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This article was downloaded by: [University of Victoria]On: 19 November 2014, At: 02:19Publisher: RoutledgeInforma Ltd Registered in England and Wales Registered Number: 1072954 Registeredoffice: Mortimer House, 37-41 Mortimer Street, London W1T 3JH, UK
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Rethinking the Long-TermConsequences of Growing Up in aDisadvantaged Neighbourhood: Lessonsfrom SwedenLars Brännström a & Yerko Rojas aa Swedish Institute for Social Research, Stockholm University ,Stockholm , SwedenPublished online: 30 Aug 2012.
To cite this article: Lars Brännström & Yerko Rojas (2012) Rethinking the Long-Term Consequencesof Growing Up in a Disadvantaged Neighbourhood: Lessons from Sweden, Housing Studies, 27:6,729-747, DOI: 10.1080/02673037.2012.714460
To link to this article: http://dx.doi.org/10.1080/02673037.2012.714460
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Rethinking the Long-Term Consequencesof Growing Up in a DisadvantagedNeighbourhood: Lessons from Sweden
LARS BRANNSTROM & YERKO ROJASSwedish Institute for Social Research, Stockholm University, Stockholm, Sweden
(Received January 2011; revised June 2011)
ABSTRACT Using extensive longitudinal register data for more than 80 000 young metropolitanSwedes, this study addresses the effect of a disadvantaged neighbourhood social context ongroupings of outcomes that are important for the living conditions of young adults. The overallresults show that growing up in a disadvantaged neighbourhood increases the risk of experiencingcomparably more unemployment, having less education and receiving more social assistance thansimilar young people from more affluent neighbourhoods. However, when the estimated effects ofneighbourhood are assessed by means of an epidemiological impact measure that takes theprevalence of the risk factor at population level into account; these effects prove to be minimal.We discuss possible drawbacks of placing too much emphasis on policies targeting disadvantagedneighbourhoods versus universal social policy measures.
KEY WORDS: Adolescents, longitudinal, neighbourhood effects, outcome profiles
Introduction
In Sweden, as in other European Union countries and the USA, the hypothesised effect of
disadvantaged neighbourhood social context on individual opportunity continues to be at
the core of the social stratification research agenda. It is also central to policymaking
aimed at combating outcomes of poverty, social exclusion and inequality (Andersson et al.,
2010; Durlauf, 2006; Friedrichs et al., 2003; Goering & Feins, 2003; Musterd et al., 2010;
Oberwittler & Wikstrom, 2009).
Although there has been a considerable effort to quantify the effects of neighbourhood
social context for a variety of populations and numerous social and economic outcomes
(Dietz, 2002; Galster, 2008; Sampson et al., 2002), comparatively less attention (if any)
has been paid to the effect of neighbourhood context on combinations of outcomes for
young people that are important for their living conditions. This is surprising given that
studying different types of outcomes in combination is usually deemed the best way to
ISSN 0267-3037 Print/1466-1810 Online/12/060729–19 q 2012 Taylor & Francis
http://dx.doi.org/10.1080/02673037.2012.714460
Correspondence Address: Lars Brannstrom, Swedish Institute for Social Research, Stockholm University, 10691
Stockholm, Sweden. Email: [email protected]
Housing Studies,Vol. 27, No. 6, 729–747, September 2012
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approach the complex reality of poverty, social exclusion and inequality (Backman &
Nilsson, 2011; Ferrarini et al., 2010; Whelan et al., 2002). As a result, policy makers rarely
have sufficient information about the variety of consequences that may arise from residing
in specific social environments. Similarly, decisions about social interventions in
distressed residential districts may be made on the basis of too limited knowledge of
individual opportunity. Because the justification for area-targeted social interventions to
some extent rests on the hypothesised negative impact of disadvantaged neighbourhood
social context on individual outcomes (Lupton & Kneale, 2010; Propper et al., 2005),
estimates of the neighbourhood effect on groupings of outcomes that are significant for
people’s circumstances are of great interest.
This article looks for evidence that a disadvantaged neighbourhood social context shapes
young people’s outcome profiles, here conceptualised as combinations of outcomes related
to labour-market participation, education, welfare receipt and offending. By using
extensive longitudinal register data for more than 80 000 young people born in the late
1970s and registered as living in any of Sweden’s three largest conurbations (Stockholm,
Gothenburg, Malmo) in early adolescence, our analysis makes several important
contributions to research into neighbourhood effects on young adult outcomes. First, we
address the effect of a disadvantaged neighbourhood social context on adolescents’
outcome profiles as young adults, rather than on a variety of young adult outcomes analysed
in isolation. This person-oriented approach (Bergman et al., 2003), which emphasises that it
is the outcome pattern as a whole that carries the information rather than the parts regarded
separately, seems fruitful since it is so well established that several of the outcomes
addressed in this area of research tend to go hand in hand (Hallerod & Bask, 2008; Korpi
et al., 2007). Second, the data permit a dynamic classification of neighbourhood population
characteristics, which allows for the fact that population characteristics may have changed
over time. Third, we have a more fully specified model because the data also allow a more
rigorous control for confounding factors such as the socio-economic circumstances of the
young people’s parents. Finally, we make use of a more policy-relevant impact measure
frequently used in epidemiology—the population-attributable fraction—when discussing
the practical implications of the estimated impact of neighbourhood at population level.
The remainder of the article is structured as follows. The article proceeds with a short
summary of why the social characteristics of neighbourhoods may pattern adolescents’
outcomes as young adults; this section includes results from previous Swedish
longitudinal research. The next section describes data and methods. Finally, we present
and discuss the empirical findings of the study.
How Might Adolescents’ Neighbourhoods Shape Their Outcomes as Young Adults?
There have been many insightful discussions of the potential causal pathways through
which neighbourhood social characteristics may pattern individual conduct and they need
not be repeated here (for a recent review, see e.g. Galster, 2010, and an issue of Housing
Studies (No. 5) [Blasius et al., 2007]). This section addresses mechanisms related to social
interaction between neighbourhood residents and how this may affect young people’s
development, socialisation and careers.
