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The received economic wisdom is that cities are too big and that public policy should limit their sizes. This wisdom assumes, unrealistically, that city sites are homogeneous, migration is unfettered, land is given freely to incoming migrants, and federal taxes are neutral. Should those...
Persistent link: https://www.econbiz.de/10012979359
We exploit regional variation in suitability for cultivating potatoes, together with time variation arising from their introduction to the Old World from the Americas, to estimate the impact of potatoes on Old World population and urbanization. Our results show that the introduction of the...
Persistent link: https://www.econbiz.de/10013158021
This paper develops a large-scale, dynamic life-cycle model to simulate Russia's demographic and fiscal transition under favorable and unfavorable fossil-fuel price regimes. The model includes Russia, the U.S., China, India, the EU, and Japan+ (Japan plus Korea). The model predicts dramatic...
Persistent link: https://www.econbiz.de/10013021019
How integrated are labor markets within a country? Labor mobility is key to the integration of local labor markets and therefore to understanding the efficacy of policies to reduce regional inequality. We present a comprehensive framework for understanding migration decisions, focusing on the...
Persistent link: https://www.econbiz.de/10012994889
We show that isolated capital cities are robustly associated with greater levels of corruption across US states, in line with the view that this isolation reduces accountability, and in contrast with the alternative hypothesis that it might forestall political capture. We then provide direct...
Persistent link: https://www.econbiz.de/10013082070
Motivated by a novel stylized fact - countries with isolated capital cities display worse quality of governance - we provide a framework of endogenous institutional choice based on the idea that elites are constrained by the threat of rebellion, and that this threat is rendered less effective by...
Persistent link: https://www.econbiz.de/10013082160
A great deal of urban policy depends on the possibility of creating stable, economically and racially mixed neighborhoods. Many social interaction models - including the seminal Schelling (1971) model -- have the feature that the only stable equilibria are fully segregated. These models suggest...
Persistent link: https://www.econbiz.de/10012758197
This paper examines city formation in a country whose urban population is growing steadily over time, with new cities required to accommodate this growth. In contrast to most of the literature there is immobility of housing and urban infrastructure, and investment in these assets is taken on the...
Persistent link: https://www.econbiz.de/10012759558
Affluent towns often deliver high-quality public services to their residents. I estimate the willingness to pay to live in a high-income suburb, above and beyond the demand of wealthy neighbors, by measuring changes in housing prices across city-suburban borders as the income disparity between...
Persistent link: https://www.econbiz.de/10012759902
Localities in developed countries often restrict construction and population growth through regulations governing land usage, lot sizes, building heights, and frontage requirements. In developing countries, such policies are less effective because of the existence of unregulated, informal...
Persistent link: https://www.econbiz.de/10012751446