Showing papers in "Letters in Spatial and Resource Sciences in 2016"
TL;DR: In this paper, the authors investigated similarities and differences in short-term urban expansion before and during the 2007-2008 global economic crisis and found that the early 1990s depopulation of some central districts continued over 2000-2007, demographic re-polarization was observed especially over 2008-2014 in an increasing number of inner districts.
Abstract: Economic crises have influenced urban growth altering building cycles and re-shaping house and labour markets as a consequence of increased socioeconomic disparities. In southern Europe, one of the most affected regions by the 2007–2008 global crisis, evidence on the recession’s impact on urban growth characteristics and directions are still occasional and restricted to local contexts. This study contributes to this issue by identifying similarities and differences in short-term urban expansion before and during recession. Population growth over 2000–2007 and 2008–2014 was assessed in 235 urban districts and municipalities of Rome metropolitan region, Italy. Local-scale changes in the distribution of resident population are considered a reliable indicator of recent growth trends at the city scale and were compared with evidence from previous studies exploring trends in settlement and land-use indicators. Local-scale population distribution showed relevant differences in the time intervals investigated. While early-1990s depopulation of some central districts continued over 2000–2007, demographic re-polarization was observed especially over 2008–2014 in an increasing number of inner districts. At the same time, suburban growth occurred in different spatial directions and speed over the two periods. Our results identify a more rapid growth rate and a higher spreading of population over space during 2000–2007 compared to 2008–2014, identifying a trend towards population densification and settlement re-compacting in the last years. Our results corroborate previous evidence from other southern European urban agglomerations bringing insights on the debate over the future development of sprawling cities.
86 citations
TL;DR: Zhang et al. as discussed by the authors explored regional economic development level on a provincial scale using the data sets from provincial statistical yearbook of 2010, using the traditional principal component analysis (PCA) and its local version (geographically weighted PCA) for the purpose of comparison.
Abstract: Understanding the spatial structure of regional economic development is of importance for regional planning and provincial development strategy making. Taking Jiangsu Province in the economically richest Yangtze Delta as a case study, this paper aims to explore regional economic development level on a provincial scale. Using the data sets from provincial statistical yearbook of 2010, eleven variables are selected for statistical and spatial analyses at a county level. Both the traditional principal component analysis (PCA) and its local version—geographically weighted PCA (GWPCA)—are employed to these analyses for the purpose of comparison. The results have confirmed that GWPCA is an effective means of analyzing regional economic development level through mapping its local principal components. It is also concluded that the regional economic development in Jiangsu Province demonstrates spatial inequality between the North and South.
20 citations
TL;DR: In this article, the authors apply mean variance portfolio (MVP) methodology to define efficient portfolios of renewable energy sources, and apply MVP, using net present value and Sharpe ratio criteria, to identify not only the source selection but also its optimal dimensioning, which will achieve the objectives set by decision-makers.
Abstract: Development of domestic energy sources is a central pillar of national policies for energy independence. In Italy, renewable-energy plants have attained important profit margins under incentivizing policies. The yields and risks for the various sources of biomass, wind, photovoltaic and hydro vary according to the size of the specific plant. The use of mean variance portfolio (MVP) methodology to define efficient portfolios of such energy sources has been established in previous studies. Such methodology defines and quantifies the benefits associated with diversification. In this paper we apply MVP, using net present value and Sharpe ratio criteria, to identify not only the source selection but also its optimal dimensioning, which will achieve the objectives set by decision-makers. The study considers plant capacities from 10 kW up to 100 MW.
16 citations
TL;DR: In this article, the authors investigated the effect of culture on trade using measures of cultural distance based on various dimensions of national culture from Hofstede (Culture's Consequences: International Differences in Work-Related Values, 1980; Culture's consequences: Comparing values, Behaviors, Institutions and Organizations across nations, 2001).
Abstract: This paper investigates the effect of culture on trade using measures of cultural distance based on various dimensions of national culture from Hofstede (Culture’s Consequences: International Differences in Work-Related Values, 1980; Culture’s Consequences: Comparing Values, Behaviors, Institutions and Organizations across nations, 2001). Previous papers using such measures find a positive effect of cultural distance on bilateral trade, suggesting that cultural differences lead to more trade between countries. This paper indicates that the relationship between international trade and cultural differences is in fact non-linear: international trade decreases with cultural distance, but only once cultural differences between two countries surpass a certain threshold. Benefits due to differences in comparative advantages and substitution of FDI by trade may explain the positive effect of cultural distance on trade for lower levels of cultural distance.
