Economic Hardship Across U.S. Counties
Economic Hardship (EH) Rankings — Arizona Counties
All Arizona Counties vs. U.S. Extremes
Economic Hardship Index: All Arizona Census Tracts (2023)
Decomposing the Economic Hardship Index
Economic Hardship Clusters (LISA)
Within-County Variation in Economic Hardship (EH) — All 15 Arizona Counties

High Economic Hardship Clusters (HH) — Hot Spot Tracts Statewide:

267

Low Economic Hardship Clusters (LL) — Cold Spot Tracts Statewide:

269

Economic Hardship Mobility: Maricopa Tracts (2013 → 2023)
Neighborhood Hardship Trajectories (2013–2019)

Tracts Improved (2013→2023)

53.7%

Tracts Worsened (2013→2023)

31.1%

Persistently High Hardship (2013–2023)

17.8%

Emerging Hot Spots (2013–2023)

2.7%

🔴 Areas of Persistent Concern
158 Persistent Hot Spot Tracts (17.8% of Maricopa tracts)

These census tracts had statistically significant high-hardship clustering in both 2013 and 2019. The pattern is not random: a Global Moran’s I of 0.684 confirms that hardship is spatially concentrated, not scattered. Tracts in this category share infrastructure deficits, limited employment access, and concentrated poverty that reinforce one another across neighborhood boundaries.

Implication: Individual-level interventions alone are unlikely to move the needle. Place-based, multi-sector investment is required.

[TODO: Identify the specific geographic corridor in your county where these tracts are concentrated.]
🟡 Early Warning Signals
24 Emerging Hot Spot Tracts (2.7% of Maricopa tracts)

These tracts were not significant hardship clusters in 2013 but became statistically significant by 2019, representing the spatial expansion of hardship beyond historically distressed cores. This is an early warning signal that hardship is spreading, not contained.

Displacement paradox: Some “improving” tracts nearby may be gentrifying, pushing lower-income households outward into these emerging clusters. Declining hardship scores do not necessarily mean existing residents are better off.

[TODO: Identify where emerging hot spots are forming in your county and what may be driving displacement.]
🟢 Signs of Progress Read With Caution
53.7% of Maricopa tracts showed EHI improvement (2013→2023)

The majority of tracts improved over the decade-long window. However, aggregate improvement masks significant variation: 31.1% of tracts worsened over the same period. The data cannot distinguish genuine economic uplift from population turnover: a tract with a declining hardship index may simply have replaced lower-income residents with higher-income newcomers.

Data limitation: Before drawing conclusions from improving scores, ground-truth verification through community engagement and displacement tracking is essential.

[TODO: Customize with your county’s specific context.]
Recommendation 1

Target: 158 Persistent Hot Spot tracts (17.8% of all Maricopa tracts): spatially concentrated, entrenched hardship confirmed by a Global Moran’s I of 0.684.

TODO: Write your first recommendation. Name the specific geographic corridor, cite the hardship index values, and propose a concrete place-based intervention with a named responsible entity.

For this recommendation we will be focusing on a few census tracts in the Mesa area. These tracts are all concentrated in the same area: 4213.02, 4214, and 4215.01. Economic hardship increased from 2013 to 2019 in all 3 tracts. The first increased from 0.942 to 1.414, the second increased from 1.229 to 1.387, and the third increased from 1.04 to 1.11. Because these are all persistent hot spots that experienced an increase in hardship, we would want to implement a comprehensive community development approach. This includes things like housing, econmic development, schools, and health. Place-based examples housing initiatives for displaced residents, specific entities providing intervention include House of Refuge in southeast Mesa. This organization provides housing for those experiencing homelessness.
Recommendation 2

Target: 24 Emerging Hot Spot tracts (2.7% of all Maricopa tracts), new high-hardship clusters not present in 2013, signaling spatial expansion.

TODO: Reference the displacement paradox, identify where these clusters are forming, and propose an early-intervention or monitoring strategy.

For emerging hot spots, we want to focus on prevention. The emerging hot spots I am reporting on are all adjacent to the persistent hot spots that I mentioned in the policy brief above. We can specifically see an increase in econmic hardship in an emerging hotspot in census tract 4210.02 when the index increased from 0.52 to 0.989. Because we want to focus on prevention we want to consider interventions such as small business lending, proactive tenant protection, and code enforcement. Protecting residents with initiatives like Caring Transitions of Mesa East can help residents who may be experiencing potential displacement due to neighboring gentrification, this initiative is specifically for seniors. The displacement paradox coincides with emerging hot spots. What makes it a paradox is that if more money is put into the census tract, this may cause existing residents to be displaced (into areas of emerging hot spots) as the potential for gentrification increases in neighboring areas, such as tract 427.05 (an emerging cold spot).
Recommendation 3

Evidence base: 53.7% of tracts improved (2013→2023) but 31.1% worsened; Moran’s I = 0.684 confirms strong spatial clustering persists.

