[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/p/ehl/lserod/119354.html
   My bibliography  Save this paper

The long shadow of local decline: birthplace economic adversity and long-term individual outcomes in the UK

Author

Listed:
  • McNeil, Andrew
  • Luca, Davide
  • Lee, Neil
Abstract
Does growing up in a high-economic adversity area matter for individual economic, cultural, and political views? Despite a significant focus upon the effect of birthplace on economic outcomes, there is less evidence on how local economic conditions at birth shape individual attitudes over the long-term. This paper links the British Household Panel Survey (BHPS) from English and Welsh respondents with historic localised information on unemployment, our measure of economic adversity. Our results, which control for composition effects, family background, and sorting of people across places, show that being born into a high-unemployment Local Authority has a significant, long-term impact on individuals. Birthplace matters beyond economic outcomes, as being born into a Local Authority of high unemployment makes individuals believe in more government intervention in jobs, less progressive on gender issues, and less likely to support the Conservative Party.

Suggested Citation

  • McNeil, Andrew & Luca, Davide & Lee, Neil, 2023. "The long shadow of local decline: birthplace economic adversity and long-term individual outcomes in the UK," LSE Research Online Documents on Economics 119354, London School of Economics and Political Science, LSE Library.
    • Handle: RePEc:ehl:lserod:119354
    as

