ARTICLE - CANDIDATE TRANSITION VARIABLES

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Id 188
Author Backman, M., ; Nilsson, P.,
Title The role of cultural heritage in attracting skilled individuals
Reference
Backman, M., Nilsson, P. (2016). The role of cultural heritage in attracting skilled individuals. Journal of Cultural Economics, 42: 111‑138.

Link to article https://link.springer.com/article/10.1007/s10824-016-9289-2
Abstract The purpose of this paper is to examine the role played by built heritages and cultural environments, alongside other locational factors, in explaining the growth of human capital in Sweden. We distinguish between urban, natural and cultural qualities as different sources of regional attractiveness and estimate their influence on the observed growth of individuals with at least three years of higher education during 2001–2010. Neighborhood-level data are used, and unobserved heterogeneity and spatial dependencies are modeled by employing random effects estimations and an instrumental variable approach. Our findings indicate that the local supply of built heritages and cultural environments explain a significant part of human capital growth in Sweden. Results suggest that these types of cultural heritages are important place-based resources with a potential to contribute to improved regional attractiveness and growth.


Results:

Candidate transition variables
Results suggest that these types of cultural heritages are important place-based resources with a potential to contribute to improved regional attractiveness and growth..
Alongside these traditional factors, we also find that there are some natural and cultural qualities that are positively associated with growth in human capital. .
The local supply of built heritages (listed monuments, historical buildings and site) and cultural environments is positively associated with the growth in human capital. .
Specifically, the novel finding that built heritage is an important attractor of high-skilled labor may strengthen their position in the local land use and policy decision process and provide incentives for local governments to engage in preservation efforts..
They find that some types of cultural heritage sites, such as historic buildings and memorials, provide positive spillovers to property prices and interpret these price premiums as capturing esthetic beauty. .
These findings support the hypotheses that high-human-capital individuals value the availability of cultural amenities (Moretti 2004); they also support the idea of cultural heritage as an important locational attribute that can increase the attractivity of an area. .
Although we anticipate a positive relationship between the local supply of cultural heritages and the growth of high-skilled individuals, it is also important to note that there could also be negative consequences of proximity to these heritages. .
Thus, given the size and other location-specific variables built heritages and cultural environments are factors for local policy makers to consider in attempts to increase the attractiveness of their local area. .
It is also important to distinguish between natural and cultural qualities as different sources of regional attractiveness and growth. .
Building on such arguments, built heritages and cultural environments are strategic resources with the potential to improve regional attractiveness and are hypothesized to play a significant role to explain growth in the level of human capital. .
These results suggest that cultural heritage constitutes an important place-based resource in Sweden with the potential to improve regional attractiveness. .
In particular, since their demand rises with income and education, there is a possibility that cultural heritages are, in part, caused by regional economic growth and market size effects. .
Related to the location-specific characteristics at the neighborhood level, we observe that there is a positive relationship between larger neighborhoods, in terms of population density, and the inflow of human capitalintensive individuals. .
They apply an instrumental variable approach and find that it is the local level of high-human-capital employees who value proximity to a Baroque opera house and that this in turn has a positive effect on regional growth. .
These results would thus lend support to the hypothesis that built heritages and cultural environments constitute important place-based resources that have the potential to improve regional attractiveness and growth in Sweden. .