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Urban growth and transportation

  • Gilles Duranton
  • Matthew A. Turner

We estimate the effects of major roads and public transit on the growth of major cities in the US between 1980 and 2000. We find that a 10% increase in a city’s stock of roads causes about a 2% increase in its population and employment and a small decrease in its share of poor households over this 20 year period. We also find that a 10% increase in a city’s stock of large buses causes about a 0.8% population increase and a small increase in the share of poor households over this period. To estimate these effects we rely on an instrumental variables estimation which uses a 1947 plan of the interstate highway system and an 1898 map of railroads as instruments for 1980 roads.

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Paper provided by University of Toronto, Department of Economics in its series Working Papers with number tecipa-305.

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Length: 41 pages
Date of creation: 19 Dec 2007
Date of revision:
Handle: RePEc:tor:tecipa:tecipa-305
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  14. Edward L. Glaeser, 2005. "The Curley Effect: The Economics of Shaping the Electorate," Journal of Law, Economics and Organization, Oxford University Press, vol. 21(1), pages 1-19, April.
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  20. Marcy Burchfield & Henry G. Overman & Diego Puga & Matthew A. Turner, 2006. "Causes of Sprawl: A Portrait from Space," The Quarterly Journal of Economics, Oxford University Press, vol. 121(2), pages 587-633.
  21. Glaeser, Edward L. & Kahn, Matthew E., 2004. "Sprawl and urban growth," Handbook of Regional and Urban Economics, in: J. V. Henderson & J. F. Thisse (ed.), Handbook of Regional and Urban Economics, edition 1, volume 4, chapter 56, pages 2481-2527 Elsevier.
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