The scientific literature on neighbourhood effects often picks up on the impact of the
social interaction between neighbourhood residents and how this may affect young
people’s development, socialisation and career paths (Jencks & Mayer, 1990). In simple
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terms, the idea is that the social characteristics of peer groups influence young people’s
world orientations and thereby their choice of action. Neighbourhood environment is thus
considered an important arena for interaction with people who may exert an influence
(both positive and negative) on young people’s attitudes, norms and values (Elliott et al.,
2006). Assuming that processes related to population sorting in the housing market to
some extent determine the social characteristics of young people’s peer groups, it can be
assumed that the spatial concentration of young people from less advantaged households,
in particular neighbourhoods (among other things), gives rise to fewer opportunities for
learning, insufficient information about potential future labour-market opportunities
and/or a lack of role models who can promote choices and behaviours that contribute to
success both in school and at work (Cook et al., 2002). Thus, it is assumed that the
likelihood of deviant behaviour, negative career paths, etc. will be higher in
neighbourhoods with poor resources—characterised, for example, by high unemployment,
many poor people or high residential turnover.
It is of particular interest for this study that poor neighbourhoods with many minority
residents have been found to have the fewest resources of all kinds (Furstenberg et al.,
1999). Part of the explanation is that homophily and social position operates jointly, that is,
segregated (and hence rather closed) social networks composed by a high proportion of
others in a similar disadvantaged positions are unable to mobilise and access to
fundamental forms of resources such as job information and job opportunities (Rostila,
2010). Minority residents can therefore be said to be at a double disadvantage, first in
terms of their resource status and second in terms of ethnic status (Furstenberg et al.,
1999). Ethnicity is in itself an important basis for stratification, that is, to be classified as
part of an ethnic minority most often implies to be located in a subordinated position
(i.e. low ethnic status) in the hierarchy (in this case) of ‘Swedishness’ (Breen & Rottman,
1995; Graham, 2007).
It is not surprising that the empirical literature relevant to this article comprises a great
number of potentially useful studies (for a recent compilation of the international
empirical literature, see e.g. Bolster et al., 2007). Thus, there is a need to restrict the scope
of the summary of previous findings. It has been hypothesised that Sweden’s
institutionalised welfare policies, which involve considerable intervention in market
processes and social spheres (Abrahamson, 2003), may limit the scope and magnitude of
neighbourhood effects (Andersson, 2008). Consequently, we present the results of a
number of Swedish longitudinal studies that address sufficiently similar outcomes to those
scrutinised in this article and whose study populations comprise wholly or in part young
people.
Previous Swedish studies looking at whether neighbourhood social characteristics affect
young people’s future circumstances have reported that neighbourhood population
characteristics related to low socio-economic resources (e.g. Andersson, 2004; Andersson
& Subramanian, 2006; Bergsten, 2010) and concentrations of immigrants (Gronqvist,
2006) are negatively associated with educational outcomes. In a similar way, low socio-
economic resources in a neighbourhood increase the likelihood of a young person from
that neighbourhood experiencing unemployment compared with a comparable young
person from a residential area with higher socio-economic resources (Bergsten, 2010;
Urban, 2009). Similar results have been reported for the relationship between the
proportion of people in a neighbourhood receiving social assistance and benefit receipt at
individual level (e.g. Mood, 2010b). Other studies, however, have not been able to identify
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any clear and statistically significant differences between young people from resource-
poor neighbourhoods and comparable others in terms of incidence of benefit receipt and
labour-market participation (e.g. Brannstrom, 2004; Sundlof, 2008).
There is a shortage of Swedish longitudinal studies into whether neighbourhood social
characteristics affect young people’s criminality. Hallsten et al. (2011) have reported a
negative association between higher concentrations of socio-economic resources and
offending. Brannstrom (2004), however, has compared differences in offending between
young people who have grown up in resource-poor neighbourhoods and peers who, given
their observed characteristics, could have lived in such a neighbourhood but did not.
The findings do not indicate that level of offending differs between these groups to any
significant degree.
To sum up: in line with the existing scientific literature and popular beliefs about the
importance of social-interactive mechanisms in patterning youth behaviour it is reasonable
to hypothesise that neighbourhood social characteristics influence people’s norms,
opportunities and expectations; moreover, higher concentrations of resource-poor groups
and/or ethnic minorities in an area can be expected to have a negative impact on the
outcomes in focus in this study. However, the results of previous Swedish (and
international) research are not unambiguous (cf. Galster, 2010).
One of the reasons for this inconsistency may be related to previous studies that have
usually focused on the effect of neighbourhood on a variety of outcomes analysed in
isolation and, hence, may not have sufficiently addressed the complex reality of poverty,
social exclusion and inequality. When it is plausible that the outcomes addressed in this
area of research go hand in hand, it seems reasonable to suggest that the effect of
disadvantaged neighbourhood conditions may be more pertinent on grouping of outcomes.
The person-oriented approach applied in this study could potentially transcend this issue
by targeting the outcome pattern as a whole. However, no previous study has, to our
knowledge, addressed the effect of neighbourhood social context in adolescence on
combinations of outcomes as young adults. It is therefore difficult to a priori establish the
direction and magnitude of the effect on the identified patterns of outcome profiles detailed
below.
Data and Measurement Issues
This study uses comprehensive longitudinal register data. The database consists of
information from a large number of high-quality registers provided by Statistics Sweden
and other public authorities (including, but not limited to, the Population and Housing
Census (FoB1990), the Register of persons found guilty of offences (Lagforingsregistret),
the Register of final year classes in compulsory school (Arskurs 9-registret) and the
Longitudinal integration database for health insurance and labour-market studies (LISA)).
The data were compiled by the former Epidemiological Centre at the Swedish National
Board of Health and Welfare.
