It makes the most sense to me as multiple distinct labor markets. It’s easy to find skilled programmers in the Silicon Valley labor market, so that’s where a lo

It makes the most sense to me as multiple distinct labor markets. It’s easy to find skilled programmers in the Silicon Valley labor market, so that’s where a lot of hiring happens even if the prices are higher. Equally talented programmers can be found in other markets, but it’s more difficult to locate them. Part of why it persists is because the gravitational pull of Silicon Valley became self sustaining. Programmers move to that market because that is where the hiring happens. The hiring happens there because all the programmers move there. I don’t live there, but that’s how I make sense of it all. It’s the same reason I shop at Target instead of Amazon despite higher prices.