nep-geo New Economics Papers
on Economic Geography
Issue of 2005‒02‒06
four papers chosen by
Vassilis Monastiriotis
London School of Economics

  1. Optimal location of new forests in a suburban area By Ellen Moons; Bert Saveyn; Stef Proost; Martin Hermy
  2. Dynamic Cities and Creative Clusters By Weiping Wu
  3. A Fall Classic? Assessing the Economic Impact of the World Series By Victor Matheson; Robert Baade
  4. An Integrated Model of Downtown Parking and Traffic Congestion By Richard Arnott; Eren Inci

  1. By: Ellen Moons (K.U.Leuven-Center for Economic Studies); Bert Saveyn (K.U.Leuven-Center for Economic Studies); Stef Proost (K.U.Leuven-Center for Economic Studies); Martin Hermy (K.U.Leuven-Laboratory for Forest, Nature and Landscape Research)
    Abstract: This paper looks for the optimal location of new forests in a suburban area under area constraints. The GIS-based methodology takes into account timber, hunting, carbon sequestration, non-use and recreation benefits and opportunity costs of converting agricultural land, as well as planting and management costs of the new forest. The recreation benefits of new forest sites are estimated using function transfer techniques. We show that the net social benefit of new forest combinations respecting the area constraints may differ up to a factor 21. The substitution effect between forests, both new and existing, turned out to be the dominant factor in the benefit estimation.
    Keywords: Benefit transfer, travel cost analysis, cost-benefit analysis, forest recreation, Geographical Information Systems (GIS)
    JEL: Q23 Q24 Q26 R14
    Date: 2005–01
  2. By: Weiping Wu
    Abstract: Wu focuses on how urban policies and the clustering of creative industries has influenced urban outcomes. The set of creative industries include those with output protectable under some form of intellectual property law. More specifically, this subsector encompasses software, multimedia, video games, industrial design, fashion, publishing, and research and development. The cities that form the basis for the empirical investigations are those where policy-induced transitions have been most evident, including Boston; San Francisco; San Diego; Seattle; Austin; Washington, D.C.; Dublin (Ireland); Hong Kong (China); and Bangalore (India). The key research questions are: • What types of cities are creative? • What locational factors are essential? • What are the common urban policy initiatives used by creative cities? The author explores the importance of the external environment for innovation and places it in the larger context of national innovation systems. Based on a study of development in Boston and San Diego, he isolates the factors and policies that have contributed to the local clustering of particular creative industries. In both cities, universities have played a major role in catalyzing the local economy by generating cutting-edge research findings, proactively collaborating with industries, and supplying the needed human capital. In addition, these two cities benefited from the existence of anchor firms and active industry associations that promoted fruitful university-industry links. Many cities in East Asia are aspiring to become the creative hubs of the region. But their investments tend to be heavily biased toward infrastructure provision. Although this is necessary, the heavy emphasis on hardware can lead to underinvestment in developing the talents and skills needed for the emergence of creative industries in these cities. This paper—a product of the Development Research Group—was prepared for the East Asia Prospect Study.
    Keywords: Education; Industry; Private Sector Development; Urban Development
    Date: 2005–02–02
  3. By: Victor Matheson (Department of Economics, College of the Holy Cross); Robert Baade (Department of Economics and Business, Lake Forest College)
    Abstract: An empirical analysis of the economic impact of the Major League Baseball’s postseason on host-city economies from 1972-2001 suggests that any economic benefits from the playoff are small or non-existent. An examination of 129 playoff series finds that any increase ineconomic growth as a result of the post-season is not statistically significantly different than zero and that a best guess of the economic impact is $6.8 million per home game. As a general method of economic development, public support of a baseball team’s attempt to reach the World Series should be seen as a gamble at best.
    Keywords: baseball, impact analysis, World Series, sports, mega-event
    JEL: L83 R53
    Date: 2005–02
  4. By: Richard Arnott; Eren Inci (Boston College)
    Abstract: This paper presents a downtown parking model that integrates traffic congestion and saturated on-street parking. We assume that the stock of cars cruising for parking adds to traffic congestion. Two major results come out from the model, one of which is robust. The robust one is that, whether or not the amount of on-street parking is optimal, it is efficient to raise the on-street parking fee to the point where cruising for parking is eliminated without parking becoming unsaturated. The other is that, if the parking fee is fixed at a sub-optimal level, it is second-best optimal to increase the amount of curbside allocated to parking until cruising for parking is eliminated without parking becoming unsaturated.
    Keywords: traffic congestion, cruising for parking, on-street parking
    JEL: R41
    Date: 2005–02–01

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