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by cman1444
30 days ago
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That article has cherrypicked dates. https://fred.stlouisfed.org/series/COMPSFLAM1FQ Also, firm in a dense city can get better talent, but those negative externalities (and I would argue these externalities are not clearly caused by the mployer) are made up for through increased salaries the firm must pay compared to areas with lower living costs. |
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It has been on the downward trend since then.
> Also, firm in a dense city can get better talent, but those negative externalities (and I would argue these externalities are not clearly caused by the mployer) are made up for through increased salaries the firm must pay compared to areas with lower living costs.
Except that the increased salary does NOT compensate for the increased cost of living. And firms absolutely don't pay for their impact on infrastructure.
My favorite example: Seattle. Each household will end up paying around $150k in additional taxes for the new transit that will benefit primarily dense office holders in the downtown.