bluuebunny/crossref_metadata_2025 huggingface dataset:
Tourism and Commercial Demand for Hotel/Motel Services
Authors: Ellerbrock Michael J. , Wells Gary J.
Published: March 2021

Though tourism is receiving increased attention in the literature, the accommodations sector lacks basic research on what factors most influence economic behavior. One possible reason for this gap may be that economists assume the standard economic models apply directly to the hotel and motel industry. This paper develops a theory of economic behavior in the hotel industry and then tests it empirically.
The Effect of Mental Health on US County Economic Growth
Authors: Davlasheridze Meri , Goetz Stephan J. , Han Yicheol
Published: March 2021

Poor mental health creates significant economic costs, in addition to human suffering, and is a growing world-wide concern, especially with an aging population. To estimate the cost of this disease in the U.S., we adopt a conventional economic growth model and include the number of poor mental health days (PMHD) as a right-hand side variable. Controlling for various county-level variables associated with income growth, our results suggest that

one additional PMHD is associated with a 1.84 percentage point lower per capita real income growth rate, or $53 billion less total annual income, across the U.S. between 2008 and 2014. This effect is in addition to the income losses associated with the Great Recession.
Knowledge Flows Among US Metro Areas: Innovative Activity, Proximity, and the Border Effect
Authors: Mukherji Nivedita , Silberman Jonathan
Published: March 2021

Knowledge spillovers are critical for innovation and new value creation in an increasingly

knowledge-intensive economy. The substantial scholarly attention on knowledge spillovers has shown that there is a rapid distance decay associated with knowledge spillovers and that there is a positive state border effect. We show that the effects of distance, technology proximity, and the state border effect on knowledge flows are dependent on the size of the regions (MSAs) involved in the knowledge flow. Not accounting for innovation size (innovative communities and social relationships) in the flow of knowledge across origin-destination regions results in aggregation bias in the parameter estimates. Knowledge spillovers are more localized for small innovation MSAs than for large ones. Distance is not as much of a resistance factor in knowledge flow for larger innovation metro areas compared with smaller regions. Spatial origin and destination effects due to technology compatibility of neighboring regions do not affect the knowledge flow among large innovation MSAs, but do have an effect when small MSAs interact with large MSAs.
Regionalization and Consolidation of Municipal Taxes and Services
Authors: Hall Joshua C. , Matti Josh , Zhou Yang
Published: March 2021

The United States has a rich history of local government taxation and good provision. The last fifty years, however, have seen increasing calls for the regionalization of municipal taxes and services from policymakers. Arguments for greater regionalization emphasize improved efficiency, enhanced equity, mitigation of spillovers, and improved economic development. A number of localist scholars have responded to regionalists’ concerns. This review articulates regionalists’ arguments, the localists’ response, and summarizes the relevant empirical literature to see which side’s theories hold forth in the data.
The Political Economy of Targeted Economic Incentives
Authors: Mitchell Matthew , Sutter Daniel , Eastman Scott
Published: March 2021

The use of targeted economic development incentives—or selective financial and regulatory incentives to encourage particular firms to relocate or expand—has proliferated in recent decades. However, the relationship between these targeted incentives and another approach to economic development, economic freedom, has not been studied. This article reviews several new studies assessing this relationship, and provides a review of academic literature evaluating how targeted incentives affect communities as a whole, including those firms and industries not receiving subsidies from government. It concludes by discussing areas for future work.
Is There a Tradeoff Between Economic Development Incentives and Economic Freedom? Evidence from the US States
Authors: Dove John A. , Sutter Daniel
Published: March 2021

State and local governments have used targeted incentives to recruit businesses for decades. The relationship between incentives and business formation, employment, and economic growth has been studied in detail. This paper extends this literature by examining the relationship between development incentives and economic freedom – where economic freedom refers to the ability of individuals and firms to enter into contracts and use their property as they see fit without permission from government (Gwartney, Lawson, and Hall, 2016). Optimal tax theory assumes an exogenous government revenue constraint, suggesting that taxes not collected from some businesses result in higher taxes on others, which may negatively impact economic freedom. By contrast, tax breaks could diffuse across firms and thus positively affect economic freedom. The paper investigates this relationship with state-level panel data between 1994 and 2013. We find an economically and statistically significant negative relationship between incentives and freedom, which are robust to several specifications.
A Role for Regional Scientists in a Time of Crisis
Authors: Cushing Brian J.
Published: March 2021

The United States is in the midst of a drug crisis of unprecedented magnitude. It developed slowly at first, but has exploded across the country in recent years. It is exacting a huge human and financial cost. As the crisis continues to accelerate, it is beginning to decimate some areas, particularly small rural communities, including many in Central Appalachia. While the medical field and some other disciplines seem to have gone all in with regards to research on the crisis, regional science has pretty much been invisible. This paper lays out some facts regarding the crisis and makes a case for regional science to step up and be part of the discussion.
Book Reviews
Authors: Dunn Leslie , Dunn Robert
Published: March 2021

