Growth and Change in U.S. Cities and Suburbs

Abstract

Differential rates of growth and decentralization are processes that characterized U.S. urban areas over the past three decades. This paper examines the determinants of growth in cities and suburbs during the 1970s, the 1980s, and the 1990s. The modeling approach adopted in the study allows for simultaneity between population and employment, and between cities and suburbs, while also taking into account a range of other explanatory factors. Results indicate that population and employment growth in cities tend to be jointly determined, but that growth of employment in the suburbs tends to drive growth of suburban population. Results also suggest that suburban and city growth are interrelated, but that the nature of these interrelationships varies over time: suburban growth promoted city growth during the 1970s and 1980s, while city and suburban growth were jointly determined during the 1990s. Other factors that consistently explain variation in city growth include demographics, population density, crime rates, and income inequality. Factors consistently explaining suburban growth include regional location and climate.

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