Date________
|
Topics / Readings
|
Notes
|
Week 1
Jan 11-15
|
Introduction to urban economics: questions and spatial perspectives
- What does UE study?
- What defines UE?
- In what ways UE contribute to economic inquiry in general?
- What have shaped the advances in UE in recent decades?
- Why is increasing return so important to UE?
- What determine increasing return?
Readings
- Krugman (2009) The increasing returns revolution in trade and geography, American Economic Review, 99(3), 561-571.
- Fujita (2012) Thünen and the New Economic Geography, Regional Science and Urban Economics.
- Young, Allyn A. (1928) “Increasing returns and economic progress.” The Economic Journal 38(152), 527-542.
- Glaeser, E. L., & Gottlieb, J. D. (2009). The Wealth of Cities: Agglomeration Economies and Spatial Equilibrium in the United States. Journal of Economic Literature, 47, 983–1028.
- Glaeser, Edward L. (2001) “The Future of Urban Research: Nonmarket Interactions.” Brookings-Wharton Papers on Urban Affairs 2000: 101–49.
|
Lecturer FYM
|
Week 2
Jan 18-22
|
New Economic Geography
- What is the geographic setting of the core-peripheral model (CPM)?
- What is the source of increasing return in CPM? How does the preference for diversity affect increasing return?
- How do urbanization, transportation cost, and the preference for diversity influence the spatial equilibrium?
- What is the home-market effect?
Readings
|
Lecturer FYM
|
Week 3
Jan 25-29
|
Empirical Methodology
− What is causal inference? Why do we need causal relationship?
− What is an "identification strategy" in reduced form research design? What are the possible identification strategies?
− What is structural estimation? Why do we need structural models?
− What are the steps for structural estimation?
− What are the pros and cons for reduced form & structural estimation?
Readings:
- Baum-Snow and Ferreira (2015), Causal Inference in Urban and Regional Economics. Handbook5
- Thomas Holmes and Holger Sieg (2015) Structural estimation in urban economics. Handbook5
|
Lecturer QY
|
Week 4
Feb 1-5
|
Agglomeration economies
− What is agglomeration?
− What are the possible explanations to agglomeration?
− How to identify different channels of agglomeration spillovers?
Readings:
- Handbook5 (Agglomeration and Innovation; The Empirics of Agglomeration Economics)
- Ellison, G., Glaeser, E., Kerr, W. (2010). “What causes industry agglomeration? Evidence from coagglomeration patterns,” American Economic Review, 100 (3), 1195-1213.
- Greenstone, Hornbeck and Moretti (2010). “Identifying Agglomeration Spillovers: Evidence from Winners and Losers of Large Plant Openings,” Journal of Political Economy, 118(3): 536-598
|
Lecturer QY
|
Week 5, Feb 8-12 |
CNY: no class |
|
Week 6
Feb 15-19
|
Internal structure of city
- Land-use pattern within a city
- Key factors determining land-use pattern within a city
- General equilibrium model of urban spatial structure and welfare
Readings:
- Duranton, G., & Puga, D. 2015. Urban land use. Handbook5.
- Lucas, R. & Rossi-Hansberg, E. 2002 "On the internal structure of cities." Econometrica 70(4): 1445-1476
- Rossi-Hansberg, Esteban 2004 “Optimal urban land use and zoning.” Review of Economic Dynamics 7, 69-106
- Hanushek and Yilmaz 2010. "Household Location and Sschools in Metropolitan Areas with Heterogeneous Suburbs: Tiebout, Alonso, and Government Policy." NBER Working Paper No. 15915.
- Zheng, S.; Fu, Y. & Liu, H. 2006. “Housing-choice hindrances and urban spatial structure: evidence from matched location and location-preference data in Chinese cities.” Journal of Urban Economics
|
Lecturer FYM
|
Recess week |
Feb 20-28 |
|
Week 7
Feb 29-Mar 4
|
Housing Prices and Housing Market Equilibrium
Readings:
Rosen, Sherwin, “Hedonic Markets and Implicit Prices,” Journal of Political Economy 82 (1974), 34-55.
Bajari, Patrick and Matthew E. Kahn, “Estimating Housing Demand with an Application to Explaining Racial Segregation in Cities,” Journal of Business and Economic Statistics 23 (2005), 20-33.
Heckman, James J., Rosa L. Matzkin, and Lars Nesheim, “Nonparametric Identification and Estimation of Nonadditive Hedonic Models,” Econometrica 78 (2010), 1569-1591.
