Market potential, increasing returns and geographic concentration

In this paper, I examine the spatial correlation between wages and consumer purchasing power across U.S. counties to see whether regional demand linkages contribute to spatial agglomeration. First, I estimate a simple market-potential function, in which wages are associated with proximity to consumer markets. Second, I estimate an augmented market-potential function derived from the Krugman model of economic geography, parameter estimates for which reflect the importance of scale economies and transport costs. The estimation results suggest that demand linkages between regions are strong and growing over time, but quite limited in geographic scope.     

研发人力资源投入、知识溢出和专利产出的空间面板数据模型

以地区周边的R&D人力资源投入作为空间知识溢出变量,基于推广的知识生产函数构建了R&D要素投入、空间知识溢出与专利产出的空间面板数据模型。利用2000—2007年我国31个省级区域的数据,分析了R&D人才集聚对空间知识溢出的作用,以及R&D人力资源投入、知识溢出对区域自主创新的影响。结果显示,地区及其临近地区的R&D人力资源投入均对本地区的专利产出有显著的正面影响。这说明R&D人才是自主创新的重要源泉,人才集聚促进空间知识溢出,空间知识溢出对地区的自主创新有明显贡献。     

The spatial organization of multinational firms

Abstract Using six years of firm‐level data covering 224 regions of the enlarged European Union, we evaluate the importance to a firm of locating its activities (production, headquarters, R&D, logistics and sales) close together. We find that, after controlling for regional characteristics, being closely located to a previous investment positively affects firm location choice. However, the impact of distance is dependent on the type of investment (production or service). The impact dies out faster for service activities. Finally, we show that a surprisingly positive effect comes from locating a new production plant close to an existing production investment, but in another country.     

The extent of the market and stages of agricultural specialization

Abstract This paper provides empirical evidence of an U‐shaped causal relationship between the extent of the market (size of the relevant urban market) and the pattern of crop specialization in a village economy. We use the recent two‐stage estimator developed by Lewbel (2012) and exploit heteroscedasticity for identification. The results suggest that the portfolio of crops in a village economy becomes more diversified initially as the extent of the market increases. However, after the market size reaches a threshold, the production structure starts to specialize again. This evidence on the stages of agricultural diversification is consistent with the stages of diversification identified in the recent literature for the economy as a whole and also for the manufacturing sector.     

How do consumers respond to house price declines?

Movements in house prices and consumer spending are closely correlated in many developed nations. Much debate exists on whether this relationship is causal arising from either wealth effects or via borrowing constraints. This paper uses a unique survey question on consumer responses to house price falls to explain the relationship between house price movements and consumer spending among households in the United Kingdom. 30% of households report they would cut back consumption as a direct response to house price falls. Households who reported they were borrowing constrained were much more likely to report they would cut consumption.     

A household level environmental Kuznets curve? Some recent evidence on transport emissions and income

This paper uses detailed survey data to show no evidence of an Environmental Kuznets Curve (EKC) for household transport emissions. The evidence shows that richer households still do not choose to internalize the social cost of polluting by vehicle emissions.     

A smooth coefficient quantile regression approach to the social capital–economic growth nexus

This analysis assesses the role of social capital in generating heterogeneity in growth processes across U.S. counties by estimating growth regressions, using the novel semiparametric smooth coefficient quantile regression method in which parameters are unspecified functions of a measure of social capital. The results indicate substantial differences across the quantiles of economic growth in the profile shapes of the coefficient estimates over the level of social capital. Moreover, the coefficient function estimates are highly nonlinear over the level of social capital, providing evidence that the growth process that links initial income, education attainment, ethnic diversity, inequality, population density, and government activity to growth varies with social capital in a nonlinear way.     

Spatial random utility model with an application to recreation demand

The paper examines the relevance of unobserved spatial dependence between individual decision-makers in the analysis of discrete choices. To incorporate spatial interdependencies in the behavioral analysis, we propose a spatial random utility model of recreation demand. The model combines the set-theoretic concept of spatial neighborhood, endogeneity of spatial interdependencies, and unobservable individual preferences. Our estimation procedure uses an efficient pseudo maximum likelihood estimator. We apply the model to the study of recreational travel demand in Iowa and evaluate the significance of unobserved spatial interdependencies between individual households in recreational travel choices.     

Structural Change of European Dairy Farms – A Cross‐Regional Analysis

Previous analyses of dairy farm structural change focus on the variation over time in one or a small number of regions. We present an EU‐15 cross‐regional analysis of the development of dairy farm numbers in different size classes over the period 1995–2005. Our purpose is to measure the explanatory relevance and effect of key factors suggested in the theoretical and empirical literature on structural change. Apart from the unprecedented scope, the underlying Markov chain analysis also contributes by combining observed transitions in micro (farm level) data with macro (sector level) data on farm numbers. Results show widely significant impacts of most considered explanatory variables, but also reflect and illuminate the complexity of the underlying processes.     

Welfare impacts of maize–pigeonpea intensification in Tanzania

This article examines the driving forces behind farmers’ decisions to adopt improved pigeonpea and maize and estimates the causal impact of technology adoption on household welfare using data obtained from a random cross‐section sample of 613 small‐scale farmers in Tanzania. We use seemingly unrelated and recursive bivariate probit regressions to test the endogeneity and joint decision making of pigeonpea–maize production. A double hurdle model is used to analyze the determinants of the intensity of technology adoption conditional on overcoming seed access constraints. To address the impact of adoption on welfare, the article employs both propensity score matching and switching regression techniques. Results from bivariate probit models show that unobservable factors cause both decisions to be correlated but the finding does not support the conjecture that both decisions are made jointly. Overall the analysis of the determinants of adoption identifies inadequate local supply of seed, access to information, human capital, and access to private productive asset as key constraints for pigeonpea technology adoption. The causal impact estimation from both the propensity score matching and switching regression suggests that maize/pigeonpea adoption has a positive and significant impact on income and consumption expenditure among sample households.