Published: 2014 | Alain Bertaud | Marron Institute NYU Abstract A city’s welfare depends on its labor market. As long as a labor market does not fragment into adjacent, smaller ones as it grows, the larger the market, the more…
Housing Constraints and Spatial Misallocation
Published: 2015 | Chang-Tai Hsieh Enrico Moretti | Nation Bureau of Economic Research Abstract We quantify the amount of spatial misallocation of labor across US cities and its aggregate costs. Misallocation arises because high productivity cities like New York and…