The Individual Process of Neighborhood Change and Residential Segregation in 1940 - An Implication of Discrete-Choice Model

Karl X.Y. Zou (xinyuan.zou@tamu.edu) and Mark Fossett
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Karl X.Y. Zou: Texas A&M University

2019 Stata Conference from Stata Users Group

Abstract: Using the 1940 restricted census microdata, this study develops discrete choice models to investigate how individual and household characteristics, along with the features of neighborhoods of residence affect individual choices of residential outcomes in the US cities. This study will make several innovations: (1) We will take advantage of 100% census microdata on the whole population of the cities to establish discrete-choice models estimating the attributes of alternatives (e.g. neighborhoods) and personal characteristics simultaneously. (2) This study will set a routine of reconstructing personal records to the data structure eligible for discrete-choice model and then test whether or not the assumptions are violated. (3) This study will assess the extent and importance of discrimination and residential preferences respectively through the model specification. The results suggest that both in-group racial and class preferences can explain the individual process of neighborhood changes. All groups somehow practice out-group avoidance based on race and social class. Such phenomena are more pronounced in multi-racial cities.

Date: 2019-08-02
New Economics Papers: this item is included in nep-dcm
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Persistent link: https://EconPapers.repec.org/RePEc:boc:scon19:42

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