16 citations
TL;DR: Kim et al. as mentioned in this paper provided an assessment of the differences generated by consumption of a representative and disaggregated households using data at the corresponding level of aggregation, and found that the total effects of disaggregation that can be ascribed to population ageing vary by a much smaller extent than those generated by model specification and data.
Abstract: The overwhelming attention to disaggregation of the interindustry components of the regional economy has neglected the problems generated by the adoption of the representative household in the modeling of economic impacts and forecasting in many regional economic models. Drawing on a recently modified regional econometric input–output model (REIM) for the Chicago metropolitan region in which households were disaggregated by age (Kim et al., Econ Syst Res. doi:
10.1080/09535314.2014.991778
, 2014), this paper provides an assessment of the differences generated by consumption of a representative and disaggregated households using data at the corresponding level of aggregation. The results reveal that the total effects of disaggregation that can be ascribed to population ageing vary by a much smaller extent than those generated by model specification and data. The disaggregate REIM with heterogeneous households by age yields smaller RMSEs than the aggregate REIM with a representative household, but a statistical testing suggests that forecasting gains from disaggregation are modest compared to the aggregate model.
15 citations
TL;DR: Moretti et al. as mentioned in this paper presented an empirical analysis of local employment multipliers using data on 123 US metropolitan statistical areas over the period 1980-2010 from the methodological point of view, in this work not only endogeneity (via instrumental variables estimates), but also spatial spillovers are taken into account according to the results, the magnitude of the multiplier could be rather limited
Abstract: The actual effectiveness of employment promotion policies depends on the ability of the intervention at creating new jobs in the targeted sector, but also, to a large extent, on the impact they have on other parts of the local economy Estimating the latter effect is therefore quite important for regional economic development policies Along the lines of Moretti (Am Econ Rev Pap Proc 100:373–377, 2010), we present an empirical analysis of local employment multipliers using data on 123 US Metropolitan Statistical Areas over the period 1980–2010 From the methodological point of view, in this work not only endogeneity (via instrumental variables estimates), but also spatial spillovers are taken into account According to the results, the magnitude of the multiplier could be rather limited On the other hand, there is clear indication that the impact of these interventions is not fully contained within the local economy and they have a positive effect on closely surrounding ones
14 citations
TL;DR: In this paper, the effect of spatial proximity to small towns on income of the people living in the surrounding rural hinterlands has been explored and a propensity score matching technique is employed to estimate the effects.
Abstract: The spatial dimension of rural–urban linkage has become a new subject of debate in regional development. In most empirical research the focus has usually been on the role of small urban centers in rural development. However, the effects of different particulars of the linkage such as spatial proximity to small towns on income of the hinterlands’ people have been less explored. The central purpose of this paper is, hence, assessing the effect of spatial proximity to small towns on income of the people living in the surrounding rural hinterlands. It also provides a bird’s-eye view of the livelihood strategies used by rural households in using town services. A propensity score matching technique is employed to estimate the effects. It is apparent in the results of the study that, controlling for other confounding factors, spatial proximity to small towns has a significantly positive effect on the income of the people living in the surrounding hinterlands. This notion indirectly leads the households living in the farthest hinterlands to adopt a new coping mechanism, i.e. enhancing their social proximity in a way that compensates the opportunity lost as a result of physical distance.
12 citations
TL;DR: A polished and mildly extended version of the Getis-Ord Lecture I gave at the WRSA conference in Tucson Arizona, February 2015, is presented in this article, with only a few references in the text.
Abstract: This paper is a polished and mildly extended version of the Getis-Ord Lecture I gave at the WRSA conference in Tucson Arizona, February 2015. The force of that lecture was to critically evaluate the literature, and in doing so, suggest alternative directions in our research. In some cases, these suggestions could greatly widen the scope of discussions on a number of important social issues. In sticking close to that lecture, this paper contains only a few references in the text so that it will read as the lecture that was presented. Relevant background references are included in the bibliography.
