Full Citation

Title: Driving to Opportunity: Local Rents, Wages, Commuting Costs and Sub-Metropolitan Quality of Life

Citation Type: Working Paper

Publication Year: 2014

ISBN:

ISSN:

DOI: 10.3386/w19922

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Abstract: We examine variation in local wage levels, housing costs, and commuting costs for 2071 areas covering the United States within and across metropolitan areas. In an equilibrium model of residential and workplace choice, we use these measures to construct a willingness-to-pay index for a typical household. When households are sufficiently homogeneous and mobile, this index indicates the perceived value of local household amenities, or “quality of life.” Wage levels vary little within metropolitan areas relative to across them, while individual characteristics that predict wages vary more within, suggesting patterns about sorting. Quality of life varies as much within metros as across them, and is typically high in areas that are dense, suburban, mild, safe, entertaining, and have higher school-funding.

Url: http://www.nber.org/papers/w19922.pdf

User Submitted?: No

Authors: Albouy, David; Lue, Bert

Series Title: NBER Working Paper Series

Publication Number: 19922

Institution: National Bureau of Economic Research

Pages:

Publisher Location: Cambridge, MA

Data Collections: IPUMS USA

Topics: Labor Force and Occupational Structure, Migration and Immigration, Other

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