Determinants of Spatial Weights in Spatial Wage Equations: A Sensitivity Analysis within a Consistent Framework
AbstractRecent empirical tests for a spatial wage structure have confirmed regional accessibility to be a significant determinant for income, although estimates vary considerably with respect to the geographic scope of estimated demand linkages. Our study is the first to estimate spatial demand linkages for a set of more than 1,300 European NUTS 3 regions (U.S. county equivalent) based on effective road travel times. We conduct a series of more than 200 estimations on the basis of the Harris Market Potential Equation in order to evaluate the estimates’ sensitivity to various model alterations in a meta-analysis. In line with the distinct spatial interactions captured at different levels of aggregation, our estimates reveal lower average travel costs when data aggregated to larger geographic units are used. The largest sensitivity, however, is found for sample restrictions to a limited geographic coverage, which is likely to account for the inconsistent results available in the literature.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Chair for Economic Policy, University of Hamburg in its series Working Papers with number 022.
Length: 33 pages
Date of creation: 2008
Date of revision:
Publication status: Published in Hamburg Contemporary Economic Discussions, Issue 22, 2008
Market Potential; Nominal Wage Equation; New Economic Geography; Sensitivity Analysis;
Find related papers by JEL classification:
- F15 - International Economics - - Trade - - - Economic Integration
- R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Torberg Falch & Justina AV Fischer, 2008.
"Public sector decentralization and school performance: International evidence,"
Working Paper Series
9508, Department of Economics, Norwegian University of Science and Technology.
- Falch, Torberg & Fischer, Justina A.V., 2012. "Public sector decentralization and school performance: International evidence," Economics Letters, Elsevier, vol. 114(3), pages 276-279.
- Torberg Falch & Justina A.V. Fischer, 2010. "Public Sector Decentralization and School Performance: International Evidence," Working Papers 031, Chair for Economic Policy, University of Hamburg.
- Torberg Falch & Justina AV Fischer, 2008. "Public sector decentralization and school performance. International evidence," TWI Research Paper Series 39, Thurgauer Wirtschaftsinstitut, Universität Konstanz.
- Falch, Torberg & Fischer, Justina AV, 2010. "Public sector decentralization and school performance: International evidence," MPRA Paper 20331, University Library of Munich, Germany.
- Ulrich Zierahn, 2012.
"The effect of market access on the labor market: Evidence from German reunification,"
MAGKS Papers on Economics
201239, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
- Zierahn, Ulrich, 2012. "The effect of market access on the labor market: Evidence from German reunification," HWWI Research Papers 131, Hamburg Institute of International Economics (HWWI).
- Fischer, Justina AV & Sousa-Poza, Alfonso, 2010.
"The impact of institutions on firms’ rejuvenation policies: Early retirement with severance pay versus simple lay-off. A Cross-European Analysis,"
20343, University Library of Munich, Germany.
- Justina A.V. Fischer & Alfonso Sousa-Poza, 2010. "The Impact of Institutions on Firms’ Rejuvenation Policies: Early Retirement with Severance Pay versus Simple Lay-Off. A Cross-European Analysis," Working Papers 034, Chair for Economic Policy, University of Hamburg.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gabriel Ahlfeldt).
If references are entirely missing, you can add them using this form.