DISTANCE FROM URBAN AGGLOMERATION ECONOMIES AND RURAL POVERTY
Despite strong national economic growth and significant poverty reduction during the late 1990s, high poverty persisted in remote rural areas. This study uses a geographical information system county database to examine the nexus between rural U.S. poverty and remoteness. We find that poverty rates increase with greater rural distances from successively larger metropolitan areas (MAs). We explain this outcome as arising from the attenuation of urban agglomeration effects at greater distances and incomplete commuting and migration responses to lower labor demand in rural areas. One implication is that remote areas may particularly experience greater reductions in poverty from place-based economic development policies.
Document Type: Research Article
Affiliations: 1: Department of Agricultural, Environmental, and Development Economics, Ohio State University, 2120 Fyffe Road, Columbus, OH 43210., Email: [email protected] 2: Department of Economics, 338 College of Business, Oklahoma State University, Stillwater, OK 74078., Email: [email protected]
Publication date: 01 May 2008