TODO: Using the trajectory map and mobility Sankey, make a forward-looking data-monitoring or cross-sector coordination argument.

In terms of data-monitoring for the future, we want to specifically pay attention to mesa where there are several emerging hot spots as well as paying attention to areas of persistent hardship which is far more widespread throughout the Phoenix area, especially in the central and south portion of the valley. Public sector entities that need to work together in terms of intervention for persistent areas and prevention for emerging areas include: Arizona Department of Health and Human Services and the Department of Economic Security. Both of these can work together to provide comprehensive health education in addition to food security, medical assistance, and all of the other services DES provides. In addition, private sector entities like banks can work with businesses in terms of loan lending for emerging hot spot areas. When looking at the sankey diagram, out of all of the hardship areas, 1 tract moved from Q4 to Q1 and 6 tracts from Q4 to Q2 (low hardship). Most tracts remained in their hardship category with some moving to stable from Q4 to Q3 (38). If any hardship areas are to be analyzed in terms of monitoring improvement, we may want to focus on the tracts I just listed to see if there are any interventions that could be used in other hardship areas. Many thick bands are evident between the Q4 and Q5 areas indicating persistent hardship between the groups. These areas need focused multi-tiered community development and intervention.
🔬 Index Sensitivity Reflection

The baseline EHI consists of 3 measures: Poverty + Unemployment + Income (inv.)

Current index: 7-component EHI: Poverty + Unemployment + Income (inv.) + Renter Burden + Low Ed. Attainment + Food Insecurity (SNAP) + Transp. Disadvantage

After adding your extra component(s), answer the following (minimum 2 sentences each):

Q1: What changed spatially?
Compare Hot Spot tract counts and cluster map patterns between your expanded index and the 3-component baseline. Did adding Renter Burden + Low Ed. Attainment + Food Insecurity (SNAP) + Transp. Disadvantage shift which tracts or corridors are flagged?

[TODO: Describe what changed in the spatial cluster map and Hot Spot tract counts after adding your component. Be specific cite numbers and identify geographic areas.] Answer: After adding my components (renter burden, low educational attainment, SNAP, transportation disadvantage) we can see a few shifts in the data for hot spots. Areas with persistently high hardship increased from 17% to 17.8% once the 4 components were added in. The percentage of tracts that improved from 2013 to 2019 decreased from 63.9% to 53.7% when the additional variables were added. We can see that tract 101.02 shifted from being stable to a persistent cold spot once the 4 variables were added. An example of a shift in hot spot tracts is evident when looking at tract 608.02. In the 3-variable baseline it is shown as an emerging hot spot, but in the 7 variable index it is back to being stable. An additional example of a hot spot shifting is in tract 1125.1, in the baseline index it is stable and in the 7-variable it is an emerging hot spot.

Q2: What stayed the same?
Which Persistent Hot Spot areas appear robustly across index specifications? What does consistency across different index compositions tell us about the reliability of hardship diagnoses in those tracts?

[TODO: Identify which Persistent Hot Spot corridors remained flagged regardless of index composition. Explain what this robustness tells us about entrenched hardship in those areas.] Answer: Much of central Phoenix and parts of the east and west valley stayed as persistent hot spots regardless of index composition. This tells us that these areas of hardship have been long entrenched and will require comprehensive community development in order to move towards recovery. Hardship likely lies in many areas historical disinvestment, school quality gaps, lack of transit access among others.

Q3: Policy implications of index choice
If a policymaker targeted place-based investments using the baseline index versus your expanded index, would resource allocation differ? Name specific tracts or geographic corridors and argue which composition better captures the full burden of economic hardship for policy purposes.

[TODO: Compare resource targeting under each index. Argue which composition is more appropriate for policy, citing specific tracts or neighborhoods and the dimension of hardship your added component captures.] Answer: Yes, resource allocation would differ in some areas. When using tract 4212.01 as an example we can see in the baseline index it is a persistent hot spot and in the 7-variable index it is an emerging hot spot. The reason this is important for resource allocation is because each of these types of hot spots require different intervention. Intervention for emerging hotspots revolves around prevention whereas persistent hot spots require comprehensive community development. Prevention is cheaper therefore it can make a dramatic difference in how resources are allocated depending on which index we use. We would likely want to prevent before the latter intervention.