nep-geo New Economics Papers
on Economic Geography
Issue of 2008‒04‒04
eight papers chosen by
Vassilis Monastiriotis
London School of Economics

  1. From Average to the Frontier: A Nonparametric Performance Approach for Analyzing Externalities and Regions’ Innovativeness By Tom Broekel
  2. Detection of local interactions from the spatial pattern of names in France By Thierry Mayer
  3. Lexus Lanes or Corolla Lanes? Spatial Use and Equity Patterns on the I-394 MnPASS Lanes By Tyler Patterson; David Levinson
  4. In search of lost centrality By BOURDEAU-LEPAGE, Lise; HURIOT, Jean-Marie; PERREUR, Jacky
  5. How Hurricanes Affect Employment and Wages in Local Labor Markets By Belasen, Ariel R.; Polachek, Solomon
  6. The Causal Relationship between Individual’s Choice Behavior and Self-Reported Satisfaction: the Case of Residential Mobility in the EU By Luis Diaz-Serrano; Alexandrina P. Stoyanova
  7. A Cost Benefit Analysis for the Extension Plan of Osaka Monorail Loop-line (in Japanese) By Junyi SHEN; Yusuke SAKATA; Yoshizo HASHIMOTO
  8. Knowledge Transfers between Canadian Business Enterprises and Universities: Does Distance Matter? By Rosa, Julio M.; Mohnen, Pierre

