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Wages, Rents, and the Quality of Life
Abstract
This study focuses on the role of wages and rents in allocating workers to locations with various quantities of amenities. The theory demonstrates that if the amenity is also productive, then the sign of the wage gradient is unclear while the rent gradient is positive. The theory is extended to include the housing market and nontraded goods. These extensions require little modification of the conclusion. The empirical work on wages shows that the regional wage differences can be explained largely by these local attributes. With the use of site price data, implicit prices are estimated and quality of life rankings for the cities are computed.
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Citations
Cited by
Convergence Across States and Regions
Barro, R. J., Sala-I-Martin, X., Blanchard, O. J., & Hall, R. E. (1991) · Brookings Papers on Economic Activity · doi:10.2307/2534639 · Cited by 3,420
GMM Estimation with Cross Sectional Dependence
Conley, T. G. (1999) · Journal of Econometrics · doi:10.1016/s0304-4076(98)00084-0 · Cited by 2,685
Who Benefits from State and Local Economic Development Policies?
Bartik, T. J. (1991) · doi:10.17848/9780585223940 · Cited by 2,643
Identifying Agglomeration Spillovers: Evidence from Winners and Losers of Large Plant Openings
Greenstone, M., Hornbeck, R., & Moretti, E. (2010) · Journal of Political Economy · doi:10.1086/653714 · Cited by 1,138
Human Capital and Regional Development *
Gennaioli, N., La Porta, R., Lopez-de-Silanes, F., & Shleifer, A. (2013) · The Quarterly Journal of Economics · doi:10.1093/qje/qjs050 · Cited by 1,082
Metadata
- Authors
- Roback, J.
- Venue
- Journal of Political Economy
- Publisher
- University of Chicago Press
- Published
- 1982-12
- Volume
- 90
- Issue
- 6
- Pages
- 1257-1278
- ISSN
- 0022-3808 (ISSN-L)
- 1537-534X
- OpenAlex
- W1982417766
- Cited by
- 3,152
- References
- 0
- FWCI
- 14.50
- Type
- journal article
- Language
- en
- Open access
- closed
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Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.