“SNAP Matters: How Food Stamps Affect Health and Well-Being” is reviewed by Bruce Weber. “Global Tax Fairness” is reviewed by Perry Ferrell. “A Good Tax: Legal and Policy Issues for the Property Tax in the United States” is reviewed by Chris Mothorpe. “The Politics of Poverty Reduction” is reviewed by Joylynn Pruitt.
Racial Diversity and School Performance: A School Location Approach
Authors: Angioloni Simone , Ames Glenn C.W.
Published: March 2021

This study investigates the relationships among racial diversity, school performance, and school location. Through spatial regression techniques, we find evidence of a positive relationship between achievement score and racial diversity for the fourth grade students in Georgia’s public schools. Direct effects, as defined by the spatial Durbin error model, are stronger in urban schools which are at the lowest levels of racial diversity. In contrast, indirect effects are present at the highest levels of racial diversity, namely in suburban and town schools.
Location of Retail Stores in City Center and Outskirts under Spatial Price Competition: Improvements in Radial and Ring Roads
Authors: Kishi Akio , Kono Tatsuhito , Nozoe Yoshitaka
Published: March 2021

Retail stores locate in both the center and the outskirts of most cities. Their locations can change with transportation improvements. This paper presents a spatial price competition model with central and outlying commercial areas. It illustrates the relationship between retail store location and transportation improvements. An improvement of a radial road connecting the city center and the outskirts contributes to commercial development in the central area. However, an improvement of a ring road in the outskirts does not always engender a decline in the number of stores in central commercial areas.
Racially Polarized Voting in a Southern U.S. Election: How Urbanization and Residential Segregation Shape Voting Patterns
Authors: Weaver Russell , Bagchi-Sen Sharmistha
Published: March 2021

This paper advances a model of racially polarized voting that captures the intervening effects of urbanization and residential segregation on white voters’ political behavior. The model is tested for a 2011 referendum election in the U.S. state of Mississippi. Using King’s method of ecological inference and weighted least squares regression, we find that regional minority population size impacts white opposition to minority-preferred political alternatives both directly and indirectly through an effect on residential racial segregation. Importantly, these influences hinge on intra-regional patterns of urbanization. The findings have important implications for understanding spatial variation in regional political behavior and intergroup relations.
Do Economic Development Efforts Benefit All? Business Attraction and Income Inequality
Authors: Shuai Xiaobing
Published: March 2021

This paper extends the current literature on county-level income distribution in the United States by explicitly exploring the effect of business-attraction efforts by state governments. Using county-level job attraction and retention data from 2000 to 2005 in Virginia to explain the income distribution from 2006 to 2010, while controlling for demographic and socioeconomic conditions of local communities, this study shows that bringing in manufacturing jobs can reduce income inequality at the local level while attracting jobs in professional and business services tends to increase local income inequality. The results indicate that state and local governments’ efforts to attract and retain manufacturing jobs help improve local income distribution.
A Typology of Rural Airports in the United States: Evaluating Network Accessibility
Authors: Wei Fangwu , Grubesic Tony H.
Published: March 2021

Since deregulation of the airline industry in 1978, carriers have largely focused their commercial service efforts on medium and large hub airports located in metropolitan areas with sufficient demand for air travel services. These profitable locations often cross-subsidize service to smaller hubs, which can function as feeder nodes/links to the larger hub-to-hub carrier network. However, as fuel and labor costs continue to increase for commercial carriers, reductions and terminations of air service in smaller rural markets are common, reducing carrier footprints and leaving many regions of the United States without viable air transport options. To be clear, this is not a new development. Many rural and remote airports are all too familiar with service reductions, which is why safeguards such as the Essential Air Service program continue to operate. The purpose of this paper is to explore the network and geographic context of airports in the U.S., evaluating relative accessibility and using this information to develop a typology of rural airports for the U.S. Implications for policy and transportation planning are discussed.
Special Issue on Spatial Econometrics: An Editorial Note
Authors: Arbia Giuseppe , Piras Gianfranco , Prucha Ingmar
Published: March 2021

The present note is an introduction to this special issue of The Review of Regional Studies, which features a selection of papers that were originally presented at the 7th World Conference of the Spatial Econometrics Association. The conference took place in Washington, D.C. from July 10-12, 2013. This issue contains three papers, all empirical contributions.
What Regional Scientists Need to Know about Spatial Econometrics
Authors: LeSage James P.
Published: March 2021

