ALBERT

Notes: This paper looks at the linkages between three recent developments in spatial economics that in combination have changed the way that economic growth is viewed. These new approaches are that of the New Growth Theory, the measurement of geographical economic convergence, and the role of infrastructure in stimulating economic growth. In combination these developments may combine to provide a different perspective on why regions often grow at differential rates,ways of measuring these differences, and possible policy interventions tomanipulate geographical variations in the growth process. The paper argues, however, that these concepts, while they may offer new insights, are nevertheless unlikely to provide a complete picture of why spatial economic divergence is widespread nor a set of policy instruments that can be simplydeployed to ameliorate such discrepancies.

Notes: This paper provides a synthesis of the 1983–98 published literature on the empirical evidence regarding the interaction between government policies and growth. Five policy areas are considered: general government consumption, tax rates, education expenditures, defense and public infrastructure. The most conclusive results in the literature relate to the positive impact of education expenditures on growth. Public infrastructure also appears important. Regression analysis remains the most commonly adopted research methodology. A better link with current theories will be obtained when parameter calibration methods formicro-foundations based models replace parameter estimation of regression models with ad hoc specifications. Nonetheless, there remain severe limitations on what can be learned for policy from highly aggregative models of endogenous growth. Better data are needed at the regional macro and meso levels to complement thecurrently available pooled cross-section time-series country data. The potential endogeneity of government fiscal variables can be resolved through the selection of appropriate instrumental variables, such as those that arise in cases of “natural experiments”.

Notes: Profitable private investments may be bypassed in struggling regions due precisely to such regions' isolation, leading to a self-reinforcing cycle of marginalization. In many cases, development in such regions may be most effectively promoted by providing key information to the private and public sectors, thus addressing potentially significant market failures. In the case study project, the calculation of private and social returns have been particularly crucial in sparking both private investor interest and public support of this business venture. The project's example suggests an updated role for universities in the assistance of productive economic development programs.

Notes: The concept of globalization has become almost ubiquitous in contemporaryaccounts of urban development and cultural transformations. In these accounts, questions of globalization, urbanization, and ethnicity increasingly intersect. But this burgeoning literature, while laudably integrating cultural concerns into political-economic understandings of globalization, tends to rely on a dualistic sense of scale which treats localities as points of reaction to and resistance against global forces. Ethnicity and identity, situated in a rigid local scale, are reduced to either primordial communal sentiments or commodified symbols in the global economy. This paper advocates a conceptualization of ethnicity and locality not in opposition to the global, but in relation to social, political, and economic relationships that operate within and beyond particular spaces. These arguments are illustrated with the case of downtown Beirut. Beirut's reconstruction epitomizes the commodification of place identities. But the marketing of place identity is significant beyond the immediate investment goals of the city's investors. Indeed, this new identity and the new Beirut have been generated in a hotly-contested terrain of sectarian allegiances and state legitimacy. The redevelopment of Beirut and the re-creation of Lebanese identity are embedded not only in the imperatives of the contemporary global economy, but also in the troublesome legacies of a violent past and in the day-to-day lives of the Lebanese populace.

Notes: The focus of this paper is on the demolition of a sacred space, the Babri Masjid, a sixteenth century mosque, in Ayodhya, India, in December 1992, an illegal albeit well-organized act by the Hindu right. Drawing on postcolonial theory, and feminist geographical theory, and using a discourse analysis primarily of Hindu nationalist texts, and of significant action as text, the author examines the strategic construction and deployment of cultural meanings pertaining to space, and the engagement of social actors on that basis, towards political, violent ends. The author argues, firstly, that Hindu nationalist ideologues, notwithstanding pretensions to Hindu ‘authenticity,’ make use of Western thought to rewrite Hindu-Muslim relations in antagonistic terms, and to signify these oppositional relations through sacred spatialities (mosque, temple, and Motherland as the body of the mother goddess Bharatmata). Secondly, in this framework, the Babri Masjid, one particular mosque, became a site of conflict because Hindu nationalists were able to transform it into a symbol of Muslim military invasions and Muslim male sexual aggression against Hindu femininity (as Motherland and Hindu women's bodies). Thirdly, Hindu nationalists, through a well-orchestrated campaign, were able to convince a wider audience that these violations could only be avenged by the demolition of the Babri mosque (while also unofficially and inadvertently targeting Muslim women's bodies for sexual violation). Finally, this analysis should have wider implications for understanding the place of space, gender, sexuality, and sexual violation, in religio-political and ethnic conflicts elsewhere.

Notes: This paper uses state-level pollution data from 1986–1997 to construct two indices that rank U.S. states according to environmental outputs. A major finding is that marginal performers in other indices, such as Wyoming, garner top spots in these ranking systems. The paper also presents findings from fixed and random effects models of panel data that imply state income levels are positively associated with environmental outputs after a threshold level of income is obtained.

Notes: The traditional empirical approaches to the analysis of economic growth,cross-section and panel data regressions are substantially uninformative withrespect to the issue of convergence. Whether national or regional economies appear to converge in terms of per capita income or productivity levels (the so-called β-convergence) critically depends on the way in which the empirical model is specified. Traditional specifications witness a disproportionate presence of proxies for forces leading towards divergence among the conditioning variables. It is therefore hardly surprising that these analyses find a positive and statistically significant value for the estimate of the speed of convergence.A more constructive use of cross-section and panel data regressions is in the analysis of the determinants of growth. The present paper therefore builds on recent work on the role of different growth determinants (Cheshire and Carbonaro 1996) and analyses the growth performance of 122 Functional Urban Regions (FURs)over the period 1978–1994. This model explicitly recognizes growth as amultivariate process. In this new formulation it incorporates a spatialized adaptation of Romer's endogenous growth model (Romer 1990), developing the work of Magrini (Magrini 1997). Magrini's model originated from the view that technological knowledge has a very important tacit component that has been neglected in formal theories of endogenous growth. This tacit component, being the non-written personal heritage of individuals or groups, is naturally concentrated in space. As a result, technological change is profoundly influenced by the interaction between firms and their local environments.The present paper reports the results of the estimation of a fully specified model of regional growth in per capita income. Particular attention is played to the role of research and development (R&D) activities, and to the influence of factors such as Universities that shape the local environments and have important policy implications.These results are then applied to quantifying the scope for policy to influence the growth process. Several simulations are presented deriving alternative growth outcomes across European regions that would have been obtained if those variables over which policy might have control—including the contribution of human capital—had had alternative values reflecting the realistic scope of policy makers' influence. The implications for convergence/divergence in regional per capita income levels are then analyzed using a Markov chain approach (Quah 1993 and 1996; Magrini 1999).

