Viviana Carriel, Manuel Pérez-Trujillo, Marcelo Lufin, Miguel Atienza
Long-distance commuting (LDC) is an increasingly relevant strategy of labor mobility worldwide and is therefore key to understanding the structure and dynamics of labor markets. However, little is known about the effect that LDC has on the labor market equilibrium of host territories. This paper addresses this gap for the case of Chile. While LDC is a useful strategy for improving salary and employment on a national scale, our results show a negative effect for residents in host territories (on a local scale), particularly when LDC results in commuters with similar characteristics to residents competing for the same jobs.
{"title":"The impact of long-distance commuting on salaries and employment in host regions in Chile","authors":"Viviana Carriel, Manuel Pérez-Trujillo, Marcelo Lufin, Miguel Atienza","doi":"10.1111/jors.12678","DOIUrl":"10.1111/jors.12678","url":null,"abstract":"<p>Long-distance commuting (LDC) is an increasingly relevant strategy of labor mobility worldwide and is therefore key to understanding the structure and dynamics of labor markets. However, little is known about the effect that LDC has on the labor market equilibrium of host territories. This paper addresses this gap for the case of Chile. While LDC is a useful strategy for improving salary and employment on a national scale, our results show a negative effect for residents in host territories (on a local scale), particularly when LDC results in commuters with similar characteristics to residents competing for the same jobs.</p>","PeriodicalId":48059,"journal":{"name":"Journal of Regional Science","volume":null,"pages":null},"PeriodicalIF":3.0,"publicationDate":"2023-12-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138824733","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Luigi Benfratello, Davide Castellani, Anna D'Ambrosio
We investigate the migration-inward foreign direct investment (FDI) nexus in narrow geographies. A novel two-stage empirical strategy allows us to investigate the role of migration as a determinant of multinational enterprises (MNEs) location choices and unpick heterogeneity in foreign investors' preferences towards the presence of migrants in the host location. This allows us to shed light on the relative importance of the underlying mechanisms linking migration and inward FDI. Relying on 1113 greenfield investments by 895 MNEs in Italian NUTS3 regions over 2003–2015, we find that immigrants from the country of origin of the investor exert a positive but highly heterogeneous effect on MNE location choices. Investors are more sensitive to the presence of migrants from their country of origin when they lack experience in the destination country (first-time investors) and when their investments concern market-access or business-services (downstream) activities. This is consistent with the view that migrants act as information brokers that bridge the fixed costs of international business activities.
{"title":"Migration and the location of MNE activities: Evidence from Italian provinces","authors":"Luigi Benfratello, Davide Castellani, Anna D'Ambrosio","doi":"10.1111/jors.12674","DOIUrl":"10.1111/jors.12674","url":null,"abstract":"<p>We investigate the migration-inward foreign direct investment (FDI) nexus in narrow geographies. A novel two-stage empirical strategy allows us to investigate the role of migration as a determinant of multinational enterprises (MNEs) location choices and unpick heterogeneity in foreign investors' preferences towards the presence of migrants in the host location. This allows us to shed light on the relative importance of the underlying mechanisms linking migration and inward FDI. Relying on 1113 greenfield investments by 895 MNEs in Italian NUTS3 regions over 2003–2015, we find that immigrants from the country of origin of the investor exert a positive but highly heterogeneous effect on MNE location choices. Investors are more sensitive to the presence of migrants from their country of origin when they lack experience in the destination country (first-time investors) and when their investments concern market-access or business-services (downstream) activities. This is consistent with the view that migrants act as information brokers that bridge the fixed costs of international business activities.</p>","PeriodicalId":48059,"journal":{"name":"Journal of Regional Science","volume":null,"pages":null},"PeriodicalIF":3.0,"publicationDate":"2023-12-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/jors.12674","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138505090","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Enhanced transportation infrastructure improves the frequency of travel and facilitates face-to-face communication. Will the resulting reduction in travel cost mitigate the geographical concentration of knowledge spillovers? Our empirical strategy exploits China's mass expansion of its intercity high-speed railway network as a natural experiment. Using patent citations as the proxy for knowledge spillovers, we find inventors increasingly rely on more distant knowledge after rail connection and newly connect cities' innovation performance improves substantially.
