Defining a rural area might seem straightforward, but the reality is complex and multifaceted. Researchers, policymakers, and government agencies often employ different definitions, leading to confusion and impacting program eligibility. This article aims to provide a comprehensive understanding of “What Is A Rural Area” by exploring various definitions and their implications.
The term “rural” is often used interchangeably with “nonmetro” when referring to areas outside of major urban centers. Congressional legislation also utilizes the term when establishing various targeting criteria for different programs. However, the U.S. Bureau of the Census offers a specific statistical definition of “rural” based on housing unit and population density. The existence of these varied definitions highlights the reality that “rural” and “urban” distinctions are influenced by geographical factors and population thresholds. Sometimes the primary consideration is population density, while in other cases, it is geographic isolation. While small population size is a common characteristic of a rural area, the specific population threshold that defines “small” can range from 5,000 to 50,000 depending on the definition used.
Given that a significant portion of the U.S. population resides in areas that don’t clearly fall into either the rural or urban category, even minor variations in the way rural areas are defined can significantly impact what is considered rural. Therefore, researchers and policymakers must carefully select from existing definitions or create unique definitions that align with their specific needs. For example, a housing assistance program might focus on remote or economically disadvantaged rural communities, while a program supporting rural businesses might extend its target area to include communities with better access to urban markets.
Nonmetro Counties: A Common Proxy for Rural Areas
The U.S. Department of Agriculture (USDA), Economic Research Service (ERS), and other analysts often use data on nonmetropolitan (nonmetro) areas to analyze trends in “rural” America. The U.S. Office of Management and Budget (OMB) defines nonmetro areas based on counties or county-equivalent units. Counties serve as a standard unit for publishing economic data and for conducting research on regional population and economic trends. Annual estimates of population, employment, and income are readily available at the county level. Counties are also commonly used as building blocks for analyzing areas of economic and social integration, such as labor market areas.
The formation of the metropolitan-nonmetropolitan classification is based on a regional-economic concept. In 2023, OMB defined metropolitan (metro) areas as broad labor market areas that include:
- Central counties: These counties contain one or more urban areas with a population of 50,000 or more. These urban areas are densely populated entities defined by population and housing-unit density.
- Outlying counties: These counties are economically connected to the central counties based on labor-force commuting patterns. Outlying counties are included if at least 25 percent of the workers residing in the county commute to the central counties, or if at least 25 percent of the employment in the county consists of workers commuting from the central counties – a pattern known as “reverse” commuting.
Nonmetro counties are located outside the boundaries of metro areas. These are further divided into two types:
- Micropolitan (micro) areas: These are nonmetro labor market areas centered on urban areas with populations between 10,000 and 49,999. They are defined using the same criteria as metro areas.
- Noncore counties: These are all remaining counties that are not part of “core-based” metro or micro areas.
Every decade, following the decennial census, nonmetro counties experiencing substantial growth or increased commuting may be reclassified as metro. Conversely, some metro counties may revert to nonmetro status due to shifts in commuting patterns. Changes in the criteria used to delineate urban and metro areas can also lead to changes in metro-nonmetro status between decades.
According to the latest decennial update released by the OMB in July 2023, 72 nonmetro counties with a population of 2,289,693 switched to metro status. Simultaneously, 52 metro counties with 2,059,223 residents switched to nonmetro status. The net population loss for nonmetro areas due to reclassification (230,470 people) was the lowest since 1950, when metro areas were first delineated. This reflects a historic decline in urbanization between 2010 and 2020, driven by factors such as a lower overall growth rate for the U.S. and reduced levels of suburbanization. However, some changes in metro or nonmetro status resulted from new rules for defining urban areas.
Census Bureau’s Housing and Population Density Definition of Rural Areas
The U.S. Bureau of the Census employs a distinct definition of rural areas based on smaller geographic units, forming its urban-rural classification system. While researchers often equate “rural” with nonmetro areas, and legislation uses the term for targeting definitions, the Census Bureau provides an official statistical definition based on housing unit and population density. According to the 2022 delineation, which is based on the 2020 decennial census, rural areas encompass open country and settlements with fewer than 2,000 housing units and 5,000 residents. Conversely, urban areas are densely developed areas containing 2,000 or more housing units or 5,000 or more residents. It’s important to note that urban areas do not necessarily adhere to municipal boundaries; they represent densely settled territories as they would appear from an aerial view. Most counties, whether metro or nonmetro, contain a combination of both urban and rural populations.
