IDEAS home Printed from https://ideas.repec.org/a/sae/ecdequ/v37y2023i4p328-348.html
   My bibliography  Save this article

COVID-19, the New Urban Crisis, and Cities: How COVID-19 Compounds the Influence of Economic Segregation and Inequality on Metropolitan Economic Performance

Author

Listed:
  • Richard Florida
  • Todd Gabe

Abstract

This paper examines the connection between measures of a U.S. metropolitan area's new urban crisis (i.e., unaffordable housing, economic inequality, and residential segregation) and its year-over-year employment change in the period immediately before and during the COVID-19 pandemic. Results show that measures of the new urban crisis did not generally have a statistically significant association with year-over-year employment change between January and September of 2020, which captures the period before COVID-19 and the beginning of the pandemic (e.g., shutdown). The severity of a region's economic segregation and inequality, however, are associated with higher rates of employment decline in the early recovery months of October to December of 2020. These findings suggest that places that rate worse for indicators of the new urban crisis were less able to recover from the negative economic shocks related to COVID-19.

Suggested Citation

  • Richard Florida & Todd Gabe, 2023. "COVID-19, the New Urban Crisis, and Cities: How COVID-19 Compounds the Influence of Economic Segregation and Inequality on Metropolitan Economic Performance," Economic Development Quarterly, , vol. 37(4), pages 328-348, November.
    • Handle: RePEc:sae:ecdequ:v:37:y:2023:i:4:p:328-348
    DOI: 10.1177/08912424231155969
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/08912424231155969
    Download Restriction: no
    File URL: https://libkey.io/10.1177/08912424231155969?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. Teresa Barbieri & Gaetano Basso & Sergio Scicchitano, 2022. "Italian Workers at Risk During the COVID-19 Epidemic," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 8(1), pages 175-195, March.
    2. Couch, Kenneth A. & Fairlie, Robert W. & Xu, Huanan, 2020. "Early evidence of the impacts of COVID-19 on minority unemployment," Journal of Public Economics, Elsevier, vol. 192(C).
    3. Avdiu, Besart & Nayyar, Gaurav, 2020. "When face-to-face interactions become an occupational hazard: Jobs in the time of COVID-19," Economics Letters, Elsevier, vol. 197(C).
    4. Dingel, Jonathan I. & Neiman, Brent, 2020. "How many jobs can be done at home?," Journal of Public Economics, Elsevier, vol. 189(C).
    5. Konstantinos Gkiotsalitis & Oded Cats, 2021. "Public transport planning adaption under the COVID-19 pandemic crisis: literature review of research needs and directions," Transport Reviews, Taylor & Francis Journals, vol. 41(3), pages 374-392, May.
    6. Yicheol Han & Stephan J. Goetz, 2015. "The Economic Resilience of U.S. Counties during the Great Recession," The Review of Regional Studies, Southern Regional Science Association, vol. 45(2), pages 131-149, Fall.
    7. Jaison R. Abel & Ishita Dey & Todd M. Gabe, 2012. "Productivity And The Density Of Human Capital," Journal of Regional Science, Wiley Blackwell, vol. 52(4), pages 562-586, October.
    8. Kolko, Jed & Neumark, David, 2010. "Does local business ownership insulate cities from economic shocks?," Journal of Urban Economics, Elsevier, vol. 67(1), pages 103-115, January.
    9. Hakan Yilmazkuday, 2021. "Welfare costs of COVID‐19: Evidence from US counties," Journal of Regional Science, Wiley Blackwell, vol. 61(4), pages 826-848, September.
    10. Glaeser, Edward L. & Gorback, Caitlin & Redding, Stephen J., 2022. "JUE Insight: How much does COVID-19 increase with mobility? Evidence from New York and four other U.S. cities," Journal of Urban Economics, Elsevier, vol. 127(C).
