Rural America

Volume 15, Number 3, October 2000

Rural America at the Turn of the Century: One Analyst’s Perspective The last 100 years have ushered in major change to the countryside. Once a majority, rural people are now a minority, while farmers have become a minority even in rural areas. Mines have opened and closed, creating and then eliminating communities. Forests have been harvested and restored. And in some rural regions, a wave of manufacturing has swept in and then largely disappeared. At the turn of the 21st century, one thing is clear: rural areas will not return to the way they were. If rural people and places are to benefit from ongoing changes, rural advocates must build coalitions, gain urban support, and promote sound policies. For more information, contact: David Freshwater. Rural America at the Turn of the Century: One Analyst’s Perspective, 283 kb Inmigrants to the Northern Great Plains: Survey Results from Nebraska and North Dakota New arrivals to Nebraska and North Dakota had higher educational levels than did the States’ populations overall, but few fit the “lone eagle” profile—individuals engaged in high-paying, knowledge-based industries who telecommute to work or service distant clients. Migrants appeared to move for quality of life rather than economic incentives. Most often cited was a desire to be closer to relatives, a safer place to live, and quality of the natural environment. These promising new residents would augment the population lost by the outmigration of the 1980’s. For more information, contact: F. Larry Leistritz. Inmigrants to the Northern Great Plains: Survey Results from Nebraska and North Dakota, 348 kb How Important Is Airport Access for Rural Businesses? Poor access to air service is a concern for many rural communities, as evidenced by a nationwide sample of manufacturing businesses. Manufacturers in the most rural areas are more likely than others to say that airport access is affecting their ability to compete. Inadequate airport access is one of the top five problems with location cited by manufacturers in the most rural counties. The use of outside technical expertise and location in the West South Central region also increased the probability of citing access problems.For more information, contact: Fred Gale. How Important Is Airport Access for Rural Businesses?, 188 kb Older Americans’ Patterns of Driving and Using Other Transportation Most older residents—both urban and rural—drive as their primary mode of transportation. Between 1995 and 2025, the U.S. population age 65 and older is expected to approximately double in size, but the number of the Nation’s drivers 65 and older is projected to increase by at least 2.5 times. Higher rates of public transportation use are unlikely unless the availability, quality, and convenience of services, especially in rural communities, are improved. This article examines rural-urban patterns and trends in driving, older people’s use of other modes of transportation, and the quality-of-life consequences of driving versus using other transportation. For more information, contact: Nina Glasgow. Older Americans’ Patterns of Driving and Using Other Transportation, 218 kb Developing a Safety Net for Farm Households Agriculture continues to be important for the rural economy in the 21st century. However, the number of farms continues its long-term decline and, despite increased reliance on off-farm sources of income, many farm households have incomes below the poverty level. There are many ways to provide support to the agricultural sector. This article examines four scenarios for government assistance to agriculture drawing on Federal programs that assist low- and middle-income households and that are based on the concept of ensuring some minimum standard of living. Only one scenario would generate lower costs than the current direct government payments to farms, but the distribution of total program benefits using any of the safety net scenarios would change dramatically by type of farm and region. For more information, contact: Leslie Whitener. Developing a Safety Net for Farm Households, 938 kb Rural Banks and the Federal Home Loan Bank System Increased competition within the financial services industry has raised concerns about the ability of rural banks to adequately fund local development. In an attempt to address these concerns, the Gramm-Leach-Bliley Act of 1999 broadened rural bank access to Federal Home Loan Bank (FHLB) financing. Rural banks that are experiencing higher interest rate risk, tighter net interest margins, and liquidity constraints seek FHLB membership and actively use advances to increase lending. Greater reliance on nondeposit funding may increase the risk profiles of banks. For more information, contact: Julie Dolan . Rural Banks and the Federal Home Loan Bank System, 240 kb USDA’s Self-Help Loan Program Provides Unique Opportunities for Home Ownership USDA’s 502 Direct Loan Homeownership Program offers a limited number of borrowers the option of participating in mutual self-help programs. Through these programs, nonprofit entities organize 5 to 12 borrowers into a self-help team that works together to complete each other’s homes. Evidence from a survey of 502 borrowers suggests that the “sweat-equity” method of building a home improves the chances of successfully owning a modest home while enhancing the wealth of the borrower. For more information, contact: George Wallace . USDA’s Self-Help Loan Program Provides Unique Opportunities for Home Ownership, 322 kb