A Measurement Issue Regarding the Link between a Region's Creative Infrastructure and its Income

Amitrajeet Batabyal and Seung Jick Yoo

MPRA Paper from University Library of Munich, Germany

Abstract: The creative capital possessed by the members of the creative class in region j is either acquired through education or present innately in these members. Therefore, the creative infrastructure (CI_j) in the jth region is the sum of a part (CI_j^E) representing creative capital obtained through education and a second part (CI_j^I) denoting creative capital present innately in the creative class members. A researcher wishes to estimate the true relationship between the jth region’s log income per creative class member (y_j ) and its creative infrastructure (CI_j ). He has data on CI_j^E but not on CI_j^I. We study whether an ordinary least squares (OLS) regression of y_j on a constant and CI_j^E will produce an unbiased estimate of the impact of CI_j on y_j in two cases. In the first case, CI_j^E and CI_j^I are uncorrelated. In the second case, CI_j^E and CI_j^I are positively correlated.

Keywords: Creative Capital; Creative Infrastructure; Ordinary Least Squares Estimation (search for similar items in EconPapers)
JEL-codes: C13 L80 (search for similar items in EconPapers)
Date: 2017-08-25
New Economics Papers: this item is included in nep-cul
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/82351/1/MPRA_paper_82351.pdf original version (application/pdf)

Related works:
Journal Article: A MEASUREMENT ISSUE REGARDING THE LINK BETWEEN A REGION'S CREATIVE INFRASTRUCTURE AND ITS INCOME (2018)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:82351

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().