Notes: Book reviewed:P. Rietveld and D. Shefer, (eds.) Regional Development in an Age of Structural Change

Notes: The potential interactions among governmental policies, investments andeconomic growth are complex and manifold. This paper will perform a systematic comparative analysis of the various economic insights that are currently available on these complex relationships, both theoretically (by a selective literature review) and empirically (by reviewing the empirically obtained insights). Despite the wide variety of potential theoretical relationshipsbetween government expenditures, taxation and growth, most empirical analyses are restricted to simple linear regressions of growth on some measure of government expenditures. We will indicate directions for future empirical research that may enrich our knowledge about the complex relationship between fiscal policies and economic growth, not only nationally but also regionally.

Notes: The hedonic price method is used to estimate the relationship between residential property values and airport noise and proximity to the airport in the Reno-Sparks area. Empirical results suggest there is a statistically significant negative relationship between airport noise and residential property values, with the average home in areas where noise levels are 65 decibels or high selling for about $2400 less than equivalent homes in quieter areas. However, in direct contrast to the study by Tomkins et al.(1998) who found proximity to the Manchester airport to be an amenity, this study finds proximity to the Reno-Sparks airport to have a significant negative value.

Notes: Books reviewedKarl A. Fox, Urban-regional Economics, Social System Accounts, and Eco-behavioral Science: Selected WritingsJames G. Gimpel, Separate Destinations: Migration, Immigration and the Politics of PlacesJeffry Frieden, Manuel Pastor Jr. and Michael Tomz (eds.), Modern Political Economy and Latin America: Theory and Policy

Notes: This paper examines the relationships between ethnicity and regional economic transformation in Slovakia. It takes as its focus the position of the Hungarian minority in Slovakia in the uneven process of regional change. The paper places these issues within the context of struggles over ethnicity and ‘nation’ in post-independence Slovakia. The paper argues that ethnicity has been a thoroughly contested issue since the collapse of ‘communism’ in Slovakia and a variety of struggles have been waged over enhancing the rights and position of the Hungarian minority population. The concentration of the Hungarian minority in the southern Slovak border regions with Hungary is examined within the context of the uneven economic impacts of the ‘transition to capitalism’. It is argued that, while the economic decline seen in many of these ‘Hungarian’ regions has impacted negatively on the local populations, the roots of these changes lie within the ways in which such regions were integrated into the state socialist regional division of labor. In particular, the role of peripheral industrialization in such regions prior to 1989, in attempting to reduce economic differences among various ethnic groups, resulted in the establishment of branch plant economies which have had difficulty in surviving since 1989. It is therefore the interweaving of the economics of regional decline and the politics of ethnicity that help us to understand the complex place of the Hungarian minority in Slovakia.

Notes: Among the most destructive legacies of apartheid in South Africa is the violent history of division, discrimination, and control through which the everyday injustices of racial order were experienced. This violence of ‘separate development’ was inscribed within particular spaces, as the apartheid state attempted to define and control where racially-defined citizens could live, work, and travel. This paper examines the geography of violence and reconstruction in one such space, that of Cato Manor near Durban. The area is known for the large-scale forced removals which took place there in the 1950s, destroying a multi-racial community of Indian and African residents. Although zoned for white residence, Cato Manor remained vacant until the 1980s, when it became a safe haven for refugees fleeing violence in the Natal countryside. In the early 1990s, the area became the focus of a non-racial development effort, which sought to overcome the violent social divisions of the apartheid era. This redevelopment, however, became a site of contestation when former residents of Cato Manor petitioned to reclaim land they once owned there, claims that the city of Durban attempted to nullify in court. The outcome of the land claims trial highlights the tensions between the present dictates of development and the process of negotiating the violence of the past, and suggests that the democratization of planning can be a means of ‘working through’ the legacies of displacement and dispossession that are so much a part of South Africa's present.

Notes: To assess development potential of small business, this research examines the age and size characteristics of nonmetropolitan firms and the contribution of business ‘births,’‘deaths,’ expansions, and contractions to job growth. Analysis of data derived from the federal-state unemployment insurance program in Georgia indicates that firms employing fewer than 100 workers account for 44.3 percent of private sector nonfarm employment in nonmetropolitan counties. Overall, the mix of small and large firms remained quite stable over the five year study period. The dynamics of job creation and loss differed dramatically by enterprise size and manufacturing/nonmanufacturing sector. Three segments of the business population contributed most to rural job growth: very small continuing firms, large manufacturing establishments, and non-manufacturing businesses owned by large enterprises. The paper concludes with a discussion of economic development policies that may enable rural communities to capitalize on these business demographic trends.

Notes: Using data for U.S. metropolitan statistical areas, an earlier study of aggregate local geographic research spillovers generated by universities (Anselin et al.1997) was extended to a sectorally disaggregated level. These findings suggest the existence of significant sectoral variation with respect to local university effects on innovation. Apparent differences were found across sectors with respect to the “mix” of applied local knowledge inputs in general, and the extent to which university research plays a role in innovation in particular. The main conclusion is that local university spillovers seem to be specific to certain industries, such that at the two-digit SIC level, no university spillover effects are at work in the Drugs and Chemicals (SIC28) and in the Machinery (SIC35) sectors. On the contrary, very strong and significant university research spillovers are evidenced in the Electronics (SIC36) and the Instruments (SIC38) industries. These spillovers extend beyond the boundary of the MSA within a 75-mile range from the central city.

Notes: Governments frequently formulate policies designed to stimulate regional economic development. Rarely, however, are efforts made to measure local preferences for economic development outcomes. While the political process should eventually sort out how well local governments are meeting the needs of their constituents, the irreversible nature of many development outcomes makes it preferable to incorporate local preferences directly into the decision making process. This paper presents a straightforward means of measuring preference trade-offs. The analytical hierarchy procedure is applied to local economic development outcomes in three Virginia counties and is shown to improve the targeting of industries by incorporating local preferences in the targeting process. The method has wide applicability for different development decisions.

Notes: The quality of public schools is often cited as an important attribute which distinguishes a community. Indeed, a recent public opinion poll conducted by the California Public Education Partnership indicates that residents rank improvements in public education higher than such high profile issues as environmental quality and crime reduction. In order to explore the role of educational quality in determining residential property values, a hedonic housing price model is used on a large sample of homes which sold within Fresno County in California over the period 1990-1994. After controlling for a wide range of housing characteristics and neighborhood features, the findings indicate that the school district does significantly influence the real sale price. Then the relative importance of inputs into the production of educational services is investigated as compared to output measures of productivity. These findings suggest that both input and output measures are important. However, elasticity estimates of input measures tend to be higher than those of output measures, with the average class size by far the strongest influence. There is some evidence to suggest that the benefits of additional teachers likely outweigh the costs. Finally, the findings suggest that attributes of schools are more highly valued by local residents than either crime or environmental quality measures within the community.