Regional scientists frequently work with regression relationships involving sample data that is spatial in nature. For example, hedonic house-price regressions relate selling prices of houses located at points in space to characteristics of the homes as well as neighborhood characteristics. Migration, commodity, and transportation flow models relate the size of flows between origin and destination regions to the distance between origin and destination as well as characteristics of both origin and destination regions. Regional growth regressions relate growth rates of a region to past period own- and nearby-region resource inputs used in production. Spatial data typically violates the assumption that each observation is independent of other observations made by ordinary regression methods. This has econometric implications for the quality of estimates and inferences drawn from nonspatial regression models. Alternative methods for producing point estimates and drawing inferences for relationships involving spatial data samples comprise the broad topic covered by spatial econometrics. Like any subdiscipline, spatial econometrics has its quirks, many of which reflect influential past literature that has gained attention in both theoretical and applied work. This article asks the question: “What should regional scientists who wish to use regression relationships involving spatial data in an effort to shed light on questions of interest in regional science know about spatial econometric methods?”
America’s Job Crisis and the Role of Regional Economic Development Policy
Authors: Partridge Mark D.
Published: March 2021

The biggest issue facing the United States in recent years is the poor economy, most dramatically illustrated by the lack of job creation. The lack of jobs is not a phenomenon that began with the 2007-2009 Great Recession and sluggish recovery, but has been a feature of the entire early 21st Century. There are federal fiscal and monetary policy responses that would help lift job creation. Yet, in lieu of federal efforts, state and local officials have aggressively promoted job creation by a host of schemes including cluster-based policies and tax incentives and subsidies. While data are hard to come by, anecdotal evidence suggests that state and local efforts to lure businesses with generous inducements have escalated to a feverous pitch. The distinctive feature of such efforts is that governments are increasingly more inclined to offer these inducements to individual firms or industries as opposed to general business tax cuts for all firms, in which the former is a case where officials are “picking winners,” while in the latter, markets and relative comparative advantage determine business location. State and local officials justify such “picking winners” as a way to fend off competition in neighboring jurisdictions and as a

way to make their region more competitive. In this paper I examine whether these efforts have helped matters.
Rural Income Inequality in Mo zambique: National Dynamics and Local Experiences
Authors: Silva Julie A.
Published: March 2021

This study examines the drivers of income inequality in a rural, developing economy. The analysis uses data from a national longitudinal survey of rural households and a case study in Mozambique’s Limpopo River Basin and to investigate how economic integration affects income inequality within environmentally-embedded economies. Decomposition of the Gini coefficient finds increasing inequality of agricultural income at the national level. Qualitative findings suggest that economic change pressures smallholders to abandon traditional agricultural strategies, which increases environmental risk and contributes to higher inequality. Results indicate changing environmental-economic trade-offs are one mechanism behind rising inequality in rural societies integrating into the global economy.
Two-Region DSGE Analysis of Regionally Targeted Fiscal Policy
Authors: Tamegawa Kenichi
Published: March 2021

In this paper, we explain how to construct a dynamic stochastic general equilibrium model consisting of N regions, and use the two-region version of the model to simulate the effects of fiscal policy on the economy. Our policy simulation shows that the fiscal multiplier depends on which government (local or central) implements the fiscal policy and where the policy is implemented.
Book Reviews
Authors: Leguizamon J. Sebastian , Leguizamon Susane
Published: March 2021

“Applied General Equilibrium: An Introduction” is reviewed by María Teresa Álvarez-Martínez. “Faith and Money: How Religion Contributes to Wealth and Poverty” is reviewed by Michael Lahr. “City Distribution and Urban Freight Transport: Multiple Perspectives” is reviewed by Zhenhua Chen.
Book Reviews
Authors: Lipscomb Clifford A.
Published: March 2021

“Innovation, Economic Growth, and the Firm” is reviewed by Peter V. Schaeffer. “Paving Paradise: Florida’s Vanishing Wetlands and the Failure of No Net Loss” is reviewed by Abigail Mooney. “Handbook of Regional Innovation and Growth” is reviewed by Jan Youtie.
A Regime-Switching Analysis of the Impact of Oil Price Changes on the Economies of U.S. States
Authors: Kang Wei , Penn David A. , Zietz Joachim
Published: March 2021

The study employs quarterly data from 1958:I to 2010:IV to analyze how state earnings respond to oil price changes. We allow for asymmetric and nonlinear reactions of state earnings through a smooth regime switching model. Thirteen of the 50 states are best modeled with a two regime model. The response of the remaining states can be adequately captured by a linear least squares model. The estimation results show marked differences among states in both the tolerance and the delay of response to an oil price change. The speed at which the transition occurs across regimes varies significantly by state.
The Creative Class and Economic Development as Practiced in the Rural U.S. South: An Exploratory Survey of Economic Development Professionals
Authors: Hatcher William , Oyer Matt , Gallardo Roberto
Published: March 2021

