Abstract

http://ssrn.com/abstract=1079307
 
 

References (17)



 
 

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Did the Death of Distance Hurt Detroit and Help New York?


Edward L. Glaeser


Harvard University - John F. Kennedy School of Government, Department of Economics; Brookings Institution; National Bureau of Economic Research (NBER)

Giacomo A. M. Ponzetto


CREI - Universitat Pompeu Fabra

December 2007

NBER Working Paper No. w13710

Abstract:     
Urban proximity can reduce the costs of shipping goods and speed the flow of ideas. Improvements in communication technology might erode these advantages and allow people and firms to decentralize. However, improvements in transportation and communication technology can also increase the returns to new ideas, by allowing those ideas to be used throughout the world. This paper presents a model that illustrates these two rival effects that technological progress can have on cities. We then present some evidence suggesting that the model can help us to understand why the past thirty-five years have been kind to idea-producing places, like New York and Boston, and devastating to goods-producing cities, like Cleveland and Detroit.

Number of Pages in PDF File: 47

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Date posted: December 31, 2007  

Suggested Citation

Glaeser, Edward L. and Ponzetto, Giacomo A. M., Did the Death of Distance Hurt Detroit and Help New York? (December 2007). NBER Working Paper No. w13710. Available at SSRN: http://ssrn.com/abstract=1079307

Contact Information

Edward L. Glaeser (Contact Author)
Harvard University - John F. Kennedy School of Government, Department of Economics ( email )
Littauer Center
Room 315A
Cambridge, MA 02138
United States
617-496-2150 (Phone)
617-496-1722 (Fax)
Brookings Institution
1775 Massachusetts Ave. NW
Washington, DC 20036-2188
United States
National Bureau of Economic Research (NBER)
1050 Massachusetts Avenue
Cambridge, MA 02138
United States
Giacomo A. M. Ponzetto
CREI - Universitat Pompeu Fabra ( email )
Ramon Trias Fargas, 25-27
Barcelona, 08005
Spain
+34 93 542 2829 (Phone)
+34 93 542 2826 (Fax)
HOME PAGE: http://www.crei.cat/people/ponzetto/welcome.html
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