We develop an economic geography model in which mobile skilled workers choose between working in the production sector or becoming part of an unproductive political elite. The elite sets tax rates on skilled and unskilled workers to maximize its own welfare by extracting rents, thereby...

This paper presents an empirical analysis of the relationship between social capital and children’ educational outcomes in Tanzania, using panel data from the Kagera Health and Development Survey (KHDS). By exploiting the panel structure of the data, we use several econometric techniques -...