Agglomeration Spillovers and Wage and Housing Cost Gradients across the Urban Hierarchy

  title={Agglomeration Spillovers and Wage and Housing Cost Gradients across the Urban Hierarchy},
  author={Mark D. Partridge and D. Rickman and Kamran Ali and M. Rose Olfert},
The tyranny of distance in terms of its effect on median earnings and housing costs is examined for rural and urban U.S. counties. First, we develop a series of distance metrics for an area’s remoteness from multiple tiers of the urban hierarchy. Second, we consider geographical access of buyers and sellers through market-potential measures typical of those used in empirical studies of the New Economic Geography. The results reveal penalties of about 5 to 9% for median earnings and 12 to 17… CONTINUE READING


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