IDEAS home Printed from https://ideas.repec.org/a/bla/presci/v89y2010i3p513-536.html
   My bibliography  Save this article

The duelling models: NEG vs amenity migration in explaining US engines of growth

Author

Listed:
  • Mark D. Partridge

Abstract

The new economic geography (NEG) has become a mainstay of regional science in the last two decades, as signified by the awarding of Paul Krugman, the Nobel Prize. Yet, most American regional scientists and urban/regional economists do not use NEG in determining regional growth patterns. Instead, they rely on factors such as natural amenity migration, whose roots lie back to the work of Philip Graves in the mid 1970s. Conversely, two of the world's leading economic geographers – Allen Scott and Michael Storper – have strongly argued that job availability not household amenities have determined US regional dynamics. Given the disparity of views over the largest developed economy in the world, we hold a competition to determine which of these leading contenders accurately predict US interregional growth dynamics over the last 40–60 years. The runaway winner of the duel is natural amenity led growth with the crown going to Graves. Implications are drawn for both empirical research and EU economic integration. Resumen La nueva geografía económica (NEG, siglas en inglés) se ha convertido en un pilar de las ciencias regionales de las dos últimas décadas, ratificado por el Premio Nobel otorgado a Paul Krugman. A pesar de ello, la mayoría de científicos y economistas de ciencias urbanas/regionales no utilizan la NEG para determinar patrones de crecimiento regionales. En su lugar, se apoyan en factores tales como la migración natural por recreo, cuyas raíces se sustentan en el trabajo de Philip Graves de mediados de los 70. Por el contrario, dos de los líderes en geografía económica – Allen Scott y Michael Storper – han defendido enérgicamente que es la disponibilidad de empleos, y no la calidad de vida familiar, la que ha determinado las dinámicas regionales en los EE.UU. Dada la disparidad de opiniones acerca de la economía más desarrollada del mundo, organizamos un torneo para determinar cuáles de estos contendientes importantes son capaces de predecir la dinámica de crecimiento interregional en los EE.UU. durante los últimos 40–60 años. La victoria abrumadora del torneo es para el crecimiento motivado por recreo público natural, con los laureles para Graves. Formulamos implicaciones tanto para estudios empíricos como para la integración económica con la UE.

Suggested Citation

  • Mark D. Partridge, 2010. "The duelling models: NEG vs amenity migration in explaining US engines of growth," Papers in Regional Science, Wiley Blackwell, vol. 89(3), pages 513-536, August.
  • Handle: RePEc:bla:presci:v:89:y:2010:i:3:p:513-536
    DOI: 10.1111/j.1435-5957.2010.00315.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1435-5957.2010.00315.x
    Download Restriction: no

    File URL: https://libkey.io/10.1111/j.1435-5957.2010.00315.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    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.
    2. Eaton, Jonathan & Eckstein, Zvi, 1997. "Cities and growth: Theory and evidence from France and Japan," Regional Science and Urban Economics, Elsevier, vol. 27(4-5), pages 443-474, August.
    3. Tabuchi, Takatoshi & Thisse, Jacques-Francois, 2002. "Taste heterogeneity, labor mobility and economic geography," Journal of Development Economics, Elsevier, vol. 69(1), pages 155-177, October.
    4. Allen Scott, 2008. "Production and work in the American metropolis: a macroscopic approach," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 42(4), pages 787-805, December.
    5. H. Hanson, Gordon, 2005. "Market potential, increasing returns and geographic concentration," Journal of International Economics, Elsevier, vol. 67(1), pages 1-24, September.
    6. Mark D. Partridge & Dan S. Rickman & Kamar Ali & M. Rose Olfert, 2008. "The Geographic Diversity of U.S. Nonmetropolitan Growth Dynamics: A Geographically Weighted Regression Approach," Land Economics, University of Wisconsin Press, vol. 84(2), pages 241-266.
    7. Head, Keith & Mayer, Thierry, 2006. "Regional wage and employment responses to market potential in the EU," Regional Science and Urban Economics, Elsevier, vol. 36(5), pages 573-594, September.
    8. Rappaport, Jordan, 2007. "Moving to nice weather," Regional Science and Urban Economics, Elsevier, vol. 37(3), pages 375-398, May.