The research administers an exploratory survey to local economic developers in the state of Kentucky to examine opinion regarding the creative class. We hypothesize that Kentucky officials, especially the ones from the rural areas of the state, will be skeptical of the creative class theory of economic development. However, analysis shows half of the sampled economic developers to be supportive of the creative class, and rural developers are just as likely as urban ones to support the theory.
Does Broadband Access Impact Migration in America? Examining Differences between Rural and Urban Areas
Authors: Mahasuweerachai Phumsith , Whitacre Brian E. , Shideler Dave W.
Published: March 2021

Using U.S. county-level population between 2000 and 2006 with two sets of broadband data (Cable and DSL) from the year 2000, we apply several econometric models to test whether the early existence of broadband access significantly affects migration. We find mild support for broadband access impacting net migration in urban areas. In contrast to anecdotal evidence, we find that rural counties with a single type of broadband did not experience a significant in-migration, suggesting that broadband access manynot help solve out-migration problems. Only rural counties with bothCable and DSL access saw significant in-migration relative to similar counties without broadband.
Economic and Regional Determinants of the Location of Payday Lenders and Banking Institutions in Mississippi: Reconsidering the Role of Race and Other Factors in Firm Location
Authors: Wheatley W. Parker
Published: March 2021

Using data for Mississippi, this paper revisits Burkey and Simkins’ (2004) work on factors determining the number of payday lenders and banks. With data at two levels of geographic aggregation, the paper discovers whether empirical results are robust and allows for uncertainty in geographic definition of markets. Demand factors of population, income, and wealth have important impacts. Percentage of population with college education depresses numbers of payday lenders. Evidence indicates that banks are less likely to locate in African American areas, but the results show that race is neither a positive nor a statistically significant determinant of location for payday lenders.
Competitiveness of Southern Metropolitan Areas: The Role of New Economy Policies
Authors: Dudensing Rebekka M. , Barkley David L.
Published: March 2021

The concept of regional competitiveness is increasingly popular among academics and policymakers as indicated by reports that rank or grade regional economies. Competitiveness in these studies generally is measured by growth rates in population, employment, and per capita income. This paper explores the relationships between New Economy development policies (innovation, entrepreneurship, and human capital development) and changes in competitiveness outcomes for Southern metropolitan areas. Our results suggest that inputs have different associations with regional competitiveness outcomes. Regional employment growth rates are positively associated with innovation and entrepreneurship while changes in per capita income are related to measures of human capital.
Bayesians in Space: Using Bayesian Methods to Inform Choice of Spatial Weights Matrix in Hedonic Property Analyses
Authors: Mueller Julie M. , Loomis John B.
Published: March 2021

The choice of weights is a non-nested problem in most applied spatial econometric models. Despite numerous recent advances in spatial econometrics, the choice of spatial weights remains exogenously determined by the researcher in empirical applications. Bayesian techniques provide statistical evidence regarding the simultaneous choice of model specification and spatial weights matrices by using posterior probabilities. This paper demonstrate the Bayesian estimation approach in a spatial hedonic property model estimating the impacts of repeated wildfires on house prices in Southern California. We find that improper choice of spatial model and weights can result in up to 5 percent difference in estimated coefficients and in our case study up to a $15 Million difference in total benefits of reducing wildfires in Los Angeles County.
Beach Renourishment and Property Value Growth: The Case of Folly Beach, South Carolina
Authors: Blackwell Calvin , Sheldon Susannah , Lansbury David , Vaught Dyanne
Published: March 2021

Numerous studies using a variety of methods suggest that beach renourishment generates benefits to both recreational users and property owners. To date, however, only Cordes, Gatlaff and Yezer (2001) have used repeat sales data, and they found no effect of renourishment on property values. We use a repeat sales index to investigate the effects of the Army Corps of Engineers’ renourishment of Folly Beach, South Carolina. We find that beach renourishment has maintained property valueappreciation rates when contrasted against rates in a comparable real estate market—nearby Isle of Palms, South Carolina.
The International Exports of U.S. States: An Investigation for Local Spatial Patterns
Authors: Wu Chen , Nsiah Christian , Mayer Walter J.
Published: March 2021

The new economic geography literature has broadened awareness that economic agents’ geographic locations influence one another. Whereas the effect of proximity between exporting and importing units has been investigated somewhat heavily, the possible effect that neighboring economic units can have on each other’s trade with other economic units only relatively recently has received much attention. Neglecting spatial correlation can produce biased estimated coefficients and, consequently, biased estimates of trade, regardless of methodology the latter is based on. Using panel data on the manufacturing exports of the 48 contiguous U.S. states to 24 Asian countries, we empirically test for local spatial linkages in the manufacturing exports of U.S. states to the Asianregion. We investigate if spatial linkages are created by geographic, cultural, infrastructural, innovation asset, business environment, and economic development proximities. We find that all proximity weights generate statistically significant spatial linkages.
The Hedonic Pricing Model Applied to the Housing Market of the City of Savannah and Its Savannah Historic Landmark District
Authors: Cebula Richard J.
Published: March 2021

