nep-geo New Economics Papers
on Economic Geography
Issue of 2023‒01‒02
nine papers chosen by
Andreas Koch
Institut für Angewandte Wirtschaftsforschung

  1. Personality and regional innovativeness: An empirical analysis of German patent data By Reher, Leonie; Runst, Petrik; Thomä, Jörg
  2. Spatial Interaction Modeling By Oshan, Taylor M.
  3. Regional general equilibrium modelling with forward-looking agents: an application to the 2014-2020 European structural regional investments By Francesca Crucitti; Patrizio Lecca; Philippe Monfort; Simone Salotti
  4. The Case for Dynamic Cities By Brian J. Asquith; Margaret C. Bock
  5. University proximity at teenage years and educational attainment By George Abuchi Agwu; Oussama Ben Atta
  6. No Place Like Home: Place-Based Attachments and Regional Science By Winters, John
  7. Interest Rates and the Spatial Polarization of Housing Markets By Francisco Amaral; Martin Dohmen; Sebastian Kohl; Moritz Schularick
  8. Systems of Innovation in Central and Eastern European countries: Path of Economic Transition and Differences in Institutions By Mariia Shkolnykova; Lasse Steffens; Jan Wedemeier
  9. Carbon Tax and Emissions Transfer: a Spatial Analysis By Rezgar FEIZI; Sahar AMIDI; Thais NUNEZ-ROCHA; Isabelle RABAUD