Notes: This study examines convergence in real wages for hired farm labor in the U.S. agricultural sector over the period 1978-92,using the ‘average farm’ in each county as an observation. Convergence is investigated at the aggregate (or the entire U.S. level)and regional levels. Evidence supports convergence with a slower rate at the aggregate level than that at the regional level. Suggested by the evidence is the possibility that absolute benefits of wage equalization across states are ‘contagious’—that one state's successful investment raises productivity and factor payments in neighboring states and that agricultural labor markets are efficient and integrated all over the country.

Notes: State socialist nationalization policies in the 1980s severely impacted the ethnic Turkish and Muslim regions of Bulgaria, while neo-liberal economic strategies have subsequently further deepened their economic crisis. This paper focuses on the ways in which policies of regional economic marginalization, cultural assimilation, and population expulsion have deeply marked the people and places of the Kurdajli region of southeastern Bulgaria. The paper shows how mass unemployment arose quickly after 1989 as a result of the closure of branch-plants, and assesses the role of social networks and non-capitalist economic practices in the Muslim communities during this period of economic immiseration. The paper shows how these legacies of state policy and social practice have provided flexible opportunities for the resurgence of apparel assembly for export, referred to locally as ‘Klondike capitalism’. The paper concludes with a discussion of the extent to which the history of violence has influenced the processes of internationalization in the region, and how we are to think about the relationship between regional mass unemployment and sectorally specific industrial revitalization.

Notes: Books reviewed:John Helliwell, How Much do National Borders Matter?A. McLaughlin and W. Maloney, The European Automobile Industry: Multi-level Governance, Policy and Politics

Notes: This article offers insights into the identification of cases with a significant potential for ethnic conflict over a 2-3 year time horizon through an examination of the application of the Analytic Hierarchy Process (AHP) to the analysis of ethnic conflict potential in those cases. The goal is to suggest an analytical framework with applicability to the assessment of ethnic conflicts in Southeast Asia and beyond; thus, factors are identified that tend to precipitate or facilitate ethnic conflict in a world dominated by the norms of the modern state system.Twenty-four ethnic minority groups are identified in Southeast Asia that havesome potential for conflict over the next 2-3 years. The AHP methodology is then employed as a means to measure the potential for ethnic conflict among these twenty-four groups. Potential is defined as the product of desire or motivation to act (i.e., the motivating factors) and the ability or capability to act (i.e., the enabling conditions), such that: POTENTIAL = (MOTIVATION) X (ABILITY). This approach to ethnic conflict analysis promotes consideration of the contextual factors that influence feelings of marginalization and capacity to effect change—a considerable step forward over approaches that are based on (inevitably problematic) generalizations about the shared attributes or historically rooted prejudices toward ethnic groups.

Notes: Past attempts to uncover evidence that economically disadvantaged groups are unjustly exposed to environmental disamenities have failed to take into account self-selection behavior of individuals or groups of individuals. For instance, when choosing a place to live, households may be trading environmental quality for other housing, neighborhood, and location characteristics they care about. Previous literature on environmental justice has investigated location choice of polluting industries, but fails to account for consumer self-selection in housing markets. This paper thus focuses on location choice of individuals based on observed housing transactions. From the results of a random utility model, a test is proposed that incorporates the no-envy concept of economic equity. The results support a finding for environmental discrimination with respect to African American households, but do not support the hypothesis that poor households in general are unfairly exposed to environmental disamenities.

Notes: Books reviewedMoazzem Hozzain, Iyanatul Islam and Reza Kibria, South Asian Economic Development:Transformation, Opportunities and Challenges,Valentine Udoh James and James S. Etim, (eds.) The Feminization of Development Processes in AfricaAura Reggiani, (ed.) Accessibility, Trade and Locational BehaviourRichard H. Olson and Thomas A. Lyson, (eds.) Under the Blade: The Conservation of Agricultural Landscapes

Notes: Shift-share analysis is used to examine the role of spatial structure on changes in regional manufacturing employment, in contrast to the traditional focus of shift-share studies on the role of industrial structure. It is argued that changes in a region's space-economy can be understood not only in terms of the economic subdivisions of the region but also in terms of the contribution of its spatial subdivisions. The latter is illustrated by means of a case study of the contribution of different types of local area to changes in regional manufacturing employment in Japan. Each region was subdivided into four types of local area based on population density. The analysis covered the period from 1981 to 1995, a time of major transformation in Japan's space-economy. The shift-share model was also used to estimate the impact of local area output and productivity on changes in regional employment. In general, the results show that there was a progressive underdevelopment of the core regions, associated with falling output and productivity. The country's peripheral regions were characterized by development, associated with rising output and productivity. Atthe local scale, however, the picture is far more complex. Types of local area contributed to regional employment change in very different ways, with respect to both time, region, and output/productivity. The contribution of local spatial structure to the regional space-economy of Japan is fundamentally fragmented and uneven.

Notes: This paper contributes to the literature on labor market dynamics in four ways. First, unlike most of the existing literature, it uses the Survey of Income and Program Participation (SIPP). This panel survey, with a 32-month window of observation, allows a more precise measure of employment flows than other data sources. It was found that one out of three workers experiences a job transition during the observation period. Second, it focuses on the state of California during an economic cycle. According to these estimates, the net decline in employment represents just 2.6 percent of all job rotations (separations offset by accessions), and gross job flows were as important during the downturn as they were during the economic expansion. Third, it estimates gross flows by sector, and finds significant variation in gross flows relative to employment across sectors of economic activity. Fourth, it examines the coexistence of cyclical and structural changes of California in the early 1990s. The results suggest a labor market link between structural changes and economic cycles.

Notes: Regionalism has commonly been expected to dissolve as a consequence of the administrative regional penetration of the centralized modern state and the homogenizing forces associated with modernization. This mode of reasoning has reappeared recently among authors who see globalization as a universal force that will eradicate regional economic inequalities, local identities and regional political mobilization. Contrary to these expectations, regional autonomy movements continue to play a central political role within many states. Consequently, it remains an important analytical challenge to understand the construction and politicization of regional interests.Against this background, the article presents a critical interpretation and contextual analysis of Tamil separatism in Sri Lanka. It is argued that studies of nationalist movements should seek inspiration in the contemporary dialog between three main perspectives on social movements (theories of new social movements, resource mobilization theories, and theories of collective identity) and a corresponding three-dimensional understanding of place (location, locale, and sense of place). The paper shows how nationalist mobilization cannot be reduced to essentialist notions of primordial nations, territorial nation-states, or internal colonialism, but instead should be understood as the outcome of cultural and political practices by a multitude of actors, operating in time- and place-specific contexts.