    Download full text from publisher

    File URL: http://eprints.lse.ac.uk/119354/
    File Function: Open access version.
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Bosquet, Clément & Overman, Henry G., 2019. "Why does birthplace matter so much?," Journal of Urban Economics, Elsevier, vol. 110(C), pages 26-34.
    2. Raj Chetty & Nathaniel Hendren, 2018. "The Impacts of Neighborhoods on Intergenerational Mobility I: Childhood Exposure Effects," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 133(3), pages 1107-1162.
    3. Nathaniel Baum-Snow & Ronni Pavan, 2012. "Understanding the City Size Wage Gap," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 79(1), pages 88-127.
    4. Emil Evenhuis & Neil Lee & Ron Martin & Peter Tyler, 2021. "Rethinking the political economy of place: challenges of productivity and inclusion," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 14(1), pages 3-24.
    5. Lewis Dijkstra & Hugo Poelman & Andrés Rodríguez-Pose, 2020. "The geography of EU discontent," Regional Studies, Taylor & Francis Journals, vol. 54(6), pages 737-753, June.
    6. Alberto Alesina & Nicola Fuchs-Schundeln, 2005. "Good bye Lenin (or not?): The effect of Communism on people's preferences," Harvard Institute of Economic Research Working Papers 2076, Harvard - Institute of Economic Research.
    7. Rodrigo Ad~ao & Michal Koles'ar & Eduardo Morales, 2018. "Shift-Share Designs: Theory and Inference," Papers 1806.07928, arXiv.org, revised Aug 2019.
    8. Kirill Borusyak & Peter Hull & Xavier Jaravel, 2022. "Quasi-Experimental Shift-Share Research Designs," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 89(1), pages 181-213.
    9. Combes, Pierre-Philippe & Duranton, Gilles & Gobillon, Laurent, 2008. "Spatial wage disparities: Sorting matters!," Journal of Urban Economics, Elsevier, vol. 63(2), pages 723-742, March.
    10. Diego Puga, 2010. "The Magnitude And Causes Of Agglomeration Economies," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 203-219, February.
    11. Paul Goldsmith-Pinkham & Isaac Sorkin & Henry Swift, 2020. "Bartik Instruments: What, When, Why, and How," American Economic Review, American Economic Association, vol. 110(8), pages 2586-2624, August.
    12. Thomas Piketty, 1995. "Social Mobility and Redistributive Politics," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 110(3), pages 551-584.
    13. Simona Iammarino & Andrés Rodriguez-Pose & Michael Storper, 2019. "Regional inequality in Europe: evidence, theory and policy implications," Journal of Economic Geography, Oxford University Press, vol. 19(2), pages 273-298.
    14. D'Costa, Sabine & Overman, Henry G., 2014. "The urban wage growth premium: Sorting or learning?," Regional Science and Urban Economics, Elsevier, vol. 48(C), pages 168-179.
    15. Kenny, Michael & Luca, Davide, 2021. "The urban-rural polarisation of political disenchantment: an investigation of social and political attitudes in 30 European countries," LSE Research Online Documents on Economics 112683, London School of Economics and Political Science, LSE Library.
    16. Colantone, Italo & Stanig, Piero, 2018. "Global Competition and Brexit," American Political Science Review, Cambridge University Press, vol. 112(2), pages 201-218, May.
    17. Crafts, Nicholas, 1995. "The Golden Age of Economic Growth: Why Did Northern Ireland Miss Out?," CEPR Discussion Papers 1209, C.E.P.R. Discussion Papers.
    18. Grasso, Maria Teresa & Farrall, Stephen & Gray, Emily & Hay, Colin & Jennings, Will, 2019. "Thatcher’s Children, Blair’s Babies, Political Socialization and Trickle-down Value Change: An Age, Period and Cohort Analysis," British Journal of Political Science, Cambridge University Press, vol. 49(1), pages 17-36, January.
    19. Philip McCann, 2020. "Perceptions of regional inequality and the geography of discontent: insights from the UK," Regional Studies, Taylor & Francis Journals, vol. 54(2), pages 256-267, February.
    20. Michael Kenny & Davide Luca, 2021. "The urban-rural polarisation of political disenchantment: an investigation of social and political attitudes in 30 European countries," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 14(3), pages 565-582.
    21. Holbein, John B., 2017. "Childhood Skill Development and Adult Political Participation," American Political Science Review, Cambridge University Press, vol. 111(3), pages 572-583, August.
    22. N. F. R. Crafts, 1995. "The golden age of economic growth in Western Europe, 1950-1973," Economic History Review, Economic History Society, vol. 48(3), pages 429-447, August.
    23. Timothy J. Bartik, 1991. "Who Benefits from State and Local Economic Development Policies?," Books from Upjohn Press, W.E. Upjohn Institute for Employment Research, number wbsle.
    24. Neil Lee & Katy Morris & Thomas Kemeny, 2018. "Immobility and the Brexit vote," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 11(1), pages 143-163.
    25. Andrés Rodríguez-Pose, 2018. "CommentaryThe revenge of the places that don’t matter (and what to do about it)," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 11(1), pages 189-209.
    26. Raj Chetty & Nathaniel Hendren & Patrick Kline & Emmanuel Saez, 2014. "Where is the land of Opportunity? The Geography of Intergenerational Mobility in the United States," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 129(4), pages 1553-1623.
    27. Italo Colantone & Piero Stanig, 2019. "The Surge of Economic Nationalism in Western Europe," Journal of Economic Perspectives, American Economic Association, vol. 33(4), pages 128-151, Fall.
    28. Dinas, Elias, 2014. "Why Does the Apple Fall Far from the Tree? How Early Political Socialization Prompts Parent-Child Dissimilarity," British Journal of Political Science, Cambridge University Press, vol. 44(4), pages 827-852, October.
    29. Heath, Anthony & Evans, Geoffrey & Martin, Jean, 1994. "The Measurement of Core Beliefs and Values: The Development of Balanced Socialist/Laissez Faire and Libertarian/Authoritarian Scales," British Journal of Political Science, Cambridge University Press, vol. 24(1), pages 115-132, January.
    30. Rodrigo Adão & Michal Kolesár & Eduardo Morales, 2019. "Shift-Share Designs: Theory and Inference," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 134(4), pages 1949-2010.
    31. Lupu, Noam & Pontusson, Jonas, 2011. "The Structure of Inequality and the Politics of Redistribution," American Political Science Review, Cambridge University Press, vol. 105(2), pages 316-336, May.