  1. By: Reher, Leonie; Runst, Petrik; Thomä, Jörg
    Abstract: This paper contributes to the new literature on the role of personality for regional innovativeness by examining whether this role varies between different types of regions. Building on regionally aggregated levels of individual Big Five personality traits, we find that only extraversion has a positive effect on patenting in German regions. Its impact is particularly important in lagging regions. We interpret this result as an indication of the compensatory role of collaboration for the innovativeness of lagging regions characterized by low levels of (business) R&D, which demonstrates the need for place-sensitive policies that take into account different modes of innovation.
    Keywords: Innovation,Big Five,Personality,Lagging regions
    JEL: J24 O18 O30 R1
    Date: 2022
  2. By: Oshan, Taylor M.
    Abstract: The concept of spatial interaction (SI) encapsulates the domain of human activities that occur between a set of locations embedded within geographical space. Data about such processes are essential for studying a wide spectrum of geographic phenomena that are important to society, such as the accessibility of services, product demand, transportation trends, and demographic dynamics. In particular, SI models seek to explore, explain, and predict aggregate movements or flows that occur across an abstract or physical network, which can be useful on its own, as well as a factor within other regional models. As the number and nature of SI modeling applications have grown, the associated theory and tools have simultaneously evolved to consider more complex spatial relationships, resulting in numerous expansions of the modeling paradigm. In this chapter, some foundations of SI modeling are first laid out before presenting a simple demonstration and then describing several extensions to the core modeling methodology.
    Date: 2022–05–30
  3. By: Francesca Crucitti (European Commission - JRC); Patrizio Lecca (Comillas Pontifical University); Philippe Monfort (European Commission - DG REGIO); Simone Salotti (European Commission - JRC)
    Abstract: We investigate the effects of the 2014-20 European structural funds with a general equilibrium model calibrated on the NUTS 1 regions of the EU. We assume forward-looking agents to account for expectations and long-lasting effects of the policy. The almost €260 billion of investments lead the European GDP to be 0.3% higher in 2022 than it would be in the absence of the policy. Interestingly, this effect is lower than what a model with myopic agents would suggest. The regional distribution of the differences in the GDP impacts between the two settings indicates that the largest deviations are recorded for the net recipient regions, with interesting implications regarding the policy credibility, the nature of the interventions and their duration.
    Keywords: General equilibrium modelling, forward-looking behaviour, regional economics, cohesion policy.
    JEL: C68 D58 R13
    Date: 2022–10
  4. By: Brian J. Asquith (W.E. Upjohn Institute for Employment Research); Margaret C. Bock (Goucher College)
    Abstract: Cities today are confronting never-before-seen challenges to their top spot in the economic hierarchy. In this chapter, we lay out four challenges, past and future, that cities face today and identify policies that can help address the problems we identify. We call attention to the need for many U.S. cities to redevelop the large amount of aging postwar single-family housing, while reforming past exclusionary zoning and infrastructure decisions that exacerbated inequality. Cities will have to fix these past mistakes against the backdrop of an aging population and the rise of remote working, both of which undercut cities’ traditional source of growth by reducing the flow of younger and middle-aged people willing to live in urban centers. The common theme running throughout this paper is that cities, their residents and their business leaders will need to embrace a dynamic ethos and be given a freer hand to reposition their municipalities to face a future that is shaping up to be quite different from the past.
    Keywords: Zoning, infrastructure, housing, population aging
    JEL: R11 R12 R58 J10
    Date: 2022–09
  5. By: George Abuchi Agwu (TREE - Transitions Energétiques et Environnementales - UPPA - Université de Pau et des Pays de l'Adour - CNRS - Centre National de la Recherche Scientifique, AE-FUNAI - Alex Ekwueme Federal University Ndufu-Alike, Ikwo); Oussama Ben Atta (TREE - Transitions Energétiques et Environnementales - UPPA - Université de Pau et des Pays de l'Adour - CNRS - Centre National de la Recherche Scientifique, Centre de recherche de l'ESC Pau - ESC PAU - Ecole Supérieure de Commerce, Pau Business School)
    Abstract: This paper investigates the impact of geographical proximity to universities on educational attainment in Nigeria. We relate individuals level of schooling obtained from three rounds of the Nigeria's Living Standard Measurement Survey (LSMS) to spatial distance to university measured by pairing residential and university campuses GPS coordinates. To identify the effect of the distance to university, we exploit the theory of residential sorting to instrument residential proximity to university. Specifically, we instrument distance to university drawing on variations in households' proximity to state boundary posts and neighbourhood population density. The instrumental variable estimates show a negative and significant effect of distance revealing that geographical constraints during teenage years represent a barrier to the subsequent human capital acquisition. Additional results from a difference-indifference estimation strategy indicate that a large scale establishment of universities had beneficial trickle-down effects by decreasing the intention to drop out of secondary school, supporting evidence of the role of geographical constraints in the accumulation of human capital in Nigeria.
    Keywords: Distance to university,Educational attainment,University attendance,School dropout,Nigeria
    Date: 2021–12–18
  6. By: Winters, John
    Abstract: Place-based attachments are important but often overlooked. Place-based attachments can be beneficial but often harm individuals tied to struggling areas. In this address, I discuss my own education and migration experiences and then more generally discuss sense of belonging as a friction to migration. I also present descriptive statistics related to place-based attachments. Most persons born in the U.S. live in their birth state as adults. Birth-state residence has increased over time, especially among the highly educated. I also present evidence that college graduates who reside in their birth state experience a wage penalty that is increasing over time.
    Date: 2022–08–16
  7. By: Francisco Amaral (Macro Finance Lab, University of Bonn); Martin Dohmen (Macro Finance Lab, University of Bonn); Sebastian Kohl (Free University Berlin); Moritz Schularick (University of Bonn and Sciences Po Paris)
    Abstract: Rising within-country differences in house values are a much debated trend in the U.S. and internationally. Using new long-run regional data for 15 advanced economies, we first show that standard explanations linking growing price dispersion to rent dispersion are contradicted by an important stylized fact: rent dispersion has increased far less than price dispersion. We then propose a new explanation: a uniform decline in real risk-free interest rates can have heterogeneous spatial effects on house values. Falling real safe rates disproportionately push up prices in large agglomerations where initial rent-price ratios are low, leading to housing market polarization on the national level.
    Keywords: House prices, regional housing markets, spatial polarization
    JEL: G10 G12 G15 R30
    Date: 2022–11
  8. By: Mariia Shkolnykova; Lasse Steffens; Jan Wedemeier
    Abstract: Against the background of the current political developments in Central and Eastern European (CEE) countries, like Ukraine, Poland, and Romania, the question arises what role the transformation of the economy and the resulting innovation linkages have played in these countries. This paper addresses this issue by exploring the impact of economic and institutional dimensions on the development of CEE countries, thereby explicitly distinguishing between European Union (EU) members and non-members. First of all, the performance development of the Gross Domestic Product (GDP) of the CEE countries and Western European countries is observed. In a further analysis step, the development of EU members is compared with that of CEE countries that are non-members of the EU. This paper estimates the impact of such factors as innovation, institutions, and political practices on the economic development of 37 European countries for the period from 2000 until 2020 by using a panel regression. The results of the analysis show that institutions matter, especially for non-EU-member CEE countries. Stable institutions—such as freedom of the press, freedom of expression, but also high levels of the Human Development Index—help countries to achieve a higher income development over time. The role of the innovative ability of countries is also decisive for a positive development.
    Keywords: Central and Eastern European Countries, Economic growth, Innovation, Institution, GDP
    JEL: O40 O47 R11
    Date: 2022–11
  9. By: Rezgar FEIZI; Sahar AMIDI; Thais NUNEZ-ROCHA; Isabelle RABAUD
    Date: 2022

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