    11. Andy Pike & Stuart Dawley & John Tomaney, 2010. "Resilience, adaptation and adaptability," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 3(1), pages 59-70.
    12. Steven Brakman & Harry Garretsen & Charles van Marrewijk, 2015. "Regional resilience across Europe: on urbanisation and the initial impact of the Great Recession," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 8(2), pages 225-240.
    13. Fabio Mazzola & Iolanda Cascio & Rosalia Epifanio & Giuseppe Giacomo, 2018. "Territorial capital and growth over the Great Recession: a local analysis for Italy," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 60(2), pages 411-441, March.
    14. Lauryn Ringwood & Philip Watson & Paul Lewin, 2019. "A quantitative method for measuring regional economic resilience to the great recession," Growth and Change, Wiley Blackwell, vol. 50(1), pages 381-402, March.
    15. Forsythe, Eliza & Kahn, Lisa B. & Lange, Fabian & Wiczer, David, 2020. "Labor demand in the time of COVID-19: Evidence from vacancy postings and UI claims," Journal of Public Economics, Elsevier, vol. 189(C).
    16. Simon Mongey & Laura Pilossoph & Alexander Weinberg, 2021. "Which workers bear the burden of social distancing?," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 19(3), pages 509-526, September.
    17. Marta Fana & Sergio Torrejón Pérez & Enrique Fernández-Macías, 2020. "Employment impact of Covid-19 crisis: from short term effects to long terms prospects," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 47(3), pages 391-410, September.
    18. Terrie Louise Walmsley & Adam Rose & Dan Wei, 2021. "Impacts on the U.S. macroeconomy of mandatory business closures in response to the COVID-19 Pandemic," Applied Economics Letters, Taylor & Francis Journals, vol. 28(15), pages 1293-1300, September.
    19. Fabian Geelhoedt & Vicente Royuela & David Castells-Quintana, 2021. "Inequality and Employment Resilience: An Analysis of Spanish Municipalities during the Great Recession," International Regional Science Review, , vol. 44(1), pages 113-141, January.
    20. Avdiu,Besart & Nayyar,Gaurav, 2020. "When Face-to-Face Interactions Become an Occupational Hazard : Jobs in the Time of COVID-19," Policy Research Working Paper Series 9240, The World Bank.
    21. Gabe Todd & Florida Richard, 2021. "Impacts of Jobs Requiring Close Physical Proximity and High Interaction with the Public on U.S. Industry Employment Change During the Early Stages of the COVID-19 Pandemic," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 21(3), pages 1163-1172, July.
    22. Roberto Ezcurra & Vicente Rios, 2019. "Quality of government and regional resilience in the European Union. Evidence from the Great Recession," Papers in Regional Science, Wiley Blackwell, vol. 98(3), pages 1267-1290, June.
    23. Matthew Famiglietti & Fernando Leibovici & Ana Maria Santacreu, 2020. "The Decline of Employment During COVID-19: The Role of Contact-Intensive Industries," Economic Synopses, Federal Reserve Bank of St. Louis, issue 40, September.
    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. Ali Zarifhonarvar, 2023. "A Survey on the Impact of Covid-19 on the Labor Market," The Journal of Social Sciences Research, Academic Research Publishing Group, vol. 9(1), pages 1-10, 03-2023.
    2. Zarifhonarvar, Ali, 2022. "A Survey on the Impact of Covid-19 on the Labor Market," EconStor Preprints 265549, ZBW - Leibniz Information Centre for Economics.
    3. Taiyo Fukai & Hidehiko Ichimura & Keisuke Kawata, 2021. "Describing the impacts of COVID-19 on the labor market in Japan until June 2020," The Japanese Economic Review, Springer, vol. 72(3), pages 439-470, July.
    4. Giuseppe Terzo, 2021. "Social capital, social economy and economic resilience of Italian provinces," Papers in Regional Science, Wiley Blackwell, vol. 100(5), pages 1113-1135, October.