    9. Mark D. Partridge & Dan S. Rickman & Kamar Ali & M. Rose Olfert, 2008. "Lost in space: population growth in the American hinterlands and small cities," Journal of Economic Geography, Oxford University Press, vol. 8(6), pages 727-757, November.
    10. Knaap, Thijs, 2006. "Trade, location, and wages in the United States," Regional Science and Urban Economics, Elsevier, vol. 36(5), pages 595-612, September.
    11. Diego Puga, 2010. "The Magnitude And Causes Of Agglomeration Economies," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 203-219, February.
    12. Baldwin, Richard E. & Martin, Philippe, 2004. "Agglomeration and regional growth," Handbook of Regional and Urban Economics, in: J. V. Henderson & J. F. Thisse (ed.), Handbook of Regional and Urban Economics, edition 1, volume 4, chapter 60, pages 2671-2711, Elsevier.
    13. Gyourko, Joseph & Tracy, Joseph, 1991. "The Structure of Local Public Finance and the Quality of Life," Journal of Political Economy, University of Chicago Press, vol. 99(4), pages 774-806, August.
    14. Pierre M. Picard & Dao‐Zhi Zeng, 2010. "A Harmonization Of First And Second Natures," Journal of Regional Science, Wiley Blackwell, vol. 50(5), pages 973-994, December.
    15. Rappaport, Jordan, 2004. "Why are population flows so persistent?," Journal of Urban Economics, Elsevier, vol. 56(3), pages 554-580, November.
    16. Mark D. Partridge & Dan S. Rickman, 2005. "Regional cyclical asymmetries in an optimal currency area: an analysis using US state data," Oxford Economic Papers, Oxford University Press, vol. 57(3), pages 373-397, July.
    17. Maurice Obstfeld & Giovanni Peri, 1998. "Regional non-adjustment and fiscal policy," Economic Policy, CEPR, CESifo, Sciences Po;CES;MSH, vol. 13(26), pages 206-259.
    18. Antonio Accetturo, 2010. "Agglomeration and growth: The effects of commuting costs," Papers in Regional Science, Wiley Blackwell, vol. 89(1), pages 173-190, March.
    19. Head, Keith & Mayer, Thierry, 2004. "The empirics of agglomeration and trade," Handbook of Regional and Urban Economics, in: J. V. Henderson & J. F. Thisse (ed.), Handbook of Regional and Urban Economics, edition 1, volume 4, chapter 59, pages 2609-2669, Elsevier.
    20. Greenwood, Michael J, et al, 1991. "Migration, Regional Equilibrium, and the Estimation of Compensating Differentials," American Economic Review, American Economic Association, vol. 81(5), pages 1382-1390, December.
    21. Takatoshi Tabuchi & Jacques-François Thisse, 2006. "Regional Specialization, Urban Hierarchy, And Commuting Costs," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 47(4), pages 1295-1317, November.
    22. Graves, Philip E. & Clawson, Marion, 1981. "Rural to Urban Migration: Population Distribution Patterns," A Survey of Agricultural Economics Literature, Volume 3: Economics of Welfare, Rural Development, and Natural Resources in Agriculture, 1940s to 1970s,, Agricultural and Applied Economics Association.
    23. Krugman, Paul, 1991. "Increasing Returns and Economic Geography," Journal of Political Economy, University of Chicago Press, vol. 99(3), pages 483-499, June.
    24. Gilles Duranton, 2007. "Urban Evolutions: The Fast, the Slow, and the Still," American Economic Review, American Economic Association, vol. 97(1), pages 197-221, March.
    25. Roback, Jennifer, 1982. "Wages, Rents, and the Quality of Life," Journal of Political Economy, University of Chicago Press, vol. 90(6), pages 1257-1278, December.
    26. Bernard Fingleton (ed.), 2007. "New Directions in Economic Geography," Books, Edward Elgar Publishing, number 3818.
    27. Edward L. Glaeser & Matthew G. Resseger, 2010. "The Complementarity Between Cities And Skills," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 221-244, February.
    28. Allen J. Scott, 2010. "Jobs or amenities? Destination choices of migrant engineers in the USA," Papers in Regional Science, Wiley Blackwell, vol. 89(1), pages 43-63, March.
    29. Mark D. Partridge & Dan S. Rickman & Kamar Ali & M. Rose Olfert, 2009. "Do New Economic Geography agglomeration shadows underlie current population dynamics across the urban hierarchy?," Papers in Regional Science, Wiley Blackwell, vol. 88(2), pages 445-466, June.
