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on Economic Geography |
| By: | Takashi Akamatsu; Tomoya Mori; Minoru Osawa; Yuki Takayama |
| Abstract: | We theoretically study a general family of economic geography models that features endogenous agglomeration. In many-region settings, the spatial scale---global or local---of the dispersion force(s) in a model plays a key role in determining the resulting endogenous spatial patterns and comparative statics. A global dispersion force accrues from competition between different locations and leads to the formation of multiple economic clusters, or cities. A local dispersion force is caused by crowding effects within each location and induces the flattening of each city. By distinguishing local and global dispersion forces, we can reduce a wide variety of extant models into only three prototypical classes that are qualitatively different in implications. Our framework adds consistent interpretations to the empirical literature and also provides general predictions on treatment effects in structural economic geography models. |
| Date: | 2019–12 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:1912.05113&r=all |
| By: | Rene Belderbos; H Du; Arjen Slangen |
| Abstract: | Foreign investors generally need to overcome a liability of foreignness stemming from contextual distance between their home country and the target country. We argue that they can limit that liability more easily by investing in a global city rather than elsewhere in the target country. Accordingly, we hypothesize that the contextual distance to a target country has a positive effect on a firm’s propensity to invest in a global city in that country. We also predict that this effect is stronger for investments in knowledge-intensive activities and weaker for investors with more target-country experience in general and target-country experience in global cities in particular. Our hypotheses receive considerable support in an analysis of 11,748 foreign greenfield investments by 1,025 manufacturing and service firms during 2008-2012. Our findings suggest that global cities are superior subnational locations for gathering contextual knowledge about target countries and limiting the liability of foreignness. |
| Keywords: | contextual distance, global cities, knowledge-intensive activities, liability of foreignness, location decisions, target-country experience, contextual distance, global cities, knowledge-intensive activities, liability of foreignness, location decisions, target-country experience |
| Date: | 2019–09–11 |
| URL: | http://d.repec.org/n?u=RePEc:ete:msiper:640988&r=all |
| By: | Michael Wasylenko (Center for Policy Research, Maxwell School, Syracuse University, 426 Eggers Hall, Syracuse, NY 13244) |
| Keywords: | Local Economic Development, Tax Subsidies, Job Training, Preschool |
| JEL: | R12 R23 R28 R58 |
| Date: | 2019–12 |
| URL: | http://d.repec.org/n?u=RePEc:max:cprwps:219&r=all |
| By: | Tripathi, Sabyasachi |
| Abstract: | The present study assesses the impact of urbanization on the value of country-level Human Development Index (HDI), using random effect Tobit panel data estimation from 1990 to 2017. Urbanization is measured by the total urban population, percentage of the urban population, urban population growth rate, percentage of the population living in million-plus agglomeration, and the largest city of the country. Analyses are also separated by high income, upper middle income, lower middle income, and low-income countries. We find that, overall; the total urban population, percentage of the urban population, and percentage of urban population living in the million-plus agglomerations have a positive effect on the value of HDI with controlling for other important determinants of the HDI. On the other hand, urban population growth rate and percentage of the population residing in the largest cities have a negative effect on the value of HDI. Finally, we suggest that the promotion of urbanization is essential to achieving a higher level of HDI. The improvement of the percentage of urbanization is most important than other measures of urbanization. Developing countries need to promote balanced urbanization with the improvement of basic urban services for improving the HDI rank. |
| Keywords: | Urbanization, human development index, cross country |
| JEL: | O15 R11 R13 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:97474&r=all |
| By: | Meister, Moritz; Niebuhr, Annekatrin; Peters, Jan Cornelius; Reutter, Philipp; Stiller, Johannes |
| Abstract: | This working paper describes the industry structure of regions and types of regions in Germany. It focusses on the economic specialization of rural areas relative to Germany’s federal economy overall. These investigations stem from the research project „The spatial mobility of workers throughout individual working lives - Analyses for rural areas in Germany“ (MobiLä), which receives funding from the Federal Rural Development Scheme (BULE). Our analysis of regional industry structures shows that the four types of rural regions according to the typology of the Thünen Institute are marked by an industry structure that differs from the overall federal struc-ture, but the extent of these differences is moderate. In addition to a specialization in the prima-ry sector, whose significance for employment is limited even in rural areas, we observe speciali-zations of the aggregate of rural areas in knowledge intensive industries as well as non-knowledge intensive industries. Conversely, knowledge intensive services are significantly under-represented in rural regions. A detailed analysis of the specialization of individual regions reveals a marked heterogeneity within the regional type „rural areas“. Extreme deviations from Germa-ny’s aggregate industry structure are observed in few regions and are mostly driven by branches of the manufacturing industry. Furthermore, the negative correlation of the share of industrial branches and the share of non-knowledge intensive services is noticeable. Regions‘ distinct specialization tendencies are expected to be significant for the heterogeneity of regional migra-tion balances regarding the direction of the net flow as well as the composition of migration flows. First, industry structure influences the regional level of wages and can have effects on economic growth and labour demand. Second, companies‘ required qualifications vary signifi-cantly across different industry branches, therefore the respective specialization partly deter-mines which workers are attracted to a region’s labour market. |
| Keywords: | Community/Rural/Urban Development, Labor and Human Capital |
| Date: | 2019–12–18 |
| URL: | http://d.repec.org/n?u=RePEc:ags:jhimwp:298447&r=all |
| By: | Meister, Moritz; Stiller, Johannes; Peters, Jan Cornelius; Birkeneder, Antonia |
| Abstract: | This working paper stems from the joint research project “The spatial mobility of workers throughout individual working lives - Analyses for rural areas in Germany" by the Thünen Institute of Rural Studies and the Institute for Employment Research (IAB). The project receives funding from the Federal Rural Development Scheme (BULE). Our analyses are based on data from the IAB’s integrated employment biographies (IEB), which provide information on places of residence and individual characteristics of more than 90 percent of Germany’s labor force. Our analyses show, that migration balances of rural regions are not per se negative, but are characterized by a marked heterogeneity and results of the migration balance between rural and non-rural areas fluctuate during the period of observation. Regional migration balances also differ by the observed groups of individuals. Migration flows of employees with mandatory social security show significant patterns of suburbanisation that result in a net flow into rural regions between 2014 and 2017. Rural areas surrounding large cities particularly benefit from these patterns. Net losses in rural areas are observed for the younger part of the labor force and the unemployed. Migration balances of some very rural areas with less favorable socio-economic conditions hint to disadvantegeous demographic developments. This is particularly true for regions of this type in eastern Germany. Considering the entire labor force, we observe negative migration balances for two thirds of very rural western German regions as well. Most rural areas in the vicinity of larger agglomerations record positiv balances. The observed migration flows affect the spatial structure within regions of different types in distinct ways. Regions with below average employment growth exhibit increasing spatial concentration of workers’ places of residence through their intraregional migration flows. On the other hand, rural areas near large agglomerations exhibit increasing dispersion of workers’ places of residence through intra-regional mobility. |
| Keywords: | Consumer/Household Economics, Labor and Human Capital |
| Date: | 2019–12–18 |
| URL: | http://d.repec.org/n?u=RePEc:ags:jhimwp:298448&r=all |