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Does Public Lands Policy Affect Local Wage Growth?

Listed author(s):
  • David J. Lewis
  • Gary L. Hunt
  • Andrew J. Plantinga

The effects on wage growth of management practices applied on public lands in the Northern Forest region of the United States are quantified. A central objective is to determine if the management of public lands for preservationist uses results in lower average wages. This is a frequent claim made by critics of land preservation who argue that preservationist management, by prohibiting resource extraction, causes the composition of employment to shift from high-wage jobs in resource-based manufacturing to low-wage jobs in the service sector. A model of simultaneous employment and net migration growth is estimated with data on non-metropolitan counties over the period 1990 to 1999 and applied in a recursive relationship to wage growth. In earlier studies, models of this type have typically been specified in levels. Time-series evidence that supports a preference for growth rates is provided as the form for such models. Exogenous variables in this model include the 1990 shares of the county land base that are publicly owned and managed for preservationist (non-extractive) uses and multiple (including extractive) uses. It was found that wage growth rates are not significantly affected by the shares of land under either management regime. As well, recent declines in national forest timber sales are found to have no effect on wage growth. Copyright 2003 Gatton College of Business and Economics, University of Kentucky..

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File URL: http://www.blackwell-synergy.com/doi/abs/10.1111/1468-2257.00199
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Article provided by Wiley Blackwell in its journal Growth and Change.

Volume (Year): 34 (2003)
Issue (Month): 1 ()
Pages: 64-86

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Handle: RePEc:bla:growch:v:34:y:2003:i:1:p:64-86
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  1. Steven C. Deller & Tsung-Hsiu (Sue) Tsai & David W. Marcouiller & Donald B.K. English, 2001. "The Role of Amenities and Quality of Life In Rural Economic Growth," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(2), pages 352-365.
  2. David J. Lewis & Gary L. Hunt & DAndrew J. Plantinga, 2002. "Public Conservation Land and Employment Growth in the Northern Forest Region," Land Economics, University of Wisconsin Press, vol. 78(2), pages 245-259.
  3. Eric Thompson & Mark Berger & Glenn Blomquist & Steven Allen, 2002. "Valuing the Arts: A Contingent Valuation Approach," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 26(2), pages 87-113, May.
  4. White, Halbert, 1980. "A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for Heteroskedasticity," Econometrica, Econometric Society, vol. 48(4), pages 817-838, May.
  5. Hausman, Jerry, 2015. "Specification tests in econometrics," Applied Econometrics, Publishing House "SINERGIA PRESS", vol. 38(2), pages 112-134.
  6. Treyz, George I, et al, 1993. "The Dynamics of U.S. Internal Migration," The Review of Economics and Statistics, MIT Press, vol. 75(2), pages 209-214, May.
  7. Greenwood, Michael J & Hunt, Gary L, 1984. "Migration and Interregional Employment Redistribution in the United States," American Economic Review, American Economic Association, vol. 74(5), pages 957-969, December.
  8. McGranahan, David A., 1999. "Natural Amenities Drive Rural Population Change," Agricultural Economics Reports 33955, United States Department of Agriculture, Economic Research Service.
  9. Knapp, Thomas A. & Graves, Philip E., 1989. "On the role of amenities in models of migration and regional development," MPRA Paper 19914, University Library of Munich, Germany.
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