Download e-book for kindle: A companion to urban economics by Richard J. Arnott, Daniel P. McMillen

By Richard J. Arnott, Daniel P. McMillen

ISBN-10: 1405106298

ISBN-13: 9781405106290

A significant other to city Economics offers a cutting-edge assessment of this box, speaking its highbrow richness via a various portfolio of authors and subject matters. special in either its rigor and overseas therapy an awesome supplementary textbook in upper-level undergraduate city economics classes, or in master's point classes, offering scholars with the mandatory origin to take on extra complex themes in city economics includes contributions from the world’s major city economists

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Among all the externalities that economists have been thinking about, human capital externalities are “special” in two respects. First, they are potentially of formidable importance for a number of reasons. Such externalities provide a strong justification for subsidies to education. If the private returns to education are only half the social returns, the optimal Pigovian policy is a 50 percent subsidy to education. If, instead, the social returns are essentially equal to the private returns, no subsidy is needed.

There must therefore have been some sizeable source of economies of scale to give rise to cities rather than scattered settlements. , irrigation and the control of flooding), education (for writing and adding), and culture. In “The First Cities,” Arthur O’Sullivan discusses what light current archaeological evidence casts on the debate. The broad history of urbanization in Western Europe since the beginning of the Industrial Revolution should be familiar to all readers; Bairoch (1988) provides a particularly magisterial account.

The primary cause is instead the differences in local industrial organization and culture. The key difference is that Silicon Valley is in some sense more entrepreneurial than Route 128. This point is made by Jeffrey Kalb, an entrepreneurial refugee from the Digital Electronics Corporation: There’s a fundamental difference in the nature of the industry between Route 128 and [Silicon Valley]. Route 128 is organizes into large companies that do their own thing . . It’s very difficult for a small company to survive in that environment .

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A companion to urban economics by Richard J. Arnott, Daniel P. McMillen

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