Neighborhoods Matter: Assessing the Evidence for Place Effects

Eric Chyn and Lawrence Katz

Journal of Economic Perspectives, 2021, vol. 35, issue 4, 197-222

Abstract: How does one's place of residence affect individual behavior and long-run outcomes? Understanding neighborhood and place effects has been a leading question for social scientists during the past half-century. Recent empirical studies using experimental and quasi-experimental research designs have generated new insights on the importance of residential neighborhoods in childhood and adulthood. This paper summarizes the recent neighborhood effects literature and interprets the findings. Childhood neighborhoods affect long-run economic and educational outcomes in a manner consistent with exposure models of neighborhood effects. For adults, neighborhood environments matter for their health and well-being but have more ambiguous impacts on labor market outcomes. We discuss the evidence on the mechanisms behind the observed patterns and conclude by highlighting directions for future research.

JEL-codes: H75 I12 I21 I32 J15 R23 R38 (search for similar items in EconPapers)
Date: 2021
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Citations: View citations in EconPapers (57)

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Working Paper: Neighborhoods Matter: Assessing the Evidence for Place Effects (2021)
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DOI: 10.1257/jep.35.4.197

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