Growth in a Cross-Section of Cities : Location, Increasing Returns or Random Growth?

• González Val, Rafael ^[1] ; Olmo, Jose ^[2]
  1. [1] Universitat de Barcelona

     Universitat de Barcelona

     Barcelona, España

     
  2. [2] City University

     City University

     DCC (Kotwali), Bangladés

     
• Localización: Documentos de trabajo ( XREAP ), Nº. 21, 2011
• Idioma: inglés
• Enlaces
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• Resumen

  • This article analyzes empirically the main existing theories on income and population city growth: increasing returns to scale, locational fundamentals and random growth. To do this we implement a threshold nonlinearity test that extends standard linear growth regression models to a dataset on urban, climatological and macroeconomic variables on 1,175 U. S. cities. Our analysis reveals the existence of increasing returns when per-capita income levels are beyond.