At the time the Great Society programs were initiated, the people most
likely to be impoverished were blacks, women, and the aged. Today the
face of proverty in the United States has changed; the economic prosp
ects of black males are somewhat improved, while children living in fe
male-headed households and young people account for an increasing port
ion of the poor. Human-capital investment in these youth is crucial to
increase opportunity and to reduce the poverty rate. This paper inves
tigates the extent to which spatial economic development policies can
help reduce this new poverty.