Socio-Spatial Changes in Neighbourhood Income Characteristics in Calgary:

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1 Socio-Spatial Changes in Neighbourhood Income Characteristics in Calgary: An Exploration of the Three Cities Model Ivan Townshend, Byron Miller, Leslie Evans October 16, 2014 DRAFT for discussion / review only Page 1 of 28

2 The Changing Character of Neighbourhood Income Distributions in Calgary Declining middle Stable shares H and VH Increases in L and VL DRAFT for discussion / review only Page 2 of 28

3 The Changing Character of Neighbourhood Income Distributions in Calgary Extremes of income are increasing Similar share of CTs, almost doubling income levels Worst off CT not much change DRAFT for discussion / review only Page 3 of 28

4 The Changing Character of Neighbourhood Income Distributions in Calgary CT Min Inc Ratio CT Max Inc Ratio City 1 City 2 City City 1 City 2 City Poor CTs in City 3 are RELATIVELY Poorer through time. Rich CTs in City 1 are RELATIVELY Richer through time DRAFT for discussion / review only Page 4 of 28

5 The Changing Character of Neighbourhood Income Distributions in Calgary Erosion of middle Shift to lower incomes VH Income outliers more extreme (increasing positive skewness) DRAFT for discussion / review only Page 5 of 28

6 The Changing Character of Neighbourhood Income Distributions in Calgary Systematic temporal increase in Inequality & Polarization 2010 turnaround? (taxfiler data?) DRAFT for discussion / review only Page 6 of 28

7 Changing Geography of Income, 1970 to DRAFT for discussion / review only Page 7 of 28

8 Changing Geography of Income, 1970 to DRAFT for discussion / review only Page 8 of 28

9 Changing Geography of Income, 1970 to 2010 Spatial Change in Income: 1) The Declining suburbs 2) Inner City high income sector and western Exurban Concentration 3) Growing East-West divide DRAFT for discussion / review only Page 9 of 28

10 Changes in Inner City Areas, DRAFT for discussion / review only Page 10 of 28

11 Increasing elite Country Residential DRAFT for discussion / review only Page 11 of 28

12 Spatial Change in Income: 1) The Declining suburbs 2) Inner City Concentration Change DRAFT for discussion / review only Page 12 of 28

13 Applying the Three Cities Model to Calgary The Three Cities Model Joint Geography 1981 and 2011 (mapped to 2006 Boundaries) City 1: Increasing Income ( ) Income Ratio Increase of 0.1 or more City 2: Stable ( ) Income Ratio Change between -0.1 and +0.1 City 3: Decreasing ( ) Income Ratio Decrease of 0.1 or more Mean change in ratio= Mean change in ratio= Mean change in ratio= DRAFT for discussion / review only Page 13 of 28

14 Applying the Three Cities Model to Calgary City 1: 29.6% of tracts 27.2% of pop City 2: 20.9% of tracts 13.0% of pop City 3: 49.6% of tracts 59.8% of pop DRAFT for discussion / review only Page 14 of 28

15 Applying the Three Cities Model to Calgary. Income Ratio Characteristics in the Three Cities. City 1 (n=34) City 2 (n=24) City 3 (n=57) Min Max Mean STDev DRAFT for discussion / review only Page 15 of 28

16 Shifting Shares of Income Classes in the Three Cities DRAFT for discussion / review only Page 16 of 28

17 Shifting Shares of Income Classes in the Three Cities DRAFT for discussion / review only Page 17 of 28

18 Shifting Shares of Income Classes in the Three Cities DRAFT for discussion / review only Page 18 of 28

19 Shifting Shares of Income Classes in the Three Cities DRAFT for discussion / review only Page 19 of 28

20 Percentage of CTs in Each Income Ratio Group City 3 Mean change in ratio= City 2 Mean change in ratio= City 1 Mean change in ratio= Inc Ratio DRAFT for discussion / review only Page 20 of 28

21 City 1: Income Group Transition Count Income Group 1980 Total Income Group 1980 * Income Group 2010 Crosstabulation a 0.00 to to to to to 4.00 a. City in 2010 = 1.00 Income Group to to to to 4.00 Total Difference in Income Gp a Valid No change Increase 1 category Increase 2 categories Total a. City in 2010 = 1.00 Cumulative Frequency Percent Valid Percent Percent No tracts decline 65% of tracts Increase DRAFT for discussion / review only Page 21 of 28

22 City 2: Income Group Transition Count Income Group 1980 Total Income Group 1980 * Income Group 2010 Crosstabulation a 0.60 to to to to 4.00 a. City in 2010 = 2.00 Income Group to to to 4.00 Total Valid Decrease 1 category No change Increase 1 category Total a. City in 2010 = 2.00 Difference in Income Gp a Cumulative Frequency Percent Valid Percent Percent % of tracts decline 83% No change 8% of tracts Increase DRAFT for discussion / review only Page 22 of 28

23 Count Income Group 1980 Total City 3: Income Group Transition 0.60 to to to to 4.00 a. City in 2010 = 3.00 Income Group 1980 * Income Group 2010 Crosstabulation a Income Group to to to to to 4.00 Total Decline of the Middle 23/57 (40.4%) are middle class neighbourhoods becoming poor nhoods 12/57 (21.1%) are middle class neighbourhoods becoming very poor Difference in Income Gp a Selected Decline of Higher Income Nhoods 7/57 (12.3%) decline Valid Decrease 2 categories Decrease 1 category No change Total a. City in 2010 = 3.00 Cumulative Frequency Percent Valid Percent Percent % of tracts decline 21% No change DRAFT for discussion / review only Page 23 of 28

24 Social Differences in the Three Cities in DRAFT for discussion / review only Page 24 of 28

25 DRAFT for discussion / review only Page 25 of 28

26 Social Differences in the Three Cities in 2006 Apart from income, household size, housing types, and period of dwelling construction, City 1 and City 2 are not much different to each other on most social indicators. City 3 stands out as having unique social attributes on many indicators. On educational, labour force, income, age, household, immigrant and ethnicity, language, mobility, and housing variables, City 3 standard in contrast to the other cities DRAFT for discussion / review only Page 26 of 28

27 Conclusion consistent and systematic increases in income inequality and polarization, causing Calgary to become the second most unequal CMA in Canada dramatic loss of middle income neighbourhoods (70% to 48%) Middle has transitioned to become low or very low income over time. levels of personal income has risen dramatically in H and VH income tracts (now as high 4 x CMA average) many more neighbourhoods are becoming poorer, and a select few neighbourhoods are becoming extremely wealthy DRAFT for discussion / review only Page 27 of 28

28 Conclusion Three Cities model applicable. Pattern similar to Toronto Suburbanization of poverty. Return to the central city. City 1 and City 2 are not much different to each other on most social indicators. City 3 stands out as different on most social indicators. Linkage between low and losing incomes/poverty and many social features (e.g. immigrant, language, housing, labour force, age, education, etc.) DRAFT for discussion / review only Page 28 of 28

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