12 citations
TL;DR: In this paper, the authors highlight the efficiency of R&D output as a function of a cultural treatment (i.e. exposure) effect, and use the six degrees of separation paradigm to approximate the tipping point of the percolation of new ideas through the local social network from the pool of ideas to efficient R&DI investment decisions.
Abstract: This paper seeks to highlight the efficiency of R&D output as a function of a cultural treatment (i.e. exposure) effect. The focus of our research is on the percolation of new R&D ideas from the immaterial world of creative ideas through the cultural lattice of the locality into the documented world of knowledge. Our conceptual model is illustrated with a novel numerical operationalization of the cultural percolation of ideas hypothesis, based on the six degrees of separation literature and using a dataset compiled from EUROSTAT and the European Social Survey. The estimation strategy for the current work relies on a difference-in-differences method from a network percolation approach, with a series of alternative controls and region-fixed effects. The results show a positive significant role of the stability (‘no change’) of the six degrees of cultural diversity (i.e., the likelihood to have six people in a row in a locality originating from a culturally different origin) as a treatment effect for R&D output efficiency (the latter being measured as the number of new ideas over a millions of euros of R&D investments). The main value added of the paper is that it offers a theoretical justification and numerical illustration on how the six degrees of separation paradigm can be used to approximate the tipping point of the percolation of new ideas through the local social network from the pool of ideas to efficient R&D investment decisions.
9 citations
TL;DR: In this paper, the authors analyzed the effect of pollution abatement costs on the productivity of manufacturing industries and found that the latter is negatively related to pollution abaton costs, while the former is positively correlated with productivity.
Abstract: This paper analyzes the effect of pollution abatement costs on the productivity of manufacturing industries. Two opposing views prevail on the topic: One view criticizes regulations for imposing excessive cost and reducing competitiveness of domestic firms. The second view, on the other hand, argues that regulations might encourage firms to seek for cleaner technologies hence, promote innovation and productivity. Using US industry data from 1988 to 1994, I find productivity is negatively related to pollution abatement costs. However, when analyzed separately, pollution abatement operating costs and pollution abatement capital expenditures produce different results. While the former is always negatively correlated with productivity, the results for the latter are not significant or even positive under some specifications. This reveals that how industries choose to comply with regulations might matter.
8 citations
TL;DR: In this article, it was shown that the presence of the upstream monopoly has a smaller influence on efficiency with convex production costs than with linear production costs, and the authors examined the effect of spatial price discrimination on the resulting distortion in downstream locations.
Abstract: Under spatial price discrimination a critical cost of an upstream monopoly is the resulting distortion in downstream locations. While this is well-established for linear production costs it is examined here for the first time for convex production costs. Convex production costs create their own location distortions yet it is shown that the presence of the upstream monopoly has a smaller influence on efficiency with such costs.
TL;DR: In this article, historical temperature data from the Canadian Atlantic province of Prince Edward Island is analyzed over the period from April 1913 to July 2013 in order to develop time series models that have the ability to produce accurate forecasting of minimum and maximum monthly average temperatures.
Abstract: Historical temperature data from the Canadian Atlantic province of Prince Edward Island is analyzed over the period from April 1913 to July 2013 in order to develop time series models that have the ability to produce accurate forecasting of minimum and maximum monthly average temperatures. In this paper, we study the statistical properties of these temperature series and we use alternative statistical testing approaches to identify the type of seasonal pattern in the data. A parsimonious seasonal ARIMA model is determined for each series and the predicted future temperature records for the region are presented.
TL;DR: The applicability of the DKD approach to multivariate analysis is tested for estimation consistency, sensitivity to the number of input observations and potential bias attributed to the spatial dependency of neighboring observations.
Abstract: Attributeless event point datasets (AEPDs) are datasets composed of discrete events or observations defined by their geographical location only and lacking any other additional attributes. Examples of such datasets include spotted criminal events, road accidents and residential locations of disease patients. A commonly used approach to the analysis of such datasets involves their aggregation into predefined areal units, such as neighborhoods or census tracts. However, this approach does not perform effectively when the events of interests are geographically localized and the number of areal units available for aggregation is small. An alternative approach to the analysis of AEPDs is based on double kernel density (DKD) smoothing, according to which events of interest are transformed into continuous density surfaces and then normalized by the density of the entire population from which the events of interest are drawn. In the present study, the applicability of the DKD approach to multivariate analysis is tested for estimation consistency, sensitivity to the number of input observations and potential bias attributed to the spatial dependency of neighboring observations. Our analysis indicates that the DKD approach provides reasonably stable and consistent estimates, if the following three preconditions are met: (a) the kernel estimation parameters are properly defined, (b) the number of reference points, used for transformation of continuous DKD surfaces into discrete observations, is sufficiently large, and (c) the spatial dependency of neighboring observations is taken into account using spatial analysis tools.
