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The Divergence of Human Capital Levels Across Cities

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Christopher R. Berry
Edward L. Glaeser

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Abstract

Over the past 30 years, the share of adult populations with college degrees increased more in cities with higher initial schooling levels than in initially less educated places. This tendency appears to be driven by shifts in labor demand as there is an increasing wage premium for skilled people working in skilled cities. In this paper, we present a model where the clustering of skilled people in metropolitan areas is driven by the tendency of skilled entrepreneurs to innovate in ways that employ other skilled people and by the elasticity of housing supply.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 11617.

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Date of creation: Sep 2005
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Handle: RePEc:nbr:nberwo:11617

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J0 - Labor and Demographic Economics - - General

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References listed on IDEAS
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  1. Gilles Duranton & Diego Puga, 2001. "Nursery Cities: Urban Diversity, Process Innovation, and the Life Cycle of Products," American Economic Review, American Economic Association, vol. 91(5), pages 1454-1477, December. [Downloadable!] (restricted)
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  2. 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. [Downloadable!] (restricted)
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  3. David H. Autor & Lawrence F. Katz & Alan B. Krueger, 1998. "Computing Inequality: Have Computers Changed The Labor Market?," The Quarterly Journal of Economics, MIT Press, vol. 113(4), pages 1169-1213, November. [Downloadable!] (restricted)
    Other versions:
  4. Barro, R.J. & Sala-I-Martin, X., 1991. "Convergence," Papers 645, Yale - Economic Growth Center.
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  5. Rauch James E., 1993. "Productivity Gains from Geographic Concentration of Human Capital: Evidence from the Cities," Journal of Urban Economics, Elsevier, vol. 34(3), pages 380-400, November. [Downloadable!] (restricted)
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  6. Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July. [Downloadable!] (restricted)
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(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Allen Scott, 2008. "Production and work in the American metropolis: a macroscopic approach," The Annals of Regional Science, Springer, vol. 42(4), pages 787-805, December. [Downloadable!] (restricted)
  2. Berliant, Marcus & Kung, Fan-chin, 2009. "Can information asymmetry cause agglomeration?," MPRA Paper 17567, University Library of Munich, Germany. [Downloadable!]
    Other versions:
  3. Edward L. Glaeser & Giacomo A. M. Ponzetto, 2007. "Did the Death of Distance Hurt Detroit and Help New York?," NBER Chapters, in: The Economics of Agglomeration National Bureau of Economic Research, Inc. [Downloadable!]
    Other versions:
  4. Florida, Richard & Mellander, Charlotta & Qian, Haifeng, 2008. "Creative China? The University, Tolerance and Talent in Chinese Regional Development," Working Paper Series in Economics and Institutions of Innovation 145, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies. [Downloadable!]
  5. Kristian Behrens & Frédéric Robert-Nicoud, 2009. "Survival of the Fittest in Cities: Agglomeration, Polarization, and Income Inequality," Cahiers de recherche 0919, CIRPEE. [Downloadable!]
  6. Mellander, Charlotta & Florida, Richard, 2007. "The Creative Class or Human Capital? - explaining regional development in Sweden," Working Paper Series in Economics and Institutions of Innovation 79, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies. [Downloadable!]
  7. Christopher H. Wheeler, 2007. "Human capital externalities and adult mortality in the U.S," Working Papers 2007-045, Federal Reserve Bank of St. Louis. [Downloadable!]
  8. Brigitte Waldorf, 2009. "Is human capital accumulation a self-propelling process? Comparing educational attainment levels of movers and stayers," The Annals of Regional Science, Springer, vol. 43(2), pages 323-344, June. [Downloadable!] (restricted)
  9. Andrés Rodríguez-Pose & Vassilis Tselios, 2008. "Education and Income Inequality in the Regions of the European Union," SERC Discussion Papers 0011, Spatial Economics Research Centre, LSE. [Downloadable!]
    Other versions:
  10. Edward L. Glaeser & Matthew G. Resseger & Kristina Tobio, 2008. "Urban Inequality," NBER Working Papers 14419, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  11. Steven Poelhekke, 2006. "Do Amenities and Diversity Encourage City Growth? A Link Through Skilled Labor," Economics Working Papers ECO2006/10, European University Institute. [Downloadable!]
  12. Edward L. Glaeser & Joshua D. Gottlieb, 2008. "The Economics of Place-Making Policies," NBER Working Papers 14373, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  13. Glaeser, Edward L. & Ponzeto, Giacomo A. M., 2008. "Did the Death of Distance Hurt Detroit and Help New York?," Working Paper Series rwp08-002, Harvard University, John F. Kennedy School of Government. [Downloadable!]
  14. Douglas J. Krupka & Kwame Donaldson, 2007. "Wages, Rents and Heterogeneous Moving Costs," IZA Discussion Papers 3224, Institute for the Study of Labor (IZA). [Downloadable!]
  15. Edward L. Glaeser & Charles Redlick, 2008. "Social Capital and Urban Growth," NBER Working Papers 14374, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  16. Jaison R. Abel & Todd M. Gabe, 2008. "Human capital and economic activity in urban America," Staff Reports 332, Federal Reserve Bank of New York. [Downloadable!]
  17. Steven Brakman & Harry Garretsen & Charles van Marrewijk, 2009. "Economic Geography within and between European Nations: The Role of Market Potential and Density across Space and Time," CESifo Working Paper Series CESifo Working Paper No. , CESifo Group Munich. [Downloadable!]
    Other versions:
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