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Economic Fundamentals And Urban–Suburban Disparities

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  • JunJie Wu

Abstract

ABSTRACT This paper develops a spatially explicit model to examine how urban and suburban communities evolve differently with changes in local economic fundamentals such as rising income or falling commuting costs in the metropolitan area. The model highlights the importance of environmental amenities and the economy of scale in the provision of public services as determinants of urban spatial structure. Results suggest that urban sprawl, income segregation, and jurisdictional disparities are driven by the same economic conditions and thus tend to co‐exist. Rising incomes or falling commuting costs for high‐income households in a metropolitan area tend to increase land prices and public services in every community, while rising incomes or falling commuting costs for low‐income households can have the opposite effects.

Suggested Citation

  • JunJie Wu, 2010. "Economic Fundamentals And Urban–Suburban Disparities," Journal of Regional Science, Wiley Blackwell, vol. 50(2), pages 570-591, May.
  • Handle: RePEc:bla:jregsc:v:50:y:2010:i:2:p:570-591
    DOI: 10.1111/j.1467-9787.2010.00665.x
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    File URL: https://doi.org/10.1111/j.1467-9787.2010.00665.x
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    Cited by:

    1. Luca Salvati & Ioannis Gitas & Tullia Valeria Giacomo & Efthimia Saradakou & Margherita Carlucci, 2017. "Sprawl matters: the evolution of fringe land, natural amenities and disposable income in a Mediterranean urban area," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 19(2), pages 727-743, April.
    2. Lenzi, Camilla, 2016. "Co-invention networks and inventive productivity in US citiesAuthor-Name: Breschi, Stefano," Journal of Urban Economics, Elsevier, vol. 92(C), pages 66-75.
    3. Belal Fallah & Mark Partridge & M. Olfert, 2012. "Uncertain economic growth and sprawl: evidence from a stochastic growth approach," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 49(3), pages 589-617, December.
    4. Guangqing Chi & David Marcouiller, 2013. "Natural amenities and their effects on migration along the urban–rural continuum," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 50(3), pages 861-883, June.
    5. JunJie Wu & Wenchao Xu & Ralph J. Alig, 2016. "How Do the Location, Size and Budget of Open Space Conservation Affect Land Values?," The Journal of Real Estate Finance and Economics, Springer, vol. 52(1), pages 73-97, January.
    6. Guangqing Chi, 2012. "The Impacts of Transport Accessibility on Population Change across Rural, Suburban and Urban Areas: A Case Study of Wisconsin at Sub-county Levels," Urban Studies, Urban Studies Journal Limited, vol. 49(12), pages 2711-2731, September.
    7. JunJie Wu & Wenchao Xu & Ralph Alig, 2016. "How Do the Location, Size and Budget of Open Space Conservation Affect Land Values?," The Journal of Real Estate Finance and Economics, Springer, vol. 52(1), pages 73-97, January.
    8. Kimhi, Ayal & Sarit Menahem-Carmi, 2017. "Does rural household income depend on neighboring urban centers?Evidence from Israel," Review of Applied Socio-Economic Research, Pro Global Science Association, vol. 13(1), pages 26-35, JUNE.
    9. Mark D. Partridge & Dan S. Rickman, 2012. "Integrating Regional Economic Development Analysis and Land Use Economics," Economics Working Paper Series 1203, Oklahoma State University, Department of Economics and Legal Studies in Business.
    10. Germán M. Izón & Michael S. Hand & Daniel W. Mccollum & Jennifer A. Thacher & Robert P. Berrens, 2016. "Proximity to Natural Amenities: A Seemingly Unrelated Hedonic Regression Model with Spatial Durbin and Spatial Error Processes," Growth and Change, Wiley Blackwell, vol. 47(4), pages 461-480, December.

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