Notes: National policydecisions in developing countries contribute to the increasing integration of agriculture into national and world economies. The spatial consequences of national policies, however, vary across regions and agricultural systems. Employing and adapting a methodology first proposed by King (1970), this study explores the relationship between national policy, agriculture, and population characteristics at the regional level in Mexico during the presidency of Carlos Salinas de Gortari (1988–94). Statistical analyses corroborate the hypothesis that the impact of policy reforms on the agricultural sector in Mexico is mediated by the characteristics of the population. Results suggest that government credit for agriculture and federal funding of rural development during the Salinas de Gortari administration were mediated by factors associatedwith the level of urbanization. The provision of commercial credit at the regional level, however, does not appear to depend on population characteristics. Disparities in the impact of national policies are attributed to a historical urban bias, the differential ability of more highly urbanized states to attract government funding, manage and implement programs, and the existence of highly profitable, commercial agriculture in more developed states.

Notes: The properties of a modular neural network system designed to forecast movements of the long gilt futures contract are examnined. The examination illustrates that diagnostic measures can effectively inform end-users of the system when appropriately to switch modules given the likelihood of the degradation of forecasts. The modelling is based upon periods of market sentiment, and the inductive data models encapsulated, within the modules of the neural network system, are investigated. The models track, and also provide knowledge of , underlying market characteristics in different periods of market sentiment. The research provides deductions concerning the (dis-)similarity of underlying characteristics in differing periods of market sentiment.

Notes: The paper presents a method for helping knowledge engineers in modelling the knowledge involved in sequential diagnosis. In particular, we consider sequential diagnosis as a process which occurs in the following type of scenario: (1) there exist some candidate hypotheses which are to be pursued; (2) for each hypothesis there are some alternative tests which might be executed to pursue it; (3) the available knowledge about the world precludes projecting into the future (in other words, the available knowledge about the world does not afford the information needed for planning sequences of tests, i.e. for projecting the consequences of possible sequences of actions and picking the best sequence); (4) the choice of the next test (or tests) is made on the basis of the current state of knowledge; (5) the outcome of a test execution is affected by uncertainty. The suggested method addresses the problem of engineering the knowledge experts use for making decisions under uncertainty. A practical example of the method is also presented: at any time of the diagnostic process the expert is provided with a dynamically updated list of suggested tests in order to support him or her in the decision-making problem about which test to execute next.

Notes: The Internet offers a large potential for delivery of various information-based services, including the services of intelligent applications. As the availability of the Internet has grown, its value as a medium for the delivery of expert systems in particular has increased. There are now a large number of expert systems available on the Internet, including applications in industry, medicine, science and government. Though the Internet provides several advantages for expert system development, it also presents some special problems. These advantages and disadvantages are explored in more detail in this paper. The paper also presents a review of several Internet-based expert systems with a representative sample of publicly available applications, and a discussion of typical tools for developing Internet-based expert systems. A case study of an Internet-based expert system is presented as well.

Notes: This paper describes a connectionist inference architecture which performs standard symbolic inference on a subclass of first-order predicate calculus. This work first involves constructing efficient connectionist mechanisms to represent basic symbol components, dynamic bindings and basic symbolic inference procedures, and devising a set of algorithms which automatically translates input descriptions to localist neural networks. These connectionist mechanisms are built by taking an existing phase-locking mechanism and extending it further to obtain desirable features to represent and manipulate basic symbol structures. The existing phase-locking mechanism represents dynamic bindings very efficiently using temporal synchronous activity between neuron elements but has fundamental limitations in supporting standard symbolic inference. The extension addresses these limitations. The extended system encodes a significant subset of a Horn clause language in a connectionist style.

Notes: Connectionist network learning of context-free languages has so far been applied only to very simple cases and has often made use of an external stack. Learning complex context-free languages with a homogeneous neural mechanism looks like a much harder problem. The current paper takes a step toward solving this problem by analyzing context-free grammar computation (without addressing learning) in a class of analog computers called dynamical automata, which are naturally implemented in connectionist networks. The result is a widely applicable method of using fractal sets to organize infinite-state computations in a bounded state space. An appealing consequence is the development of parameter-space maps, which locate various complex computers in spatial relationships to one another. An example suggests that such a global perspective on the organization of the parameter space may be helpful for solving the hard problem of getting connectionist networks to learn complex grammars from examples.

Notes: Holographic reduced representations (HRRs) are a method for encoding nested relational structures in fixed-width vector representations. HRRs encode relational structures as vector representations in such a way that the superficial similarity of the vectors reflects both superficial and structural similarity of the relational structures. HRRs also support a number of operations that could be very useful in psychological models of human analogy processing: fast estimation of superficial and structural similarity via a vector dot-product; finding corresponding objects in two structures; and chunking of vector representations. Although similarity assessment and discovery of corresponding objects both theoretically take exponential time to perform fully and accurately, with HRRs one can obtain approximate solutions in constant time. The accuracy of these operations with HRRs mirrors patterns of human performance on analog retrieval and processing tasks.

Notes: Rough set theory (RST) offers an interesting and novel approach both to the generation of rules for use in expert systems and to the traditional statistical task of classification. The method is based on a novel classification metric, implemented as upper and lower approximations of a set and more generally in terms of positive, negative and boundary regions. Classification accuracy, which may be set by the decision maker, is measured in terms of conditional probabilities for equivalence classes, and the method involves a search for subsets of attributes (called ’reducts’) which do not require a loss of classification quality. To illustrate the technique, RST is employed within a state level comparison of education expenditure in the USA.

Notes: The main goal of this paper is to show how relatively minor modifications of well-known algorithms (in particular, back propagation) can dramatically increase the performance of an artificial neural network (ANN) for time series prediction. We denote our proposed sets of modifications as the ’self-momentum’, ’Freud’ and ’Jung’ rules. In our opinion, they provide an example of an alternative approach to the design of learning strategies for ANNs, one that focuses on basic mathematical conceptualization rather than on formalism and demonstration. The complexity of actual prediction problems makes it necessary to experiment with modelling possibilities whose inherent mathematical properties are often not well understood yet. The problem of time series prediction in stock markets is a case in point. It is well known that asset price dynamics in financial markets are difficult to trace, let alone to predict with an operationally interesting degree of accuracy. We therefore take financial prediction as a meaningful test bed for the validation of our techniques. We discuss in some detail both the theoretical underpinnings of the technique and our case study about financial prediction, finding encouraging evidence that supports the theoretical and operational viability of our new ANN specifications. Ours is clearly only a preliminary step. Further developments of ANN architectures with more and more sophisticated ’learning to learn’ characteristics are now under study and test.

Notes: This paper describes the design and implementation of an intelligent real-time supervision system for the monitoring and control of wastewater treatment plants. The system presents a hybrid structure which integrates knowledge engineering techniques and methodologies (an expert system based on production rules embodying non-mathematical or semiquantitative knowledge of unit operation) and algorithmic process-related methods (data acquisition, signal preprocessing, calculation of plant operation parameters etc.). The fundamental design aspects consist of temporal information treatment, artifact detection and a client- server structure which allows the telesupervision of various plants by a central system.

