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Urbanization in Industrialized Countries: Appearances Are Deceptive

Author

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  • Ludwig von Auer
  • Mark Trede

Abstract

This study introduces the urbanicity index of employment. This density-based measure is derived from spatial point pattern analysis and, therefore, makes use of the complete spatial information contained in geo-coded sectoral employment data. The index accounts for both the scale and the concentration aspect of urbanization. Changes in concentration can be decomposed into intersectoral mobility of employment and spatial mobility of sectors and further into the contributions of each sector of the economy. The index is applied to a large industrialized country and reveals that strong urbanization trends have occurred that simpler measures would overlook.

Suggested Citation

  • Ludwig von Auer & Mark Trede, 2022. "Urbanization in Industrialized Countries: Appearances Are Deceptive," CQE Working Papers 9822, Center for Quantitative Economics (CQE), University of Muenster.
  • Handle: RePEc:cqe:wpaper:9822
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    File URL: https://www.wiwi.uni-muenster.de/cqe/sites/cqe/files/CQE_Paper/cqe_wp_98_2022.pdf
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    References listed on IDEAS

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    1. repec:iab:iabfda:201603(en is not listed on IDEAS
    2. Arriaga, Eduardo E, 1970. "A New Approach to the Measurements of Urbanization," Economic Development and Cultural Change, University of Chicago Press, vol. 18(2), pages 206-218, January.
    3. Giuseppe Arbia, 2001. "The role of spatial effects in the empirical analysis of regional concentration," Journal of Geographical Systems, Springer, vol. 3(3), pages 271-281, November.
    4. Schmucker, Alexandra & Seth, Stefan & Ludsteck, Johannes & Eberle, Johanna & Ganzer, Andreas, 2016. "Establishment History Panel 1975-2014," FDZ Datenreport. Documentation on Labour Market Data 201603_en, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    5. Henderson, Vernon, 2003. "The Urbanization Process and Economic Growth: The So-What Question," Journal of Economic Growth, Springer, vol. 8(1), pages 47-71, March.
    6. David Castells-Quintana & Vicente Royuela, 2014. "Agglomeration, inequality and economic growth," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 52(2), pages 343-366, March.
    7. Jedwab, Remi & Vollrath, Dietrich, 2015. "Urbanization without growth in historical perspective," Explorations in Economic History, Elsevier, vol. 58(C), pages 1-21.
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    More about this item

    Keywords

    agglomeration; concentration; index; measurement; migration;
    All these keywords.

    JEL classification:

    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation

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