The population was limited to three birth cohorts (1977–1979) who lived for at least
three years in the same neighbourhood unit (1990–1994) in any of Sweden’s three largest
metropolitan areas (Stockholm, Gothenburg, Malmo). The exposure period is uniform, i.e.
individuals born in 1977/1978/1979 were exposed to one and the same neighbourhood unit
at least during the period 1990–1992/1991–1993/1992–1994, respectively. The study
population was consequently aged between 13 and 15 at the time in question (i.e., during
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the calendar years when they were aged between 13 and 15), a period during which one
can expect the effects social interaction to be particularly strong, according to theory and
previous North American studies (Ellen & Turner, 2003). The period of exposure in this
study coincided with the deep economic crisis of the 1990s, which brought about dramatic
changes in the Swedish labour market. This, in turn, had a negative impact on the
economic situation of the population (Fritzell, 2001) and also resulted in a greater
geographical concentration of poverty (Kolegard Stjarne et al., 2007). Consequently,
neighbourhood effect theories are tested here on a sample of individuals who should
support the overall neighbourhood effect hypothesis.
The data comprise 80 092 young people (38 960 girls and 41 132 boys) who are nested
in 598 neighbourhoods. The number of young people per neighbourhood unit in our
sample ranges from 2 to 617 (mean 223, median 207). It is well known that socio-
economic and ethnic residential segregation in Sweden go hand in hand (National Board of
Health & Welfare, 2010). As a consequence of this, neighbourhood categorisation is here
based on both of these factors. The social characteristics of neighbourhoods are
categorised according to an existing social-class grouping based on economic and ethnic
indicators and reflect the combined development of concentrations of resource-poor
groups and visible minorities 1990–1994. Categorisation by economic status (i.e. level of
income) is based on the extent to which both the most well-off and the poorest groups are
represented in the area. Similarly, categorisation by ethnic status is based on the extent to
which both Swedes and members of the visible immigrant population are present in the
area (for details, see Biterman & Franzen, 2007a, 2007b).
The concept of ‘visible and non-visible minorities’ has recently started to be applied in
Sweden as a classification scheme for immigrants and minority groups. It is used within
the segregation research to label immigrant groups whose appearance, may it be physical,
dressing, habits, religious beliefs or way of speaking, etc. are perceived as extraneous by
the majority population. The main reason for introducing this concept was the lack of
accuracy of previous classifications based on cultural or geographical characteristics and
the disproportionate emphasis on immigrants’ behaviour or cultural background as all-
encompassing explanatory factors. Furthermore, by using this classification scheme, we
take into account how native Swedes typically perceive and treat immigrant groups,
including aspects such as discrimination and racism. In Sweden immigrants groups with
origins in south-east Europe, Asia, Africa and Latin America are considered to be
‘visibles’ (National Board of Health & Welfare, 2006, 2010).
Migration can alter the socio-economic composition of a neighbourhood as can
processes related to gentrification and urban revitalisation programmes (Jackson & Mare,
2007). Neighbourhood social composition changed during the 1990s (partly as a
consequence of the economic crisis), a factor that we have taken into account in this study.
As shown in Table 1, the sample is dominated (approximately 64 per cent) by young people
who spent at least part of their formative years in affluent residential areas with a
predominantly Swedish-born population (Neighbourhood type 0). This type of residential
area represents the majority of the classified neighbourhoods in the sample (56.5 per cent).
These are largely suburban areas of detached and semi-detached housing or inner-city
neighbourhoods. A total of 260 neighbourhoods in the data have, to varying degrees, a higher
concentration of resource-poor groups and visible minorities (Neighbourhood types 1–5).
Neighbourhoods with the highest concentrations of the latter correspond to neighbourhood
types 4 and 5 that are dominated by rental accommodation in apartment blocks. These two
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categories together comprise approximately 12 per cent of the study population and of the total
number of classified neighbourhood units.
As noted above, this study analyses the effects of neighbourhood on youth development
with regard to accumulated patterns of labour-market participation, education, welfare
receipt and offending. There is a uniform 12-year follow-up period (ages 16–27). That is,
the outcomes for the young people born in 1977/1978/1979 were measured in 1993–
2004/1994–2005/1995–2006, respectively. Labour-market participation is reflected by
registered number of days of unemployment. Education indirectly refers to number of
formal years of education and is thereby a measure of educational attainment. Welfare
receipt is indicated by number of months in receipt of means-tested social assistance.
Offending is indicated by a number of convictions. All outcomes were measured
throughout the follow-up period. There was an internal drop-out of around 5 per cent of the
observations. Depending on scales of measure, missing data have been imputed using the
mean/median/mode in the neighbourhood.
The dependent variable here is accumulated outcome profile. A number of strategies are
available for identifying patterns in combinations of the addressed outcomes. We draw on
cluster-analytic tools related to the person-oriented approach in developmental
psychology (Bergman et al., 2003). Since we have a large sample (N . 80 000),
k-means cluster analyses are used (Wishart, 2005). Results of extensive cluster analyses
suggest that a seven-cluster solution is a sufficiently valid representation of groupings of
accumulated outcomes in the data (Figure 1). Around 31 per cent of the young people are
found in a cluster termed Average. Individuals in this cluster have—on average—mean
scores for the four variables. The More unemployment cluster (U) of young people, who—
on average—have comparably more days of unemployment than their peers in the
Average cluster, represents approximately 12 per cent of the sample. A third cluster
termed More unemployment/less education (Ue) represents individuals who have
comparably more days of unemployment and less education than young people in the
Average cluster. The cumulative incidence of this cluster is 4.5 per cent.
Two of the identified clusters relate to level of education: one indicates comparably
More education (E) and the other comparably less education (e). These two clusters
Table 1. Contextual variable: neighbourhood types.
