Working from home has become the most popular form of transportation since 2019. Remote work policy is not suitable for all occupations and the prevalence of remote work could aggravate the existing inequalities between high and low-skill workers. Teleworking increases mobility for higher-income workers and takes away demand for service amenities from city centers. A two-way fixed effect model is used to investigate the relationship between remote work and demand for service amenities.
Public data from American Community Survey from 2018-2022.
Codebook
Data cleaning and aggregation using R
Data analysis using regression models
The share of remote workers in the local area has a positive effect on income of service workers, but no significant effect on wages. Owners of unincorporated businesses who pay themselves salaries experienced a greater increase in earnings compared to workers earning wages as employees. The lack of significant results may be due to competition from service workers leaving cities in response to remote work. Further research is needed on migration patterns and non-monetary compensations.