{"title":"Is distance really dying? Transportation and knowledge spillovers","authors":"Siwei Cao, Guangrong Ma, Hao Mao","doi":"10.1111/jors.12675","DOIUrl":"10.1111/jors.12675","url":null,"abstract":"<p>Enhanced transportation infrastructure improves the frequency of travel and facilitates face-to-face communication. Will the resulting reduction in travel cost mitigate the geographical concentration of knowledge spillovers? Our empirical strategy exploits China's mass expansion of its intercity high-speed railway network as a natural experiment. Using patent citations as the proxy for knowledge spillovers, we find inventors increasingly rely on more distant knowledge after rail connection and newly connect cities' innovation performance improves substantially.</p>","PeriodicalId":48059,"journal":{"name":"Journal of Regional Science","volume":null,"pages":null},"PeriodicalIF":3.0,"publicationDate":"2023-11-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139232835","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This paper measures how much more households pay for less density in their immediate surroundings. Using transaction and administrative data and exploiting the introduction of a regulation that restricted the number of housing units for certain land lots, we find that households discount density: a 10% increase in within-development density decreases the price per square meter by 5%. Further, the mean price per square meter of the average development increased by 1%–3% after the regulation was introduced, while the amount of built-up space remained constant. The increase in total revenue suggests developers may underestimate the externality caused by density.
{"title":"Within-development density and housing prices in Singapore","authors":"Eric Fesselmeyer, Haoming Liu, Louisa Poco","doi":"10.1111/jors.12677","DOIUrl":"10.1111/jors.12677","url":null,"abstract":"<p>This paper measures how much more households pay for less density in their immediate surroundings. Using transaction and administrative data and exploiting the introduction of a regulation that restricted the number of housing units for certain land lots, we find that households discount density: a 10% increase in within-development density decreases the price per square meter by 5%. Further, the mean price per square meter of the average development <i>increased</i> by 1%–3% after the regulation was introduced, while the amount of built-up space remained constant. The increase in total revenue suggests developers may underestimate the externality caused by density.</p>","PeriodicalId":48059,"journal":{"name":"Journal of Regional Science","volume":null,"pages":null},"PeriodicalIF":3.0,"publicationDate":"2023-11-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138505091","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Miguel Ángel Almazán-Gómez, Carlos Llano, Julián Pérez, Daniel Rauhut
History shows that wars can be enormously disruptive of economic activity, especially international trade, national income, and global economic welfare. This article analyzes the impact on the European regions the Russian invasion of Ukraine using the largest and most updated multiregional input-output model for Europe. Two shocks, trade and inflation, and four alternative scenarios are simulated. The scenarios are considered regarding the number of countries applying a trade embargo, the exemption of oil and gas, and the potential trade diversions with third countries such as China. We obtained a significant fall in GDP (−1.7%), 3.7 m lost jobs and 3% raise over the prewar inflation rate. For trade shock, large indirect effects are obtained, indicating the high relevance of the sectors and countries exposed to the war and the sanctions. The republics of the former Soviet Union, as well as the satellite countries of the former communism, face the harshest adverse impacts. This work shows the importance of breaking Russia's colonial economic ties to the countries in Eastern Europe.