Combined neighbourhood development1990–1994
No. of individualsin sample
No. of neighbourhoodsin sample
(0) Well-off/predominantly Swedish-bornpopulation
51 153 (63.9%) 338 (56.5%)
(1) Economically integrated–slightlyimpoverished/predominantly Swedish-bornpopulation
8966 (11.2%) 113 (18.9%)
(2) Economically integrated–slightlyimpoverished/ethnically integrated, elementsof visible minorities
6418 (8.0%) 40 (6.7%)
(3) Poor/predominantly Swedish-born population 2783 (3.5%) 37 (6.2%)(4) Poor/Predominantly visible minorities 7981 (10.0%) 57 (9.5%)(5) Very poor/almost exclusively
visible minorities2791 (3.5%) 13 (2.2%)
Total 80 092 (100%) 598 (100%)
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represent around 38 per cent and 10 per cent, respectively, of the young people. Around 3
per cent of the sample is found in a more problem-burdened cluster defined as More
unemployment/less education/More social assistance (UeS). The seventh and final cluster
is an extended version of the previous one, since the young people found here also have
comparably more convictions (More unemployment/less education/More social
assistance/More convictions cluster, UeSC). In absolute numbers, this cluster represents
around 800 people, which corresponds to approximately 1 per cent of the sample.
To ensure that the profile pattern depicted above derives from real underlying structures
in the data, two types of sensitivity analysis were performed: replication and simulation
(cf. Bergman et al., 2003; Milligan, 1996). To save space, estimates are not shown. The
replication analyses show that the seven-cluster solution is fairly reproduced in the 10
sub-samples. The simulation analyses were structured as follows. Ten randomly altered
(‘shaked’) datasets, which matched the general characteristics of the original data
(i.e. equal with respect to means, standard deviations and min–max values for the outcome
variables), were created by means of chaos mathematics. The same cluster analysis
initially performed on the original data was then conducted on the 10 ‘shaked’ datasets.
These analyses did not reproduce the obtained seven-cluster solution. This was expected
since the ‘shaking’ has removed the relationships in the original data. If the obtained
–202468
–202468
–202468
Average (n = 24 841/31.0%) U (n = 9 884/12.3%) Ue (n = 3 623/4.5%)
E (n = 30 756/38.4%) e (n = 7 917/9.9%) UeS (n = 2 255/2.8%)
UeSC (n = 816/1.0%)Unemployment
Educational attainment
Social assistance
Convictions
U = comparably more unemployment (than young people in the Average cluster)
Ue = comparably more unemployment/less education
E = comparably more education
e = comparably less education
UeS = comparably more unemployment/less education/more social assistance
UeSC = comparably more unemployment/less education/more social assistance/more convictions
Figure 1. Dependent variable: accumulated outcome profiles (cumulative incidence withinbrackets). Results from k-means cluster analysis (means, standardised values).
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seven-cluster solution had been reproduced, our outcome profiles had been uninteresting
in the sense that they were only what to be expected to result from analysing a random
dataset. Taken together, the results from the two sensitivity analyses do not prevent the
reported cluster solution from being sufficiently valid and thereby having some generality.
Perhaps the most serious obstacle to drawing inferences about the causal role of
neighbourhood context in individual outcomes is related to the fact that the selection of
individuals into and out of neighbourhoods is non-random (Bergstrom et al., 2010). When
selective processes are operating, we are faced with the standard problem of not knowing
whether observed differences in outcomes actually mirror the hypothesised causal forces
under consideration, or whether they merely reflect unmeasured differences between the
initial populations experiencing each condition (Lieberson, 1985). To considerably reduce
problems related to selectivity, and thereby strengthen the hypothesised causal link
between the observed neighbourhood social characteristics and the outcome profiles
addressed in this article, a number of relevant control variables are included (for details,
see Table 2). Apart from individual-level controls such as sex and immigrant status ( first
or second generation immigrant), it is important to take the observed demographic and
socio-economic circumstances of their parents/of the household into account (type of
family, form of dwelling tenancy, household income, parental educational level, parental
social class, parental welfare receipt (which indicates household poverty), parental
unemployment). All information about parents and household is for 1990, i.e. largely those
circumstances which pertained prior to the exposure period (1990–1994). Information
about the household refers for the most part to the mother.
Young people are exposed to a number of overlapping settings in their daily lives. To
reduce the risk of the contextual variables also picking up the potential influence of
extraneous factors, a series of dummy variables for birth cohort, region and municipality
are included. Young people spend much of their time at school as well as in their
residential environments. Here it is important to note that it is not common for all the
young people in a residential area to attend the same school. Just over a quarter of the 510
schools in the data had students from one single neighbourhood; the median was five
neighbourhood units per school, while at most a school had students from 151 different
neighbourhoods. The results of earlier studies indicate that estimated neighbourhood
effects on young people’s educational outcomes tend to be proxies for characteristics that
are actually related to the school environment (Brannstrom, 2008; Sykes & Musterd,
2011). This makes it desirable to try to refine the effect of neighbourhood by keeping the
unobserved characteristics related to school units fixed. We included fixed effects for
school units but this computationally intensive model did not converge. As a consequence,
we have to accept that the reported estimates of neighbourhood effect may be biased
upwards, at least where the outcome profiles related to education are concerned.
A multinomial/polytomous logistic regression model is the main tool for analysing
which type of neighbourhood predicts accumulated outcome profiles. The Average cluster
represents the base outcome and relative-risk ratios (RRRs) are used as measure of effect
(for details of the statistical model, see Long & Freese, 2006). The RRR does not address
the importance of the risk factor at population level, as its prevalence is not taken into
account. To give an indication of the practical relevance of the results, estimated RRRs of
the neighbourhood effect were converted to population-attributable fractions, a more
policy-relevant impact measure common in epidemiology. Assuming that the effect of
exposure is causal, the population-attributable fraction estimates the proportion of
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Table
2.
Co
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ol
var
iab
les
(N¼
80
09
2).