    30. Antonella Nocco, 2009. "Preference Heterogeneity And Economic Geography," Journal of Regional Science, Wiley Blackwell, vol. 49(1), pages 33-56, February.
    31. Edward L. Glaeser, 2007. "The Economics Approach to Cities," NBER Working Papers 13696, National Bureau of Economic Research, Inc.
    32. repec:hal:wpspec:info:hdl:2441/10191 is not listed on IDEAS
    33. G. M.P. Swann, 2009. "The Economics of Innovation," Books, Edward Elgar Publishing, number 13211.
    34. Stefan Gruber & Luigi Marattin, 2010. "Taxation, infrastructure and endogenous trade costs in new economic geography," Papers in Regional Science, Wiley Blackwell, vol. 89(1), pages 203-222, March.
    35. Partridge, Mark D. & Rickman, Dan S. & Ali, Kamar & Olfert, M. Rose, 2009. "Agglomeration spillovers and wage and housing cost gradients across the urban hierarchy," Journal of International Economics, Elsevier, vol. 78(1), pages 126-140, June.
    36. Edward L. Glaeser & Giacomo A. M. Ponzetto, 2010. "Did the Death of Distance Hurt Detroit and Help New York?," NBER Chapters, in: Agglomeration Economics, pages 303-337, National Bureau of Economic Research, Inc.
    37. Philip McCann, 2005. "Transport costs and new economic geography," Journal of Economic Geography, Oxford University Press, vol. 5(3), pages 305-318, June.
    38. Martin, Ron, 1999. "The New 'Geographical Turn' in Economics: Some Critical Reflections," Cambridge Journal of Economics, Oxford University Press, vol. 23(1), pages 65-91, January.
    39. Pines,David & Sadka,Efraim & Zilcha,Itzhak (ed.), 1998. "Topics in Public Economics," Cambridge Books, Cambridge University Press, number 9780521561365.
    40. Glaeser, Edward L & Mare, David C, 2001. "Cities and Skills," Journal of Labor Economics, University of Chicago Press, vol. 19(2), pages 316-342, April.
    41. Corey Lang, 2010. "Heterogeneous transport costs and spatial sorting in a model of New Economic Geography," Papers in Regional Science, Wiley Blackwell, vol. 89(1), pages 191-202, March.
    42. Graves, Philip E & Waldman, Donald M, 1991. "Multimarket Amenity Compensation and the Behavior of the Elderly," American Economic Review, American Economic Association, vol. 81(5), pages 1374-1381, December.
    43. Lucie Schmidt & Paul N. Courant, 2006. "Sometimes Close Is Good Enough: The Value Of Nearby Environmental Amenities," Journal of Regional Science, Wiley Blackwell, vol. 46(5), pages 931-951, December.
    44. Stephen J. Redding, 2010. "The Empirics Of New Economic Geography," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 297-311, February.
    45. Marius Brülhart & Pamina Koenig, 2006. "New economic geography meets Comecon: Regional wages and industry location in central Europe," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 14(2), pages 245-267, April.
    46. J.Peter Neary, 2001. "Of Hype and Hyperbolas: Introducing the New Economic Geography," Journal of Economic Literature, American Economic Association, vol. 39(2), pages 536-561, June.
    47. Graves, Philip E. & Linneman, Peter D., 1979. "Household migration: Theoretical and empirical results," Journal of Urban Economics, Elsevier, vol. 6(3), pages 383-404, July.
    48. Graves, Philip E., 1979. "A life-cycle empirical analysis of migration and climate, by race," Journal of Urban Economics, Elsevier, vol. 6(2), pages 135-147, April.
    49. 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.
    50. Marius Brülhart & Pamina Koenig, 2006. "New economic geography meets Comecon," Post-Print halshs-00754159, HAL.
    51. Graves, Philip E., 1980. "Migration and climate," MPRA Paper 19916, University Library of Munich, Germany.
    52. Partridge, Mark D. & Rickman, Dan S., 2003. "The waxing and waning of regional economies: the chicken-egg question of jobs versus people," Journal of Urban Economics, Elsevier, vol. 53(1), pages 76-97, January.
    53. Mark Ferguson & Kamar Ali & M. Rose Olfert & Mark Partridge, 2007. "Voting with Their Feet: Jobs versus Amenities," Growth and Change, Wiley Blackwell, vol. 38(1), pages 77-110, March.
