2004
DOI: 10.1111/j.0022-4146.2004.00334.x
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Do Urban Agglomeration Effects and Household Amenities have a Skill Bias?*

Abstract: There are several hypotheses why urban scale affects wages. Most focus on agglomeration economies that increase labor demand, especially for high-skilled workers (e.g., dynamic externalities stress knowledge transfers, and imply the urban wage gap favors skilled workers). Others stress urban amenities that increase labor supply and decrease wages. Amenities should have a stronger influence on affluent households if they are normal goods. By examining whether urban-scale affects net returns to education, it can… Show more

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Cited by 101 publications
(98 citation statements)
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References 42 publications
(65 reference statements)
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“…Studies based on US data (NLSY, PSID or PUM) tend to find that the urban wage premium is increasing in education/skills (Glaeser and Mare, 2001;Wheeler, 2001;Gould, 2007;Rosenthal and Strange, 2008;Bacalod et al, 2009). Exceptions are Adamson et al (2004) who find a nonlinear relation between the urban wage premium and education level, and Lee (2010) who finds that the urban wage premium is negative for high-skilled health workers and positive for less skilled health workers. A Swedish study based on panel data of all private sector workers finds that the urban wage premium is largest for workers in occupations that demand non-routine tasks (Andersson et al, 2014), whereas, in Italy, return to higher education seems to be negatively correlated with regional population size (Di Addario and Patacchini, 2008).…”
Section: Introductionmentioning
confidence: 99%
“…Studies based on US data (NLSY, PSID or PUM) tend to find that the urban wage premium is increasing in education/skills (Glaeser and Mare, 2001;Wheeler, 2001;Gould, 2007;Rosenthal and Strange, 2008;Bacalod et al, 2009). Exceptions are Adamson et al (2004) who find a nonlinear relation between the urban wage premium and education level, and Lee (2010) who finds that the urban wage premium is negative for high-skilled health workers and positive for less skilled health workers. A Swedish study based on panel data of all private sector workers finds that the urban wage premium is largest for workers in occupations that demand non-routine tasks (Andersson et al, 2014), whereas, in Italy, return to higher education seems to be negatively correlated with regional population size (Di Addario and Patacchini, 2008).…”
Section: Introductionmentioning
confidence: 99%
“…However, the exact nature of these externalities is unclear. Is it related to only a number of specific occupations of high or low skilled workers, as Wheeler (2001), Adamson et al (2004) and Lee (2010) show, or is it related to the broader concept of creativity, as argued by Florida (2012Florida ( , 2002? Is it related to human capital of workers as argued by Lucas (1988), or to human capital of residents, as argued by Sassen (2001)?…”
Section: Introductionmentioning
confidence: 99%
“…The latest US evidence suggests that non-economic factors such as natural amenities (Partridge & Rickman, 2003Partridge, 2010) are a key driver in influencing migration patterns and that the growth of cities is also very dependent on the migration induced by spatial sorting by skills and the interactions between these skills and the consumption of urban amenities (Glaeser et al, 2001;Adamson et al, 2004;Shapiro, 2006).…”
Section: Introductionmentioning
confidence: 99%