Var
iab
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ipti
on
Pro
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ver
age
(std
.dev
.)M
in–
max
Sex
Bo
y0
.51
40
–1
Bir
thco
ho
rt1
97
70
.33
30
–1
19
78
0.3
26
0–
11
97
90
.34
10
–1
Fir
st-g
ener
atio
nim
mig
ran
tB
orn
abro
ad0
.07
80
–1
Sec
on
d-g
ener
atio
nim
mig
ran
tB
orn
inS
wed
en,
mo
ther
bo
rnab
road
0.1
47
0–
1P
aren
t’s
edu
cati
on
alle
vel
,1
99
0E
du
cati
on
alat
tain
men
t,m
oth
erS
ho
rtco
mp
uls
ory
0.0
80
0–
1C
om
pu
lso
ry0
.14
80
–1
Sh
ort
seco
nd
ary
0.3
38
0–
1S
eco
nd
ary
0.1
02
0–
1L
ow
erte
rtia
ry0
.14
40
–1
Hig
her
tert
iary
0.1
89
0–
1P
aren
t’s
soci
alcl
ass,
19
90
Occ
up
atio
nal
clas
s(S
EI)
,fa
ther
Un
skil
led
and
sem
isk
ille
dw
ork
ers
0.2
72
0–
1S
kil
led
wo
rker
s0
.07
90
–1
Ass
ista
nt
no
n-m
anu
alem
plo
yee
s0
.19
20
–1
Inte
rmed
iate
no
n-m
anu
alem
plo
yee
s0
.26
30
–1
Hig
her
no
n-m
anu
alem
plo
yee
s0
.10
20
–1
Up
per
lev
elex
ecu
tiv
es0
.00
90
–1
Sel
fem
plo
yed
/far
mer
s0
.03
20
–1
Un
clas
sifi
edem
plo
yee
s0
.04
50
–1
No
info
rmat
ion
0.0
05
0–
1H
ou
seh
old
inco
me,
19
90
Ho
use
ho
ldd
isp
osa
ble
inco
me
(lo
g),
mo
ther
7.7
10
–1
1.8
5(0
.61
5)
Par
enta
lu
nem
plo
ym
ent,
19
90
Mo
ther
has
rece
ived
com
pen
sati
on
fro
mth
eu
nem
plo
ym
ent
insu
ran
ce0
.07
90
–1
Par
enta
lw
elfa
rere
ceip
t,1
99
0M
oth
erh
asre
ceiv
edm
ean
s-te
sted
soci
alas
sist
ance
0.0
25
0–
1T
yp
eo
ffa
mil
y,
19
90
Mar
ried
cou
ple
0.7
37
0–
1C
oh
abit
atio
n0
.06
30
–1
Sin
gle
par
ent
0.1
90
0–
1
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Table
2.Continued
Var
iab
leD
escr
ipti
on
Pro
po
rtio
n/a
ver
age
(std
.dev
.)M
in–
max
Dw
elli
ng
ten
ancy
,1
99
0O
wn
sh
ou
se0
.57
00
–1
Ten
ant
ow
ner
ship
0.0
98
0–
1R
igh
to
fte
nan
cy/s
ub
lett
ing
0.3
12
0–
1O
ther
0.0
13
0–
1N
oin
form
atio
n0
.01
00
–1
Reg
ion
Sto
ckh
olm
0.5
80
0–
1G
oth
enb
urg
0.2
46
0–
1M
alm
o0
.17
40
–1
Mu
nic
ipal
ity
Mu
nic
ipal
ity
ID1
–4
4
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outcome for a given population that theoretically would not have occurred if none of the
individuals had been exposed to the risk factor (Laaksonen, 2010). The resulting estimates
can guide policy makers interested in planning social interventions that aim to improve the
outcomes addressed in this study. The population-attributable fraction was calculated using
the following formula: population-attributable fraction ¼ (adj.RRR21/adj.RRR)*fraction
exposed. Fraction exposed refers here to the prevalence of the risk factor for the three birth
cohorts addressed in this study (see Table 1). Stata 10.1/SE version was used for all the
analyses, and standard errors in our regressions were computed using the cluster-robust
option to account for the clustering of individuals within neighbourhoods.
Analysis and Empirical Findings
We start by presenting crude (i.e. unadjusted) differences in accumulated outcome profiles
between the different types of neighbourhood. After that we present adjusted differences
in which selection and other confounding factors have been taken into account (Table 3).
For reasons of brevity, estimates of the intercepts and control covariates are suppressed.
The section concludes with an assessment of the practical importance of the previously
estimated impact of neighbourhood context. Extensive sensitivity analyses not reported
here indicate that the overall results are fairly robust for separate analyses of various
subgroups (e.g. boys, girls and immigrant statuses). Moreover, to ensure that the adjusted
RRRs of neighbourhood effect are not biased due to residual variation (Mood, 2010a),
a number of heterogeneous choice models were fitted (Williams, 2009). The results from
these models do not suggest that comparisons of adjusted RRRs across neighbourhood
types are invalid (estimates not shown).
Compared to young people from well-off areas with a predominantly Swedish-born
population, the crude RRRs clearly support the notion that higher concentrations of
resource-poor and visible immigrants are negatively associated with the outcome profiles
(Table 3, Model 1). For example, young people from neighbourhoods with the highest
concentrations of resource-poor and visible immigrants (Neighbourhood type 5) have a 26
per cent elevated risk of being found in the More unemployment cluster (U) rather than in
the Average cluster (RRR ¼ 1.26). The crude excess risk of being found in the Ue rather
than in the Average cluster ranges from 1.25 to 3.38 depending on neighbourhood type.
Young people from Type 5 neighbourhoods, for example, have a more than three-fold
elevated risk of being found here rather than in the Average cluster (RRR ¼ 3.38).
Furthermore, young people from neighbourhoods with higher concentrations of resource-
poor and visible immigrants (Types 4 and 5 neighbourhoods) are at considerably lower
risk of figuring in the More education cluster (E). Compared to young people from well-off
areas with a predominantly Swedish-born population, those from Type 5 neighbourhoods,
for example, have an around 66 per cent lower risk of belonging to this cluster than to the
Average cluster (RRR ¼ 0.34).