TL;DR: This model enables theoretical comparison of multiple policy approaches to mitigating food deserts that have heretofore been considered separately: taxing less healthy food, subsidizing healthier food, correcting misperceptions of the cost of food choices, and subsidizing creation of community and home gardens.
Abstract: The purpose of this paper is to set forth a theoretical model of consumer decision-making in food desert regions, where healthy food is in short supply. Our model enables theoretical comparison of multiple policy approaches to mitigating food deserts that have heretofore been considered separately: taxing less healthy food, subsidizing healthier food, correcting misperceptions of the cost of food choices, and subsidizing creation of community and home gardens. This latter policy approach enables consumers to achieve higher rates of food security and health benefits, while strengthening the sustainability and resiliency of local urban ecological-economic systems.
TL;DR: In this article, the authors quantitatively analyze changes in the size distribution of municipal jurisdictions in Japan by using their rank-size distribution to capture the changes and obtain the result that the great municipal mergers of the 1950s Showa era made the municipalities more equal in size.
Abstract: In this article, we quantitatively analyze changes in the size distribution of municipal jurisdictions in Japan by using their rank-size distribution to capture the changes. In Japan, the central government sometimes enacts large-scale municipal mergers, aimed at creating municipalities of a certain size. Japan’s local governance policy allocates tax revenues to municipalities based on the financial shortages of each municipality, which is designed to ensure financial equality among municipalities so that the central government can evenly maintain public services, especially in rural areas. Thus, if the central government eases population discrepancy among municipalities and creates a large number of uniformly sized municipalities, then the central government can reduce subsidies to local governments. The government’s previous policies on municipal mergers were enacted to foster this sort of efficiency. We examine changes in the distribution of municipal jurisdiction sizes to determine the actual effect of municipal merger policies. We obtain the result that the great municipal mergers of the 1950s Showa era made the municipalities more equal in size, which shows that the Municipality Merger Promotion Law of 1953 had an impact on the change of the size distribution of municipalities.
TL;DR: In this paper, a spatial-temporal autocorrelation consistent covariance matrix is proposed for estimating the standard errors of a first-order Markov process model depicting aggregate land use dynamics.
Abstract: A spatial-temporal autocorrelation consistent covariance matrix is suggested for estimating the standard errors of a first-order Markov process model depicting aggregate land use dynamics. Particular attention is given to covariance estimation robust to temporal and spatial dependence. An empirical example compares the adjusted covariance estimators by examining cropland dynamics, revenue, and the corresponding own-price area supply elasticities with a Monte Carlo analysis. The relative precision of own-price elasticities increased in most cases, suggesting gains in efficiency when the covariance estimator of transition probabilities is adjusted for temporal and spatial dependence and cross-equation correlation. In this example, adjusting for temporal-spatial dependence moderates the absolute magnitude of elasticity point estimates. The approaches suggested in this letter will be of interest to researchers modeling land use transitions with aggregate data.
TL;DR: In this paper, the effects of a road pricing scheme in Milan (the Ecopass) on accidents were evaluated using a regression discontinuity design approach, and they found evidence of an overall reduction in accidents in the whole city and a more pronounced effect in the treated area.
Abstract: This paper aims to evaluate the effects of a road pricing scheme in Milan (the Ecopass) on accidents. As the policy was introduced in January 2008, we exploit this exogenous variation to analyse the trend of the time series of the number of accidents, the number of injuries and deaths and in different areas through a regression discontinuity design approach. We find evidence of an overall reduction in accidents in the whole city (
$$-$$
16 %), with a more pronounced effect in the treated area (
$$-$$
18.8 %). The effect on severity of accidents is limited as only a significant reduction in the number of injuries could be detected, whereas no effect was found for the number of deaths.
