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The Law of Urban Growth and the Local Public Sector

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  • John Hartwick

    () (Queen's University)

Abstract

We set out a city as a price-taking exporter and importer with its own local structure (housing (land per household) and a local pure public good are produced endogenously). We improve labor efficiency in the export sector, observe a jump in the local wage, and trace the impact, particularly on production of the public good. In one case the population, output of the public good, and residential density expand (the law of urban growth) and in another, population, output of the public good and density contract.

Suggested Citation

  • John Hartwick, 2013. "The Law of Urban Growth and the Local Public Sector," Working Papers 1304, Queen's University, Department of Economics.
  • Handle: RePEc:qed:wpaper:1304
    as

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    File URL: http://qed.econ.queensu.ca/working_papers/papers/qed_wp_1304.pdf
    File Function: First version 2013
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    References listed on IDEAS

    as
    1. Eaton, Jonathan & Eckstein, Zvi, 1997. "Cities and growth: Theory and evidence from France and Japan," Regional Science and Urban Economics, Elsevier, vol. 27(4-5), pages 443-474, August.
    2. Roback, Jennifer, 1982. "Wages, Rents, and the Quality of Life," Journal of Political Economy, University of Chicago Press, vol. 90(6), pages 1257-1278, December.
    3. Edward L. Glaeser & Joseph Gyourko, 2005. "Urban Decline and Durable Housing," Journal of Political Economy, University of Chicago Press, vol. 113(2), pages 345-375, April.
    4. Gilles Duranton & Diego Puga, 2001. "Nursery Cities: Urban Diversity, Process Innovation, and the Life Cycle of Products," American Economic Review, American Economic Association, vol. 91(5), pages 1454-1477, December.
    5. Ciccone, Antonio & Hall, Robert E, 1996. "Productivity and the Density of Economic Activity," American Economic Review, American Economic Association, vol. 86(1), pages 54-70, March.
    6. Donald R. Haurin, 1980. "The Regional Distribution of Population, Migration, and Climate," The Quarterly Journal of Economics, Oxford University Press, vol. 95(2), pages 293-308.
    7. Glaeser, Edward L & Mare, David C, 2001. "Cities and Skills," Journal of Labor Economics, University of Chicago Press, vol. 19(2), pages 316-342, April.
    8. Robert E. Lucas, Jr., 2004. "Life Earnings and Rural-Urban Migration," Journal of Political Economy, University of Chicago Press, vol. 112(S1), pages 29-59, February.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    small; open city; urban public sector; law of urban growth;

    JEL classification:

    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
    • H40 - Public Economics - - Publicly Provided Goods - - - General
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies

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