    54. Paul Cheshire & Stefano Magrini, 2006. "Population growth in European cities: Weather matters - but only nationally," Regional Studies, Taylor & Francis Journals, vol. 40(1), pages 23-37.
    55. Douglas R. Dalenberg & Mark D. Partridge, 1997. "Public Infrastructure and Wages: Public Capital's Role as a Productive Input and Household Amenity," Land Economics, University of Wisconsin Press, vol. 73(2), pages 268-284.
    56. Edward L. Glaeser & Janet E. Kohlhase, 2004. "Cities, regions and the decline of transport costs," Advances in Spatial Science, in: Raymond J. G. M. Florax & David A. Plane (ed.), Fifty Years of Regional Science, pages 197-228, Springer.
    57. Partridge, Mark D. & Rickman, Dan S., 1999. "Which comes first, jobs or people? An analysis of the recent stylized facts," Economics Letters, Elsevier, vol. 64(1), pages 117-123, July.
    58. Thomas J. Holmes, 1998. "The Effect of State Policies on the Location of Manufacturing: Evidence from State Borders," Journal of Political Economy, University of Chicago Press, vol. 106(4), pages 667-705, August.
    59. Kristian Behrens & Frédéric Robert‐Nicoud, 2009. "Krugman's Papers in Regional Science: The 100 dollar bill on the sidewalk is gone and the 2008 Nobel Prize well‐deserved," Papers in Regional Science, Wiley Blackwell, vol. 88(2), pages 467-489, June.
    60. Mueser Peter R. & Graves Philip E., 1995. "Examining the Role of Economic Opportunity and Amenities in Explaining Population Redistribution," Journal of Urban Economics, Elsevier, vol. 37(2), pages 176-200, March.
    61. Michael Beenstock & Daniel Felsenstein, 2010. "Marshallian theory of regional agglomeration," Papers in Regional Science, Wiley Blackwell, vol. 89(1), pages 155-172, March.
    62. Alessandra Faggian & Philip McCann, 2009. "Human capital, graduate migration and innovation in British regions," Cambridge Journal of Economics, Oxford University Press, vol. 33(2), pages 317-333, March.
    63. repec:hal:spmain:info:hdl:2441/10191 is not listed on IDEAS
    64. Michael Storper, 2010. "Why Does a City Grow? Specialisation, Human Capital or Institutions?," Urban Studies, Urban Studies Journal Limited, vol. 47(10), pages 2027-2050, September.
    65. Donald R. Davis & David E. Weinstein, 2002. "Bones, Bombs, and Break Points: The Geography of Economic Activity," American Economic Review, American Economic Association, vol. 92(5), pages 1269-1289, December.
    66. Alessandra Faggian & Philip McCann, 2006. "Human capital flows and regional knowledge assets: a simultaneous equation approach," Oxford Economic Papers, Oxford University Press, vol. 58(3), pages 475-500, July.
    67. Michael Storper & Allen J. Scott, 2009. "Rethinking human capital, creativity and urban growth," Journal of Economic Geography, Oxford University Press, vol. 9(2), pages 147-167, March.
    68. H. Spencer Banzhaf & Randall P. Walsh, 2008. "Do People Vote with Their Feet? An Empirical Test of Tiebout," American Economic Review, American Economic Association, vol. 98(3), pages 843-863, June.
    69. Graves, Philip E., 1976. "A reexamination of migration, economic opportunity, and the quality of life," MPRA Paper 19918, University Library of Munich, Germany.
    70. David E. Clark & William E. Herrin & Thomas A. Knapp & Nancy E. White, 2003. "Migration and implicit amenity markets: does incomplete compensation matter?," Journal of Economic Geography, Oxford University Press, vol. 3(3), pages 289-307, July.
    71. Elena G. Irwin & Andrew M. Isserman & Maureen Kilkenny & Mark D. Partridge, 2010. "A Century of Research on Rural Development and Regional Issues," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 92(2), pages 522-553.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Huasheng Song & Min Zhang & Ruqu Wang, 2016. "Amenities and spatial talent distribution: evidence from the Chinese IT industry," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 9(3), pages 517-533.
