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This chapter describes how the spatial distribution of economic activity changes as economies develop and grow. We start with the relation between development and rural-urban migration. Moving beyond the coarse rural-urban distinction, we then focus on the continuum of locations in an economy...
Persistent link: https://www.econbiz.de/10011084674
reconcile the existing findings. Some evidence points to positive benefits of infrastructure expenditure, and also investment in …
Persistent link: https://www.econbiz.de/10011084586
infrastructure to the transition process. In addition to the direct cost savings, infrastructure investment generates important … indirect effects, or transition impacts. The model shows that, by reducing transaction costs, infrastructure intensifies … model, infrastructure also increases the incentives for low-cost firms to restructure which generates additional efficiency …
Persistent link: https://www.econbiz.de/10005667044
We show how small initial wealth differences between low skilled black and white workers can generate large differences in their labour-market outcomes. This even occurs in the absence of a taste for discrimination against blacks or exogenous differences in the distance to jobs. Because of the...
Persistent link: https://www.econbiz.de/10005504534
This paper analyzes the relationship between crime and agglomeration where the land, labor, product, and crime markets are endogenously determined. We show that in bigger cities there is relatively more crime, a standard stylized fact of most cities in the world. We also show that, in the short...
Persistent link: https://www.econbiz.de/10011083971
Taking the early U.S. automobile industry as an example, we evaluate four competing hypotheses on regional industry agglomeration: intra-industry local externalities, inter-industry local externalities, employee spinouts, and location fixed-effects. Our findings suggest that inter-industry...
Persistent link: https://www.econbiz.de/10011084157
Most countries exhibit large and persistent geographical differences in wages, income and unemployment rates. A growing class of ``place based'' policies attempt to address these differences through public investments and subsidies that target disadvantaged neighborhoods, cities or regions....
Persistent link: https://www.econbiz.de/10011084382
exports. Agglomeration effects, education and transport infrastructure endowment play a particularly relevant role in …
Persistent link: https://www.econbiz.de/10011084523
We develop a theoretical model where the existence and intensity of dyadic contacts depend on location. We show that agents tend to interact more with agents that are highly central in the network of social contacts and that are geographically closer. Using a unique geo-coded dataset of...
Persistent link: https://www.econbiz.de/10011207402
We study how the city system is affected by the possibility for the members of the same cultural diaspora to interact across different cities. In so doing, we propose a simple two-city model with two mobile cultural groups. A localized externality fosters the productivity of individuals when...
Persistent link: https://www.econbiz.de/10005082542