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Employment deconcentration: a new perspective on America's postwar urban evolution

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  • Gerald Carlino
  • Satyajit Chatterjee

Abstract

In this study the authors show that during the postwar era, the United States experienced a decline in the share of urban employment accounted for by the relatively dense metropolitan areas and a corresponding rise in the share of relatively less dense ones. This trend, which the authors call employment deconcentration, is distinct from the other well-known regional trend, namely, the postwar movement of jobs and people from the frostbelt to the sunbelt. The authors also show that deconcentration has been accompanied by a similar trend within metropolitan areas, wherein employment share of the denser sections of MSAs has declined and that of the less dense sections risen. The authors provide a general equilibrium model with density-driven congestion costs to suggest an explanation for employment deconcentration.

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Bibliographic Info

Paper provided by Federal Reserve Bank of Philadelphia in its series Working Papers with number 01-4.

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Date of creation: 2001
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Handle: RePEc:fip:fedpwp:01-4

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Keywords: Employment (Economic theory) ; Cities and towns;

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References

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  1. Jonathan Eaton & Zvi Eckstein, 1994. "Cities and Growth: Theory and Evidence from France and Japan," NBER Working Papers 4612, National Bureau of Economic Research, Inc.
  2. Shorrocks, A F, 1980. "The Class of Additively Decomposable Inequality Measures," Econometrica, Econometric Society, Econometric Society, vol. 48(3), pages 613-25, April.
  3. Xavier Gabaix, 1999. "Zipf'S Law For Cities: An Explanation," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 114(3), pages 739-767, August.
  4. Carlino, Gerald A., 1985. "Declining city productivity and the growth of rural regions: A test of alternative explanations," Journal of Urban Economics, Elsevier, vol. 18(1), pages 11-27, July.
  5. Chatterjee, Satyajit & Carlino, Gerald A., 2001. "Aggregate metropolitan employment growth and the deconcentration of metropolitan employment," Journal of Monetary Economics, Elsevier, Elsevier, vol. 48(3), pages 549-583, December.
  6. Brueckner, Jan K., 1987. "The structure of urban equilibria: A unified treatment of the muth-mills model," Handbook of Regional and Urban Economics, Elsevier, in: E. S. Mills (ed.), Handbook of Regional and Urban Economics, edition 1, volume 2, chapter 20, pages 821-845 Elsevier.
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Citations

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Cited by:
  1. Satyajit Chatterjee, 2006. "A quantitative assessment of the role of agglomeration economies in the spatial concentration of U.S. employment," Working Papers 06-20, Federal Reserve Bank of Philadelphia.
  2. Raven Molloy & Christopher L. Smith & Abigail Wozniak, 2011. "Internal Migration in the United States," Journal of Economic Perspectives, American Economic Association, vol. 25(3), pages 173-96, Summer.
  3. Zhang, Sumei & Guldmann, Jean-Michel, 2009. "Estimating suppressed data in regional economic databases: A goal-programming approach," European Journal of Operational Research, Elsevier, Elsevier, vol. 192(2), pages 521-537, January.
  4. Xavier Gabaix & Yannis M. Ioannides, 2003. "The Evolution of City Size Distributions," Discussion Papers Series, Department of Economics, Tufts University, Department of Economics, Tufts University 0310, Department of Economics, Tufts University.
  5. Desmet, Klaus & Fafchamps, Marcel, 2004. "Employment Concentration Across US Counties," CEPR Discussion Papers, C.E.P.R. Discussion Papers 4689, C.E.P.R. Discussion Papers.
  6. Nicola Pontarollo, 2013. "Structural change, productivity growth and Structural Funds in European regions," ERSA conference papers ersa13p747, European Regional Science Association.
  7. Bumsoo Lee & Peter Gordon, 2010. "Urban Structure: It's Role in Urban Growth, Net New Business Formation and Industrial Churn," Working Paper, USC Lusk Center for Real Estate 8515, USC Lusk Center for Real Estate.
  8. Bumsoo Lee & Peter Gordon, 2007. "Urban Spatial Structure and Economic Growth in US Metropolitan Areas," Working Paper, USC Lusk Center for Real Estate 8564, USC Lusk Center for Real Estate.
  9. 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.
  10. Eckhardt Bode & Peter Nunnenkamp & Andreas Waldkirch, 2012. "Spatial effects of foreign direct investment in US states," Canadian Journal of Economics, Canadian Economics Association, vol. 45(1), pages 16-40, February.
  11. Greg Kaplan & Sam Schulhofer-Wohl, 2012. "Understanding the long-run decline in interstate migration," Working Papers, Federal Reserve Bank of Minneapolis 697, Federal Reserve Bank of Minneapolis.
  12. Satyajit Chatterjee, 2004. "On the Contribution of Agglomeration Economies to the Spatial Concentration of U.S. Employment," 2004 Meeting Papers 192, Society for Economic Dynamics.
  13. Bumsoo Lee, 2006. "'Edge' or 'Edgeless Cities'? Urban Spatial Structure in US Metropolitan Areas, 1980 to 2000," Working Paper, USC Lusk Center for Real Estate 8574, USC Lusk Center for Real Estate.
  14. André van Stel & Martin Carree & Emilio Congregado & Antonio Golpe, 2013. "Self-employment and Job Generation in Metropolitan Areas, 1969-2009," Scales Research Reports, EIM Business and Policy Research H201306, EIM Business and Policy Research.

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