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Are High-Tech Employment and Natural Amenities Linked?: Answers from a Smoothed Bayesian Spatial Model

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  • Dorfman, Jeffrey H.
  • Patridge, Mark D.
  • Galloway, Hamilton

Abstract

We investigate the recently advanced theory that high-technology workers are drawn to high amenity locations and then the high-technology jobs follow the workers. Using a novel data set that tracks high-technology job growth by U.S. county, we estimate spatial parameters of the response of job growth to the level of local natural amenities. We achieve this estimation with a reasonably new class of models, smooth coefficient models. The model is employed in a spatial setting to allow for smooth, but nonparametric response functions to key variables in an otherwise standard regression model. With spatial data this allows for flexible modeling such as a unique place-specific effects to be estimated for each location, and also for the responses to key variables to vary by location. This flexibility is achieved through the non-parametric smoothing rather than by nearest-neighbor type estimators such as in geographically weighted regressions. The resulting model can be estimated in a straightforward application of analytical Bayesian techniques. Our results show that amenities can definitely have a significant effect on high-technology employment growth; however, the effect varies over space and by amenity level.

Suggested Citation

  • Dorfman, Jeffrey H. & Patridge, Mark D. & Galloway, Hamilton, 2008. "Are High-Tech Employment and Natural Amenities Linked?: Answers from a Smoothed Bayesian Spatial Model," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6459, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  • Handle: RePEc:ags:aaea08:6459
    DOI: 10.22004/ag.econ.6459
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    13. 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.
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    Cited by:

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    2. Stefano Magrini & Margherita Gerolimetto & Hasan Engin Duran, 2011. "Understanding the lead/lag structure among regional business cycles," Working Papers 2011_06, Department of Economics, University of Venice "Ca' Foscari".
    3. Mark D. Partridge & Michael R. Betz & Linda Lobao, 2013. "Natural Resource Curse and Poverty in Appalachian America," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 95(2), pages 449-456.
    4. Dan S. Rickman & Mouhcine Guettabi, 2015. "The Great Recession And Nonmetropolitan America," Journal of Regional Science, Wiley Blackwell, vol. 55(1), pages 93-112, January.
    5. Heather M. Stephens & Mark D. Partridge, 2015. "Lake Amenities, Environmental Degradation, and Great Lakes Regional Growth," International Regional Science Review, , vol. 38(1), pages 61-91, January.
    6. Mark D. Partridge & Dan S. Rickman & M. Rose Olfert & Ying Tan, 2015. "When Spatial Equilibrium Fails: Is Place-Based Policy Second Best?," Regional Studies, Taylor & Francis Journals, vol. 49(8), pages 1303-1325, August.
    7. Mark D. Partridge & Dan S. Rickman & Ying Tan & M. Rose Olfert, 2013. "U.S. Regional Poverty Post-2000: The Lost Decade," Economics Working Paper Series 1304, Oklahoma State University, Department of Economics and Legal Studies in Business.
    8. Belal Fallah & Mark D. Partridge & Dan S. Rickman, 2014. "Geography and High-Tech Employment Growth in US Counties," Journal of Economic Geography, Oxford University Press, vol. 14(4), pages 683-720.
    9. Hanas A. Cader & John M. Crespi & John C. Leatherman, 2013. "What Factors Affect Information Technology Firm Location Choices in Middle America? An Examination of Regional and Industrial Variation in Kansas," International Regional Science Review, , vol. 36(2), pages 207-234, April.
    10. Dan Rickman & Belal Fallah & Mark Partridge, 2011. "Geographic Determinants of Hi-Tech Employment Growth in U.S. Counties," ERSA conference papers ersa11p518, European Regional Science Association.

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