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Neighborhood Change, Gentrification, and the Urbanization of College Graduates

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  • Victor Couture
  • Jessie Handbury

Abstract

We study changing trends in within-city sorting by education over the last 40 years. We show that neighborhoods closest to the centers of large US cities rose from having the lowest levels of college attainment in 1980 to the highest in 2017. We discuss the determinants of changes in sorting patterns, focusing on the role of transportation technology and income growth. We outline various consequences of the recent urbanization of college graduates on neighborhood amenities, house prices, and segregation. We highlight the tendency of college graduates to cluster into select central neighborhoods, likely limiting opportunities for interactions across educational lines.

Suggested Citation

  • Victor Couture & Jessie Handbury, 2023. "Neighborhood Change, Gentrification, and the Urbanization of College Graduates," Journal of Economic Perspectives, American Economic Association, vol. 37(2), pages 29-52, Spring.
    • Handle: RePEc:aea:jecper:v:37:y:2023:i:2:p:29-52
    DOI: 10.1257/jep.37.2.29
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    Citations

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    Cited by:

    1. Sumit Agarwal & Shashwat Alok & Sergio Correia & Deepa Mani & Bernardo Morais, 2024. "Transportation Technology and Gentrification: Evidence from the entry of Ridesharing Services," Papers 2409.15462, arXiv.org.
    2. Wang, Yixuan, 2024. "Urban Redevelopment and Gentrification: Evidence from the Atlanta BeltLine," 2024 Annual Meeting, July 28-30, New Orleans, LA 343550, Agricultural and Applied Economics Association.
    3. Behrens, Kristian & Kichko, Sergei & Thisse, Jacques-Francois, 2024. "Working from home: Too much of a good thing?," Regional Science and Urban Economics, Elsevier, vol. 105(C).
    4. Gokan,Toshitaka & Kichko,Sergei & Matheson,Jesse A & Thisse,Jacques-François, 2022. "How the rise of teleworking will reshape labor markets and cities?," IDE Discussion Papers 868, Institute of Developing Economies, Japan External Trade Organization(JETRO).

    More about this item

    JEL classification:

    • G51 - Financial Economics - - Household Finance - - - Household Savings, Borrowing, Debt, and Wealth
    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
    • R31 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Housing Supply and Markets
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

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