{"title":"Socioeconomic impacts of Russian invasion of Ukraine: A multiregional assessment for Europe","authors":"Miguel Ángel Almazán-Gómez, Carlos Llano, Julián Pérez, Daniel Rauhut","doi":"10.1111/jors.12676","DOIUrl":"10.1111/jors.12676","url":null,"abstract":"<p>History shows that wars can be enormously disruptive of economic activity, especially international trade, national income, and global economic welfare. This article analyzes the impact on the European regions the Russian invasion of Ukraine using the largest and most updated multiregional input-output model for Europe. Two shocks, trade and inflation, and four alternative scenarios are simulated. The scenarios are considered regarding the number of countries applying a trade embargo, the exemption of oil and gas, and the potential trade diversions with third countries such as China. We obtained a significant fall in GDP (−1.7%), 3.7 m lost jobs and 3% raise over the prewar inflation rate. For trade shock, large indirect effects are obtained, indicating the high relevance of the sectors and countries exposed to the war and the sanctions. The republics of the former Soviet Union, as well as the satellite countries of the former communism, face the harshest adverse impacts. This work shows the importance of breaking Russia's colonial economic ties to the countries in Eastern Europe.</p>","PeriodicalId":48059,"journal":{"name":"Journal of Regional Science","volume":null,"pages":null},"PeriodicalIF":3.0,"publicationDate":"2023-11-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/jors.12676","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139258064","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Francesco Vidoli, Fabio Quintiliani, Giorgio Ivaldi, Giorgia Marinuzzi, Francesco Porcelli, Walter Tortorella
Homogeneous national policies can generate heterogeneous effects on the territory. This paper aims to verify the impact of the entry of single Italian municipalities into an inter-municipal association on the unitary costs of the social services supplied to the local communities. Panel cost stochastic frontier model in the presence of endogeneity has been introduced based on two pillars: a counterfactual setting to verify the aggregation effects concerning a set of similar municipalities and the use of a cost efficiency estimation methodology which considers the endogeneity of output with respect to cost. The results of our analysis show that the effects of adopting associated forms of service delivery can be very multifaceted and diversified according to the typology and the degree of implementation of the Municipal Union itself. The analysis sheds light on the effects of municipalities' organisational choices, addressing the consolidation of small municipalities not in binary terms but also—and above all—suggesting that it is the type of union that impacts the possibility of convergence towards greater cost efficiency.
{"title":"Do municipal unions improve cost efficiency for the social function? A quasi-experimental endogenous stochastic frontier approach","authors":"Francesco Vidoli, Fabio Quintiliani, Giorgio Ivaldi, Giorgia Marinuzzi, Francesco Porcelli, Walter Tortorella","doi":"10.1111/jors.12673","DOIUrl":"10.1111/jors.12673","url":null,"abstract":"<p>Homogeneous national policies can generate heterogeneous effects on the territory. This paper aims to verify the impact of the entry of single Italian municipalities into an inter-municipal association on the unitary costs of the social services supplied to the local communities. Panel cost stochastic frontier model in the presence of endogeneity has been introduced based on two pillars: a counterfactual setting to verify the aggregation effects concerning a set of similar municipalities and the use of a cost efficiency estimation methodology which considers the endogeneity of output with respect to cost. The results of our analysis show that the effects of adopting associated forms of service delivery can be very multifaceted and diversified according to the typology and the degree of implementation of the Municipal Union itself. The analysis sheds light on the effects of municipalities' organisational choices, addressing the consolidation of small municipalities not in binary terms but also—and above all—suggesting that it is the type of union that impacts the possibility of convergence towards greater cost efficiency.</p>","PeriodicalId":48059,"journal":{"name":"Journal of Regional Science","volume":null,"pages":null},"PeriodicalIF":3.0,"publicationDate":"2023-11-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/jors.12673","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"136351693","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This paper examines the determinants of early school leaving (ESL) in a panel of 371 regions of OECD countries observed between 1998 and 2019. The empirical analysis includes both local factors previously emphasized by micro-economic studies and national-level factors such as education policies. We find that labor market opportunities for young people, as captured by the youth unemployment rate or the size of low-skill sectors, can pull students out of school. Conversely, late access to a large number of vocational education tracks, high preprimary enrollment and continuous training for teachers are strongly and negatively correlated with ESL rates.
