In this paper, we analyse the implications of labour market integration in a two-region model with local human capital externalities and congestion effects. We show that integration can be a double-edged sword. Integration and the ensuing agglomeration of skilled labour can reduce "real" income...

Sorting of high-ability workers is a main source of urban-rural disparities in economic outcomes. Less is known about when such human capital sorting occurs and who it involves. Using data on 15 cohorts of university graduates in Sweden, we demonstrate significant sorting to urban regions on...

Education as a major human capital determinant of the modern growth models also enters the realm of spatial analysis. Yet, studies investigating the role of spatial distribution of education on income inequalities are rare. Originating from this central discussion, the study aims to understand...

This paper presents a simple, analytically solvable Chamberlinian agglomeration model. As in the canonical core-periphery (CP) model, two agglomerative forces are at work. However, the present model exhibits a 'pitchfork bifurcation' rather than the 'tomahawk bifurcation' of the CP model

The transition from economic stagnation to sustained growth is often modelled thanks to population-induced productivity improvements, which are assumed rather than derived from primary assumptions. In this paper the effect of population on productivity is derived from optimal behavior. More...

Where does adaptation to innovation take place? The supply of educated workers and local industry structure matter for the subsequent location of new work - that is, new types of labor-market activities that closely follow innovation. Using census 2000 microdata, the author shows that regions...

Do jobs follow people or do people follow jobs? A number of currently prominent approaches to urbanization respond to this question by privileging the role of individual locational choice in response to amenity values as the motor of contemporary urban growth. Amenities, it is often said, have...

This paper studies how the changing geographic distribution of skilled workers in the US affects theoretical models that use Gibrat's law to explain the size distribution of cities. In the empirical literature, a divergence hypothesis holds that college share increases faster in cities where...