3 ms·
There's been some robust discussion about the Hsieh-Moretti result recently. These tweets link to some of it: https://twitter.com/otis_reid/status/1725610847072
by jeffbee 3y ago
There's been some robust discussion about the Hsieh-Moretti result recently. These tweets link to some of it: https://twitter.com/otis_reid/status/1725610847072879030 https://twitter.com/otis_reid/status/1725610847072879030
- BenFranklin100 3y agoThanks, I recall there being some debate about the magnitude of the effect, but if recall correctly, some authors argued the problem was even worse than Hsieh-Moretti thought originally? Whatever the actual percentage, it makes intuitive sense a spatial misallocation of labor and capital will hurt economic growth.
- jeffbee 3y agoYou might be thinking of this earlier correction, which made their effect larger. https://www.econlib.org/a-correction-on-housing-regulation/ https://www.econlib.org/a-correction-on-housing-regulation/