Notes: Although many knowledge-based systems (KBSs) focus on single-paradigm approaches to encoding knowledge (such as production rules), human experts rarely use a single type of knowledge to solve a real-world problem. A human expert usually combines a number of reasoning mechanisms. In recent years, rule-based reasoning (RBR), case-based reasoning (CBR) and model-based reasoning (MBR) have emerged as important and complementary reasoning methodologies in the intelligent systems area. For complex problem solving, it is useful to integrate RBR, CBR and MBR. In this paper, a hybrid epidemic screening KBS which integrates a deductive RBR system, an inductive CBR system and a quantitative MBR system is proposed. The system has been tested using real epidemic screening variables and data.

Notes: While knowledge-based systems are being used extensively to assist in making decisions, a critical factor that affects their performance and reliability is the quantity and quality of the knowledge bases. Knowledge acquisition requires the design and development of an in-depth comprehension of knowledge modeling and of applicable domain. Many knowledge acquisition tools have been developed to support knowledge base development. However, a weakness that is revealed in these tools is the domain-dependent and complex acquisition process. Domain dependence limits the applicable areas and the complex acquisition process makes the tool difficult to use. In this paper, we present a goal-driven knowledge acquisition tool (GDKAT) that helps elicit and store experts’ declarative and procedural knowledge in knowledge bases for a user-defined domain. The designed tool is implemented using the object-oriented design methodology under C++ Windows environment. An example that is used to demonstrate the GDKAT is also delineated. While the application domain for the example presented is reflow soldering in surface mount printed circuit board assembly, the GDKAT can be used to develop knowledge bases for other domains also.

Notes: In this paper we propose a connectionist model for variable binding. The model is topology dependent on the graph it builds based on the predicates available. The irregular connections between perceptron-like assemblies facilitate forward and backward chaining. The model treats the symbolic data as a sequence and represents the training set as a partially connected network using basic set and graph theory to form the internal representation. Inference is achieved by opportunistic reasoning via the bidirectional connections. Consequently, such activity stabilizes to a multigraph. This multigraph is composed of isomorphic subgraphs which all represent solutions to the query made. Such a model has a number of advantages over other methods in that irrelevant connections are avoided by superimposing positionally dependent sub-structures that are identical, variable binding can be encoded and multiple solutions can be extracted simultaneously. The model also has the ability to adapt its existing architecture when presented with new clauses and therefore add new relationships/rules to the model explicitly; this is done by some partial retraining of the network due to the superimposition properties.

Notes: Modus ponens is used in forward inference and backward inference, where the truth of the conclusion is inferred from the truth of the premise. In modus tollens, the falseness of the premise is inferred from the falseness of the conclusion. Although modus ponens is used in general connectionist production systems, modus tollens is rarely used, except in Quinlan’s proposed INFERNO system and in the system proposed by Thornber. A connectionist production system called ConnPS that can perform both modus ponens and modus tollens simultaneously is described. Compared to the INFERNO system, one of the advantages of ConnPS is its supervised learning ability. The rules and examples given as external knowledge are often erroneous and incomplete. In ConnPS, these rules can be refined by using the supervised learning. Both positive and negative examples are presented to ConnPS, onto which the external rules and observations are mapped. Moreover, ConnPS’s implementations of implications, conjunctions, disjunctions and negation are intuitively consistent with Boolean logic.

Notes: When do we have a company town and when do we have a multi-firm city? In this paper I analyze the impact of public infrastructure investment decisions on types of cities in a decentralized urban system. This is done in a one-sector spatial general equilibrium model of a closed economy. Investment in public infrastructures reduces the fixed set up cost of all firms within the city resulting in multi-firm cities. Thus, in this approach localization economies are modelled explicitly instead of assuming that larger industrial size within the city enhances productivity. On the other hand, when the infrastructure is not provided, a company town will be formed by a developer because of the fixed cost required by each firm. The decision of whether to invest in the provision of public infrastructures depends on the type of city that will provide households with the highest utility. This paper characterizes the conditions that lead to each of the two equilibrium configurations.

Notes: Recent housing-market studies have modeled slow stock and price adjustment with some success. However, the empirical procedures used in these models break down if housing stocks or prices are driven by stochastic growth. In this paper I suggest an error-correction model for analyzing housing supply and demand under conditions of stochastic growth for a regional housing market. The model is applied to the housing market in Boulder, Colorado from 1981 through 1995—a period of rapid growth in housing values in the area. Long-run housing supply and demand are shown to be inelastic with respect to changes in the price of housing. The results indicate that developers respond more accurately to housing-market disequilibrium attributable to supply-side disturbances than to disturbances generated by changes in the demand for housing. On the other hand, price appreciation is driven primarily by demand disturbances.

Notes: We extend the well-known transport users' benefits measure (TUB) for the doubly-constrained spatial interaction model derived by Williams (1976). The original formula expresses the TUB as composed by two terms associated with the origin and the destination zones. First, the TUB is associated here with trips instead of zones, providing a natural interpretation as a rule-of-a-half measure of benefit under inelastic demand (for the short-run case). Second, a TUB formula for the long-run case is derived, that is, when the total number of trips, trip origins, and trip destinations change. We then propose updated measures of accessibility for location behavior.

Notes: In this paper we address two aspects of regulatory federalism in U.S. environmental policy. First, we suggest that environmental quality in U.S. states responds positively to increases in income. Second, we provide evidence that environmental quality did not decline when President Reagan's policy of new federalism returned responsibility for many environmental regulations to the states. Thus, state environmental quality appears to reflect more than just the dictates of federal policy. Additionally, we find that a “race to the bottom” in environmental quality did not materialize in the 1980s.

Notes: The persistence of poverty in the modern American economy, with rates of poverty in some areas approaching those of less advanced economies, remains a central concern among policy makers. Therefore, in this study we use U.S. county-level data to explore potential explanations for the observed regional variation in the rates of poverty. The use of counties allows examination of both nonmetropolitan area and metropolitan area poverty. Factors considered include those that relate to both area economic performance and area demographic composition. Specific county economic factors examined include economic growth, industry restructuring, and labor market skills mismatches.

Notes: A common outcome among Central European transition economies is the significant variation in regional unemployment rates, a condition symptomatic of allocative inefficiency in the labor market. Several studies attribute such variation, at least in part, to large vertically integrated industrial complexes erected during the period of central planning, and in turn to subsequent employment adjustment that operates to the disadvantage of local workers during transition. In this study I provide a test of this hypothesis by examining the correlates of local employment change at the outset of reforms, and specifically adjustment triggered by extreme variation in local plant size and scale externalities.

