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The U.S. as a coastal nation

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  • Jordan Rappaport
  • Jeffrey D. Sachs

Abstract

U.S. economic activity is overwhelmingly concentrated at its ocean and Great Lakes coasts. Economic theory suggests four possible explanations: a present-day productivity effect, a present-day quality-of-life effect, delayed adjustment following a historical productivity or quality-of-life effect, and an agglomeration effect following a historical productivity or quality-of-life effect. Controlling for correlated natural attributes such as the weather and including proximity measures which a priori do not influence quality-of-life, linear regressions suggest that the high coastal concentration of economic activity is primarily due to a productivity effect. Extensively controlling for historical economic density suggests that such a productivity effect continues to be operative today.

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Bibliographic Info

Paper provided by Federal Reserve Bank of Kansas City in its series Research Working Paper with number RWP 01-11.

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Date of creation: 2001
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Handle: RePEc:fip:fedkrw:rwp01-11

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Keywords: Productivity ; Quality of life;

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References

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Citations

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Cited by:
  1. Sánchez-Vidal, María & González-Val, Rafael & Viladecans-Marsal, Elisabet, 2014. "Sequential city growth in the US: Does age matter?," Regional Science and Urban Economics, Elsevier, vol. 44(C), pages 29-37.
  2. Donald R. Davis & David E. Weinstein, 2008. "A Search For Multiple Equilibria In Urban Industrial Structure," Journal of Regional Science, Wiley Blackwell, vol. 48(1), pages 29-65.
  3. Donald R. Davis & David E. Weinstein, 2001. "Bones, Bombs and Break Points: The Geography of Economic Activity," NBER Working Papers 8517, National Bureau of Economic Research, Inc.
  4. Satyajit Chatterjee, 2004. "On the Contribution of Agglomeration Economies to Spatial Concentration of US Employment," Econometric Society 2004 North American Summer Meetings 164, Econometric Society.
  5. J. Vernon Henderson, 2003. "Urbanization and Economic Development," Annals of Economics and Finance, Society for AEF, vol. 4(2), pages 275-341, November.
  6. Sadik, Jacques, 2008. "Technology adoption, convergence, and divergence," European Economic Review, Elsevier, vol. 52(2), pages 338-355, February.
  7. Chun-Chung Au & Vernon Henderson, 2002. "How Migration Restrictions Limit Agglomeration and Productivity in China," NBER Working Papers 8707, National Bureau of Economic Research, Inc.

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