The most notable crude excess risks, however, are associated with the two most
problem-burdened clusters (UeS and UeSC). The excess risk of belonging to the UeS
rather than the Average cluster ranges from 1.67 to 7.13 depending on neighbourhood
type. Compared to young people from well-off areas with a predominantly Swedish-born
population, their peers from neighbourhoods with the highest concentrations of resource-
poor groups and visible immigrants (Type 5) have a seven-fold excess risk of being found
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Table
3.
Eff
ect
of
nei
gh
bo
urh
oo
dty
pe
on
accu
mu
late
do
utc
om
ep
rofi
les
(N¼
80
09
2).
Res
ult
sfr
om
mu
ltin
om
ial
log
isti
cre
gre
ssio
n(r
elat
ive-
risk
rati
os,
clu
ster
-ro
bu
stst
and
ard
erro
rsw
ith
inp
aren
thes
es).
UU
eE
eU
eSU
eSC
Co
mb
ined
neig
hb
ou
r-hood
dev
elopm
ent
1990
–1994n
pro
file
Model
1(c
rude)
Model
2(a
dju
sted
)M
odel
1(c
rude)
Model
2(a
dju
sted
)M
odel
1(c
rude)
Model
2(a
dju
sted
)M
odel
1(c
rude)
Model
2(a
dju
sted
)M
odel
1(c
rude)
Mo
del
2(a
dju
sted
)M
odel
1(c
rude)
Model
2(a
dju
sted
)
(0)
Wel
l-off
/pre
dom
i-nan
tly
Sw
edis
h-b
orn
popula
tion
11
11
11
11
11
11
(1)
Eco
nom
ical
ly1.0
61.0
41.2
5***
1.0
20.6
8***
0.8
4***
1.3
0***
1.0
51.6
7***
1.0
21.5
0***
1.0
6in
tegra
ted
–sl
ightl
yim
pover
ished
/pre
dom
i-nan
tly
Sw
edis
h-b
orn
popula
tion
(0.0
7)
(0.0
5)
(0.1
2)
(0.0
8)
(0.0
5)
(0.0
4)
(0.0
8)
(0.0
6)
(0.1
8)
(0.0
8)
(0.2
7)
(0.1
6)
(2)
Eco
nom
ical
ly1.1
11.0
61.7
6***
1.2
2***
0.5
6***
0.8
5***
1.3
0***
1.0
22.7
4***
1.3
6***
2.7
5***
1.4
4***
inte
gra
ted
–sl
ightl
yim
pover
ished
/eth
nic
ally
inte
gra
ted,
elem
ents
of
vis
ible
min
ori
ties
(0.1
0)
(0.0
6)
(0.1
6)
(0.0
9)
(0.0
5)
(0.0
4)
(0.0
9)
(0.0
6)
(0.3
6)
(0.1
4)
(0.3
8)
(0.1
9)
(3)
Poor/
pre
dom
inan
tly
0.8
5**
0.9
71.2
8*
1.2
00.4
6***
0.6
8***
1.4
7***
1.0
52.1
2***
1.3
1**
2.3
7***
1.3
2S
wed
ish-b
orn
popu-
lati
on
(0.0
7)
(0.0
7)
(0.1
6)
(0.1
4)
(0.0
4)
(0.0
5)
(0.1
4)
(0.0
7)
(0.3
4)
(0.1
5)
(0.6
2)
(0.3
0)
(4)
Poor/
pre
dom
inan
tly
1.2
2***
1.1
2**
2.3
9***
1.3
4***
0.4
2***
0.8
0***
1.6
0***
1.1
2**
3.9
2**
1.4
2***
3.6
9***
1.4
9***
vis
ible
min
ori
ties
(0.0
8)
(0.0
5)
(0.2
2)
(0.0
9)
(0.0
3)
(0.0
4)
(0.1
1)
(0.0
6)
(0.4
8)
(0.1
1)
(0.4
6)
(0.1
8)
(5)
Ver
ypoor/
alm
ost
1.2
6***
1.0
43.3
8***
1.4
7***
0.3
4***
0.7
1***
2.1
6***
1.1
17.1
3***
1.7
6***
3.5
5***
0.8
5ex
clusi
vel
yvis
ible
min
-ori
ties
(0.1
1)
(0.0
8)
(0.4
5)
(0.1
3)
(0.0
3)
(0.0
6)
(0.2
6)
(0.1
2)
(1.3
1)
(0.2
2)
(0.5
6)
(0.1
5)
Note
:*
**
/**
/*S
tati
stic
alsi
gn
ifica
nce
atth
e1
/5/1
0%
lev
els,
resp
ecti
vel
y.
Inte
rcep
tsan
dco
ntr
ol
cov
aria
tes
sup
pre
ssed
.B
ase
ou
tco
me¼
aver
age.
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here rather than in the Average cluster (RRR ¼ 7.13). Similar sizeable crude excess risks
(RRR ¼ 1.50–3.55 depending on neighbourhood type) are also associated with the UeSC.
Because selection and other confounding factors were not taken into account, it is not
surprising that the crude excess risks reported above are biased upwards. The excess risks
are reduced considerably when these factors have been controlled for (Table 3, Model 2).
The adjusted excess risk of belonging to the More unemployment cluster (U) rather than
the Average cluster, for example, is more or less zero regardless of neighbourhood type
(RRR ¼ 0.97–1.12). Given that much of the follow-up period coincided with the labour-
market crisis of the 1990s, in which more young people experienced unemployment than
any previous generation in the history of the modern Swedish welfare state (Salonen,
2000), these results are not too surprising. Similar negligible results are also found for
being found in the less education cluster (e) rather than in the Average cluster
(RRR ¼ 1.02–1.12). These results are less expected, especially given the fact that it was
not possible to control for unobserved factors related to young people’s school
environment.
