Learning in Cities
Alfred Marshall argues that industrial agglomerations exist in part because individuals can" learn skills from each other when they live and work in close proximity to one another. An" increasing amount of evidence suggests that the informational role of cities is a primary reason for" their continued existence. This paper formalizes Marshall's theory in a model where individuals" acquire skills by interacting with one another, and dense urban areas increase the speed of" interactions. The model predicts that cities will have a higher mean and higher variance of skills." Cities will attract young people who are not too risk averse and who benefit most from learning" (e.g. more patient people). Older, more skilled workers will stay in cities only if they can" internalize some of the benefits that their presence creates for young people. The level of" urbanization will rise when the demand for skills rises, when the ability to learn by imitation rises or when the level of health in the economy rises. Empirical evidence on urban wages supports the" learning view of cities and a variety of other implications of the theory are corroborated" empirically.
(This abstract was borrowed from another version of this item.)
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- James E. Rauch, 1991.
"Productivity Gains From Geographic Concentration of human Capital: Evidence From the Cities,"
NBER Working Papers
3905, National Bureau of Economic Research, Inc.
- Rauch James E., 1993. "Productivity Gains from Geographic Concentration of Human Capital: Evidence from the Cities," Journal of Urban Economics, Elsevier, vol. 34(3), pages 380-400, November.
- Jess Gaspar & Edward Glaeser, 1996.
"Information Technology and the Future of Cities,"
NBER Working Papers
5562, National Bureau of Economic Research, Inc.
- Jess Gaspar & Edward L. Glaeser, 1996. "Information Technology and the Future of Cities," Harvard Institute of Economic Research Working Papers 1756, Harvard - Institute of Economic Research.
- repec:hoo:wpaper:e-94-11 is not listed on IDEAS
- Adam B. Jaffe & Manuel Trajtenberg & Rebecca Henderson, 1993.
"Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations,"
The Quarterly Journal of Economics,
Oxford University Press, vol. 108(3), pages 577-598.
- Jaffe, A.B. & Trajtenberg, M., 1992. "Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations," Papers 14-92, Tel Aviv.
- Adam B. Jaffe & Manuel Trajtenberg & Rebecca Henderson, 1992. "Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations," NBER Working Papers 3993, National Bureau of Economic Research, Inc.
- Becker, G.S. & Murphy, K.M., 1991.
"The Division of Labor, Coordination Costs, and Knowledge,"
University of Chicago - Economics Research Center
92-5, Chicago - Economics Research Center.
- Gary S. Becker & Kevin M. Murphy, 1994. "The Division of Labor, Coordination Costs, and Knowledge," NBER Chapters, in: Human Capital: A Theoretical and Empirical Analysis with Special Reference to Education (3rd Edition), pages 299-322 National Bureau of Economic Research, Inc.
- Gary S. Becker & Kevin M. Murphy, 1992. "The Division of Labor, Coordination Costs, and Knowledge," The Quarterly Journal of Economics, Oxford University Press, vol. 107(4), pages 1137-1160.
- Gary S. Murphy Becker & Kevin M., 1992. "The Division of Labor, Coordination Costs, and Knowledge," University of Chicago - George G. Stigler Center for Study of Economy and State 79, Chicago - Center for Study of Economy and State.
- Glaeser, Edward Ludwig & Kallal, Hedi D. & Scheinkman, Jose A. & Shleifer, Andrei, 1992.
"Growth in Cities,"
3451309, Harvard University Department of Economics.
- Henderson, Vernon & Kuncoro, Ari & Turner, Matt, 1995.
"Industrial Development in Cities,"
Journal of Political Economy,
University of Chicago Press, vol. 103(5), pages 1067-90, October.
- Boyan Jovanovic & Rafael Rob, 1989. "The Growth and Diffusion of Knowledge," Review of Economic Studies, Oxford University Press, vol. 56(4), pages 569-582.
- Edward L. Glaeser & David C. Mare, 1994.
"Cities and Skills,"
NBER Working Papers
4728, National Bureau of Economic Research, Inc.
- Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July.
- Kevin M. Murphy & Finis Welch, 1992. "The Structure of Wages," The Quarterly Journal of Economics, Oxford University Press, vol. 107(1), pages 285-326.
When requesting a correction, please mention this item's handle: RePEc:eee:juecon:v:46:y:1999:i:2:p:254-277. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Shamier, Wendy)
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 references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.