Location, Location, Location

• 成果类型: Article
• 署名作者: Card, David; Rothstein, Jesse; Yi, Moises
• 署名单位: University of California System; University of California Berkeley; University of California System; University of California Berkeley; University of California System; University of California Berkeley
• 刊物名称: AMERICAN ECONOMIC JOURNAL-APPLIED ECONOMICS
• ISSN/ISSBN: 1945-7782
• DOI: 10.1257/app.20220427
• 发表日期: 2025
• 页码: 297-336
• 关键词: high wage workers; agglomeration economies; cities; neighborhoods; Heterogeneity; disparities; impacts; place; FIRMS

摘要

We use linked employer-employee data to study the causal effects of location on earnings in the United States. We estimate a model with employer and employee effects, then aggregate to the commuting zone ( CZ ) level. Sorting across firms biases traditional movers designs. Our model accurately predicts earnings changes for CZ movers after accounting for firm sorting. Worker skills explain half of observed earnings differences across CZs; observable characteristics understate this. Industry composition explains little of average place effects. Costs at least offset CZ earnings premia on average; workers who move to higher-wage CZs have equal or lower real consumption. ( JEL J24, J31, R23, R32)