Working paper

Spatial Implications of Telecommuting

Year:

2024

Published in:

SSRN
Covid-19
urban
work at home
commuting
spatial equilibrium

We build a quantitative spatial model in which some workers can substitute on-site effort with work done from home. Ability and propensity to telecommute vary by education and industry. We quantify our framework to match the distribution of jobs and residents across 4,502 U.S. locations. Then we simulate permanent increases in the attractiveness and productivity of telework that lead to greater adoption of hybrid and fully remote work. To validate our model, we show that our results are positively correlated with local changes in residents and housing costs observed 2019--2023. The rise of telework results in a rich non-monotonic pattern of reallocations of residents and jobs within and across cities. Workers who can telecommute experience welfare gains, and those who cannot suffer losses. Broader access to jobs reduces wage inequality across residential locations, and heralds a partial reversal in the spatial concentration of talent and spending power known as the "Great Divergence.”

Other publications by

17 publications found

2024
Working paper

Amenities in Quantitative Spatial Models

Publisher: SSRN

Authors: Andrii Parkhomenko, Amanda Ang, Daniel Angel

2022
Working paper

Effective And Feasible Mechanisms To Support Ukrainian Researchers And Students At Risk: Opportunities, Challenges And Pitfalls

Publisher: OSF

Authors: Andrii Parkhomenko, Karishma Chhugani, Alina Frolova, Yuriy Salyha, Oksana Zlenko, Sanita Reinsone, Walter W. Wolfsberger, Oleksandra V. Ivashchenko, Megi Maci, Dmytro Dziuba, Eric Bortz, Fyodor Kondrashov, Paweł P. Łabaj, Veronika Romero, Jakub Hlávka, Taras K. Oleksyk, Serghei Mangul

2018
Journal article

Managers And Productivity Differences

Publisher: Review of Economic Dynamics

Authors: Andrii Parkhomenko, Nezih Guner, Gustavo Ventura

2023
Working paper

Spatial Implications of Telecommuting in the United States

Publisher: University of Southern California

Authors: Andrii Parkhomenko

2020
Report

Zoning and the Density of Urban Development

Publisher: University of Southern California

Authors: Andrii Parkhomenko, Eunjee Kwon, Matthew J. Delventhal