    32. Inglehart, Ronald, 1971. "The Silent Revolution in Europe: Intergenerational Change in Post-Industrial Societies," American Political Science Review, Cambridge University Press, vol. 65(4), pages 991-1017, December.
    33. Raj Chetty & Nathaniel Hendren, 2018. "The Impacts of Neighborhoods on Intergenerational Mobility II: County-Level Estimates," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 133(3), pages 1163-1228.
    34. Glaeser, Edward, 2012. "Viewpoint: Triumph of the City," The Journal of Transport and Land Use, Center for Transportation Studies, University of Minnesota, vol. 5(2), pages 1-4.
    35. Maxwell, Rahsaan, 2019. "Cosmopolitan Immigration Attitudes in Large European Cities: Contextual or Compositional Effects?," American Political Science Review, Cambridge University Press, vol. 113(2), pages 456-474, May.
    36. Hansen, Kerstin F. & Stutzer, Alois, 2021. "Experiencing Booms and Busts in the Welfare State and Support for Redistribution," IZA Discussion Papers 14327, Institute of Labor Economics (IZA).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Raj Chetty & Will Dobbie & Benjamin Goldman & Sonya R. Porter & Crystal S. Yang, 2024. "Changing Opportunity: Sociological Mechanisms Underlying Growing Class Gaps and Shrinking Race Gaps in Economic Mobility," Working Papers 24-38, Center for Economic Studies, U.S. Census Bureau.
    2. Lee, Neil & Pardy, Martina & Mcneil, Andrew, 2024. "The political impact of inflation: a survey experiment," LSE Research Online Documents on Economics 123926, London School of Economics and Political Science, LSE Library.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. McNeil, Andrew & Lee, Neil & Luca, Davide, 2022. "The long shadow of local decline: birthplace economic conditions, political attitudes, and long-term individual economic outcomes in the UK," LSE Research Online Documents on Economics 113681, London School of Economics and Political Science, LSE Library.
    2. Michael Pollmann, 2020. "Causal Inference for Spatial Treatments," Papers 2011.00373, arXiv.org, revised Jan 2023.
    3. Andr s Rodr guez-Pose & Javier Terrero-Davila & Neil Lee, 2023. "Left-Behind vs. Unequal Places: Interpersonal Inequality, Economic Decline, and the Rise of Populism in the US and Europe," LIS Working papers 859, LIS Cross-National Data Center in Luxembourg.
    4. Dylan S Connor & Aleksander K BergArizona & Tom Kemeny & Peter J Kedron, 2024. "Who gets left behind by left behind places?," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 17(1), pages 37-58.
    5. Committee, Nobel Prize, 2021. "Answering causal questions using observational data," Nobel Prize in Economics documents 2021-2, Nobel Prize Committee.
    6. Bosquet, Clément & Overman, Henry G., 2019. "Why does birthplace matter so much?," Journal of Urban Economics, Elsevier, vol. 110(C), pages 26-34.
    7. Bohnet, Lara & Peralta, Susana & Pereira dos Santos, João, 2022. "Cousins from Overseas: The Labour Market Impact of a Major Forced Return Migration Shock," IZA Discussion Papers 15595, Institute of Labor Economics (IZA).
    8. Maria Greve & Michael Fritsch & Michael Wyrwich, 2023. "Long‐term decline of regions and the rise of populism: The case of Germany," Journal of Regional Science, Wiley Blackwell, vol. 63(2), pages 409-445, March.
    9. César, Andrés & Falcone, Guillermo & Gasparini, Leonardo, 2021. "Costs and benefits of trade shocks: Evidence from Chilean local labor markets," Labour Economics, Elsevier, vol. 73(C).
    10. Elliott Ash & Massimo Morelli & Matia Vannoni, 2022. "More Laws, More Growth? Evidence from U.S. States," BAFFI CAREFIN Working Papers 22178, BAFFI CAREFIN, Centre for Applied Research on International Markets Banking Finance and Regulation, Universita' Bocconi, Milano, Italy.
    11. Cavallini, Flavia, 2024. "Not the right time for children: Unemployment, fertility, and abortion," Labour Economics, Elsevier, vol. 87(C).
    12. Büchler, Simon & Ehrlich, Maximilian v. & Schöni, Olivier, 2021. "The amplifying effect of capitalization rates on housing supply," Journal of Urban Economics, Elsevier, vol. 126(C).
    13. Andrés Rodríguez-Pose & Lewis Dijkstra & Hugo Poelman, 2024. "The Geography of EU Discontent and the Regional Development Trap," Economic Geography, Taylor & Francis Journals, vol. 100(3), pages 213-245, May.
    14. Singer, Gregor, 2024. "Complementary inputs and industrial development: can lower electricity prices improve energy efficiency?," LSE Research Online Documents on Economics 122365, London School of Economics and Political Science, LSE Library.
    15. Miriam Fritzsche, 2024. "De-industrialization, local joblessness and the male-female employment gap," Berlin School of Economics Discussion Papers 0040, Berlin School of Economics.
    16. Raoul van Maarseveen, 2021. "The urban–rural education gap: do cities indeed make us smarter? [Educational investment responses to economic opportunity: evidence from Indian road construction]," Journal of Economic Geography, Oxford University Press, vol. 21(5), pages 683-714.
    17. Andrés Rodríguez-Pose & Javier Terrero-Dávila & Neil Lee, 2023. "Left-behind versus unequal places: interpersonal inequality, economic decline and the rise of populism in the USA and Europe," Journal of Economic Geography, Oxford University Press, vol. 23(5), pages 951-977.
    18. Sjoerd Beugelsdijk & Hester van Herk & Robbert Maseland, 2022. "The Nature of Societal Conflict in Europe; an Archetypal Analysis of the Postmodern Cosmopolitan, Rural Traditionalist and Urban Precariat," Journal of Common Market Studies, Wiley Blackwell, vol. 60(6), pages 1701-1722, November.
    19. Komarek, Timothy M. & Butts, Kyle & Wagner, Gary A., 2022. "Government Contracting, Labor Intensity, and the Local Effects of Fiscal Consolidation: Evidence from the Budget Control Act of 2011," Journal of Urban Economics, Elsevier, vol. 132(C).
    20. Raoul van Maarseveen, 2020. "The urban rural-education gap: do cities indeed make us smarter?," CPB Discussion Paper 412, CPB Netherlands Bureau for Economic Policy Analysis.

    More about this item

    Keywords

    lifetime mobility; place of birth; political attitudes; social values; unemployment;
    All these keywords.

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J38 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Public Policy
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ehl:lserod:119354. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: LSERO Manager (email available below). General contact details of provider: https://edirc.repec.org/data/lsepsuk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.