Middle income households have been forced to accept lower standards of living while less fortunate have been driven into poverty by the high cost of housing. Housing costs have risen in some markets compared to others that the federal government now publishes alternative poverty estimates (the Supplemental Poverty Measure), because the official poverty measure used for decades does not capture the resulting differentials. The latest figures, for 2013, show California's housing cost adjusted poverty rate to be 23.4 percent, nearly half again as high as the national average of 15.9 percent.And half again as high as Mississippi, when both states are measured this way. Also;
The Public Policy Institute of California and the Stanford Center on Poverty and Inequality have collaborated to establish the "California Poverty Measure," which is similar to the Supplemental Poverty Measure adjusted for housing costs.And the reason for California's high housing costs? If you guessed, land use regulation and building restrictions put in place by planning commissions, give yourself a pat on the back.