nep-geo New Economics Papers
on Economic Geography
Issue of 2021‒12‒06
five papers chosen by
Andreas Koch
Institut für Angewandte Wirtschaftsforschung

  1. Migration, housing and regional disparities: A gravity model of inter-regional migration with an application to selected OECD countries By Maria Chiara Cavalleri; Nhung Luu; Orsetta Causa
  2. Colocation of Entrepreneurs and New Firm Survival: Role of New Firm Founder’s Experiential Relatedness to Local Entrepreneurs By Tavassoli, Sam; Jienwatcharamongkhol, Viroj; Arenius, Pia
  3. The Role of Local Public Goods for Gender Gaps in the Spatial Economy By Fabian Bald, Marcel Henkel
  4. Local access to skill-related high-income jobs facilitates career advancement for low-wage workers By Zoltan Elekes; Anna Baranowska-Rataj; Rikard Eriksson
  5. The geography of maritime networks: A critical review By César Ducruet

  1. By: Maria Chiara Cavalleri; Nhung Luu; Orsetta Causa
    Abstract: Inter-regional migration – the movements of the population from one region to another within the same country – can be an important mechanism of spatial economic adjustment, affecting regional demographic and growth patterns. This paper examines the economic and housing-related factors that affect the decision of people to migrate to another region within the same country, drawing empirical evidence from country-specific gravity models of inter-regional migration for 14 OECD countries. The results suggest that inter-regional migrants move in search of higher income and better employment opportunities, but are discouraged by high housing costs. In particular, house prices are found to be an important barrier to migration, especially in countries having experienced strong increases in the level and cross-regional dispersion of house prices. There is however large heterogeneity across countries in terms of what factors matter the most and in terms of the magnitude of the migration response.
    Keywords: house prices, housing, inter-regional migration, internal migration, local labour markets, regional disparities, regional mobility
    JEL: R12 R23 R31 J61
    Date: 2021–12–01
  2. By: Tavassoli, Sam (CIRCLE, Lund University); Jienwatcharamongkhol, Viroj (Blekinge Institute of Technology); Arenius, Pia (RMIT University)
    Abstract: Geographical clustering (colocation) influences new firm survival; however, not all new firms within a cluster are impacted equally. In this paper, we elaborate on how the colocation of local entrepreneurs may have different influences on new firm founder’s learning depending on his/her fit, in terms of his/her experiential relatedness, to that of local entrepreneurs. We then associate such founder’s learning with the higher survival of his/her new firm. We test our hypotheses using a matched founder-firm dataset that covers the population of the knowledge-intensive business service sector in Sweden during 2001-2012. We find support for our propositions concerning the relatedness of new firm founders’ experiential background to that of local entrepreneurs. Specifically, we find that high level of relatedness to local entrepreneurs enhances the survival rate of a new firm started by a novice founder, whereas intermediate level of relatedness suits better for a new firm started by an experienced founder.
    Keywords: Colocation; Entrepreneurial learning; New firm survival; Experiential relatedness; Entrepreneurial performance
    JEL: M13
    Date: 2021–11–24
  3. By: Fabian Bald, Marcel Henkel
    Abstract: We assess the role of local public goods provision for gender gaps in the labour market. We find that higher fiscal revenues of local governments are associated with decreasing gender employment gaps in German labour market areas because it decreases labour supply for male workers at a higher rate than for female workers. The results are robust when we include instrumental variables that address the endogeneity of local public goods provision. To assess the impact of fiscal transfers across regions on gender gaps we quantify a spatial general equilibrium model with multiple types of workers, who are differently affected by local public goods provision in their labour supply decision. We find that transfers reduce disparities across regions. This goes along with smaller gender gaps in employment in treated regions because female workers are disproportionately pulled into market work and regions with low productivity.
    Keywords: gender, local public goods, labor force participation, taxes, transfers
    JEL: H4 H7 J1 J2 J6 R2 R5
    Date: 2021–09
  4. By: Zoltan Elekes; Anna Baranowska-Rataj; Rikard Eriksson
    Abstract: A considerable proportion of jobs across labour markets of the Western world are low-wage jobs, while the number of “bad†jobs with deteriorating working conditions and task content is growing. This puts pressure on both successful and lagging regions as low- wage workers struggle to avoid getting priced out of urban areas, while diminishing economic opportunities in more lagging regions fuel social and political discontent. The aim of this paper is to provide empirical evidence on the role of local labour market structure and evolution in enabling or constraining workers in escaping low-wage jobs. Drawing on the network-based approach of evolutionary economic geography in measuring local labour market structure we employ a uniquely detailed individual-level panel dataset provided by Statistics Sweden to construct skill-relatedness networks for 72 functional labour market regions in Sweden. Our fixed-effect panel regressions indicate that the density of skill-related high-income jobs within a region is conductive of low-wage workers moving to better-paid jobs. While metropolitan regions offer a premium for this relationship, it also holds for smaller regions, as well as across various worker characteristics.
    Keywords: skill-relatedness network; local labour market; low-wage workers; structural change; relatedness density
    Date: 2021–11
  5. By: César Ducruet (EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique, GC (UMR_8504) - Géographie-cités - UP1 - Université Paris 1 Panthéon-Sorbonne - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique - UP - Université de Paris)
    Abstract: Despite early cartographical and graph-theoretical analyses of maritime flows in the 1940s and 1960s, it is only from the 2000s onwards that maritime network analysis had grown apace, backed by newly available shipping data, increased computational power, and renewed conceptual frameworks to study networks in general. The evolution of maritime network analysis, in geography and other sciences, is marked by a wide diversity of methods and themes, which we classify into three main parts. We first present studies looking at maritime flows in an abstract space, focusing on operational, statistical, or managerial aspects where navigation, graph structure, and firms' strategies are the key concerns. Second, we review researches where maritime flows and networks are markers and vectors of wider geo-economic structures and dynamics, such as regional inequalities and areas of dominance. Lastly, maritime networks have also been considered as integral parts of territories and wider chained systems, such as urban networks, regional networks, and coupled networks. We conclude that network analysis and maritime transport still share many uncovered areas and discuss potential research pathways for future works.
    Keywords: Transport networks,Network science,Ports,ACL,Complex networks,Flows,Graph theory,Maritime transport,PARIS team
    Date: 2020–10

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