Standard Metropolitan Statistical Area

Standard metropolitan statistical areas (SMSAs) are an earlier version of metropolitan statistical areas (MSAs). An MSA is an area established by the Office of Management and Budget that describes a region with a high density of human population. These areas also share economic ties throughout the region. The purpose of establishing a metropolitan statistical area is to closely group counties and cities into defined areas for the compilation of relevant statistical data. Population census is one such example of the necessity for forming a MSA. An example of a typical metropolitan area is Chicago because it is a single large city and the surrounding areas are affected by their proximity to the large city.Another example is the Dallas-Ft Worth area. Even though the region is not influenced by a particular city, the entire area shares economic and demographic similarities.