The Census Bureau primarily defines urban areas based on housing unit density measured at the census block level. In simplified terms, census blocks with 425 housing units per square mile form the core of urban agglomerations. Peripheral census blocks with 200 housing units per square mile are then added to the core agglomeration. If the resulting urban entity contains at least 2,000 housing units or 5,000 people, it is classified as an urban area. Several other factors are also considered, such as rules for including noncontiguous territory separated by exempted land (land not available for residential development). The term “rural” encompasses all population and territory outside of urban areas.
The criteria currently used to define urban areas represent a significant shift from previous decades. From 1960 to 2010, population density was the primary statistic used to delineate urban areas. Generally, urban areas had a core population density of 1,000 persons per square mile and included adjoining territory with at least 500 persons per square mile. However, in 2020, housing unit density replaced population density as the primary measure for classifying census blocks as urban. Additionally, the minimum population size for an area to qualify as urban was 2,500 – a threshold that had been in place since 1910. As mentioned earlier, the minimum size for qualification in 2020 became 2,000 housing units or 5,000 people.
These changes, along with the fact that metro areas are built from urban areas, affected the delineation of metro and micro areas. Another change involved removing a naming convention. From 2000 to 2020, urban areas were divided into two types: urbanized areas (population of 50,000 or more) and urban clusters (population between 2,500 and 49,999). Now, both types are simply referred to as urban areas.
Diverse Perspectives: OMB “Nonmetro” vs. Census “Rural”
In 2020, 46 million people resided in OMB-defined nonmetro counties, representing 13.8 percent of the U.S. population. In contrast, Census-defined rural areas included 66.3 million residents, or 20 percent of the population. Beyond the difference in population share, these two classifications identify distinct groups of people. The lower minimum population threshold for urban areas (5,000 compared to 50,000 for metro areas) means that urban areas can be found within most nonmetro counties. Simultaneously, metro areas contain a significant portion of rural territory. For example, the majority of rural residents (56 percent) live in metro counties, and 16.5 million nonmetro residents (36 percent) live in urban areas.
Overlap among urban-rural and metro-nonmetro populations, 2020
| Number of counties | Total population, 2020 | Urban population, 2020 | Rural population, 2020 | Percent urban | |
|---|---|---|---|---|---|
| Total | 3,143 | 331,449,281 | 265,149,027 | 66,300,254 | 80.0 |
| Nonmetro counties | 1,958 | 45,893,412 | 16,504,150 | 29,389,262 | 36.0 |
| Metro counties | 1,185 | 285,555,869 | 248,644,877 | 36,910,992 | 87.1 |
| Percent metro | 86.2 | 93.8 | 55.7 | ||
| Source: USDA, Economic Research Service using data from the U.S. Office of Management and Budget, and U.S. Department of Commerce, Bureau of the Census. |
The appropriate choice of a rural definition depends on the specific application, whether it is for research, policy analysis, or program implementation. For instance, tracking urbanization and its impact on farmland prices requires a land-use definition, such as the Census urban-rural definition, which distinguishes built-up areas from surrounding, less developed land. Studies aimed at understanding economic and social changes often use the metro-nonmetro classification because it aligns with a regional, labor-market concept and facilitates the use of widely available county-level data. The key is to select a rural-urban definition that best suits the specific research or policy-making goal, recognizing that any simple dichotomy simplifies a complex rural-urban spectrum characterized by gradual transitions.
In conclusion, understanding “what is a rural area” requires acknowledging the varied definitions and their underlying concepts. Each definition offers a unique perspective, and the most appropriate choice depends on the specific context and purpose of the analysis. While these definitions provide valuable frameworks, it’s essential to recognize that the rural-urban divide is a continuum with subtle gradations.