TL;DR: In this paper, a two-part regression model is proposed to estimate the conditional variance of residential real estate prices in Beijing, using both a metropolitan area sample and a smaller sample of the district of Chaoyang.
Abstract: Variance function regression incorporates a novel method of residual analysis that should be of interest in spatial modeling. The method is a two part regression: one for the conditional mean, which is a standard regression, and one for the conditional variance, which is estimated from the residuals of the initial regression. The method is briefly described and then applied hedonic models of residential real estate prices in Beijing, using both a metropolitan area sample and a smaller sample of the district of Chaoyang. As expected the results generally indicate that distance to Tiananmen Square is a powerful predictor of residential real estate prices in Beijing. That distance effect is fully encompassed in the mean structure of a regression model. However, other variables, such as the age of an apartment block have price effects that are revealed fully only when the conditional variance is modeled as well.
TL;DR: In this paper, the authors show that the nationality of firms influences the design of the optimal zoning by a regulator in a duopoly model of spatial price discrimination, and that for high enough values of the bias of the regulator towards firms, the size of the zone in which firms are allowed to locate is greater when firms are partially foreign-owned than when they are fully domestic-owned.
Abstract: This paper shows that the nationality of firms influences the design of the optimal zoning by a regulator in a duopoly model of spatial price discrimination. For high enough values of the bias of the regulator towards firms, the size of the zone in which firms are allowed to locate is greater when firms are partially foreign-owned than when firms are fully domestic-owned.
TL;DR: In this paper, the authors analyzed the effect of Walmart and Target on municipal property tax rates using panel data for all New Jersey municipalities from 1998 to 2007, and found evidence that entry by either retailer lowers the tax rate in the host municipality.
Abstract: This paper analyzes the effect of Walmart and Target on municipal property tax rates using panel data for all New Jersey municipalities from 1998 to 2007. We analyze the impact of Walmart (30 openings) and Target (33 openings) in the host municipality and the nearest adjacent municipality. We find evidence that entry by either retailer lowers the tax rate in the host municipality. However, the estimated reduction in the tax rate is much larger for Target. Target entry reduces the equalized property tax rate by $0.38 per $100 of market value in the host municipality or about 16.8 % while Walmart reduces the equalized property tax rate in the host municipality by $0.063 per $100 of market value or about 2.8 %. The most striking result is the contrast between the positive and significant effect of Walmart entry on the equalized tax rate in the adjacent municipality and the negative and significant effect of Target entry on the equalized tax rate in the adjacent municipality. Walmart entry (in the host municipality) raises the equalized tax rate by about $0.23 per $100 of market value (about a 10 % increase). Target entry, on the other hand, reduces the equalized tax rate in the adjacent municipality by $0.14 per $100 of market value or about 6.2 %.
TL;DR: In this article, O'Kelly et al. proposed a doubly constrained spatial interaction model and derived measures of the (constraint) multipliers and their derivatives with respect to the impedance parameter.
Abstract: A major focus of applications of doubly constrained spatial interaction models has been population flows. The solutions to such models yield measures of the (constraint) multipliers and also their derivatives with respect to the impedance parameter (see O’Kelly et al. in J Geogr Syst 14:357–387, 2012; O’Kelly in Geogr Anal 42(4):472–487, 2010). These measures are derived by imposing a numeraire after solving the first order conditions of the model. The relative magnitudes of both sets of measures are shown to be robust because they are unaffected by the choice of numeraire. However the author challenges the conceptual and analytical claims about the interpretation of the solutions which are made in the papers listed above and also recommends that the emissivity and attraction concepts be redefined.
TL;DR: In this paper, the authors argue that the modeling of positive inter-jurisdictional public spending spillovers may benefit from an analysis that involves three stages: the production of local public inputs, output spillovers, and consumption of public outputs.
Abstract: This paper argues that the modeling of positive inter-jurisdictional public spending spillovers may benefit from an analysis that involves three stages: the production of local public inputs, the production of local public outputs (accounting for input spillovers and non-additive aggregations), and the consumption of public outputs (accounting for output spillovers and preferences for variety). We map the existing literature onto this three-stage model and identify combinations of the features that generate strategically equivalent models of inter-jurisdictional public spending spillovers.
TL;DR: In this paper, the authors examined the welfare effects of spatial price discrimination and showed that uniform pricing is more socially desirable than discriminatory pricing as long as the production cost function is sufficiently convex.
