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Geographical Cost of Living Differences: An Update

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  • Walter W. McMahon

Abstract

This article develops a method for estimating current geographical differences in the cost of living index for all states for 1981-1990. These estimates based on BLS data are shown to correspond closely to statewide cost of living estimates for 1989 based on the American Chamber of Commerce Research Association data for selected cities.Living costs are highest in Hawaii, Alaska, Connecticut, Washington D.C., New Jersey, Massachusetts, New York, and California. They are lower in Mississippi, West Virginia, Arkansas, Idaho, and Utah. The basic pattern persists since 1977 with shifts related to economic growth rates. Copyright American Real Estate and Urban Economics Association.

Suggested Citation

  • Walter W. McMahon, 1991. "Geographical Cost of Living Differences: An Update," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 19(3), pages 426-450.
  • Handle: RePEc:bla:reesec:v:19:y:1991:i:3:p:426-450
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    Cited by:

    1. Anil Rupasingha & Stephan J. Goetz & David Freshwater, 2002. "Social and institutional factors as determinants of economic growth: Evidence from the United States counties," Papers in Regional Science, Springer;Regional Science Association International, vol. 81(2), pages 139-155.
    2. Michael Raper, 1999. "Self-selection bias and cost-of-living estimates," Journal of Economics and Finance, Springer;Academy of Economics and Finance, vol. 23(1), pages 64-77, March.
    3. Brian Cushing, 2005. "The Role of Welfare and Space in the Migration of the Poor," Working Papers Working Paper 2005-08, Regional Research Institute, West Virginia University.
    4. Cebula, Richard J. & Todd, Sherri, 2004. "An Empirical Note on Determinants of Geographic Living-Cost Differentials for Counties in the State of Florida, 2003," The Review of Regional Studies, Southern Regional Science Association, vol. 34(1), pages 112-119.
    5. Elissaios Papyrakis & Ohad Raveh, 2013. "An Empirical Analysis of a Regional Dutch Disease: The case of Canada," OxCarre Working Papers 106, Oxford Centre for the Analysis of Resource Rich Economies, University of Oxford.
    6. Benson, Bruce L. & Rasmussen, David W. & Mast, Brent D., 1999. "Deterring drunk driving fatalities: an economics of crime perspective1," International Review of Law and Economics, Elsevier, vol. 19(2), pages 205-225, June.
    7. Moffitt, Robert & Ribar, David & Wilhelm, Mark, 1998. "The decline of welfare benefits in the U.S.: the role of wage inequality," Journal of Public Economics, Elsevier, vol. 68(3), pages 421-452, June.
    8. Michael L. Walden, 1997. "How Much Income Variation "Really" Exists Within a State?," The Review of Regional Studies, Southern Regional Science Association, vol. 27(3), pages 237-250, Winter.
    9. Cebula, Richard J., 2002. "Migration and the Tiebout-Tullock Hypothesis Revisited," The Review of Regional Studies, Southern Regional Science Association, vol. 32(1), pages 87-96, Winter/Sp.
    10. Stoddard, Christiana, 2005. "Adjusting teacher salaries for the cost of living: the effect on salary comparisons and policy conclusions," Economics of Education Review, Elsevier, vol. 24(3), pages 323-339, June.
    11. Matěj Bajgar & Petr Janský, 2015. "Skutečná kupní síla v krajích České republiky: zohlednění regionální cenové hladiny a struktury pracovní síly
      [Purchasing Power in the Regions: Reflecting Price Levels and Employment Structures]
      ," Politická ekonomie, University of Economics, Prague, vol. 2015(7), pages 860-876.
    12. Patric H. Hendershott & Thomas G. Thibodeau & Halbert C. Smith, 2009. "Evolution of the American Real Estate and Urban Economics Association-super-1," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 37(4), pages 559-598.
    13. Gary Painter, 1999. "Low-Income Housing Assistance: Its Impact on Labor Force and Housing Program Participation," Working Paper 8667, USC Lusk Center for Real Estate.
    14. Michael Roos, 2006. "Earnings Disparities in Unified Germany: Nominal versus Real," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 26(2), pages 171-189, October.
    15. Cebula, Richard, 2007. "Impact of Property Taxes and Public Education Outlays on Housing Costs: Recent Empirical Evidence," MPRA Paper 60109, University Library of Munich, Germany.
    16. Cebula, Richard & Toma, Michael, 2007. "An Empirical Analysis of Determinants of Interstate Living-Cost Differentials, 2005," MPRA Paper 52430, University Library of Munich, Germany.
    17. Cebula, Richard & Toma, Michael, 2006. "Determinants of Interstate Differentials in the Real Median Price of Single Family Homes," MPRA Paper 61410, University Library of Munich, Germany.
    18. Ohad Raveh, 2013. "Dutch Disease, Factor Mobility, and the Alberta Effect - The case of federations," OxCarre Working Papers 100, Oxford Centre for the Analysis of Resource Rich Economies, University of Oxford.
    19. Paul S. Davies & Michael J. Greenwood & Haizheng Li, 2001. "A Conditional Logit Approach to U.S. State-to-State Migration," Journal of Regional Science, Wiley Blackwell, vol. 41(2), pages 337-360.
    20. Bruce Benson & Brent Mast & David Rasmussen, 2000. "Can police deter drunk driving?," Applied Economics, Taylor & Francis Journals, vol. 32(3), pages 357-366.
    21. Cebula, Richard J. & Alexander, Gigi M., 2006. "Determinants of Net Interstate Migration, 2000-2004," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 36(2).
    22. Elissaios Papyrakis & Ohad Raveh, 2014. "An Empirical Analysis of a Regional Dutch Disease: The Case of Canada," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 58(2), pages 179-198, June.

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