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Who Gentrifies Low-income Neighborhoods?

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  • McKinnish, Terra
  • Walsh, Randall
  • White, T. Kirk

Abstract

This paper uses confidential Census data, specifically the 1990 and 2000 Census Long-Form data, to study the demographic processes underlying the gentrification of low income urban neighborhoods during the 1990’s. In contrast to previous studies, the analysis is conducted at the more refined census-tract level with a narrower definition of gentrification and more narrowly defined comparison neighborhoods. The analysis is also richly disaggregated by demographic characteristic, uncovering differential patterns by race, education, age and family structure that would not have emerged in the more aggregate analysis in previous studies. The results provide little evidence of displacement of low-income non-white households in gentrifying neighborhoods. The bulk of the income gains in gentrifying neighborhoods are attributed to white college graduates and black high school graduates. It is the disproportionate in-migration of the former and the disproportionate retention and income gains of the latter that appear to be the main engines of gentrification.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 6671.

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Date of creation: Nov 2007
Date of revision: Nov 2007
Handle: RePEc:pra:mprapa:6671

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Keywords: gentrification; neighborhood change; migration;

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References

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  1. John M. Clapp & Stephen L. Ross, 2004. "Schools and Housing Markets: An Examination of School Segregation and Performance in Connecticut," Economic Journal, Royal Economic Society, vol. 114(499), pages F425-F440, November.
  2. Elvin K Wyly & Daniel J Hammel, 2004. "Gentrification, segregation, and discrimination in the American urban system," Environment and Planning A, Pion Ltd, London, vol. 36(7), pages 1215-1241, July.
  3. Bond, E.W. & Coulson, N.E., 1988. "A Hedonic Approach To Residential Succession," Papers 2-88-1, Pennsylvania State - Department of Economics.
  4. Jan K. Brueckner & Stuart S. Rosenthal, 2005. "Gentrification and Neighborhood Housing Cycles: Will America’s Future Downtowns Be Rich?," Working Papers 050611, University of California-Irvine, Department of Economics.
  5. David Card & Alexandre Mas & Jesse Rothstein, 2007. "Tipping and the Dynamics of Segregation," NBER Working Papers 13052, National Bureau of Economic Research, Inc.
  6. Sweeney, James L., 1974. "A commodity hierarchy model of the rental housing market," Journal of Urban Economics, Elsevier, vol. 1(3), pages 288-323, July.
  7. Rosenthal, Stuart S., 2008. "Old homes, externalities, and poor neighborhoods. A model of urban decline and renewal," Journal of Urban Economics, Elsevier, vol. 63(3), pages 816-840, May.
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Cited by:
  1. Schuetz, Jenny & Kolko, Jed & Meltzer, Rachel, 2012. "Are poor neighborhoods “retail deserts”?," Regional Science and Urban Economics, Elsevier, vol. 42(1-2), pages 269-285.
  2. McKinnish, Terra & White, T. Kirk, 2011. "Who moves to mixed-income neighborhoods?," Regional Science and Urban Economics, Elsevier, vol. 41(3), pages 187-195, May.
  3. Ellen, Ingrid Gould & O'Regan, Katherine M., 2011. "How low income neighborhoods change: Entry, exit, and enhancement," Regional Science and Urban Economics, Elsevier, vol. 41(2), pages 89-97, March.
  4. Ingrid Gould Ellen & Katherine M. O'Regan, 2010. "How Low Income Neighborhoods Change: Entry, Exit and Enhancement," Working Papers 10-19, Center for Economic Studies, U.S. Census Bureau.
  5. Gabriel Ahlfeldt, 2010. "Blessing or Curse? Appreciation, Amenities and Resistance around the Berlin "Mediaspree"," Working Papers 032, Chair for Economic Policy, University of Hamburg.
  6. H. Spencer Banzhaf & Randall P. Walsh, 2010. "Segregation and Tiebout Sorting: Investigating the Link between Investments in Public Goods and Neighborhood Tipping," NBER Working Papers 16057, National Bureau of Economic Research, Inc.
  7. Ahlfeldt, Gabriel M., 2011. "Blessing or curse? Appreciation, amenities and resistance to urban renewal," Regional Science and Urban Economics, Elsevier, vol. 41(1), pages 32-45, January.
  8. Vigdor, Jacob L., 2010. "Is urban decay bad? Is urban revitalization bad too?," Journal of Urban Economics, Elsevier, vol. 68(3), pages 277-289, November.
  9. Daniel Hartley & T. William Lester, 2013. "The long-term employment impacts of gentrification in the 1990s," Working Paper 1307, Federal Reserve Bank of Cleveland.

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