{"title":"Why do students leave school early in OECD countries? The role of regional labor markets and school policies","authors":"Julien Bonnet, Fabrice Murtin","doi":"10.1111/jors.12671","DOIUrl":"10.1111/jors.12671","url":null,"abstract":"<p>This paper examines the determinants of early school leaving (ESL) in a panel of 371 regions of OECD countries observed between 1998 and 2019. The empirical analysis includes both local factors previously emphasized by micro-economic studies and national-level factors such as education policies. We find that labor market opportunities for young people, as captured by the youth unemployment rate or the size of low-skill sectors, can pull students out of school. Conversely, late access to a large number of vocational education tracks, high preprimary enrollment and continuous training for teachers are strongly and negatively correlated with ESL rates.</p>","PeriodicalId":48059,"journal":{"name":"Journal of Regional Science","volume":null,"pages":null},"PeriodicalIF":3.0,"publicationDate":"2023-10-06","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/jors.12671","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135345578","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Fiber internet expansion represents a path to improved economic vitality for Americans, but it is unclear who benefits from it and by how much. We examine the effects of subsidized fiber internet expansion on home prices and homebuyer demographics using data from Wisconsin and an IV approach to correct for fiber network endogeneity. We find fiber internet increases urban and rural housing values by 1.83% ($3,462) and decreases the likelihood a homebuyer is white by 2.88%, but in urban areas only. Fiber internet therefore does not appear to drive minority homebuyers away but may contribute to the urban-rural racial divide.
光纤网络的扩展是提高美国经济活力的一条途径,但目前还不清楚谁能从中受益,受益多少。我们利用威斯康星州的数据和修正光纤网络内生性的 IV 方法,研究了补贴光纤网络扩张对房价和购房者人口统计学的影响。我们发现,光纤网络使城市和农村地区的住房价值提高了 1.83%(3462 美元),使白人购房者的可能性降低了 2.88%,但仅限于城市地区。因此,光纤网络似乎不会驱赶少数族裔购房者,但可能会造成城乡种族差异。
{"title":"Is it really bridging the gap? Fiber internet's impact on housing values and homebuyer demographics","authors":"David Wolf, Nicholas Irwin","doi":"10.1111/jors.12670","DOIUrl":"10.1111/jors.12670","url":null,"abstract":"<p>Fiber internet expansion represents a path to improved economic vitality for Americans, but it is unclear who benefits from it and by how much. We examine the effects of subsidized fiber internet expansion on home prices and homebuyer demographics using data from Wisconsin and an IV approach to correct for fiber network endogeneity. We find fiber internet increases urban and rural housing values by 1.83% ($3,462) and decreases the likelihood a homebuyer is white by 2.88%, but in urban areas only. Fiber internet therefore does not appear to drive minority homebuyers away but may contribute to the urban-rural racial divide.</p>","PeriodicalId":48059,"journal":{"name":"Journal of Regional Science","volume":null,"pages":null},"PeriodicalIF":3.0,"publicationDate":"2023-10-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135645596","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Xiaozhou Ding, Christopher Bollinger, Michael Clark, William Hoyt
In the past 50 years, a voluminous literature estimating the value of schools through capitalization in home prices has emerged. Prior research has identified capitalization using a variety of approaches including discontinuities caused by boundaries. Here, we use changes in school boundaries and the opening of a new school in Fayette County (Lexington), Kentucky to identify this capitalization. Critical to properly estimating the effect of redistricting is to account for when information on redistricting is available. We treat the information about the effects of zoning as occurring in three stages: announcement of the intent to open the new high school and redistricting, approval of the specific redistricting plan (map), and implementation (opening of the new high school and actual changes in boundaries). We find significant changes in values for homes redistricted from lower-performing schools and we find that this capitalization occurs well before implementation of the redistricting. As we show, failure to account for capitalization occurring before implementation will attenuate and even change the sign of capitalization.
