In this article we extend the Carlino and Mills and Boarnet models of local development to test for the presence and direction of rural area linkages to urban areas in Functional Economic Areas (FEAs). In a sample of southern FEAs, we detect a mix of spillover and backwash effects from urban core and fringe areas to their rural hinterlands. Rural‐area population and employment both grew faster than average between 1980 and 1990 if in an FEA with a pattern of urban decentralization.
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Henry et al. (1997) studied this question.
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