This study applies a hedonic pricing model to the housing market of the City of Savannah, Georgia. The Savannah Historic Landmark District is located both in and adjacent to downtown Savannah. Of the 2,888 single-family homes for the period 2000-2005 for which data are available, 591 are located in the Historic District. The model of the real sales price of a single-family house in the City of Savannah environment reveals it is positively affected by the number of bathrooms, fireplaces, bedrooms, stories in structure, garage car spaces, square feet of finished living space, the presence of a deck, a private courtyard, a pool and/or hot-tub, an exterior construction of brick or stucco, the presence of an underground sprinkler system, and whether the house was new. Six spatial control variables are considered. Locations across from, or adjacent to, open space carry premia, as do locations on cul-de-sacs or lakes. Corner properties do not. In addition, proximity to an apartment complex is capitalized as a negative quantity, as do locations on a busy street. The real sales price of residential properties that closed during May or July tend to be higher. In addition, houses designated as a national historical monument tend to carry with them a modest price premium, as do properties that are simply located within the Savannah Historic Landmark District.
Introduction to a Special Issue on Rural Health in the U.S.
Authors: Fannin J. Matthew , McNamara Paul E.
Published: March 2021

This paper introduces a special issue on rural health in the U.S.
Examining Diet Quality and Body Mass Index in Rural Areas using a Quantile Regression Framework
Authors: Asirvatham Jebaraj
Published: March 2021

Under- and overeating (based on calories) are different problems than being under- and overweight (based on BMI); they thus require different economic prescriptions. To study these differences, I use a quantile regression method that allows an examination of covariate effects at different points in the distribution. The examination focuses on differences in rural and urban areas, and also in characteristics such as education, age, and other economic, demographic and behavior variables. Results suggest that policy in rural areas and the South must emphasize recommendations based on dietary guidelines. I also find that the characteristics typical of rural areas have a large effect regardless of the region.
Book Reviews
Authors: Lipscomb Clifford A.
Published: March 2021

“Targeting Regional Economic Development” is reviewed by Russ Kashian. “Leadership and Institutions in Regional Endogenous Development” is reviewed by Robert Dunn. “Innovation and Entrepreneurship” is reviewed by Justin M. Ross. “Universities, Knowledge Transfer, and Regional Development: Geography, Entrepreneurship, and Policy” is reviewed by Elvira Uyarra.
How Do State Arts Appropriations Affect State Economic Growth?
Authors: Deskins John , Deskins Sally , Hill Brian
Published: March 2021

In this study we examine the effect of public spending for the arts on state economic growth among U.S.states. While there is a largeliterature on the effects of many elements of public spending on economic growth, this literature has ignored spending for the arts. We extend this literature by conducting a series of regression models using a panel of state-level data for the years 1992 through 2003 to identify the effect of public spending for the arts on state economic growth when such spending is financed through own-source revenues. Results indicate that increasing state arts spending above current levels, financed through own-source revenues, leads to an overall reduction in state economic growth. While this finding does not indicate that arts spending as a whole adversely impacts economic growth, it suggests that state arts spending is slightly above the optimum level, to the extent that the goal of such spending is to maximize economic growth.
Understanding Firms’ Relocation and Expansion Decisions Using Self-Reported Factor Importance Rating
Authors: Hu Wuyang , Cox Linda J. , Wright Joan , Harris Thomas R.
Published: March 2021

Using individual business surveys, this study examines the most important factors for firms’ decisions to relocate or expand in the past as well as their intention to relocate or expand in the future. Results indicate that factors related to firms’ internal characteristics, features of location sites, and the general economic environment may affect firms’ past and future decisions. These factors are found to be generally consistent in their impact upon the past and future decisions with several noticeable differences. The hypothesis of footloose firms is supported by this study.
The Influence of Temporal Choice, Correlation, and Sample Size on Income Convergence
Authors: Naghshpour Shahdad
Published: March 2021

Beta-convergence is determined by the sign of the slope of the income growth line. The conclusion of significance, hence convergence or divergence, is affected by the temporal choice. Changes in the starting and ending periods influence the conclusion of convergence, lack of significance, or divergence. The customary t-test for significance of slope is influenced by correlation between the base year and the growth rate over the period of study as well as the sample size. To separate the two contributing factors, the t-test is formulated as a function of the correlation coefficient.
Using County Typologies to Inform Job Tax Credit Policy in Georgia
Authors: Lipscomb Clifford A. , Kashbrasiev Rinas V.
Published: March 2021

Some problems with the Georgia job tax credit program have been outlined as have some potential remedies. In this paper, we analyze Georgia’s job tax credit policy through a county typology lens. County typologies are created using factor analysis of the most recently available demographic, socioeconomic, amenity, industrial, and fiscal data to endogenously locate different aggregations ofGeorgia counties. Then, we visually inspect the different county aggregations for clusters of counties. Finally, we illustrate the utility of these county types to recommend policy changes in the State’s policy on job tax credit tiers.
China’s Regional Disparity in Demographic Transition: A Spatial Analysis
Authors: Wang Jiamin
Published: March 2021