Notes: In this paper I use bootstrap procedures to develop confidence intervals for estimates of total industrial output generated per thousand tourist visits. Mean expenditures from replicated visitor expenditure data included weights to correct for response bias. Impacts were estimated with IMPLAN. Ninety percent interval endpoints were 6 to 16 percent above or below the original sample's point estimate depending on the calculation method. Due to the linearity of input-output a shortcut method that estimates confidence interval endpoints from the distribution of mean expenditure profiles yields nearly identical results.

Notes: Over the past 25 years social scientists attempting to explain the dramatic changes in the relative distribution of urban and rural population growth have gravitated toward two competing explanations. The regional restructuring hypothesis holds that changes in the spatial distribution of employment opportunities have been dominant whereas the deconcentration hypothesis attributes these changes to changes in residential preferences of workers and consumers. We develop an empirical test of these two explanations based on whether commuting and migration are positively or negatively related after controlling for other economic factors. Our econometric results support the deconcentration hypothesis.

Notes: Books reviewed:Masahisa Fujita, Paul Krugman, and Anthony J. Venables, The Spatial Economy: Cities, Regions, and International TradeSusan E. Clarke and Gary L. Gaile, The Work of CitiesDeborah Wallace and Rodrick Wallace, A Plague on Your Houses: How New York Was Burned Down and National Public Health CrumbledAnna Nagurney and Stavros Siokos, Financial Networks: Statics and DynamicsPhilip McCann, The Economics of Industrial Location: A Logistics-Costs ApproachKenneth J. Button and Erik T. Verhoef (eds.), Road Pricing, Traffic Congestion and the Environment: Issues of Efficiency and Social FeasibilitySharon Cullinane and Gordon Stokes, Rural Transport PolicyRobert L. A. Morsink, Foreign Direct Investment and Corporate Networking: A Framework for Spatial Analysis of Investment ConditionsCharles K. Hyde, Copper for America: The United States Copper Industry from Colonial Times to the 1990sFue-Chen Lo and Yue-Man Yeung (eds.), Globalization and the World of Large CitiesMark Wheeler (ed.), The Economics of the Great DepressionKanwalroop Kathy Dhanda, Anna Nagurney, and Padma Ramanujam, Environmental Networks: A Framework for Economic Decision-Making and Policy AnalysisJacek Malczewski, GIS and Multicriteria Decision AnalysisPaul A. Longley, Michael F. Goodchild, David J. Maguire, and David W. Rhind (eds.), Geographic Information Systems, second edition. Vol. 1: Principles and Technical Issues; Vol. 2: Management Issues and ApplicationsJean Claude Thill (ed.), Spatial Multicriteria Decision Making and Analysis: A Geographic Information Sciences ApproachJean C. Oi, Rural China Takes Off: Institutional Foundations of Economic ReformGeorge R. Zodrow, State Sales and Income Taxes: An Economic AnalysisMargaret K. Nelson and Joan Smith, Working Hard and Making Do: Surviving in Small Town AmericaEmil E. Malizia and Edward J. Feser, Understanding Local Economic DevelopmentStephanie S. Pincetl, Transforming California: A Political History of Land Use and Development

Notes: We develop a model in which two regional governments compete for two mobile oligopolistic firms. Regional governments provide local infrastructure to attract mobile firms in order to increase regional employment and income. Firms face the trade-off between better regional infrastructure and fiercer competition for local workers. Strategic interaction prevails at the regional level as well as at the firm level. We show that an equilibrium with spatial concentration of firms as well as an equilibrium with spatial diversification of firms exists. In almost all cases regional competition leads to a suboptimal provision of local infrastructure.

Notes: In this paper we examine the county-level pattern of new foreign-owned manufacturing plants in the United States from 1989 through 1994. We construct a model to produce insights into the differences in the location of these plants among Bureau of Economic Analysis regions, as well as between rural and urban counties. Higher levels of economic size, educational attainment, the existing manufacturing base, and transportation infrastructure are found to be associated with larger numbers of new foreign-owned plants. Meanwhile, higher levels of taxes and labor-intensiveness are found to be associated with smaller numbers of new plants. Comparing regions, we find that the main advantages of the Southeast region stem from a relatively high manufacturing base and relatively low taxes. Comparing urban with rural counties, we find that urban counties possess more favorable average values for nearly all the explanatory variables.

Notes: In this paper we study the economic determinants of Spanish interregional labor force flows from an aggregate perspective. The study is based on a matching model of the labor market applied to migration, and uses gross rather than net flows as other studies do. Among the main results, we find that unemployment increases out-migration because unemployed people search more actively, but when the unemployment rate is above a certain level this effect is reduced. We also find that the rate of change of relative wages is a significant determinant of migration in Spain.

Notes: Books reviewed:Kenneth Button and Eric Pentecost, Regional Economic Performance within the European UnionTimothy P. Duane, Contesting Citizenship in China: Peasant Migrants, the State, and the Logic of the MarketTimothy P. Duane, Shaping the Sierra: Nature, Culture, and Conflict in the Changing WestDaniel A. Griffith, Carl G. Amrhein, and Jean-Marie Huirot (eds.), Economic Advances in Spatial Modelling and Methodology: Essays in Honour of Jean PaelinckJosé Manual L. Santos, The Economic Valuation of Landscape Change: Theory and Policies for Land Use and ConservationJavier Sanziola, Arts, Government and Community RevitalizationLeo Van Grunsven (ed.), Regional Change in Industrializing Asia: Regional and Local Responses to Changing CompetitivenessAllen G. Noble, Frank J. Costa, Ashok K. Dutt, and Robert B. Kent (eds.), Regional Development and Planning for the 21st Century: New Priorities, New Philosophies

Notes: In this paper we derive an analytical expression for the regional neoclassical economic base marginal employment multiplier. The model that we adopt is a variant of the 1-2-3 general equilibrium model used in trade analysis. Its specific neoclassical characteristics are that laborsupply is a positive function of the real consumption wage and that factor and product demands are price sensitive. We calculate the employment multipliers associated with both a demand and supply stimulus to the basic sector. We demonstrate that it is possible for the marginal economic base multiplier to take any positive or negative value. However, the value of the marginalmultiplier is likely to approximate the value of the conventional average multiplier the closer production and utility functions are to Cobb-Douglas specifications and the more elastic is the labor supply function.

Notes: In this paper we employ a unifying approach to examine the exclusion theorem in a Weberian space under various types of uncertainty: input price or output price uncertainty, transport rate uncertainty, and technology uncertainty. The novelty of our approach is the usage of second-order conditions and comparative static analysis in the derivation of conditions for thevalidity of the exclusion theorem. Our main results are new and some are generalizations of those obtained in prior studies.

Notes: Partially degenerate nested logit (NL) models have broad applicability in regional science. However, the literature on them is relatively sparse and confusion exists on some aspects of identification and related matters. This paper addresses a number of conceptual and econometric aspects of partially degenerate NL models. These include identification, scaling, invariance, and consistency with the utility-maximizing postulate that underlies discrete choiceanalysis. This is accomplished within the larger, encompassing framework of nondegenerate NL models of which the partially degenerate model is a special case.