Bayer, Patrick, Robert McMillan, Alvin Murphy, and Christopher Timmins, “A Dynamic Model of Demand for Houses and Neighborhoods,” Econometrica, forthcoming,
http://www.public.asu.edu/~amurph10/bmmt.pdf.http://www.public.asu.edu/~amurph10/bmmt.pdf.
Leonardo Bonilla, Esteban Lopez, and Daniel McMillen. House Prices and School Choice: Evidence from Chicago's Magnet Schools Proximity Lottery. Jan 2016.
McMillen Daniel. Airport Expansions and Property Values: the Case of Chicago O'Hare Airport. Journal of Urban Economics 55 (2004):627-640.
|
Lecturer DM
|
Week 8
Mar 7-11
|
Transportation network and spatial organization
− Transportation network
− Distributional impact
Readings:
- Redding and Turner (2015), Transportation Costs and the Spatial Organization of Economic Activity. Handbook5
- Hornbeck and Donaldson (2015), Railroads and American Economic Growth: a "Market Access" Approach. QJE forthcoming
- Ghani and Kerr (2015), “Highway to Success: The Impact of the Golden Quadrilateral Project for the Location and Performance of Indian Manufacturing” The Economic Journal. doi: 10.1111/ecoj.12207
|
Lecturer DM
|
Week 9
Mar 14-18
|
Spatial equilibrium between cities
- Spatial equilibrium and size distribution of cities
- Compensating land-rent differential
- A two-sector structural model of a city
- Estimating urban elasticity: endogenous vs exogenous variables
Readings:
- Roback, J. (1982). Wages, Rents, and the Quality of Life. Journal of Political Economy, 90(6), 1257-1278.
- Glaeser, E. L., & Gottlieb, J. D. (2009). The Wealth of Cities: Agglomeration Economies and Spatial Equilibrium in the United States. Journal of Economic Literature, 47, 983–1028.
- Zheng, S; Fu, Y. & Liu, H. 2008 “Demand for Urban Quality of Living in China: Evidence from Cross-City Land Rent Growth.” Journal of Real Estate Finance and Economics
- Fu, Y., S. Zheng, and H. Liu (2013), “Structural Estimates of Housing Supply Elasticity across Chinese Cities.” Working paper, National University of Singapore.
- Albouy, D. (2009), “What Are Cities Worth? Land Rents, Local Productivity, and the Capitalization of Amenity Values.” NBER Working Paper No. 14981
|
Lecturer FYM
|
Week 10
Mar 21-25
|
Spatial equilibrium and welfare
- What determine the allocation of labor and skills across cities?
- How does spatial allocation of resources affect welfare?
Readings:
- Albouy, D., & Hanson, A. (2014). Tax Benefits to Housing and Inefficiencies in Location and Consumption. NBER Working Paper 19815
- Desmet, K., & Rossi-Hansberg, E. (2013). Urban Accounting and Welfare. American Economic Review, 103(6), 2296–2327.
- Kline, P., & Moretti, E. (2013). People, Places and Public Policy: Some Simple Welfare Economics of Local Economic Development Programs. NBER Working Paper No. 19659.
- Yoon, Chamna (2013). “The Decline of the Rust Belt: A Dynamic Spatial Equilibrium Analysis”
|
Lecturer FYM
|
Week 11
Mar 28- Apr 1
|
Neighbourhood and Network Effects
− Social interactions and spatial equilibrium
Readings:
- Topa, G., & Zenou, Y. (2015). Neighborhood and Network Effects. Handbook5
|
Lecturer DM
|
Week 12
Apr 4-8
|
Urbanization and economic development
- How does economic development and urbanization affect each other?
- What determine urbanization level?
- How to model urbanization and development?
Readings:
- Xie, D. (2008). "Technological Progress and the Urbanization Process_." The B.E. Journal of Macroeconomics 8(1): Article 16.
- Lucas, R. E. (2004). "Life earnings and rural-urban migration." Journal of Political Economy 112(1): S29-S59.
- Lucas, R. E., Jr. (2009). "Trade and the Diffusion of the Industrial Revolution." American Economic Journal: Macroeconomics 1(1)
- Henderson, Vernon J. 2003 "The Urbanization Process and Economic Growth: The So-What Question." Journal of Economic Growth 8(1), pp. 47-71.
- Glaeser, E. L. (2013). A World of Cities: The Causes & Consequences of Urbanization in Poorer Countries. NBER Working Paper No. 19745
|
Lecturer FYM
|
Week 13
Apr 11-15
|
Guest speakers & Discussions about your research
- Guest lecture by Dr Cristian Badarinza
- Guest lecture by Dr Fan Yi
- Discussions on research ideas
Readings:
|
Lecturer QY
|
Week 14, Apri 18-22
|
Reading week. Take-home exam paper on April 19.
|
|