The Commonwealth's total population in 1995 was 58,846, (Saipan -
52,698 ; Tinian - 2,631; Rota - 3,509; Northern Islands - 8). The
Commonwealth of the Northern Mariana Islands ranks fifty third (53 rd )
among the fifty four (54) states and territories (1) in its 1995 per capita
income level of $6,984. This is a decline from the $7,199 per capita income
recorded in the CNMI's 1990 census of population and lower than that of the
Virgin Islands ($11,052 -'94); Guam ($7,116 - '94) and exceeds Puerto
Rico's per capita income of $6,360 ('94) by only $624.
     The United States poverty level in 1989 (2) for a family of 4 was
$14,763 at which time 13 percent of the U. S. population was below the
official U. S. government determination of the poverty level.
By contrast In the CNMI in 1990, 28.3 percent of the owner occupied housing
units and 43.4 percent of renter occupied units  were below the poverty
level. Five thousand three hundred twelve, (5,312) families or 32.1 percent
of all families were below the poverty level.   In 1995 the unemployment
rate was 7.1 percent.
     In 1989, (the most recent data available resulting from the 1990
census) of the 6,873 households at that time, 2,550  or 37.1 percent had
total incomes of $14,999 or less. In terms of the 5,312 individual
families, 1,869 or 35.2 percent had incomes of $14,999 per year or less.(3)

     While not all data collected in the 1995 census are available at this
time, the census revealed  10,854 "family" and "non-family" households on
Saipan, 522 on Tinian and 690 on Rota for a total of 12,066.
 Cost Of Living: In terms of living costs the economy of the Commonwealth,
particularly Saipan, has undergone marked change in recent years as prices
have increased across the board and in many instances are a  reflection
more of those in Japan than the United States. The CNMI has become a very
expensive place to live and it is expected to become increasingly more so
in the decade of the 90's. Local people who already possess land and a home
can escape the payment of high rents, but all are subject to high food and
utility costs. New residents of the Commonwealth are sometimes surprised at
the higher prices for some items, particularly food. The cost of living in
the Commonwealth has been said to be from 25 to 30 percent higher than on
the United States mainland and possibly higher. The higher prices observed
by those moving from the United States mainland not only result  from
exorbitant shipping costs but also because distributors cannot take
advantage of economies of scale with the result that the small CNMI market
translates into smaller volumes in shipping, warehousing and distribution.
There is little flexibility in the disposal of excess inventories which
means that discount retailing, factory outlets, etc., are not usually found
in the islands. Competition, which elsewhere might tend to drive prices
close to production and distribution costs, is  limited in the
Commonwealth.
       Other reasons for such high prices are related to greater costs for
doing business which can be considerably higher than on the mainland.
Commercial building costs, whether  leased or constructed, are higher and
most require air conditioning with the result that there are expensive
electricity charges associated with businesses. Premiums for typhoon
insurance are expensive and, in the case of perishable items such as
certain foods, higher rates of spoilage can be expected  all of which add
to the cost of doing business which are ultimately  passed on to the
consumer in the form of higher prices.
       The Japanese have also  influenced prices in the Commonwealth as the
Japanese traveler has become increasingly affluent. High prices for quality
goods and services are expected by the Japanese visitor with the result
that local businesses accommodate this expectation to the fullest extent.
Obviously this is to the detriment of local residents as it results in
higher prices for the non tourist as well.
 Natural Disasters: Tropical storms, fires, floods, droughts, earthquakes,
volcanic eruption and tsunami can happen at any time within a particular
season of the year. Except for earthquakes, tsunami and volcanism - which
have not recently affected Saipan, Tinian and Rota - by far the most
frequent threat is from typhoons. All agencies of the CNMI government have
contingency plans to implement during a disaster and are particularly adept
at mitigating loss of life during these storms.
Location: The Mariana Islands and the Philippines are the only western
oriented societies situated in the eastern hemisphere. The islands are
about as far west of the United States as Tokyo or Melbourne and about the
same distance north of the equator as Mexico City or Manila. The Marianas
archipelago is closer to Moscow than Washington, D. C.  At 7,000 miles, the
area is the most distant member of the American political family and the
United States Capitol.
     The Mariana Islands are 9 time zones west of Washington D.C.; 6 zones
west of San Francisco and 4 zones west of Honolulu. At no time do normal
working hours on the United States east coast coincide with those of the
Northern Marianas, indeed, because of geography and the International Date
Line communication with the United States can only occur during four
business days of the week. Saipan is located at 15 degrees 15 minutes North
Latitude, 145 degrees - 45 minutes East Longitude,120 miles north of Guam.
To provide some appreciation of the size of the Pacific the flying time
between Guam or Saipan and Honolulu is about seven hours. This portion of
the Pacific alone is about equal in distance to the Atlantic Ocean between
the United States east coast and Europe.

 (1) Source: 1994 data for the fifty states from the 1996 edition of:
"World Almanac."
  CNMI per capita income from the 1995 Census of Population.
(2) Ibid em: "World Almanac" 1989 data was collected in the 1990 census.
(3) In the census a distinction is made between "households" and
"families." A family consists of all related members while a household
contains one or more unrelated persons. A census is usually conducted at
midyear, thus the income question is posed to cover a full year, namely,
the year prior to the year in which the census is conducted.

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