Small Cities Lose Luster In Downturn

WASHINGTON — America's small cities are losing some of their traditional appeal to upwardly mobile families seeking wholesome neighborhoods, a stable economy and affordable living.

A review of newly released census data shows, for example, that cities of between 20,000 and 50,000 residents have lagged behind their larger counterparts in attracting higher-educated residents in this decade.

In 2000, small cities, which include remote towns and the distant suburbs known as "exurbs," ranked at the top in the share of people with college diplomas. They slipped to No. 2 last year with 30 percent holding degrees -- in between medium-sized cities, which had 31 percent, and big cities, at 29.8 percent.

Poverty is growing in the small cities, fueled partly by population growth, although average median income of $60,294 in those communities is still higher than other places.

Small cities looking more and more like bigger cities over the decade ranged from places like Hobart, Ind., and Mount Pleasant, Mich., to Anniston, Ala., and Greenville, Miss. Compared with previous years, they had smaller incomes, higher housing costs, longer commutes, more poverty and more single-parent families.

Demographers attributed some of the shifts to the housing downturn and a spike in gasoline prices, which has hit residents in the far-flung exurbs harder. Many families in smaller towns also are looking for jobs in larger cities because of the current recession and are rethinking the wisdom of a lengthy commute to work.

Some small cities may have become victims of their own success. As their local economies boomed mid-decade, many places grew rapidly and attracted lower-income residents needed to build roads, schools and other public works projects. Some of these areas have shot up in size and are now medium-sized communities.

"Small towns have a certain appeal to people, and their quality of life there is backed up by the data," said Mark Mather, associate vice president of the nonprofit Population Reference Bureau. "But as more people move in, small towns start to lose the qualities that attracted people there in the first place."

GO GERE to read more.