The following is a brief history of Philipsburg. It was incorporated in 1864 as a Borough, but later declined due to lack of transportation and technological changes. Only a few small surface mines remain in the city. In 1833, Hardman Philips tried to build a railroad to tap into the area's coal reserves. However, the Pennsylvania Canal bypassed the town and Philipsburg's screw factory was a failure, due to competition from a new type of screw. Despite its decline, Philipsburg remains a small trading center with a lively commercial district and well maintained neighborhoods.
In the nineteenth century, Philipsburg's residential area grew rapidly, with large brick buildings built by industrial leaders and white-collar workers. The largest of these is the John Henry Simler House, located on 100 North Second Street. The Simler house was covered with clapboard siding before 1850. Another notable residence is the Hardman Philips House, built by O. Perry Jones, a prominent Philipsburg banker with interests in the coal and timber industries. This Victorian dwelling is one of the city's more fashionable Queen Anne-style dwellings.
The poverty rate is an important economic indicator, showing the percentage of households with incomes below the federal poverty line. The lower the number of people in poverty, the more prosperous the society is. In Philipsburg, Pennsylvania, the poverty rate is 11.7%. The state's average is 9.29%. The percentage of workers with super commutes is 7.7%. A similar breakdown applies to workers in other nearby towns.