    5. Daniel Garrote Sanchez & Nicolas Gomez Parra & Caglar Ozden & Bob Rijkers & Mariana Viollaz & Hernan Winkler, 2021. "Who on Earth Can Work from Home? [Secular Stagnation? The Effect of Aging on Economic Growth in the Age of Automation]," The World Bank Research Observer, World Bank, vol. 36(1), pages 67-100.
    6. Cortes, Guido Matias & Forsythe, Eliza, 2021. "The heterogenous labour market impact of the COVID-19 pandemic," CLEF Working Paper Series 40, Canadian Labour Economics Forum (CLEF), University of Waterloo.
    7. Basso, Gaetano & Boeri, Tito & Caiumi, Alessandro & Paccagnella, Marco, 2020. "The New Hazardous Jobs and Worker Reallocation," IZA Discussion Papers 13532, Institute of Labor Economics (IZA).
    8. Bisin, Alberto & Moro, Andrea, 2022. "Spatial‐SIR with network structure and behavior: Lockdown rules and the Lucas critique," Journal of Economic Behavior & Organization, Elsevier, vol. 198(C), pages 370-388.
    9. Nicholas Bloom & Philip Bunn & Paul Mizen & Pawel Smietanka & Gregory Thwaites, 2020. "The Impact of Covid-19 on Productivity," NBER Working Papers 28233, National Bureau of Economic Research, Inc.
    10. Blanas, Sotiris & Oikonomou, Rigas, 2023. "COVID-induced economic uncertainty, tasks and occupational demand," Labour Economics, Elsevier, vol. 81(C).
    11. Alipour, Jean-Victor & Fadinger, Harald & Schymik, Jan, 2021. "My home is my castle – The benefits of working from home during a pandemic crisis," Journal of Public Economics, Elsevier, vol. 196(C).
    12. Bloom, Nicholas & Davis, Steven J. & Hansen, Stephen & Lambert, Peter John & Sadun, Raffaella & Taska, Bledi, 2023. "Remote work across jobs, companies and space," LSE Research Online Documents on Economics 121302, London School of Economics and Political Science, LSE Library.
    13. Guido Matias Cortes & Eliza Forsythe, 2023. "Heterogeneous Labor Market Impacts of the COVID-19 Pandemic," ILR Review, Cornell University, ILR School, vol. 76(1), pages 30-55, January.
    14. Guido Matias Cortes & Eliza Forsythe, 2023. "Distributional impacts of the Covid-19 pandemic and the CARES Act," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 21(2), pages 325-349, June.
    15. Natalia Porto & Pablo de la Vega, 2024. "Employment and Teleworking in the Argentine Tourism Sector: a Case Study Based on the COVID-19 Pandemic," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(2), pages 6706-6736, June.
    16. Hensvik, Lena & Le Barbanchon, Thomas & Rathelot, Roland, 2021. "Job search during the COVID-19 crisis," Journal of Public Economics, Elsevier, vol. 194(C).
    17. Alipour, Jean-Victor & Falck, Oliver & Schüller, Simone, 2023. "Germany’s capacity to work from home," European Economic Review, Elsevier, vol. 151(C).
    18. Pierre Brochu & Jonathan Créchet, 2021. "Survey Non-response in Covid-19 Times: The Case of the Labour Force Survey," Working Papers 2109E, University of Ottawa, Department of Economics.
    19. Bossavie,Laurent Loic Yves & Garrote Sanchez,Daniel & Makovec,Mattia & Ozden,Caglar, 2020. "Do Immigrants Push Natives towards Safer Jobs ? Exposure to COVID-19 in the European Union," Policy Research Working Paper Series 9500, The World Bank.
    20. Michaela Benzeval & Jon Burton & Thomas Crossley & Paul Fisher & Annette Jäckle & Hamish Low & Brendan Read, 2020. "The idiosyncratic impact of an aggregate shock: the distributional consequences of COVID-19," IFS Working Papers W20/15, Institute for Fiscal Studies.

    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:sae:ecdequ:v:37:y:2023:i:4:p:328-348. 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: SAGE Publications (email available below). General contact details of provider: .

    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.