Nevertheless, young people from neighbourhoods with higher concentrations of
resource-poor groups and visible minorities were still less likely to end up in the More
education cluster (E) (RRR ¼ 0.71–0.85 depending on neighbourhood type). There are
also other adjusted excess risks that do not contradict the idea that neighbourhood social
context may pattern youth development. For example, if all other variables are constant,
there is still a notable and statistically significant excess risk of young people from
neighbourhoods with the highest concentrations of resource-poor groups and visible
immigrants (Neighbourhood types 4 and 5) ending up in the Ue and UeS clusters
(RRR ¼ 1.34–1.76 depending on outcome profile). The adjusted likelihood of belonging
to the UeSC rather than the Average cluster is more ambiguous. While the adjusted and
statistically significant excess risk of those youngsters from Neighbourhood type 4 ending
up in this profile remains (RRR ¼ 1.49), the risk appears to be 15 per cent lower for young
people from Neighbourhood type 5 (RRR ¼ 0.85). This contradictory pattern may suggest
that the effects of a concentration of resource-poor groups and visible immigrants on
groupings of young adult outcomes that include convictions are not well understood.
How much of the outcome burden in the current population might be eliminated if the
effect of neighbourhood social context could be eliminated? To address this question, we
have converted the estimated RRRs into an epidemiological impact measure: the
population-attributable fraction. The population-attributable fraction for each neighbour-
hood type (1–5) and outcome profiles ranges from approximately 0.1 to 3 per cent (Table 4).
When these are added together, the total attributable fraction is around 2–7 per cent
depending on outcome profile. This reduces the total number of people in the study
population who have comparably More unemployment (U) by around 2 per cent. Utilising
the information on cumulative incidence for this outcome profile (Figure 1), in absolute
numbers this corresponds to a hypothetical reduction of around 200 people. A further
example is those with Ue, for whom the potential reduction is around 6 per cent. This
corresponds to approximately 210 people. The number of people who only have less
education (e) would be reduced by around 4 per cent if the effect of the concentration of
resource-poor groups and visible minorities in a neighbourhood were removed entirely.
In absolute numbers, this corresponds to a reduction of some 300 people. Analogous
reductions for those with comparably UeS are around 7.5 per cent and 170 people. Finally,
the hypothetical reduction of people ending up in the UeSC cluster is approximately 7 per
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Table
4.
Pra
ctic
alsi
gn
ifica
nce
:p
op
ula
tio
n-a
ttri
bu
tab
lefr
acti
on
s.
Co
mb
ined
nei
gh
bo
urh
oo
dd
evel
op
men
t1
99
0–
19
94n
pro
file
UUe
Ee
UeS
UeS
C
(1)
Eco
no
mic
ally
inte
gra
ted
–sl
igh
tly
imp
ov
eris
hed
/pre
do
min
antl
yS
wed
ish
-bo
rnp
op
ula
tio
n0
.4%
0.2
%†
0.5
%0
.2%
0.6
%(2
)E
con
om
ical
lyin
teg
rate
d–
slig
htl
yim
po
ver
ish
ed/e
thn
ical
lyin
teg
rate
d,
elem
ents
of
vis
ible
min
ori
ties
0.4
%1
.4%
†0
.1%
2.1
%2
.5%
(3)
Poor/
pre
dom
inan
tly
Sw
edis
h-b
orn
popula
tion
†0.6
%†
0.2
%0.8
%0.8
%(4
)P
oor/
pre
dom
inan
tly
vis
ible
min
ori
ties
1.1
%2.5
%†
2.5
%2.9
%3.3
%(5
)V
ery
po
or/
alm
ost
excl
usi
vel
yv
isib
lem
ino
riti
es0
.1%
1.1
%†
0.4
%1
.5%
†T
ota
lp
op
ula
tio
n-a
ttri
bu
tab
lefr
acti
on
2.0
%5
.8%
3.7
%7
.5%
7.2
%A
pp
rox
.im
pro
vem
ent
(ab
solu
ten
um
ber
s)1
98
21
02
93
16
95
9P
aren
tal
wel
fare
rece
ipt,
19
90
1.7
%3
.3%
†2
.7%
5.2
%5
.2%
Ap
pro
x.
imp
rov
emen
t(a
bso
lute
nu
mb
ers)
16
81
20
21
41
17
42
Notes:
Po
pu
lati
on
-att
rib
uta
ble
frac
tio
n¼
(ad
j.R
RR
21
/ad
j.R
RR
)*fr
acti
on
exp
ose
d.
†N
ot
app
rop
riat
e(a
dj.
RR
R,
1.0
).A
pp
rox
.im
pro
vem
ent
(ab
solu
ten
um
ber
s)¼
PA
F*
cum
ula
tiv
ein
cid
ence
inab
solu
ten
um
ber
s.
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cent. Since the cumulative incidence of this outcome profile is comparably low (around 1
per cent), the elimination of the risk factor corresponds to a reduction of less than 60 people.
The theoretical improvements outlined above must be deemed modest, irrespective of
outcome profile and neighbourhood type. Even if one assumes that these hypothetical
improvements are desirable and feasible they must be seen in relation to the social and
economic costs involved in changing the social composition of the population of the 260
neighbourhoods which were not classified as well-off with a predominantly Swedish-born
population. They must also be seen in relation to the fact that the potential improvement
achieved by eliminating the risk factor ‘parental welfare receipt’ (which indicates
household poverty) is of similar magnitude to the total neighbourhood effect (Table 4).
The fact that we were not able to fully control for unobserved factors related to school
environment and/or the parents of the young people in the study population must also be
taken into consideration when looking at potential theoretical improvements.
Concluding Discussion
There can be little doubt that the issue of neighbourhood effects on individual outcomes
continues to be at the core of the social stratification research agenda. It is also central to
policies aiming to combat outcomes of poverty, social exclusion and inequality. By means
of extensive analyses of comprehensive longitudinal register data, this study has looked
for evidence that a disadvantaged neighbourhood social context influences Swedish
adolescents’ groupings of outcomes as young adults. To our knowledge, this article
represents the first attempt to quantify the effect of neighbourhood on combinations of
outcomes rather than on a variety of outcomes analysed in isolation. As a result, this
person-oriented study provides policy makers with better information about the potential
consequences of residing in disadvantaged social environments. It may also enable
decisions about social interventions aimed at the outcomes addressed in this study to be
based on broader aspects of individual opportunity.