Abstract: This paper examines the welfare effects of spatial price discrimination. In the model a monopolist sells its product to a continuum of consumers distributed uniformly along a line market in which the market boundary is endogenously determined. We find that the monopolist always serves more consumers and sells more outputs under discriminatory pricing than under uniform pricing. Nevertheless, the welfare ranking between the two pricing policies is ambiguous. Results show that uniform pricing is more socially desirable than discriminatory pricing as long as the production cost function is sufficiently convex. This result is in sharp contrast to the finding in the literature that spatial price discrimination is more socially desirable than uniform pricing.
TL;DR: In this paper, a panel random effect model or hierarchical linear model is proposed to account for the observed spatial random variation in crop yields. But, the authors do not identify the statistical procedure using Akaike information criteria, covariance test of the spatial random variations and out-of-sample performance.
Abstract: This research investigates which statistical procedure—panel random effect model or hierarchical linear model accounts for the observed spatial random variation in crop yields. Identification of the statistical procedure is accomplished using Akaike information criteria, covariance test of the spatial random variations and out-of-sample performance using holdout sample. Following the identification of the statistical procedure, normality of crop yield residuals are statistically tested using skewness, kurtosis and omnibus test. An empirical application to United States county yields of 20 crops, grown across 48 states during 1957–2013 suggests the need to account for random variation based on the multi-level hierarchy.
TL;DR: In this article, a rank Markov chain model of income convergence for US states is estimated, and different quantile lumpings are tested to determine if they preserve the Markov property.
Abstract: This paper examines how “lumping”, the aggregation of different states of a Markov chain into one state, affects the underlying properties of the Markov process. Specifically, a Markov chain model of income convergence for US states is estimated, and different quantile lumpings are tested to determine if they preserve the Markov property. This work ties into the broader literature on modelling regional income convergence using Markov processes, specifically with attempts to quanity how reasonable choices about state space compression are and the quantification of these choices’ consequences. First, we estimate a rank Markov model. From this, we find that Markov models for regional income convergence lose the Markov property when quantile lumps are large and contain many states, but perform well when lumps get smaller, containing fewer states. This new positive finding and technical work paves the way for broader studies of lumpability of discrete Markov models for geographic or policy regions.
TL;DR: In this article, the authors investigated the impact of different spatial wage bargaining schemes on the quality choice of hospitals subject to the union structure and found that if every hospital has a separate union wages are higher and the hospital's quality is lower than in the case of one overall union which negotiates the same wage for personnel in all hospitals in the spatial market, the health insurance has to pay a higher amount to ensure the same quality level.
Abstract: This paper analyzes quality choice of hospitals subject to the union structure. For this purpose we extend the spatial two hospital competition model developed by Montefiori (Eur J Health Econ 6:131–135, 2005). We investigate the impact of different spatial wage bargaining schemes—(1) every hospital has a separate union and (2) one overall union for all hospitals in the spatial market. We find that if every hospital has a separate union wages are higher and the hospital’s quality is lower than in the case of one overall union which negotiate the same wage for personnel in all hospitals. Furthermore we show, in the separate union case that the health insurance has to pay a higher amount to ensure the same quality level. Finally we demonstrate that one overall union case is more efficient to the health insurance to increase the hospital’s quality. If the health insurance is part of the social security system the policymaker can possibly set a law framework for negotiations to obtain the efficient case.
TL;DR: In this article, the regulation of two firms when the process of production generates emissions and when a gap in reducing emission ratio exists is addressed. And the analysis employs a three-stage duopoly game in which the regulator acts strategically in determining its tax on emissions.
Abstract: This paper addresses the regulation of two firms when the process of production generates emissions and when a gap in reducing emission ratio exists. One of the two firms has a technological advance vis-a-vis the other such that it has a smaller emission ratio level. The less developed firm may benefit from this technological advance as it invests in its absorptive capacity. The analysis employs a three-stage duopoly game in which the regulator acts strategically in determining its tax on emissions. Finding that the investment in absorptive capacity increases with respect to the learning capacity of the less developed firm and when the technology gap between them is larger. Moreover, the regulator is more aggressive towards emissions when the marginal disutility of the damage is strong and/or the initial technological gap is smaller.