China’s regional income gap has given rise to different socio-economic characteristics of its core and periphery, leading to different expressions in demographic transition. This paper explores the spatial pattern of China’s fertility, age, migration, and household transition and finds that the regional pattern of demographic transition roughly follows a gradient of provinces’ economic status. Further analysis indicates that this pattern is more sensitive to economic conditions in rural areas than in urban equivalents.
Study of Agricultural Productivity and Its Convergence across China’s Regions
Authors: Li Guoping , Zheng Xianfeng , Zhang Lizhen
Published: March 2021

Because it has a large, growing population but only a small share of land that can be cultivated, it is important for China to enhance its agricultural productivity through technological progress. Using data envelopment analysis, we decompose productivity into pure technical efficiency change, scale efficiency change, and technological progress. We thereby find that annual growth of agricultural productivity in China is about 2.2 percent. Technological progress improved agricultural productivity at a rate of 4.2 percent annually from 1980 to 2005, but the technology efficiency dampened it by an average of 1.9 percent per year. TFP growth and technological progress are faster in eastern provinces than for those in central and western regions. Relative technology efficiency was stable in eastern provinces but declined in the central and western provinces during the study period. Thus, it was technological progress that boosted the TFP growth in China’s agriculture. Tests also reveal that σ convergence existed in Chinese agricultural productivity.
In Honor of Manfred M. Fischer
Authors: Getis Arthur
Published: March 2021

This paper discusses the contributions of Manfred M. Fischer.
Spatial Structure and Spatial Interaction: 25 Years Later
Authors: Griffith Daniel A.
Published: March 2021

In the 1970s, spatial autocorrelation (i.e., local distance and configuration effects) and distance decay (i.e., global distance effects) were suspected of being intermingled in spatial interaction model specifications. This convolution was first treated in a theoretical context by Curry (1972), with some subsequent debate (e.g., Curry, Griffith, and Sheppard 1975). This work was followed by a documentation of the convolution (e.g., Griffith and Jones 1980) and further theoretical treatment of the role spatial autocorrelation plays in spatial interaction modeling (e.g., Griffith 1982). But methodology did not exist at the time—or even soon thereafter—to easily or fully address spatial autocorrelation effects within spatial interaction model specifications, a contention attested to and demonstrated by the cumbersome and difficult-to-implement techniques employed by, for example, Bolduc, Laferrière, and Santarossa (1992, 1995) and Bolduc, Fortin, and Gordon (1997). Today, however, eigenfunction-based spatial filtering offers a methodology that can account for spatial autocorrelation effects within a spatial interaction model. This paper updates work from the early 1980s, extending it with spatial filtering methods.
Local versus Global Convergence in Europe: A Bayesian Spatial Econometric Approach
Authors: Ertur Cem , Le Gallo Julie , LeSage James P.
Published: March 2021

Numerous studies have pointed to the econometric problems introduced by heterogeneity in cross-sectional data samples used to explore convergence suggested by neo-classical growth models. We introduce a local concept of convergence along with a Bayesian locally linear spatial estimation method to address these problems. The method allows global and local β-convergence to be viewed in a continuous fashion. Inference regarding global convergence can be treated as a mixture distribution arising from local β-convergence estimates from each region in the sample. Taking this approach eliminates the need to specify sub-samples and regimes as well as parameter variation schemes that have been used to model heterogeneity. We illustrate the method using a sample of 138 European regions.
The Impact of Lotteries on State Education Expenditures: Does Earmarking Matter?
Authors: Pantuosco Louis , Seyfried William , Stonebraker Robert
Published: March 2021

In this paper, we estimate the impact of earmarking lottery revenue to education as opposed to filtering lottery revenue through a state’s general fund. A unique facet of this investigation is the comparison of states with lottery revenue earmarked for spending on K-12 education and states with lotteries for general funds. This approach enables us to investigate the effect of state lottery revenues on education and other budgetary components in a more controlled environment by mitigating lottery preference differences across states. Consistent with previous research, we find that earmarking lottery proceeds for K-12 education has little or no impact on actual state K-12 funding. We also find that lottery revenue does seem to increase K-12 funding in states that deposit the revenues into their general funds

.
Do Migrating Seniors Affect Business Establishment and Job Growth? An Empirical Look at Southeastern Nonmetropolitan Count ies, 2000 - 2004
Authors: Lambert Dayton M. , Clark C.D. , Wilcox M.D. , Park W.M.
Published: March 2021

