Agglomeration spillovers and wage and housing cost gradients across the urban hierarchy

Partridge, Mark D.; Rickman, Dan S.; Ali, Kamar; Olfert, M. Rose

doi:10.1016/j.jinteco.2009.02.004

Cited by 115 publications

(138 citation statements)

References 36 publications

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“…Then to more accurately account for spillovers over distance, the AGGLOM also includes several spatial distance measures to reflect proximity to metropolitan areas differentiated by their status in the hierarchy. Partridge et al (2008aPartridge et al ( , 2008bPartridge et al ( , 2009 found these distance measures to be highly associated with job and population growth as well as wages and housing values dating back to the mid-20 th Century. For a county that is part of a metropolitan area, the first distance is from the population-weighted center of the county to the population-weighted center of the metropolitan area.…”

Section: Our Dependent Variables Are Various Measures Of Employment Gmentioning

confidence: 99%

Geography and High-Tech Employment Growth in US Counties‡

Fallah

Partridge

Rickman

2013

Journal of Economic Geography

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Abstract. This paper investigates the role of geography in high-tech employment growth across U.S. counties. The geographic dimensions examined include industry cluster effects, urbanization effects, proximity to a research university, and proximity in the urban hierarchy. Growth is assessed for overall high-tech employment and for employment in various high-tech sub-sectors. Econometric analyses are conducted separately for samples of metropolitan and nonmetropolitan counties. Among our primary findings, we do not find evidence of positive localization or within-industry cluster growth effects, generally finding negative growth effects. We instead find evidence of positive urbanization effects and growth penalties for greater distances from larger urban areas. Universities also appear to play their primary role in creating human capital rather than knowledge spillovers for nearby firms. Quantile regression analysis confirms the absence of within-industry cluster effects and importance of human capital for counties with fast growth in high-tech industries.

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Section: Our Dependent Variables Are Various Measures Of Employment Gmentioning

confidence: 99%

Geography and High-Tech Employment Growth in US Counties‡

Fallah

Partridge

Rickman

2013

Journal of Economic Geography

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“…Factors other than urban population size affect service availability and well-being in rural areas, including rural population density, industrial structure, and natural amenity features (Isserman, Feser, & Warren, 2009;McGranahan, Wojan, & Lambert, 2010;Vias, Mulligan, & Molin, 2002). However, recent studies confirm that the variability of rural well-being is still very strongly tied to the structure of the urban hierarchy -places near large cities have lower poverty rates, higher incomes, more jobs, higher population growth, and better access to retail services compared with more remote areas (Partridge, Rickman, Ali, & Olfert, 2008a, 2009aPorter & Howell, 2009). Three frontier levels defined here vary by urban population size threshold (50,000, 25,000, and 2500) and are meant to describe areas with limited access to high-, intermediate-, and low-order central-place services, respectively.…”

Section: Introductionmentioning

confidence: 99%

Defining frontier areas in the United States

et al. 2013

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Demand is growing for a statistically based, nationally consistent definition of frontier territory, one that is adjustable within a reasonable range and applicable in different research and policy contexts. The need arises from Congressional mandates affecting rural health programs and from limitations of previous classification schemes. As used here, the term frontier denotes territory characterized by some combination of relatively low-population density and high geographic remoteness. Two features distinguish the methodology described here from earlier classifications. First, the approach strives for the most accurate measures of distance possible for the smallest units of geography containing population data. Travel time by car to nearby urban areas is calculated for coterminous US territory at the 1 × 1 kilometer grid level. Once frontier territory is delimited at the grid level, frontier populations may be summed to ZIP code areas, as demonstrated on the Main Map, or to census tracts, counties, or other useful geographic entities. Second, travel-time thresholds around urban areas were allowed to vary by urban-area population size. This is desirable because the effect of urban population size on adjacent rural population density is discontinuous. At any given distance from an urban area, population density increases as the size of the nearby urban area increases.

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“…The locational problem is usually analysed by evaluating how local prices (rents and wages) relate to the distance from the present location to the Central Business District (CBD) of the city (Lucas Jr, Rossi-Hansberg 2002). Distance to multiple tiers of the urban hierarchy within a city can also be relevant for this analysis (Partridge et al 2009). …”

Section: Spatial Mismatch and Labour Market Equilibriummentioning

confidence: 99%

“…The problem at hand is fundamentally related to metropolitan areas, as commuting costs and agglomeration economies become more relevant at a larger urban scale (Partridge et al 2009). In fact, if one considers the average wage received by workers according to their commuting time from home to work, it is noticeable that the negative relationship between these two variables is clearer when cities with at least 500,000 workers are taken into account (Figure 1).…”

Section: Descriptive Statisticsmentioning

confidence: 99%

“…In some cases, jobs with better pay in the service sector can be concentrated near the centre, as they benefit more from knowledge spillovers that generate agglomeration externalities (Partridge et al 2009). On the other hand, manufacturers started moving to the outskirts of the bigger cities in order to avoid high rents, effect that is widely acknowledged in the literature, together with additional impacts on the housing market (Lucas Jr, Rossi-Hansberg 2002).…”

Section: Introductionmentioning

confidence: 99%

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Spatial mismatch, wages and unemployment in metropolitan areas in Brazil

Barufi

Haddad

2017

REGION

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Abstract. The spatial mismatch hypothesis states that a lack of connection to job opportunities may affect an individual's prospects in the labour market, especially for low-skilled workers. This phenomenon is especially observed in large urban areas, in which low-skilled minorities tend to live far away from jobs and face geographical barriers to finding and keeping jobs. This paper aims to investigate whether this negative relationship between spatial mismatch and labour market outcomes is valid in Brazil after controlling for individual characteristics. Our conclusions indicate that there is no clear relation between different measures of accessibility to jobs and the probability of being unemployed. However, for wages there is a clear correlation, which is stronger in larger metropolitan areas than in the country and has a more detrimental effect for low-skilled workers. This paper contributes to the literature by investigating the spatial mismatch in urban labour markets in Brazil. For the empirical literature in the country, this is an original contribution, as the comparison of intra-urban labour market dynamics of different urban areas provide a more comprehensive perspective of the role city size may play in local labour markets. Given the exploratory nature of this work, our results still rely on strong identification hypotheses to avoid potential bias related to simultaneous location decisions of workers and firms within the city. Even if these conditions do not hold, the results are still meaningful as they provide a better understanding of the conditional distribution of wages and the unemployment rate in the biggest metropolitan areas of Brazil.JEL classification: R32, J64, J31

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Agglomeration spillovers and wage and housing cost gradients across the urban hierarchy

Cited by 115 publications

References 36 publications

Geography and High-Tech Employment Growth in US Counties‡

Geography and High-Tech Employment Growth in US Counties‡

Defining frontier areas in the United States

Spatial mismatch, wages and unemployment in metropolitan areas in Brazil

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