  1. By: Tom Broekel
    Abstract: Although a rich literature has emerged analyzing the impact of localization, urbanization, and Jacobs externalities on regional innovativeness, the findings are still contradictory. Traditional studies differ mainly in the employed data but rely on similar empirical approaches. This paper argues in favor of using in this context production frontier approaches instead of the commonly employed production function approaches. In addition, a nonparametric frontier approach is used to empirically examine the influence of the externalities on regions’ innovativeness. For four different industries positive effect of localization and urbanization externalities are found. In contrast, with the exception of the transport equipment industry, Jacobs externalities seem to be of minor importance.
    Keywords: regional innovation performance, nonparametric frontier analysis, German electrics, electronics industry
    JEL: R12 O18 O31
    Date: 2008–03
  2. By: Thierry Mayer (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Panthéon-Sorbonne - Paris I)
    Abstract: Using data on name distributions in 95 French d´epartements observed from 1946 to 2002, we investigate spatial and social mechanisms behind the transmission of parental preferences. Drawing inspiration from recent work on social interactions, we develop a simple discrete choice model that predicts a linear relationship between choices by agents in one location and the choices made in neighboring areas. We explain the shares of parents that give their children Saint, Arabic, and American-type names. In a second exercise we examine the effect of distance between locations on dierences in name-type shares. In our last exercise we consider dissimilarity in actual names rather than name-types. Using Manhattan Distances as our metric, we find a steady and substantial decline in the importance of geographic distance. Meanwhile, differences in class and national origins have increasing explanatory power.
    Date: 2008
  3. By: Tyler Patterson; David Levinson (Nexus (Networks, Economics, and Urban Systems) Research Group, Department of Civil Engineering, University of Minnesota)
    Abstract: A 2004-2006 longitudinal panel survey of I-394 residents found support levels at over 60 percent for the congestion priced High Occupancy Toll (HOT) lane, known to the Twin Cities as MnPASS. This number varies only slightly when sorted by income levels, gender, and education levels, suggesting that the arrangement is perceived as equitable. However, people with higher incomes use the system more often and thereby capitalize on the direct benefit more often, a finding consistent with other studies. Previous research has not revealed whether higher incomes actually cause people to use the MnPASS option more often or whether HOT lanes have simply been built along high income corridors, such as I-394. This paper aims to separate the effects of income and location on use to provide a more robust understanding of equity concerns. Using data provided by the Minnesota Department of Transportation, Heteroskedasticity-Consistent Method 3 (HC3) regressions, this paper suggests that location and income both explain HOT lane use.
    Keywords: Minnesota, Minneapolis, HOT Lanes, Congestion Pricing, Road Pricing, MnPASS, Value Pricing, Social Equity
    JEL: R41 R48 D63
    Date: 2008
  4. By: BOURDEAU-LEPAGE, Lise (LEG - CNRS UMR 5118 - Université de Bourgogne); HURIOT, Jean-Marie (LEG - CNRS UMR 5118 - Université de Bourgogne); PERREUR, Jacky (LEG - CNRS UMR 5118 - Université de Bourgogne)
    Abstract: The major changes of economic space organization seem to cast doubt over the concept of centrality and its applications, especially at the city, citu network and global economy scales. Urban sprawl gives rise to a diffused or multiple centrality. Economic globalization reorganizes material and immaterial flows, and redistributes economic power to the advantage of global cities. A precise analysis of the terms "center" and "centrality" and of the phenomena they refer to permits to show that the classical patterns, if they are properly adapted, remain relevant at the urban scale, but that new centrality patterns are emerging at the world scale, on a reticular basis.
    Keywords: centrality, cities, networks, globalization
    Date: 2008–03
  5. By: Belasen, Ariel R. (Saint Louis University); Polachek, Solomon (Binghamton University, New York)
    Abstract: This paper adopts a generalized-difference-in-difference (GDD) technique outlined in Ariel R. Belasen and Solomon W. Polachek (IZA Discussion Paper #2976) to examine the impact of hurricanes on the labor market. We find that earnings of the average worker in a Florida county rises over 4% within the first quarter of being hit by a major Category 4 or 5 hurricane relative to counties not hit, and rises about 1¼% for workers in Florida counties hit by less major Category 1-3 hurricanes. Concomitantly, employment falls between 1½ and 5% depending on hurricane strength. On the other hand, the effects of hurricanes on neighboring counties have the opposite effects, moving earnings down between 3 and 4% in the quarter the hurricane struck. To better examine the specific shocks, we also observe sectoral employment shifts. Finally, we conduct a time-series analysis and find that over time, there is somewhat of a cobweb with earnings and employment rising and falling each quarter over a two-year time period.
    Keywords: exogenous shock, difference-in-difference estimation, local labor market, earnings, employment, sectoral shifts
    JEL: J23 J49 Q54 R11
    Date: 2008–03
  6. By: Luis Diaz-Serrano (IZA, CREB, GRIT. Department of Economics. Universitat Rovira i Virgili. Av. de la Universitat, 1. 43204 Reus (SPAIN).); Alexandrina P. Stoyanova (CREB, Department of Economic Theory. Universitat de Barcelona. Av. Diagonal, 690. 08028 Barcelona (SPAIN).)
    Abstract: One of the most persistent and lasting debates in economic research refers to whether the answers to subjective questions can be used to explain individuals’ economic behavior. Using panel data for twelve EU countries, in the present study we analyze the causal relationship between self-reported housing satisfaction and residential mobility. Our results indicate that: i) households unsatisfied with their current housing situation are more likely to move; ii) housing satisfaction raises after a move, and; iii) housing satisfaction increases with the transition from being a renter to becoming a homeowner. Some interesting cross-country differences are observed. Our findings provide evidence in favor of use of subjective indicators of satisfaction with certain life domains in the analysis of individuals’ economic conduct.
    Keywords: Housing satisfaction, residential mobility, homeownership, individual’s choice behavior.
    JEL: D1 R0 J0
    Date: 2008–03
  7. By: Junyi SHEN (Assistant Professor, Osaka School of International Public Policy, Osaka University); Yusuke SAKATA (Associate Professor, School of Economics, Kinki University); Yoshizo HASHIMOTO (President, Osaka Prefectural Institute for Advanced Industry Development)
    Abstract: In this paper, under the consideration on both local environmental status and transportation network, we implement Cost Benefit Analysis (CBA) for the extension plan of Osaka Monorail Loop-line by applying a Choice Experiment (CE) method. It is estimated that the benefit cost (B/C) ratio is 1.35 under a basic scenario. In addition, with a consideration on different kinds of uncertainty in the future, a number of sensitivity analyses are implemented. The results of sensitivity analysis indicate that the possibility of generating net benefit is extremely high for the extension plan studied here.
    Keywords: cost benefit analysis; choice experiment method; monorail; environmental status; transportation network
    JEL: C25 D61 R42
    Date: 2008–03
  8. By: Rosa, Julio M. (Statistics Canada); Mohnen, Pierre (UNU-MERIT, Maastricht University)
    Abstract: This study examines whether the transfer of knowledge flows from universities to enterprises in Canada is hampered by the geographical distance that separates them. The transfer of knowledge flows are measured by the amount of R&D payments from business enterprises to universities that are directly reported in Statistics Canada's survey on Research and Development in Canadian Industry. We use data from the 1997 to 2001 surveys. After controlling for unobserved individual heterogeneity, selection bias as well as for other covariates that could affect the extent of industry-university R&D transactions such as absorptive capacity, foreign control, belonging to the same province, past experience with a given university and other firm and university characteristics, it is found that a 10% increase in distance decreases the proportion of total R&D paid to a university by 1.4 percent for enterprises that do not report any codified transfer of knowledge flow, and by half as much for enterprises that report codified knowledge flows.
    Keywords: knowledge transfer, university-industry relationships, codified knowledge, tacit knowledge, spatial proximity
    JEL: O31 O33 D83 D85
    Date: 2008

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