What is a Metropolitan Statistical Area (MSA)?
The United States Office of Management and Budget (OMB) defines metropolitan statistical areas (MSAs) as having at least one urbanized region with a population of 50,000 or more.
Understanding Metropolitan Statistical Areas (MSA)
A metropolitan statistical area (MSA), formerly known as a standard metropolitan statistical area (SMSA), is the formal definition of a region made up of a city and surrounding communities linked by social and economic factors, as defined by the United States Office of Management and Budget (OMB).
Metropolitan statistical areas combine counties and cities into specified geographic areas for population censuses and statistical data compilations. Modern MSAs are designed to reflect contiguous geographic areas with a reasonably high human population density. Metropolitan statistical regions often comprise a significant city and its surrounding region, which may encompass several neighboring counties. The MSA area is often characterized by strong social and economic interaction. For example, people living in rural areas may have to travel long distances to work, shop, or attend social activities in the city.
According to OMB Bulletin No. 20-1, as of March 6, 2020 (latest information), 392 regions in the United States and Puerto Rico meet the qualifications to be designated as metropolitan statistical areas (MSAs) (384 in the United States and eight in Puerto Rico).
In contrast to micropolitan statistical areas centered on towns and smaller settlements with populations ranging from 10,000 to 50,000, MSAs must comprise at least 50,000 people.
Some metropolitan statistical areas (MSAs), such as Dallas-Fort Worth-Arlington, have multiple cities with populations exceeding 50,000. New York-Newark-Jersey City is the most populous MSA in the US, encompassing parts of three neighboring states: New York, New Jersey, and Pennsylvania.
MSA Data Applications
The Bureau of Labor Statistics (BLS) analyzes labor market conditions within a geographic area using MSA data. Workers within a metropolitan statistical area can probably change occupations without relocating, resulting in a largely stable labor force.
MSA statistical data also assists government officials and businesses in reviewing statistics on per capita income, spending habits, and unemployment rates. The resulting data can be utilized to develop policies to boost regional economic growth.
For example, the Atlanta-Sandy Springs-Alpharetta metropolitan statistical area has a considerable impact on the region’s economic health. It is Georgia’s most populous region. Companies looking to relocate or start new businesses in the Atlanta-Sandy Springs-Alpharetta region might utilize statistical data about the area to forecast the viability of their proposed venture. Real estate speculators also use MSA data to research housing patterns and population movements. In addition, applicants for some social services, such as low-income housing and other types of assistance, may be required to demonstrate income levels below a predetermined percentage of the median gross income in their metropolitan statistical region to qualify.
What is the area of a metropolitan statistical area?
A metropolitan statistical region has at least one urbanized area and a population of at least 50,000 people.
What Is the Distinction Between MSA and CSA?
A metropolitan statistical area (MSA) contains at least one urbanized region and 50,000 people. This comprises the primary jurisdiction and surrounding counties with strong social and economic ties to the core county. A combined statistical area (CSA) is defined as two or more MSAs or micropolitan statistical areas with at least 15 employment interchange measures. Employment interchange measures are “the sum of the percentage of employees in the smaller entity who work in the larger entity and the percentage of employment in the smaller entity that is attributable to employees in the larger entity.”
What Is the World’s Largest Metropolitan Area?
Tokyo is the world’s largest metropolitan area, with a total population of 36.5 million.
conclusion
- The United States Office of Management and Budget (OMB) defines a metropolitan statistical area (MSA) as having at least one developed place with 50,000 or more people.
- A metropolitan statistical area (MSA) is a physical area that includes a city and the towns around it that are socially and economically connected.
- For population counts and putting together related statistical data, metropolitan statistical areas (MSAs) group counties and cities into specific physical areas.
