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Geography, Geology, and Regional Economic Development

Kevin Berry, Alexander James, Brock Smith and Brett Watson
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Brock Smith: Montana State University

No 2019-03, Working Papers from University of Alaska Anchorage, Department of Economics

Abstract: We examine long-run development effects of regional productivity shocks in the United States. We exploit the timing and location of large resource discoveries to measure exogenous variation in labor demand and consider heterogeneous effects based on environmental amenity and geographic isolation, developing novel measures of both. Using a dynamic event-study analysis we find that productivity shocks increase population both in the short and long-run, but this largely refl ects the experience of low amenity, geographically isolated places that may otherwise struggle to develop. Moreover, this study offers several insights into the observed spatial pattern of development in the United States.

Keywords: Natural-Resource Discoveries; Regional Development; Long-Run Growth; Geography; Environmental Amenities; Resource Economics (search for similar items in EconPapers)
JEL-codes: Q32 Q33 R11 (search for similar items in EconPapers)
Date: 2019-08
New Economics Papers: this item is included in nep-geo, nep-gro and nep-ure
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