University of Cambridge > Talks.cam > Land Economy Departmental Seminar Series > Trickle down in cities? An empirical analysis on the relation between the share of higher educated residents and employment growth for lower-educated in a panel of cities

Trickle down in cities? An empirical analysis on the relation between the share of higher educated residents and employment growth for lower-educated in a panel of cities

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Abstract:

This paper analyses the relation between (changes in) the share of higher-educated living in cities and the growth of job opportunities for lower-educated people. Based on the idea of ‘trickle down’, cities with a higher share of higher educated may perform better in terms of employment growth for lower-educated, resulting from a higher demand for consumer services. Using panel data for Dutch cities, the empirical results of this study suggest that this has indeed been the case in the period between 1999 and 2013. Additional analyses at the level of different consumer related industries suggest that these trickle down effects have mainly occurred in leisure services (such as bars and restaurants, recreational services and cultural services) and to some extent in retail, but not in household-related services. Altogether, these result suggest that ‘skilled’ cities do not only exhibit better economic performances in general but also offer better economic opportunities for inhabitants with no or a low level of education

Biography:

Roderik Ponds is a research associate with University of Groningen (department of Economics) and a researcher at “Atlas voor Gemeenten”, an independent research institute in the field of urban economics. He holds a Master and PhD from Utrecht University in Economic Geography After obtaining his PhD, he worked for the Netherlands Environmental Assessment Agency and Roland Berger Strategy Consultants before joining Atlas voor Gemeenten and University of Groningen.

This talk is part of the Land Economy Departmental Seminar Series series.

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