Migrating seniors are choosing to live in nonmetropolitan areas. Many nonmetropolitan communities are, in turn, focusing on recruiting retirees as an economic development strategy. This paper applies a regional growth model to measure the impact of migrating seniors (between 1995 and 2000) on employment and business establishment growth in the southeastern United States from 2000 to 2004. This region is a popular senior destination due to low taxes, mild climate, inexpensive housing, and proximity to friends and families. The economic impacts of senior migration are spatially heterogeneous across the region, suggesting alternative policy implications for urban and nonurban communities.
Frontier Issues in Rural and Regional Development
Authors: Schaeffer Peter , Weiler Stephan
Published: March 2021

This paper introduces the special issue on frontier issues in rural and regional development.
The Spatial Economy of Gender-Based Occupational Segregation
Authors: Olfert M. Rose , Moebis Dianne M.
Published: March 2021

Occupational segregation by gender persists in spite of improvements in labor market gender equality over the past 40 years. In this paper a simple index of occupational segregation, the D-Index, computed for each of the 288 census divisions in Canada for the year 2000 is regressed on a measure of “rurality,” along with the standard explanations. The rurality variable is included to capture the influence of spatial variations in access to services and employment opportunities. Results indicate a strong influence of rurality, even when industrial composition is controlled for. Education attainment gaps and the presence of children are also significant.
Lake Rehabilitation and the Value of Shoreline Real Estate: Evidence from Delavan, Wisconsin
Authors: Kashian Russ , Eiswerth Mark E. , Skidmore Mark
Published: March 2021

In this article we use the hedonic price model to estimate the effect of a change in water quality on the value of real estate in the lake community of Delavan, Wisconsin. Hedonic techniques show that a $7 million rehabilitation program significantly increased Delavan Lake shoreline property values. Existing research demonstrates that the use of objective water quality measures (as opposed to subjective measures) is important for estimating the implicit value of water quality in hedonic analyses. This article provides new evidence on the economic benefits of clean water by measuring the change in property values attributed to an observable rehabilitation event.
The Effects of an Inter-Regional Transfer with Empire-Building Regional Governments
Authors: Groenewold Nicolaas , Hagger Alfred J.
Published: March 2021

This paper is concerned primarily with the economic and welfare consequences of federal redistributive grants to regional governments. We use a model that has two regions, each with house-holds, firms, and a regional government as well as a federal government. The households, firms, and regional governments are all optimizers – households maximize utility, firms maximize profits, and we assume that regional governments are empire-builders in that they choose their expenditure and tax levels so as to maximize total expenditure – the size of their empire. Labor is free to move between regions in response to utility differences and does so until such differences have been eliminated. Interregional migration and federal government redistribution are the main sources of interconnectedness between the two regions. The model is linearized in log-differences and simulated using Australian state-level data. We find that the welfare effects of intergovernmental transfers are trivial but that all other variables of interest change substantially – consumption, employment, taxes, wages, output, and government expenditure. The welfare effects of a federal transfer are little influenced by the choice of empire-building rather than beneficent regional governments, but the influence on other variables is substantial.
Examining the Reliability of Survey Data with Remote Sensing and Geographic Information Systems to Improve Deforestation Modeling
Authors: Caviglia-Harris Jill L. , Harris Daniel W.
Published: March 2021

Tropical deforestation has environmental consequences at local, regional and global scales. The Brazilian Amazon’s deforestation resulted largely from conversion to farmland by landholders. These conversions caused deforestation that researchers have examined locally by interviews with landowners and regionally by satellite remote sensing. This paper merges data from these methods to validate survey-based deforestation levels with remote-sensing information. We determine household characteristics associated with misreporting of land use. After identifying errors, we modify the data to better estimate influences on local deforestation. Although individuals are not found to intentionally misrepresent land use, incorporating differences between the two data sources improves the estimations of deforestation.
Knowledge Spillovers , Agglomeration Economies, and the Geography of Innovative Activity: A Spatial Econometric Analysis
Authors: Lim Up
Published: March 2021

This paper investigates the extent to which innovative activity in a metropolitan area is affected by knowledge spillovers in the neighboring metropolitan areas as well as in the metropolitan area itself. The spatial econometric analysis shows that innovative activity in a metropolitan area is positively affected by both specialization and diversity externalities in high technology industries in the metropolitan area, and that there also exist geographic knowledge spillovers across metropolitan boundaries. In addition, this study finds that high technology specialization externalities are more localized than high technology diversity externalities.
The Geographic Mobility of Displaced Workers: Do Local Employment Conditions Matter?
Authors: Yankow Jeffrey J.
Published: March 2021

Using data drawn from the National Longitudinal Survey of Youth 1979, the Bureau of Labor Statistics, and County Business Patterns, this study investigates whether displaced workers adjust their job search strategies in response to local market conditions to favor migration out of declining labor markets. Empirical results from a Cox partial-likelihood proportional hazards model are supportive. A low density of local employment and low average wage levels are associated with shorter wait times to migration. Conversely, high local employment growth rates, high wages, and low unemployment rates correlate with an increased likelihood of obtaining local employment following displacement.
Explaining Per Capita Personal Income Differences between States
Authors: Connaughton John E. , Madsen Ronald A.
Published: March 2021

