In this paper, we investigate the use of interactive effect or linear factor models in regional policy evaluation. We contrast treatment effect estimates obtained by Bai (2009)'s least squares method with the popular difference in differences estimates as well as with estimates obtained using...

African countries have sought to replicate the success of East Asia by implementing special economic zones. Despite decades of international experience, there remains no blueprint for successful special economic zone policies, and the majority of special economic zones fall well below...

This paper evaluates the effect of the French enterprise zone program on residents of these deprived neighborhoods. A second contribution is the evaluation of the composition effects in the zones and of externalities on the neighbors of the enterprise zones. The third contribution is the...

We assess the behavior of real effective exchange rates (REERs) of members of the CEMAC zone with respect to their long-term equilibrium paths. A reduced form of the fundamental equilibrium exchange rate (FEER) model is estimated and associated misalignments are derived for the period 1980 to...

Industrial parks are as popular as they are controversial, in India and globally. At their best they align infrastructure provision and agglomeration economies to jolt industrial growth. More often, they generate negative spill-overs, provide handouts, sit empty, or simply do not get built. This...

Zoning has been cited as a discriminatory policy tool by critics, who argue that ordinances are used to deter the entry of minority residents into majority neighborhoods through density restrictions (exclusionary zoning) and locate manufacturing activity in minority neighborhoods (environmental...

Place-based policies commonly target underperforming areas, such as deteriorating downtown business districts and disadvantaged regions. Principal examples include enterprise zones, European Union Structural Funds, and industrial cluster policies. Place-based policies are rationalized by various...