Found 93 article(s) for author 'Edward Glaeser'

The Macroeconomic Implications of Housing Supply Restrictions

The Macroeconomic Implications of Housing Supply Restrictions. Edward Glaeser, June 15, 2019, Paper, “Housing supply restrictions, including historic preservation policies, minimum lot sizes and height limitations, are typically approached with static Pigouvian tools, but these policies also have dynamic implications. Restricted supply will typically make quantities, which determine construction employment, less volatile, and prices, which determine financial stability, more volatile. A prominent exception occurs when supply-unconstrained areas build so much during a boom that construction halts during the bust, and in that case, elastic supply can be associated with both price volatility and a limited ability to use credit instruments to boost employment during a bust. As institutions with counter-cyclical missions grapple with housing policies, they must recognize that housing regulation interacts with monetary policy, and that reforming housing policy may have implications for the business cycle.Link

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Urban management in the 21st century Ten insights from Professor Ed Glaeser

Urban management in the 21st century Ten insights from Professor Ed Glaeser. Edward Glaeser, June 2019, Paper, “In August 2018, CDE hosted Professor Ed Glaeser, the world’s leading urban economist and the Fred and Eleanor Glimp Professor of Economics in the Faculty of Arts and Sciences at Harvard University. He shared his critical insights based on vast experience during a series of seminars and engagements with leaders, policy makers and officials from the Johannesburg and Cape Town metro governments. To help improve the quality of South Africa’s discussion about cities’ vital role in growth and development, we are publishing here, in collaboration with Professor Glaeser, a summary of the key lessons that we drew from the questions he asked and the talks he gave.Link

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The Spatial Mismatch Between Innovation and Joblessness

The Spatial Mismatch Between Innovation and Joblessness. Edward Glaeser, April 9, 2019, Paper, “American technological creativity is geographically concentrated in areas that are generally distant from the country’s most persistent pockets of joblessness. Should innovation policy attempt to engender more innovation is distressed areas? The primarily inventive parts of innovation policy, such as N.I.H. grants, can aid underperforming areas, possibly through health improvements that reduce the share of people on Disability Insurance, without any spatial reallocation. Moreover, since research funding is presumably already designed to maximize knowledge production, spatial reallocation may come at a considerable cost. The educational aspects of innovation policy, such as Pell Grants, work-study and Federal overhead reimbursement on grants, can reflect regional realities better and do more to encourage employment in distressed areas. Lifting the cap on H1B visas in poorer places can also enhance local human capital. Finally, there is particular scope for geographically targeted entrepreneurship policy, such as eliminating the barriers to new business formation near universities and in distressed places. Spatially targeted employment subsidies can also encourage more labor-intensive innovation in depressed areas.Link

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Human-Capital Externalities in China

Human-Capital Externalities in China. Edward Glaeser, August 2018, Paper, “This paper provides evidences of heterogeneous human-capital externality using CHIP 2002, 2007 and 2013 data from urban China. After instrumenting city-level education using the number of relocated university departments across cities in the 1950s, one year more city-level education increases individual hourly wage by 22.0 percent, more than twice the OLS estimate. Human-capital externality is found to be greater for all groups of urban residents in the instrumental variable estimation.Link

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Measuring Gentrification: Using Yelp Data to Quantify Neighborhood Change

Measuring Gentrification: Using Yelp Data to Quantify Neighborhood Change. Edward Glaeser, August 2018, Paper, “We demonstrate that data from digital platforms such as Yelp have the potential to improve our understanding of gentrification, both by providing data in close to real time (i.e. nowcasting and forecasting) and by providing additional context about how the local economy is changing. Combining Yelp and Census data, we find that gentrification, as measured by changes in the educational, age, and racial composition within a ZIP code, is strongly associated with increases in the numbers of grocery stores, cafes, restaurants, and bars, with little evidence of crowd-out of other categories of businesses. We also find that changes in the local business landscape is a leading indicator of housing price changes, and that the entry of Starbucks (and coffee shops more generally) into a neighborhood predicts gentrification. Each additional Starbucks that enters a zip code is associated with a 0.5% increase in housing prices.Link

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The Role of Industry, Occupation, and Location-Specific Knowledge in the Survival of New Firms

The Role of Industry, Occupation, and Location-Specific Knowledge in the Survival of New Firms. Edward Glaeser, July 2018, Paper, “How do regions acquire the knowledge they need to diversify their economic activities? How does the migration of workers among firms and industries contribute to the diffusion of that knowledge? Here we measure the industry, occupation, and location specific knowledge carried by workers from one establishment to the next using a dataset summarizing the individual work history for an entire country. We study pioneer firms-firms operating in an industry that was not present in a region-because the success of pioneers is the basic unit of regional economic diversification. We find that the growth and survival of pioneers increase significantly when their first hires are workers with experience in a related industry, and with work experience in the same location, but not with past experience in a related occupation.Link

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Ed Glaeser on the Future of Employment, Inequality, Poverty, and Joblessness in America

Ed Glaeser on the Future of Employment, Inequality, Poverty, and Joblessness in America July 2018. GrowthPolicy’s Devjani Roy interviewed Ed Glaeser, the Fred and Eleanor Glimp Professor of Economics at Harvard University, on the future of employment, inequality, poverty, and joblessness in America. | Click here for more interviews like this one. Links: Ed Glaeser’s […]

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The role of industry-specific, occupation-specific, and location-specific knowledge in the growth and survival of new firms

The role of industry-specific, occupation-specific, and location-specific knowledge in the growth and survival of new firms. Edward Glaeser, June 23, 2018, Paper, “How do regions acquire the knowledge they need to diversify their economic activities? How does the migration of workers among firms and industries contribute to the diffusion of that knowledge? Here we measure the industry-, occupation-, and location-specific knowledge carried by workers from one establishment to the next, using a dataset summarizing the individual work history for an entire country. We study pioneer firms—firms operating in an industry that was not present in a region— because the success of pioneers is the basic unit of regional economic diversification.Link

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How Companies Can Use the Data They Collect to Further the Public Good

How Companies Can Use the Data They Collect to Further the Public Good. Edward Glaeser, Michael Luca, May 16, 2018, Paper, “By the end of 2017, Yelp had amassed more than 140 million reviews of local businesses. While the company’s mission focuses on helping people find local businesses more easily, this wealth of data has the potential to serve other purposes. For instance, Yelp data might help restaurants understand which markets they should consider entering, or whether to add a bar. It can help real estate investors understand where gentrification might occur. And it might help private equity firms with an interest in coffee decide whether to invest in Philz or Blue Bottle.Link

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Saving the heartland: Place-based policies in 21st Century America

Saving the heartland: Place-based policies in 21st Century America. Edward Glaeser, Lawrence Summers, March 8, 2018, Paper, “America’s regional disparities are large and regional convergence has declined if not disappeared. This wildly uneven economic landscape calls for a new look at spatially targeted policies. There are three plausible justifications for place-based policies–agglomeration economies, spatial equity and larger marginal returns to targeting social distress in high distress areas. The second justification is stronger than the first and the third justification is stronger than the second. The enormous social costs of non-employment suggests that fighting long-term joblessness is more important than fighting income inequality. Stronger tools, such as spatially targeted employment credits, may be needed in West Virginia than in San Francisco.Link

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