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Understanding the Economic Performance of Metropolitan Areas in the United States

Author

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  • Pamela Blumenthal

    (School of Public Policy and Public Administration, George Washington University, 805 21st Street NW, Washington, DC, 20052, USA, blumepm@gwu.edu)

  • Harold L. Wolman

    (School of Public Policy and Public Administration, George Washington University, 805 21st Street NW, Washington, DC, 20052, USA, hwolman@gwu.edu)

  • Edward Hill

    (Maxine Goodman Levin College of Urban Affairs, Cleveland State University, 2121 Euclid Avenue, Cleveland, Ohio, 44115, USA, e.hill@csuohio.edu)

Abstract

Examining the drivers of metropolitan economic performance, this paper models two dependent variables: change from 1990 to 2000 in gross metropolitan product and MSA employment. It is found that initial-year economic structure (an above average share of manufacturing employment), agglomeration economies, human capital (share of population with bachelor degrees or higher), and presence of state right-to-work laws are positively and significantly related to GMP and employment growth, while the economic age of the area, percentage of Black non-Hispanic residents and average wage at the beginning of the period are negatively and significantly related to both. The regional dummy variables commonly used to explain economic growth, and typically highly significant, are augmented by including climate-related amenity, business environment and economic age. When these three variables are included in the model as independent variables with the regional dummy variables, all three are significant for growth in GMP and the significance of region largely disappears.

Suggested Citation

  • Pamela Blumenthal & Harold L. Wolman & Edward Hill, 2009. "Understanding the Economic Performance of Metropolitan Areas in the United States," Urban Studies, Urban Studies Journal Limited, vol. 46(3), pages 605-627, March.
    • Handle: RePEc:sae:urbstu:v:46:y:2009:i:3:p:605-627
    DOI: 10.1177/0042098008100997
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    References listed on IDEAS

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    Cited by:

    1. Thomas A. Garrett & Russell M. Rhine, 2011. "Economic freedom and employment growth in U.S. states," Review, Federal Reserve Bank of St. Louis, vol. 93(Jan), pages 1-18.
    2. Martin Carree & Emilio Congregado & Antonio Golpe & André van Stel, 2015. "Self-employment and job generation in metropolitan areas, 1969-2009," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 27(3-4), pages 181-201, April.
    3. J. Zachary Klingensmith, 2016. "Pork-Barrel Spending and State Employment Levels: Do Targeted National Expenditures Increase State Employment in the Long Run?," The Review of Regional Studies, Southern Regional Science Association, vol. 46(3), pages 257-279, Winter.
    4. Ayda Eraydin, 2014. "The importance of endogenous capacities and government support in the resilience of regions," ERSA conference papers ersa14p1308, European Regional Science Association.
    5. Delgado García, Juan Bautista & De Quevedo Puente, Esther, 2016. "The complex link of city reputation and city performance. Results for fsQCA analysis," Journal of Business Research, Elsevier, vol. 69(8), pages 2830-2839.
    6. Murakami, Jin & Matsui, Yurika & Kato, Hironori, 2016. "Airport rail links and economic productivity: Evidence from 82 cities with the world’s 100 busiest airports," Transport Policy, Elsevier, vol. 52(C), pages 89-99.

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