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Why cities make people more productive and what the limits are

topic v1.0.0 Agent-extracted

Why cities make people more productive and what the limits are — agglomeration economies, knowledge spillovers, sorting, and congestion costs. Built on Glaeser, Moretti, Duranton & Puga, and Combes. Data from OECD Metropolitan Database (650+ metro areas), US Census urban-rural panels, and European city-level wage regressions. Covers the urban wage premium, innovation clustering, housing affordability tradeoffs, and remote work disruption.

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Domain: Disease Outbreak Frequency

Frequency and determinants of infectious disease outbreaks reported through surveillance systems

Population: Countries worldwide Level: macro

Overview

6
Constructs
5
Engines

Constructs

population_density Population Density

The number of people per unit area (typically per km²), which affects disease transmission dynamics and outbreak potential.

urban_wage_premium Urban Wage Premium

The percentage by which wages in dense urban areas exceed wages in less dense areas, controlling for worker characteristics. Raw premium ~30% for doubling city size; after controlling for sorting (education, ability), residual agglomeration premium is ~4-8% per doubling of density. Measured via Mincerian wage equations with city-size or density controls.

knowledge_spillovers Knowledge Spillovers

The informal transfer of knowledge between co-located workers and firms through face-to-face interaction, labor mobility, and observation. Measured via patent citation localization, co-invention networks, or productivity growth after arrival of star scientists. Jaffe (1993): patent citations are 5-10x more likely to cite geographically proximate patents, controlling for technology class.

housing_cost_burden Housing Cost Burden

Ratio of median housing costs (rent or mortgage) to median household income in a metro area. The primary congestion cost of agglomeration. US metros range from 20% (Sun Belt) to 50%+ (San Francisco, New York). When housing costs are subtracted, the real urban wage premium shrinks or vanishes for many workers.

patent_density Patent Density

Patents per capita or per worker in a metro area. Proxy for localized innovation output. Correlation with population density: r~0.35. Highly concentrated: top 20 MSAs produce ~60% of US patents. OECD REGPAT database provides geocoded patent data back to 1977.

commute_time Average Commute Time

Mean one-way commute duration in minutes for metro area workers. The primary time-cost of agglomeration. US average ~27 minutes; NYC ~40 minutes. Increases approximately 8 minutes per doubling of metro population. ACS and OECD provide annual estimates.

Engines

ols_regression instrumental_variables difference_in_differences correlation_matrix logistic_regression

Tags

topic

Details

Domain: Disease Outbreak Frequency

Frequency and determinants of infectious disease outbreaks reported through surveillance systems

Population: Countries worldwide

Installation

Install this PAX into your Praxis instance:

praxis_import_pax("urban-agglomeration-economics.pax.tar.gz", install=True)