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Deriving Empirical Definitions of Spatial Labor Markets: The Roles of Competing Versus Complementary Growth

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  • Romana Khan
  • Peter F. Orazem
  • Daniel M. Otto

Abstract

If economic growth elsewhere raises an individual's earning prospects relative to his present location, then the individual will move. However, if the individual can exploit economic growth elsewhere by commuting, he will not need to move to gain from the expansion. County-level data from eight states in the Midwest over the period 1969-1994 are used to show that local county population responds positively to own-county economic growth, economic growth in the adjacent county, and economic growth two counties away. The magnitude of the effect decreases as distance from the county increases, and turns negative beyond a three county radius. Copyright 2001 Blackwell Publishers

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Journal of Regional Science.

Volume (Year): 41 (2001)
Issue (Month): 4 ()
Pages: 735-756

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Handle: RePEc:bla:jregsc:v:41:y:2001:i:4:p:735-756

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References

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  1. repec:fth:stanho:e-95-4 is not listed on IDEAS
  2. Kim S. So & Peter F. Orazem & Daniel M. Otto, 2001. "The Effects of Housing Prices, Wages, and Commuting Time on Joint Residential and Job Location Choices," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(4), pages 1036-1048.
  3. Edward L. Glaeser, 1998. "Are Cities Dying?," Journal of Economic Perspectives, American Economic Association, vol. 12(2), pages 139-160, Spring.
  4. Mark Henry & Mark Drabenstott, 1996. "A new micro view of the U.S. rural economy," Economic Review, Federal Reserve Bank of Kansas City, issue Q II, pages 53-70.
  5. Edward L. Glaeser & Jose A. Scheinkman & Andrei Shleifer, 1995. "Economic Growth in a Cross-Section of Cities," NBER Working Papers 5013, National Bureau of Economic Research, Inc.
  6. Timothy J. Bartik, 2003. "Local Economic Development Policies," Upjohn Working Papers and Journal Articles 03-91, W.E. Upjohn Institute for Employment Research.
  7. Paul Krugman, 1998. "Space: The Final Frontier," Journal of Economic Perspectives, American Economic Association, vol. 12(2), pages 161-174, Spring.
  8. Blomquist, Glenn C & Berger, Mark C & Hoehn, John P, 1988. "New Estimates of Quality of Life in Urban Areas," American Economic Review, American Economic Association, vol. 78(1), pages 89-107, March.
  9. Boarnet Marlon G., 1994. "The Monocentric Model and Employment Location," Journal of Urban Economics, Elsevier, vol. 36(1), pages 79-97, July.
  10. White, Michelle J., 1988. "Location choice and commuting behavior in cities with decentralized employment," Journal of Urban Economics, Elsevier, vol. 24(2), pages 129-152, September.
  11. Roback, Jennifer, 1982. "Wages, Rents, and the Quality of Life," Journal of Political Economy, University of Chicago Press, vol. 90(6), pages 1257-78, December.
  12. Carrington, William J, 1996. "The Alaskan Labor Market during the Pipeline Era," Journal of Political Economy, University of Chicago Press, vol. 104(1), pages 186-218, February.
  13. Gabriel, Stuart A. & Shack-Marquez, Janice & Wascher, William L., 1993. "Does migration arbitrage regional labor market differentials?," Regional Science and Urban Economics, Elsevier, vol. 23(2), pages 211-233, April.
  14. John M. Quigley, 1998. "Urban Diversity and Economic Growth," Journal of Economic Perspectives, American Economic Association, vol. 12(2), pages 127-138, Spring.
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Cited by:
  1. Dust, Andrew & Orazem, Peter & Wohlgemuth, Darin, 2008. "Rural Immigrant Population Growth, 1950-2000: Waves or Ripples?," Staff General Research Papers 12920, Iowa State University, Department of Economics.
  2. Partridge, Mark D. & Rickman, Dan S., 2012. "Integrating regional economic development analysis and land use economics," MPRA Paper 38291, University Library of Munich, Germany.
  3. Monchuk, Daniel C. & Miranowski, John A. & Hayes, Dermot J. & Babcock, Bruce A., 2004. "An Analysis Of Regional Economic Growth In The Us Midwest," 2004 Annual meeting, August 1-4, Denver, CO 20369, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  4. Monschuk, Daniel C. & Miranowski, John A., 2010. "The Impacts of Local Innovation and Innovative Spillovers on Employment and Population Growth in the U.S. Midwest," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 40(1).
  5. Partridge, Mark D., . "Rural Economic Development Prospects in a High Energy Cost Environment," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association.
  6. Paul Lewin & Bruce Weber & David Holland, 2013. "Core–periphery dynamics in the Portland, Oregon, region: 1982–2006," The Annals of Regional Science, Springer, vol. 51(2), pages 411-433, October.
  7. Tzu-Ling Huang & Peter F. Orazem & Darin Wohlgemuth, 2002. "Rural Population Growth, 1950–1990: The Roles of Human Capital, Industry Structure, and Government Policy," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(3), pages 615-627.
  8. Raphael Bar-El, 2006. "Inter-regional labor market equilibrium: another pattern of spatial mismatch," The Annals of Regional Science, Springer, vol. 40(2), pages 393-405, June.
  9. PERALTA, Susana, 2004. "Political support for tax decentralisation," CORE Discussion Papers 2004024, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  10. Hazans, Mihails, 2002. "Social returns to commuting in the Baltic states," ERSA conference papers ersa02p232, European Regional Science Association.

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