...a 10% increase in the number of people with a four-year degree in a given metro area was associated with a two-percentage-point rise in the overall employment rate from 1980 to 2000.
The benefit was particularly large for women with a high-school diploma or less. "The results are consistent," the author writes, "with the hypothesis that individuals accumulate greater skills from working in labor markets" alongside highly educated and trained workers.
Week in Ideas: Daniel Akst
December 28, 2012, 8:38 p.m. ET
"Human Capital Externalities and Employment Differences Across Metropolitan Areas of the USA," John V. Winters, Journal of Economic Geography (Dec. 10)