Social Science Research Institute: Proposal for Level 1 Funding

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1 Social Science Research Institute: Proposal for Level 1 Funding 1. Title of proposal: Implications of Marcellus Shale Development for Youth Development 2. Descriptive key words: Marcellus Shale, adolescents, families 3. Purpose: As part of our larger research agenda, we plan to take advantage of an emerging natural experiment the extraction of natural gas from the Marcellus Shale land formation in Pennsylvania and New York to collect data and study how increases in family income influences adolescent adjustment and family functioning. Although income is theorized to be a key determinant of these outcomes, our standard estimates of its import are likely biased given that family income is endogenous to a host of parental and family characteristics. The income families will receive as Marcellus Shale royalty payments will provide a unique occasion to explore whether and how improvements in family income, largely unrelated to family characteristics, create opportunities and even new challenges for youth development. We are currently writing a R01 proposal to be submitted to NICHD on October 5, The goal of this Level l project is to secure funding that will help us collect and analyze data to be included in our NICHD proposal. We have two Specific Aims: 1. Develop maps and a geo-coded database that link school district and county data to the boundaries of the Marcellus Shale geological formation. 2. Transcribe and code the 40 qualitative parent interviews and enter data from the paper and pencil surveys from our seed grant research to study how Marcellus Shale development and the associated changes in the community and natural environment are affecting families and youth (PI: McLaughlin, $50,000). 4. Brief Background and Description of Activities: The extraction of natural gas from the Marcellus Shale geological formation will make some families rich, but others will receive nothing. Families who own the mineral rights for land above the Shale can sign a lease to allow a gas company to drill for and produce the gas. Leases also establish the royalty rate (ranging from 12.5% to 30% (Ward et al. fc)) to be paid to leaseholders as a percentage of the gas company s profits from the sale of the gas. Royalties will reflect the per acre geological quality of the Shale and the price of natural gas when it is sold. Our R01 proposal will seek funds to collect data on these income sources and child and family characteristics to explore whether and how income gains from Marcellus Shale payments predict differences in the levels of adolescent adjustment and family functioning. To exploit the natural experiment and ascertain the causal effect of income, we will collect data from 7 th graders and their primary caregivers living in (a) Pennsylvania school districts above geologically-rich Marcellus Shale areas, (b) Pennsylvania school districts above geologically-poor Marcellus Shale areas, and (c) school districts above geologically-rich Marcellus Shale areas in southern New York which has a legal moratorium on Marcellus Shale drilling. Using these three groups, we will conduct difference-in-difference analyses to isolate the causal effect of increases in family income. Key to our R01 proposal and natural experiment design is the geological variation in the quality of Marcellus Shale. We have a printed map of the Marcellus Shale and the boundaries within it demarcating the geologically-rich and the geologically-poor regions, our treatment and control groups. These boundaries undergird the project s research design. We solicited and received a budget estimate from the Geographic Information Analysis (GIA) core of the SSRI for the work we need. Specifically, we would need them to create (1) maps that geo-code the boundaries of the Marcellus Shale and that can be used to view 1

2 county, school district and Marcellus Shale potential as needed; (2) a database format with the ability to merge in data at the county or school district level; and (3) variables about local Marcellus activity (e.g., well counts per school district from latitude and longitude data for each well; identification of sampled school districts relative to Marcellus Shale boundaries). The second aim of our proposal is to complete transcription and coding for the qualitative interviews we are conducting with parents in 4 Pennsylvania counties this summer. For our seed grant proposal, we conducted 32 qualitative interviews with key informants in spring of 2011 and we are currently in the field to interview 40 parents of 7 th graders and have them complete a pencil-and-paper survey. The pencil-and-paper survey was not initially part of our seed grant proposal, but it is critical to field test new items and collect data on standard survey items from parents in advance of our R01 proposal. With the addition of the survey and its associated costs, we now need supplemental funding to transcribe some of the parent interviews, code the qualitative parent interviews, and pay for the data entry of the surveys. We will retain the undergraduate students that did the transcription for the key informant interviews. Our request is for monies to pay their wages and to partially fund Dr. Davis s efforts to manage the transcription, coding and data entry processes and the workers. 5. Relevance to SSRI s Mission: We have assembled an interdisciplinary team of scholars working in three different colleges. In addition, an SSRI Level 1 grant will further our efforts to apply for and secure external funding from NICHD. We are submitting an R01 to NICHD on October 5, SSRI Services to be Used: We will use the services of Geographic Information Analysis (GIA) to create (1) maps that geo-code the boundaries of the Marcellus Shale and that can be used to view county, school district and Marcellus Shale potential as needed; (2) a database format with the ability to merge in data at the county or school district level; and (3) variables needed (e.g., well counts per school district from data with the latitude and longitude for each well; identification of sampled school districts relative to Marcellus Shale boundaries). 7. Budget and Justification: Total $5,000 A. GIA work $1,554 B. Transcription, coding & data entry by undergraduate students $1,196 C. Transcription & coding manager (Dr. Davis) $2,250 A. For a detailed breakdown of the GIA costs, see the attached budget proposal drafted by Tse-Chuan Yang and Sherry Yocum. B. We will have 40 interview recordings to transcribe and code and estimate that it will take 6 hours per recording to be transcribed. Coding will take an additional 3 hours each. Data entry will take approximately 2 hours per paper and pencil survey. We pay students $10 per hour. The balance of these costs is covered in the seed grant. C. Dr. Davis will oversee the transcription process (e.g., maintain security of the files, manage the uploading and downloading of files from ANGEL, quality control) and manage the students doing the transcriptions, coding and data entry. Her work effort will exceed the amount requested. Budget coordinator: Sherry Yocum, 814/ Budget and fund number: Administrative area number: Timeline: 8/1/11-8/5/11: GIA work completed. 8/1/11 9/26/11: Transcription and coding work completed. 10/5/11: R01 proposal submitted to NICHD. 2

3 9. Investigator Information: Lead Investigator Molly A. Martin Assistant Professor of Sociology and Demography (tenure track) Sociology and Crime, Law & Justice; Population Research Institute College of Liberal Arts, University Park 814/ , Collaborating Investigator Kelly D. Davis Research Associate Professor (pending) Human Development & Family Studies and Center for Healthy Aging College of Health & Human Development, University Park 814/ , Tenure track = No Collaborating Investigator Diane McLaughlin Professor of Rural Sociology and Demography (tenure track) Agricultural Economics and Rural Sociology; Population Research Institute College of Agriculture, University Park 814/ , dkk@psu.edu 10. Letters of Support from All Collaborators: See attached letters from Drs. Davis and McLaughlin. 3

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5 Department of Agricultural Economics and Rural Sociology College of Agricultural Sciences The Pennsylvania State University 110C Armsby Building University Park, PA Fax: Dr. Molly A. Martin Department of Sociology 211 Oswald Tower University Park, PA Dear Dr. Martin, I support the Level 1 proposal to the Social Science Research Institute to provide support for the GIS work related to the RO1 proposal we plan to submit to NIH in October. This request also includes funding to help cover the costs of transcribing and coding some of the family interviews and entering the data for the test survey instrument for families (both partners) not originally included in the seed grant, as well as covering time for Dr. Kelly Davis to continue to oversee and verify the coding and transcription process. This activity supports the current seed grant, but more importantly provides information to substantiate prior work to be included in the RO1 proposal. Sincerely, Diane K. McLaughlin Professor of Rural Sociology and Demography College of Agricultural Sciences An Equal Opportunity University

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