The purpose of this paper is to identify factors that explain the differences in state PCPI levels and to examine the question of how demographic factors have influenced changes in state PCPI levels over the census years between 1950 and 2000. The results suggest that the racial composition of state populations has had little influence on state real PCPI levels. The important variables in explaining real PCPI differences between the states appear to be the percentage of the population that lives in urban areas, the percentage of the population with a four-year college degree, and the percentage of the population employed in the service sector.
An Introduction to this Special Issue on Education and Rural Development
Authors: Gibbs Robert M. , Beaulieu Lionel J.
Published: March 2021

This paper introduces the special issue on education and rural development.
Education and Economic Well-Being in Racially Diverse Rural Counties: The Role of Historically Black Colleges and Universities
Authors: Mykerezi Elton , Mills Bradford F.
Published: March 2021

The role of Historically Black Colleges and Universities (HBCUs) in increasing the education and economic well-being of rural Blacks is not, perhaps, as clear today as in the past given the abolition of formal segregation in public education. This paper presents evidence that HBCUs still play a major role in improving the economic well being of rural counties with high concentrations of Blacks. Further, the impact of HBCUs in promoting college education among Blacks is above and beyond that of other colleges and universities. Increased rates of college education generate, in turn, higher income growth.
The Time Pattern of Internal Migration: Human Capital Meets Job Matching
Authors: Allen Jeremiah
Published: March 2021

A human capital model of migration that includes location-specific capital and job search is integrated with job-matching/flows approach to labor markets. This generates a model that is consistent with the observed pro-cyclicality of new migration. Unlike all previous models, this model not only explains, it predicts the observed counter-cyclicality of return migration.
Decomposition of Regional Income Inequality in Korea
Authors: Kim Euijune , Jeong Youn Hee
Published: March 2021

This paper analyzes sources of income inequality in Korea with respect to income source and region. When the Gini index of overall income inequality was decomposed by geographical boundaries, the relative contribution of between-region inequality to the total was 67.96 percent in 1995, showing a Gini index of 0.315. Half of this income inequality (a Gini index of 0.234) was attributable to the difference in incomes between the Seoul Metropolitan Area and the rest of the nation, and two-thirds of the income inequality within regions (a Gini index of 0.101) was attributable to the level of income inequality between subregions of the Seoul Metropolitan Area.
An Econometric Look at Inefficiency Among U.S. States, 1977-1986
Authors: Brock Gregory
Published: March 2021

U.S. states during the 1977-1986 business cycle are found to have small but significant technical inefficiency in the private sector. Inefficiency is influenced by several factors, including prior economic performance, location, Hicks labor augmenting technical progress in the manufacturing sector in an earlier 1970s period, college graduation, and income inequality. The existence of a monetary channel, urban agglomeration, and a high school diploma “sheepskin” effect for improved technical efficiency are rejected. Results from earlier studies using noneconometric methods to measure technical efficiency are independently confirmed, indicating that interstate technical inefficiency exists and can be measured using both parametric and nonparametric methods, but may overestimate how different states are from each other.
Workforce Investments and Poverty Dynamics
Authors: Kraybill David S. , Weber Bruce A.
Published: March 2021

A dynamic economic simulation model is developed to assess the potential for a workforce investment program to reduce household poverty. The program provides income to previously unemployed individuals, but when the program is administered to large numbers of persons, the aggregate effect is to increase the supply of labor and lower wages of currently employed workers slightly. The net effect on poverty depends on the number of new workers, the responsiveness of exports to changes in costs of production, and the responsiveness of the poverty rate to wage rate changes. The model results suggest that workforce investment strategies, by themselves, have only a modest impact on the poverty rate.
Regional Growth in the “New” Economy
Authors: Winger Alan R.
Published: March 2021

There is a large body of knowledge about the regional economic growth process that some would argue contributes little to the analysis of such growth in today’s “new” economy. This argument is examined in some detail and shown to exaggerate the shortcomings of what might now be considered the mainstream view of how to study the economic growth process of regions. There are nevertheless some shortcomings in the mainstream view for which new paradigms might be needed. Possible directions for future research that will

remedy some of the current deficiencies in the mainstream models are explored.
A View from Agricultural and Applied Economics
Authors: Henry Mark
Published: March 2021

Is regional science too focused on abstract models, theorizing, and methodology with weak links to policy and practice? Not from the perspective of the land grant university, where many applied economists with a regional science interest reside. The job of these applied economists it, in part, to translate the models and methods into tools for the use in understanding regional development processes and for undertaking policy analysis at the regional level.