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Title: Local employment multipliers in US cities

Citation Type: Journal Article

Publication Year: 2017

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Abstract: In this article, I show that within a U.S. city there is a significant effect of a permanent shock to employment in the tradable sector on employment in the non-tradable sector. I find that each additional job in the tradable sector will result in between 1.6 and 1.7 new jobs in the non-tradable sector. This result is robust to the specification of sector growth in the regression model. When I split the tradable sector into high-and low-wage workers, I find a larger multiplier of 2.0-2.3 for high-wage workers and no significant multiplier for low-wage workers.

Url: https://academic.oup.com/joeg/article-lookup/doi/10.1093/jeg/lbw010

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Authors: van Dijk, Jasper J

Periodical (Full): Journal of Economic Geography

Issue: 2

Volume: 17

Pages: 465-487

Data Collections: IPUMS USA

Topics: Labor Force and Occupational Structure

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