Notes: This paper focuses on the knowledge representation framework utilized by an integrated wastewater treatment expert system for diagnosing operational problems of an activated sludge plant. The system deals with events that may occur in all the units of an activated sludge plant and exploits on-line measurements, observations formed from data provided by laboratory analyses and empirical observations in an integrated manner. The system provides assistance to human experts to control the activated sludge process. It has been tested and evaluated in the pilot activated sludge plant of the Water and Air Quality Laboratory in the University of the Aegean.

Notes: We discuss the use of probability-based natural language processing for Chinese text retrieval. We focus on comparing different text extraction methods and probabilistic weighting methods. Several document processing methods and probabilistic weighting functions are presented. A number of experiments have been conducted on large standard text collections. We present the experimental results that compare a word-based text processing method with a character-based method. The experimental results also compare a number of term-weighting functions including both single-unit weighting and compound-unit weighting functions.

Notes: Recently, the prevalence of information retrieval engines has created an important application of the automatic summarization as the display of retrieval results, whereby the user can quickly and accurately judge the relevance of texts returned as a result of a query. Here, rather than producing a generic summary, the summary that reflects the user's topic of interest (information need) expressed in the query would be considered as more suitable. This type of summary is often called query-biased summary.In this paper we present a method for producing query-biased summaries using lexical chains. Lexical chains are sequences of words that are in lexical cohesion relation with each other, and tend to indicate fragments of a text that form a semantic unit. Using lexical chains would enable to produce more coherent and readable summaries than previous approaches to query-biased summarization.To evaluate the effectiveness of our method, a task-based evaluation scheme is adopted. The results from the experiments show that query-biased summaries by lexical chains outperform others in the accuracy of subjects' relevance judgments.

Notes: Time-series prediction is important in physical and financial domains. Pattern recognition techniques for time-series prediction are based on structural matching of the current state of the time-series with previously occurring states in historical data for making predictions. This paper describes a Pattern Modelling and Recognition System (PMRS) which is used for forecasting benchmark series and the US S&P financial index. The main aim of this paper is to evaluate the performance of such a system on noise free and Gaussian additive noise injected time-series. The results show that the addition of Gaussian noise leads to better forecasts. The results also show that the Gaussian noise standard deviation has an important effect on the PMRS performance. PMRS results are compared with the popular Exponential Smoothing method.

Notes: Books reviewed:Philip Hirsch and Carol Warren, The Politics of Environment in Southeast Asia: Resources and ResistanceSamuel Bassey Okposin, The Extent of Singapore's Investments Abroad

Notes: This article traces the emergence of a negative strain in European and North American representations of the tropics, as earlier images of natural abundance were supplemented, and partly supplanted, by the fears and frustrations of would-be colonisers and the growing realisation of the technical difficulties of tropical “development”. Taking Pierre Gourou's The Tropical World (1947) as an exemplary text that embodies attitudes accumulated over the previous century of scientific activity and colonial administration in the tropics, it is possible to see how, despite recognition of wide regional variations, the tropics as a whole were seen as constituting an impoverished and pestilential region, largely unsuited to white settlement and agriculture, and yet reliant upon outside agency for prospects of development. Without entirely ceasing to be landscapes of desire, the tropics represented a more primitive world than the northern temperate zone, a domain of largely untamed nature that served, by contrast, to demonstrate the moral and material “superiority” of northern climates, races and civilisations.

Notes: The tropical gardens and landscape designs of the Brazilian landscapist, Roberto Burle Marx, are examined in relation to the historical development of the European concept of “the tropical”. The argument is made that Burle Marx's pared down, austere, and abstract designs, which incorporate tropical plants in innovative fashion, yet make no effort to recreate or imitate a jungle experience, can be interpreted as offering a possible solution to the dialectic of nature and culture in a country burdened historically by the designation “tropical”.

Notes: Land cover change may impact watershed hydrology and regional climate by altering land-atmosphere exchanges of energy and water. Conversion of forest to pasture has previously been shown to decrease the rate of evaporation (including transpiration) because of reduced aerodynamic roughness, less canopy rainfall interception and greater canopy resistance during dry periods. However, less is known about the effects of forest replacement land covers other than pasture. In this study, field measurements of meteorological processes, stomatal resistance, and Leaf Area Index (LAI) were taken over various deforested land surfaces in the eastern Amazon Basin and in northern Thailand. Based on these measurements, evaporation and sensible heat flux were estimated over each site. Results show the degree to which different land covers replacing tropical forest affect energy partitioning. In comparison with forest, non-irrigated, actively and recently cultivated sites had sharply lower rates of evaporation. Secondary vegetation generally had higher rates of evaporation than actively or recently used sites. The proportion of energy used for evaporation increased rapidly with age in secondary vegetation. Evaporation rates at sites eight and 25 years after abandonment in the Thailand study area were enhanced by positive sensible energy advection from nearby cultivated areas, and were similar to those of primary forest. Differences in dry season evaporation rates of 3-, 8- and 25-year secondary vegetation are explained, in part, by the differences in canopy resistance. Minimum canopy resistance was 223, 61 and 58 s m −1 , respectively at the 3-, 8- and 25-year sites.

Notes: This paper examines the contribution of Export Processing Zones (EPZ) to employment creation in Kenya. The results suggest that employees in non-EPZ businesses are better paid than those in the EPZ. Firms in the EPZ employ more women than the Kenyan national average, although the proportion is less than the international average amongst EPZs. Against the general fear that EPZ enterprises offer little employment, the number of employees in the EPZ enterprises are comparable to those found outside as are working hours. A weak trade union movement, inefficient and inadequate social security, lack of employment benefits, lack of opportunities for training and promotion and low pay are problems encountered by those working in an EPZ.

Notes: This paper examines a particular type of imperial literature, the writing of the plantation in mid-nineteenth century Ceylon. These writings, by and for the male planting community, were written to recruit, instruct and entertain, and drew upon discourses of tropicality and moral masculinity. But discourses are constrained by the material conditions under which they are put into practice. Consequently, writings about a place such as highland Ceylon recognised the divergence of this place from the archetypal tropics. Accounts, nevertheless, remained within the conceptual grid that Livingstone (1991) has termed the “morality of climate.” These texts were also pervaded by the discourse of moral masculinity. More particularly, the narrative structure of these writings was inflected by the masculinist adventure novel, which was cross-cut by concerns of race, class, religion and nationality. The tropical highlands were represented as an adversary that presented a moral test of the planters' manhood, race and class.