    2. Andrés Rodríguez-Pose & Tobias D. Ketterer, 2012. "Do Local Amenities Affect The Appeal Of Regions In Europe For Migrants?," Journal of Regional Science, Wiley Blackwell, vol. 52(4), pages 535-561, October.
    3. Mark D. Partridge & Dan S. Rickman & Kamar Ali & M. Rose Olfert, 2009. "Do New Economic Geography agglomeration shadows underlie current population dynamics across the urban hierarchy?," Papers in Regional Science, Wiley Blackwell, vol. 88(2), pages 445-466, June.
    4. Ernest Miguélez & Rosina Moreno, 2014. "What Attracts Knowledge Workers? The Role Of Space And Social Networks," Journal of Regional Science, Wiley Blackwell, vol. 54(1), pages 33-60, January.
    5. Partridge, Mark D. & Rickman, Dan S. & Ali, Kamar & Olfert, M. Rose, 2009. "Agglomeration spillovers and wage and housing cost gradients across the urban hierarchy," Journal of International Economics, Elsevier, vol. 78(1), pages 126-140, June.
    6. Breinlich, Holger & Ottaviano, Gianmarco I.P. & Temple, Jonathan R.W., 2014. "Regional Growth and Regional Decline," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 2, chapter 4, pages 683-779, Elsevier.
    7. repec:esx:essedp:729 is not listed on IDEAS
    8. Alessandra Faggian & M. Rose Olfert & Mark D. Partridge, 2011. "Inferring regional well-being from individual revealed preferences: the 'voting with your feet' approach," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 5(1), pages 163-180.
    9. Duranton, Gilles & Puga, Diego, 2014. "The Growth of Cities," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 2, chapter 5, pages 781-853, Elsevier.
    10. Gordon Mulligan & Mark Partridge & John Carruthers, 2012. "Central place theory and its reemergence in regional science," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 48(2), pages 405-431, April.
    11. Stef Proost & Jacques-François Thisse, 2019. "What Can Be Learned from Spatial Economics?," Journal of Economic Literature, American Economic Association, vol. 57(3), pages 575-643, September.
    12. Partridge, Mark D. & Rickman, Dan S. & Ali, Kamar & Olfert, M. Rose, 2010. "Recent spatial growth dynamics in wages and housing costs: Proximity to urban production externalities and consumer amenities," Regional Science and Urban Economics, Elsevier, vol. 40(6), pages 440-452, November.
    13. Edward L. Glaeser & Joshua D. Gottlieb, 2009. "The Wealth of Cities: Agglomeration Economies and Spatial Equilibrium in the United States," Journal of Economic Literature, American Economic Association, vol. 47(4), pages 983-1028, December.
    14. Partridge, Mark D. & Rickman, Dan S., 2012. "Integrating regional economic development analysis and land use economics," MPRA Paper 38291, University Library of Munich, Germany.
    15. W. Mark Brown & Darren M. Scott, 2012. "Human Capital Location Choice: Accounting For Amenities And Thick Labor Markets," Journal of Regional Science, Wiley Blackwell, vol. 52(5), pages 787-808, December.
    16. Kim, Ho Yeon, 2012. "Shrinking population and the urban hierarchy," IDE Discussion Papers 360, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    17. José M. Gaspar, 2018. "A prospective review on New Economic Geography," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 61(2), pages 237-272, September.
    18. Ho Yeon KIM & Petra de Jong & Jan Rouwendal & Aleid Brouwer, 2012. "Shrinking population and the urban hierarchy [Housing preferences and attribute importance among Dutch older adults: a conjoint choice experiment]," ERSA conference papers ersa12p350, European Regional Science Association.
    19. Mark D. Partridge & Dan S. Rickman & Kamar Ali & M. Rose Olfert, 2008. "Lost in space: population growth in the American hinterlands and small cities," Journal of Economic Geography, Oxford University Press, vol. 8(6), pages 727-757, November.
    20. Elena G. Irwin & Andrew M. Isserman & Maureen Kilkenny & Mark D. Partridge, 2010. "A Century of Research on Rural Development and Regional Issues," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 92(2), pages 522-553.
    21. Heather M. Stephens & Mark D. Partridge, 2011. "Do Entrepreneurs Enhance Economic Growth in Lagging Regions?," Growth and Change, Wiley Blackwell, vol. 42(4), pages 431-465, December.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:presci:v:89:y:2010:i:3:p:513-536. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=1056-8190 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.