{"title":"Too late to buy a home? School redistricting and the timing and extent of capitalization","authors":"Xiaozhou Ding, Christopher Bollinger, Michael Clark, William Hoyt","doi":"10.1111/jors.12672","DOIUrl":"10.1111/jors.12672","url":null,"abstract":"<p>In the past 50 years, a voluminous literature estimating the value of schools through capitalization in home prices has emerged. Prior research has identified capitalization using a variety of approaches including discontinuities caused by boundaries. Here, we use changes in school boundaries and the opening of a new school in Fayette County (Lexington), Kentucky to identify this capitalization. Critical to properly estimating the effect of redistricting is to account for when information on redistricting is available. We treat the information about the effects of zoning as occurring in three stages: announcement of the intent to open the new high school and redistricting, approval of the specific redistricting plan (map), and implementation (opening of the new high school and actual changes in boundaries). We find significant changes in values for homes redistricted from lower-performing schools and we find that this capitalization occurs well before implementation of the redistricting. As we show, failure to account for capitalization occurring before implementation will attenuate and even change the sign of capitalization.</p>","PeriodicalId":48059,"journal":{"name":"Journal of Regional Science","volume":null,"pages":null},"PeriodicalIF":3.0,"publicationDate":"2023-10-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135900305","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Marco Alberto De Benedetto, Sergio Destefanis, Luigi Guadalupi
We study the effect of Law 81/1993, which introduced a different rule for the election of mayors, on the technical efficiency of Italian cities over the period 1998–2006. Since 1993, municipalities below 15,000 inhabitants vote with a single-ballot system, whereas cities above 15,000 inhabitants are subject to a double ballot. We first estimate the output-oriented technical efficiency of municipalities through data envelopment analysis, and then we perform a regression discontinuity design analysis by exploiting the exogenous change in the electoral scheme at the 15,000 inhabitants cut-off. We find evidence that municipalities voting under a double-ballot rule show lower levels of efficiency—in terms of provision of public goods—compared with cities voting under a single-ballot scheme, by about 6.5%. This effect is driven by inefficiencies registered in specific sectors, that is, police, education, and maintenance of roads. Furthermore, the overall lower efficiency of municipalities voting under runoff is related to the different level of educational attainment of elected mayors, whereas it is not driven by the features of Law 81/1993 relating to the number of lists forming a coalition in support of mayoral candidates and to disjoint votes.
{"title":"Electoral rule and public sector efficiency: Some evidence from Italian municipalities","authors":"Marco Alberto De Benedetto, Sergio Destefanis, Luigi Guadalupi","doi":"10.1111/jors.12669","DOIUrl":"10.1111/jors.12669","url":null,"abstract":"<p>We study the effect of Law 81/1993, which introduced a different rule for the election of mayors, on the technical efficiency of Italian cities over the period 1998–2006. Since 1993, municipalities below 15,000 inhabitants vote with a single-ballot system, whereas cities above 15,000 inhabitants are subject to a double ballot. We first estimate the output-oriented technical efficiency of municipalities through data envelopment analysis, and then we perform a regression discontinuity design analysis by exploiting the exogenous change in the electoral scheme at the 15,000 inhabitants cut-off. We find evidence that municipalities voting under a double-ballot rule show lower levels of efficiency—in terms of provision of public goods—compared with cities voting under a single-ballot scheme, by about 6.5%. This effect is driven by inefficiencies registered in specific sectors, that is, police, education, and maintenance of roads. Furthermore, the overall lower efficiency of municipalities voting under runoff is related to the different level of educational attainment of elected mayors, whereas it is not driven by the features of Law 81/1993 relating to the number of lists forming a coalition in support of mayoral candidates and to disjoint votes.</p>","PeriodicalId":48059,"journal":{"name":"Journal of Regional Science","volume":null,"pages":null},"PeriodicalIF":3.0,"publicationDate":"2023-09-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/jors.12669","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"135718606","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}