inferential analysis

Inferential Statistics Analysis: Demographic and Economic Data of Zip Code 94704

Objective
For this analysis, I utilized U.S. Census Bureau data to explore the demographic and economic characteristics of the 94704 zip code area, which includes the Downtown Shattuck/Hatse neighborhood of Berkeley, CA where I lived. 

Methodology

I selected key demographics (e.g., age, gender, race/ethnicity) and their corresponding values (count and percentage)  for my zip code. I then extracted the total number of people in each group from the census data, calculated the percentage distribution for each demographic characteristic using a proportial percentage formula. 

Results- Demographic Overview of Zip Code 94704

• Age Distribution:

  • Under 5 years: 311 (1.1%)

  • 5-64 years: 27,383 (92.9%)

  • 65 and above: 1,822 (6.1%)

• Gender Distribution:

  • Male: 13,310 (47.0%)

  • Female: 15,018 (53.0%)

• Racial Distribution:

  • White: 13,229 (44.8%)

  • Black or African American: 1,317 (4.5%)

  • Asian: 10,709 (36.3%)

  • Other races (including Multi-Racial): 8,254 (28.3%)

Personal Observation:
The demographic characteristics largely align with my observations. As a female resident, I have noticed a higher presence of females in my neighborhood. In terms of racial diversity, White and Asian populations are most prominent, which is consistent with the census data.

Results- Economic Characteristics of Zip Code 94704

• Employment Status:

  • Employed (Civilian Labor Force): 13,200 (46.1%)

  • Unemployed: 1,000 (3.5%)

  • Not in the Labor Force: 14,413 (50.4%)

• Household Income:

  • Less than $50,000: 4,506 (52.1%)

  • $50,000 to $149,999: 2,999 (34.7%)

  • $150,000 or more: 1,165 (13.4%)

• Health Insurance Coverage:

  • Total with health insurance: 96.9%

  • Private health insurance: 90.9%

  • Public health insurance: 16.8%

  • No health insurance: 3.1%

Analysis

• Unemployed vs. Not in the Labor Force:
  The distinction between "unemployed" and "not in the labor force" is crucial. Unemployed individuals are actively seeking work, while those "not in the labor force" include children, retirees, and others not seeking employment. This distinction suggests that a significant portion of the population (50.4%) is not actively engaged in the workforce due to factors such as student status or retirement.

• Household Income Affluence:
  The zip code exhibits a relatively low-income population, with 52.1% of households earning less than $50,000 annually. However, considering the substantial student population and non-working residents, this low income statistic is not unexpected. Notably, 46.1% of the labor force is employed, but their income remains below $50,000, indicating a potential underemployment issue.

• Health Insurance Coverage:
  A high percentage of residents (96.9%) have health insurance, likely due to employment-related benefits, particularly through UC Berkeley and local businesses. This aligns with national trends where employer-sponsored health insurance is a common benefit.

Conclusion
The demographic and economic data for zip code 94704 reveals a student-heavy area with a diverse population. The data shows a relatively high percentage of insured individuals, though income levels are skewed by the large student body, leading to a substantial proportion of the population earning below $50,000. Understanding these trends is vital for addressing community needs and policy decisions in urban areas with significant student populations.