9309808 Glaeser The purpose of this project is to use evidence from U.S. cities to test modern growth theory and use modern growth theory to understand the successes and failures of American cities. Much of modern growth economics has pointed toward education, knowledge, and the coordination of talent as engines of productivity expansion. Forceful arguments and cross-national evidence stress that the "external" effects of education are critical to economic expansion. Schooling seems to raise productivity not only for those who receive it, but also for those who live close to the well educated. This research uses evidence for American cities to (1) further test for the existence of these external effects, (2) test the manner in which these effects operate and (3) determine the magnitude of these forces. The methodology involves using both individual level data from the census and the Panel Study of Income Dynamics and city level data. Ultimately, the goal is to get an idea about how intellectual spillovers work to enhance productivity and how policy can use these spillovers to speed U.S. growth. ***
