A comprehensive introduction to both urban and geographical economics: the two dominant approaches used to explain the distribution of economic activity across space. This fully revised and up-to-date third edition gives a full account of the ever-expanding body of knowledge and insights on urban and geographical economics, with an increased emphasis on analytical concepts and empirical methods, reflecting developments in the literature since the last edition. The authors provide both state-of-the-art theories and empirics, introducing new data, methods and models for this edition, including a whole chapter dedicated to measurement issues and empirical methods. Written in a style that is accessible to students who are new to the field, this textbook also includes more advanced concepts that will interest experienced researchers. Unrivalled in its scope and depth, this title is perfect for readers seeking to understand the uneven spatial distribution of economic activity between and within countries.
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Defence date: 10 September 2020 (Online) ; Examining Board: Prof. Árpád Ábrahám (EUI and University of Bristol, Supervisor); Prof. Juan J. Dolado (University Carlos III Madrid); Prof. Lídia Farré (University of Barcelona); Prof. Nezih Guner (CEMFI) ; This dissertation analyses how the geographical sorting of individuals and households affects labour markets as well as gender and spatial inequality. In the first chapter, I show that labour force participation increases with city size for all demographic groups except for women with children, for whom it decreases, a phenomenon that I label Big City Child Penalty (BCCP). Both by means of empirical evidence and a quantitative spatial model of households, I show that the BCCP can be explained by commuting times, wages, and childcare price differentials between small and big cities as well as for unobserved heterogeneity in preferences for a stay-home parent. The second chapter of this dissertation highlights the role of delayed childbearing as an important driver of gentrification. While downtowns provide shorter commuting times and more consumption amenities, limited housing space and schools' worse quality reduce the value of this location choice when children are born. We exploit exogenous variation in the cost of postponing childbearing to obtain causal estimates of the impact of delayed maternity on gentrification. We find that enhanced access to assisted reproductive technologies in the state increases income downtown by 5.4% relative to the suburbs. The third chapter studies the relationship between trade and migration. Coinciding with a period of increasing trade integration, the educational composition of migrants within the European Union changed towards high-skilled workers. We build a two-country, two-sector general equilibrium model in which countries only differ in the productivity of high-tech workers. While price equalization, induced by trade integration, equalizes the real wages of non-educated workers, differences in the real wages of educated workers remain, since the latter are more productive in the most advanced country. As a consequence, factor mobility is needed to exhaust differences in real wages, leading to high-skilled emigration towards the most advanced country. ; 1. Mums and the City: Female Labour Supply and City Size -- 2. Delayed Birth and Gentrification -- 3. Free Trade and Labour Mobility
This dissertation explores three topics in Urban Economics and InternationalTrade. Chapter 1 measures the effect of transit access on neighborhood incomes byexploiting a quasi-experimental setting in Dallas. I show that income in neighborhoodsthat received rail access increases compared to neighborhoods that were promised toreceive access but did not receive it. The treatment effect is positively correlated withinitial neighborhood income and highlights the role of transit as an incubator for incomesegregation. Chapter 2 estimates the impact of international conflict on bilateral traderelations using several incidents of politically motivated boycotts. I find large reductionsin exports from the boycotted to the boycotting countries. Product-level results are in linewith intuition and most effective for consumer goods while having at most a temporaryeffect on intermediates and capital goods. Chapter 3 explores the usage of Landsatsatellite imagery for the measurement of economic outcomes at small geographies.
"Urban Economics and Urban Policy" pulls together cutting-edge developments in urban and regional economics and draws out their implications for urban policy. This new urban economics goes beyond simple comparative advantage and cost competitiveness of cities, and beyond simple views of capital and labor. It develops a much more complex and realistic view of what constitutes local advantage, due to the spatial sorting of different types of people and different types of firms, giving rise to a lumpy landscape of people, activities, and incomes. By taking seriously the new ways we understand the forces shaping the geography of economic development, the authors suggest fresh new ways to work with the grain of markets, but without letting them rip. It is a tour de force.' (Michael Storper, London School of Economics, UK). -- In this bold, exciting and readable volume, Paul Cheshire, Max Nathan and Henry Overman illustrate the insights that recent economic research brings to our understanding of cities, and the lessons for urban policy-making. The authors present new evidence on the fundamental importance of cities to economic wellbeing and to the enrichment of our lives. They also argue that many policies have been trying to push water uphill and have done little to achieve their stated aims; or, worse, have had unintended and counterproductive consequences. -- It is remarkable that our cities have been so successful despite the many shortcomings of urban policies and governance. These shortcomings appear in both rich and poor countries. Many powerful policies intended to influence urban development and spatial differences have been developed since the late 1940s, but they have been subject to little rigorous economic evaluation. The authors help us to understand why economic growth has emerged so unevenly across space and why this pattern persists. The failure to understand the forces leading to uneven development underlies the ineffectiveness of many current urban policies. The authors conclude that future urban policies need to take better account of the forces that drive unevenness and that their success should be judged by their impact on people, not on places - or buildings. -- This groundbreaking book will prove to be an invaluable resource and a rewarding read for academics, practitioners and policymakers interested in the economics of urban policy, urban planning and development, as well as international studies and innovation.
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