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Forecasting State and Local Population Growth with Limited Data: The Use of Employment—Migration Relationships and Trends in Vital Rates

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  • M J Greenwood

    (Department of Economics and Center for Economic Analysis, University of Colorado at Boulder, Boulder, CO 80309, USA)

  • G L Hunt

    (Department of Economics, East Carolina University, Greenville, NC 27858, USA)

Abstract

Long-term forecasts of state and local population are required for a variety of reasons, but frequently these forecasts or projections are not tied to economic activity, and the migration component of population change is commonly treated in an unsatisfactory fashion. In this paper, growth of state and local population is related to the area's net natural increase and to its net migration, which must be inferred because of lack of data. In turn, net migration is related to the growth of national employment and to the growth of regional civilian and military employment. The model is estimated for two regions, the El Paso, TX, standard metropolitan statistical area (SMSA) and the State of New Mexico. Several statistical problems arise because of the limited number of available time-series observations. Fully dynamic historical simulations track the population quite closely, in one case never differing from the actual value by more than 1.17% and in the other never differing by more than 1.36%.

Suggested Citation

  • M J Greenwood & G L Hunt, 1991. "Forecasting State and Local Population Growth with Limited Data: The Use of Employment—Migration Relationships and Trends in Vital Rates," Environment and Planning A, , vol. 23(7), pages 987-1005, July.
    • Handle: RePEc:sae:envira:v:23:y:1991:i:7:p:987-1005
    DOI: 10.1068/a230987
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    References listed on IDEAS

    as
    1. Barten, A. P., 1969. "Maximum likelihood estimation of a complete system of demand equations," European Economic Review, Elsevier, vol. 1(1), pages 7-73.
    2. Hunt, Gary L. & Greenwood, Michael J., 1985. "Econometrically accounting for identities and restrictions in models of interregional migration : Further Thoughts," Regional Science and Urban Economics, Elsevier, vol. 15(4), pages 605-614, November.
    3. Greenwood, Michael J & Hunt, Gary L, 1984. "Migration and Interregional Employment Redistribution in the United States," American Economic Review, American Economic Association, vol. 74(5), pages 957-969, December.
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