Department of Economics

 

Document Type

Article

Date of this Version

June 2008

Comments

Published in American Journal of Agricultural Economics 90:3 (2008), pp. 783–793; doi 10.1111/j.1467-8276.2008.01135.x Copyright © 2008 American Agricultural Economics Association; published by John Wiley& Sons, Inc. http://www3.interscience.wiley.com/journal/118482046/home Used by permission.

Abstract

This article analyzes determinants of growth across labor markets in the United States, using a production function approach based on four inputs: labor, manufacturing investment, human capital investment, and public capital investment. We find little role for public capital investment in growth, but that manufacturing investment spurred growth in nonmetropolitan areas, in contrast to metropolitan areas. We also find that human capital investment mattered more for metropolitan areas than for nonmetropolitan areas. Further, the presence of more colleges and universities, more household amenities, and lower tax rates are all found to have encouraged human capital accumulation in U.S. labor markets.

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