This study presents mixed evidence about whether a disadvantaged neighbourhood
social context during adolescence patterns groupings of young adult outcomes net of
observed individual-level background characteristics. Young people from neighbourhoods
with higher concentrations of resource-poor groups and visible minorities were less likely
to be found in the cluster with comparably more education. Interestingly, young people
from more disadvantaged neighbourhoods were not more likely to figure in the
comparably less education cluster or the comparably more unemployment cluster. It was
the case, however, that young people from neighbourhoods with the highest
concentrations of resource-poor groups and visible immigrants were at statistically
significant excess risk of being found in the cluster in which unemployment, less education
and social assistance go hand in hand. Although these findings are theoretically important,
and may indicate that much closer attention needs to be paid to the explanatory scope of
theories of neighbourhood effects on young adult outcomes, the chief message is that the
estimated effect of disadvantaged neighbourhood context at population level must be
deemed modest. Furthermore, the results must be seen in relation to the fact that the
reported effect sizes may be biased upwards since it was not possible to control for
unobserved factors related to the young people’s school environment. So, where do the
results found in this study leave us if we are interested in combating outcomes related to
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poverty, social exclusion and inequality and improving individual opportunity? A number
of suggestions can be put forward.
To some extent, a government’s welfare policy determines people’s strategies for
making a living; it may thus be considered an intervening variable between market
distribution and outcomes related to poverty and inequality. According to Ostendorf et al.
(2001), the relationship between having a job and social indicators such as income,
education and quality of housing are stronger in market-oriented welfare states such as the
USA. In such situations, they argue, unemployment often results in low incomes and poor
housing. In contrast to the USA, it is more common for European Union welfare states to
intervene in market processes.
Comparative studies of income poverty have shown that poverty levels are more
moderate in Western Europe than in the USA. In Sweden, relative poverty rates are
fundamentally lower than in market-oriented welfare states (Kangas & Palme, 2000).
The latter tend to favour targeting and flat-rate benefits rather than universal and earnings-
related benefits (Nelson, 2004). As shown by Korpi & Palme (1998), comparative analyses
of the effects of different types of welfare state on poverty and inequality indicate that
institutional differences lead to unexpected outcomes and contribute to a paradox of
redistribution: the more we target benefits at the poor, the less likely we are to reduce
poverty and inequality. This indicates that the relationships between neighbourhood
disadvantage and the outcomes addressed in this study could well be weaker in welfare
states where policy makers are more concerned with creating equal public transfers to all.
We also know from previous studies that social policy generosity mitigates the
prevalence of multiple welfare problems (Ferrarini et al., 2010; Korpi et al., 2007).
Multiple welfare problems are much more common in Europe outside the Nordic
countries. The proportion of the population with multiple welfare problems is generally
twice as large in Europe as in Sweden. For specific countries in eastern and southern
Europe, the differences are even greater (Ferrarini et al., 2010). Seen in this light, our
results are less surprising because they do not contradict the notion that a society with a
strong egalitarian thrust may reduce the scope and magnitude of neighbourhood effects.
Another issue we would like to draw attention to is that of labelling. It is not surprising
that the media’s traditional portrayal of residential areas with a high concentration of
immigrants as problematic has also helped to create a negative reputation for the residents
of such neighbourhoods (Burns et al., 2007). Swedish public authorities’ introduction of
the term ‘visible and non-visible minorities’, in the classification of residential areas to
highlight that visibility is a key dimension in how native Swedes and the Swedish society
in general perceive and treat immigrant groups, is a big departure from earlier practice.
There is, in other words, a powerful imagery in Swedish society that divides residential
areas according to a scale of ‘Swedishness’ in terms of appearance (including aspects such
as colour of the skin, habits, religious beliefs or not speaking Swedish as the majority
population), with complete visibility at the bottom end of the continuum, that is, complete
deviance from this appearance norm, denoting disadvantage.
One of several problems with this type of imagery is that it tends to be based on
stereotypes propagated by powerful institutions or private actors about these
neighbourhoods’ current residents, history, environmental or topographical disamenities,
style, scale and type of dwelling, or condition of commercial districts and public spaces
(Galster, 2010). Public health scientists have warned against policy initiatives aimed
specifically at foreign-born people, or groups of foreign-born people with a specific
744 L. Brannstrom & Y. Rojas
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background, as they involve a significant risk of stigmatisation and greater discrimination.
Initiatives of this kind need a very robust scientific foundation, and they should also be
specifically requested by the immediate minority group in question. Initiatives against
infectious diseases, such as tuberculosis and hepatitis B, are examples of measures that
often fulfil these criteria (Hjern, 2009).
So, do our results give us reason to believe that our fears about the hypothesised
negative consequences of growing up in a disadvantaged neighbourhood are exaggerated?
We do not think one should jump to such a conclusion. In addition to the fact that
neighbourhood population characteristics may affect (combinations of) outcomes that we
have not addressed here (e.g. subjective well-being, income to name but a few), it is
important to remember that we have looked at the effect of neighbourhood during
adolescence on young adult outcomes. It is reasonable to assume that the effect of
disadvantaged neighbourhood conditions may be cumulative over the life course
(Wheaton & Clarke, 2003) and may even extend across generations (Sharkey & Elwert,
2011). Even if the persistence of neighbourhood disadvantage across generations is less
pertinent in Sweden (Andersson, 2008), further comprehensive longitudinal studies are
needed. However, despite the limits of the design of this study, its findings challenge those
scholars and policy makers who contend that a disadvantaged neighbourhood social
context plays a major role in young people’s development and that social interventions
directed at distressed residential districts are a pathway for improving individual
opportunity.
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