose there is an optimistic and pessimistic way to look at this. For the first, perhaps college campuses truly do offer opportunities for students to have a somewhat level playing field. At the least, they have similar accommodations on campus and face similar day-to-day pressures regarding school. For the pessimistic side, on-campus college experiences may simply gloss over stark differences and access to resources while in school (as well as before and after). The campus experience might even make the problem worse by suggesting everyone has similar resources and opportunities.

Going further, there is a possible research study here looking at how students – and others using conferencing software for a variety of groups and organizations – display their surroundings. What are markers in a Zoom tableau or background that indicate relative advantage or disadvantage? How aware are users that they are doing this? Does it get discussed in the class/meeting/session or is it talked about later off-screen? What are the accepted norms in these areas?

From my own areas of research, I wonder what could be found regarding homes and interior spaces. Particularly for college students, where are the best or most common spaces for them to participate? American home activity can tend to center around the kitchen but I assume this is not the optimal space for video conferencing. This creates an interesting contrast: there are parts of homes that are meant to be showpieces for visitors – updated kitchens, big open concept spaces, entryways, the front exterior – but these would rarely show up on video conferences. If extended isolation becomes more common, would this change how people design homes and interior spaces?

When communities resist and protest COVID-19 testing and treatment sites

NIMBY attitudes can be present even – or maybe especially – during pandemics:

Last week, residents in Darien, Connecticut, a tony exurb of New York City, successfully lobbied to shut down plans for a coronavirus testing site, despite surging demand. The reason? Complaints from neighbors. As it turns out, the “Not In My Backyard” impulse to block new development — which has been implicated in the severe affordability crisis affecting cities from coast to coast — translates far too neatly into blocking certain measures needed to stop the spread of the virus.

In a similar case in Ewing, New Jersey, a local landlord issued a cease-and-desist letter to the operator of a coronavirus testing center amid complaints about congestion in the parking lot. As The Trentonian reported, one resident who wanted to be tested in order to protect his three-year-old child wasn’t subtle about how he felt about the decision: “It blows my f**king mind.”

Community resistance from neighbors of testing sites is a rerun of the fierce NIMBY reaction to potential coronavirus quarantine sites. Back in February, California began looking for a place to shelter Americans returning from abroad with the virus and settled on an isolated medical campus in Costa Mesa. But after local residents complained, city officials sought and received a court injunction to stop the project.

As the need for quarantine sites expanded, so did the NIMBY backlash. Finding sites that won’t suffer the same fate has proven to be a major hurdle as the federal government attempts to manage the crisis. Back when the focus was still on returning cruise ship passengers, officials in Alabama went to the mat to keep passengers of the Diamond Princess cruise ship out of a local FEMA facility, eventually forcing the federal government to scrap the plan altogether. Similar fights have played out from Seattle to San Antonio, potentially undercutting the response to the coronavirus at key early stages. As a result, the federal government largely shifted quarantining efforts to military bases, where complaining neighbors hold less sway…

At first glance, it might seem like efforts to block potentially life-saving public health screenings and complaints about community character have little in common. But in both cases, the formula is the same: Whether out of an understandable fear of the unknown or a selfish desire to shift the burden elsewhere, local impulses are given veto power over broader social needs. Under normal conditions, the inability to constructively manage this means higher rents. In a public health emergency, it could be lethal.

In addition to what is in the last paragraph quoted above, I am struck by the resistance to facilities and sites that would be home to temporary concerns. It is one thing to object to a long-term health facility (see recent posts about a drug treatment facility in the western suburbs of the Chicago area here and here) but another to resist something that is needed now and presumably not permanent. Of course, this could be part of the fear: if a site treats COVID-19, could it then later be turned into a more permanent fixture in the community?

The logical extension of the NIMBY claims would be to push COVID-19 treatment sites or testing facilities to communities that could not resist it. When this plays out in areas like housing or unwanted land uses, this means that communities with less wealth and political power tend to become home to land uses that wealthier communities refuse. If such a pattern occurs here (and there is evidence that health differs dramatically by location in the United States), it could be evidence that pandemics further locational and health inequalities.

Studying elite/townspeople relations in wealthy Teton County, Wyoming

Elites have made Teton County, Wyoming a home and they have complicated relationships with local residents:

When he visits the downtown bars, “I don’t tell people that I live in a gated community. They accept me as a local,” he tells author Justin Farrell in his new book, “Billionaire Wilderness: The Ultra-Wealthy and the Remaking of the American West” (Princeton University Press), out now…

According to a 2018 report from the Economic Policy Institute, the wealthiest 1 percent in Teton County bring in an annual income that’s approximately 142 times more than the other 99 percent of families in the county. The “average” per-capita income in Teton County is just over $251,000, the highest in the country, according to the US Department of Commerce, and the rest of Wyoming doesn’t even come close, with most counties ranging between $40,000 and $50,000 per year, and none going above $70,000. Coming second to Teton is Manhattan, where the average income is $194,000…

But it goes deeper than taxes. Over the last few decades, the wealthy “feel like they’ve been unfairly criticized and targeted,” Farrell says. “Because of the Occupy Wall Street movement and politicians like Bernie Sanders, attacking the rich has become part of the dominant discourse. I actually had a few people tell me that they’ve come to Teton County to escape the socialist revolution. Wyoming feels like a safe haven for them.”…

Stewart considered this relationship, and others he had with lower-income locals, to be authentic and equitable, but as Farrell points out, “his friendships are often based on economic exchange and uneven power dynamics.”…

Claire Drury, who lives in Teton County but is far from rich, has a thinly veiled disgust for her wealthy neighbors. “Yeah, yeah, yeah, the ultra-wealthy are befriending us savages while drinking a really nice 1976 Bordeaux,” she told Farrell. “It is reminiscent of all the Buffalo Bill Wild West shows, [with] the noble savages sitting there stiff as a board while their photos are being taken in some sort of sepia-toned thing.”

It is rare to find studies of the elite that includes more direct data including interviews. For a variety of reasons, sociologists tend to focus with elites in an aggregate or from a distance. And one advantage of having money and/or power is that people can exert some control of who has access to them.

And yet, this also sounds like a neighborhood or community study (albeit in a more rural area), a common feature of American sociology for over one hundred years. Even the wealthiest members of Chicago’s Gold Coast could not easily ignore the more difficult conditions just down the street from them (from the classic study The Gold Coast and the Slum). Elites do not exist outside of communities and interactions with people around them. How they get along with others – or not – is worth considering as is how these interactions affect broader communities and could affect the influential ways that elites can act.