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This document explores alternate CPS county sampling variance functions and the effects of these functions on county-level income and poverty estimates produced by the Small Area Income and Poverty Estimates program (SAIPE) of the U.S. Census Bureau. We will first describe the background of this problem and two alternate modeling strategies for county poor that we explored as part of our research. We will then outline the methodology used to test the effect of different functions of CPS county sample size used in estimating the CPS county sampling variance for the two county poor modeling strategies. Finally, we will examine our results, which suggest a variance proportional to the inverse of the square root of CPS sample size provides the best model of CPS county sampling variance of the options we explored. We finish be describing potential future research topics.
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