Notes: This paper argues that regions typically dubbed “tropical” or “sub-tropical” were often also inscribed as economic and agricultural resources. Specifically, it focuses on western European surveyors' descriptions of early twentieth-century Paraguay. In these texts, Paraguay was constructed as a series of fertile tropical and sub-tropical regions, easily harnessed by European capital. Moreover, to enable the appropriation of the myriad agricultural resources on offer, the surveyors indexed Paraguay's “development” to the progress of the railways, in turn portrayed as moral and altruistic ventures. The paper moves from a theoretical discussion of the construction of tropicality to a brief history of surveying. It then analyses the portrayal of Paraguay as a massive arena of tropical and sub-tropical goods, moving on to consider the role played by the railroads. The paper ends with a reflection on the relative successes of the proposed and actual schemes advocated by the surveyors in question.

Notes: In this study we investigate how differential institutions, and their observance within regional labor markets, impact potential earnings realization. We investigate institutional linkages to labor market outcomes by means of cross-nation comparisons between the United States and the Netherlands. In this regard, better job-matching (information) programs, higher relative unemployment benefits and minimum wages, and a greater prevalence of both trade unionism and collective bargaining likely work to the favor of Dutch workers, and in turnaugment their reservation wages during job search. The predictable outcome of higher earnings realization among Dutch workers is tested econometrically by frontier estimation.

Notes: In recent years it has been pointed out that regional unemployment disparities are much more entrenched across member states of the European Union (E.U.) than they are in the U.S. A ‘conventional wisdom' has emerged to the effect that this difference is due in part to the greater degree of wage rigidity in E.U. regions. In this paper we explore this issue by estimating short run and long run real wage (in)flexibility for the regions in five core E.U. countries (Germany, France, Italy, the United Kingdom, and the Netherlands) and for the U.S. states for the period 1976–1994. We find that real wage (in)flexibility varies across regions both in the E.U. and the U.S., but that, on average, regional wages are no less flexible in E.U. core regions than in U.S. states. The paper also examines some of the possible correlates ofregional variations in wage (in)flexibility.

Notes: Canonical correlation analysis (CCA) has the ability to deal with two sets of multivariate variables simultaneously and to produce both structural and spatial meanings. In view of the valuable insights to be gained, in this paper I examine the potential applications of CCA in regional science by describing its algorithm in a regional or spatial context. Next, I apply CCA to explore the mutually interdependent relationship between transport and development inChina's Zhujiang Delta. The results highlight the utility of CCA in revealing the structural and spatial patterns of two dominant and four subdominant transport-development relationships in this growing region of China.

Notes: In this paper I show how higher unemployment in a region may reduce thepopulation's residential mobility within that region. A period of higher unemployment creates more uncertainty among individuals about future income and place of employment so those with significant moving costs are more likely to consider delaying a move. Periods of relatively higher unemployment may also be characterized by fewer new hirings and fewer job quits, both of which tend to dampen mobility. A multinomial logit analysis using Panel Study of Income Dynamics data is used to examine the effect of state unemployment rates on the decision to move.

Notes: Books reviewed:Margaret K. Nelson and Joan Smith, Working Hard and Making Do: Surviving in Small Town AmericaGeorge R. Zodrow, State Sales and Income Taxes: An Economic AnalysisClive Granger, Empirical Modelling in Economics: Specification and EvaluationEmil E. Malizia and Edward J. Feser, Understanding Local Economic DevelopmentRichard Muir, Approaches to LandscapeJan Albers, Hands on the Land: A History of the Vermont LandscapeMichel Bellet and Corine La'Harmet (eds.), Industry, Space and Competition: The Contribution of Economists of the PastStephanie S. Pincetl, Transforming California: A Political History of Land Use and Development

Notes: Using intercountry input-output tables and disaggregated employment data, we decompose labor productivity growth between 1975 and 1985 in six Western European countries into partial effects of six determinants including changing international trade and changing final demand. To this end, new multiplicative decomposition formulas are derived and implemented. In a similar way, we study labor productivity changes in vertically integrated industries. The effects of structural change on convergence are investigated also. We see this paper as an attempt to merge the convergence literature with earlier single-country productivity-change decompositions using input-output data.

Notes: With informational frictions on the labor market, hedonic wage regressions provide biased estimates of the willingness to pay for job attributes. We show that a recent theoretical result, which states that the variation in job durations provides a basis for obtaining good estimates, can be generalized to a wide class of search models. We apply this result by estimating the marginal willingness of employed workers to pay for commuting, using Dutch longitudinal data. The average willingness to pay for one hour commuting is estimated to equal almost half of the hourly wage rate.

Notes: Over the last twenty years, environmental regulation has sharply reduced pollution levels in the Los Angeles region. Population growth has soared in the Los Angeles suburbs that have experienced the largest pollution reductions. This paper posits that regulation has increased local quality of life which has encouraged in-migration. I explore alternative explanations for this growth.

Notes: In this paper we present a new approach to measuring government efficiency, based on the theory that communities that allocate resources efficiently in the local public sector maximize property values. We use Data Envelopment Analysis (DEA) to identify the counties in Minnesota that are characterized by property-value maximization and hence an efficient public sector. The results indicate that the dominant source of public sector inefficiency is an inappropriate scale of operations. It appears that some county jurisdictions are too large to service the population efficiently. The size and concentration of government power are also responsible in part for observed inefficiencies.

Notes: In this paper we present a general new economic geography model with multiple industries and regions, full labor and capital mobility, land use in production and consumption, and a dynamic adjustment process in which consumers maximize utility and firms respond to nonzero profits. All industries use intermediate inputs as well as land, labor, and capital. Systems of cities form endogenously within this framework, including asymmetrical urban hierarchies and cities of different sizes and industry compositions. Each urban area has a bid-rent gradient and zones with land uses and densities as in the von Thünen model. The equilibrium depends not only on initial conditions but also on speeds of adjustment. The model is a prototype for empirical implementation, as illustrated with a simulation of the effects of transportation cost reductions.

Notes: I use nonparametric and semiparametric proportional hazard models to examine whether individuals resident in nonmetropolitan areas experience lower per period rates of exit from unemployment following job loss than metropolitan area residents. Results show that between 1989 and 1993 per period cumulative rates of exit from unemployment were slightly higher in nonmetropolitan areas, mainly due to nonmetropolitan–metropolitan differences in individual characteristics and local economic conditions. Employment density is found to have a positive association with rates of exit of unemployment in metropolitan areas but not in nonmetropolitan areas.

Notes: Central place theory predicts that geographic markets located in rural areas have lower demand thresholds, and, therefore, a higher frequency of business establishments relative to areas that are more proximate to urban centers, other things equal. Wensley and Stabler (1998) confirm this prediction using data on the location and frequency of business activities in rural Saskatchewan. We demonstrate that this relationship may not always hold true depending on the existence and magnitude of agglomeration economies. If average cost differences associated with being located in an urbanized area are sufficiently large, then the relationship between urban proximity and number of establishments may be reversed. We provide evidence of this reversal using 1996 cross-sectional data on hospital services in Texas.