nep-ure New Economics Papers
on Urban and Real Estate Economics
Issue of 2022‒01‒03
forty-nine papers chosen by
Steve Ross
University of Connecticut

  1. Superstar Returns By Francisco Amaral; Martin Dohmen; Sebastian Kohl; Moritz Schularick
  2. Shooting up liquidity: the effect of crime on real estate By Alexander Dentler; Enzo Rossi
  3. Scared Straight? Threat and Assimilation of Refugees in Germany By Jaschke Philipp; Sulin Sardoschau; Marco Tabellini
  4. Wage Rigidities in a Quantitative Spatial Economy: Commuting and Local Unemployment By Nathan Lachapelle; Francesco Pascucci
  5. Mortgage finance across OECD countries By Frank van Hoenselaar; Boris Cournède; Federica De Pace; Volker Ziemann
  6. Inadequate Teacher Content Knowledge and What to Do About It: Evidence from El Salvador By Aymo Brunetti; Konstantin Büchel; Martina Jakob; Ben Jann; Daniel Steffen
  7. A full year COVID-19 crisis with interrupted learning and two school closures: The effects on learning growth and inequality in primary education By Haelermans, Carla; Jacobs, Madelon; van Vugt, Lynn; Aarts, Bas; Abbink, Henry; Smeets, Chayenne; van der Velden, Rolf; van Wetten, Sanne
  8. Non-Primary Home Buyers, Shadow Banking, and the US Housing Market By Mr. Adrian Alter; Zaki Dernaoui
  9. Micromotives and macromoves : Political preferences and internal migration in England and Wales By Efthyvoulou, Georgios; Bove, Vincenzo; Pickard, Harry
  10. Housing Support Policies and Refugees' Labor Market Integration in Austria By Fanny Dellinger
  11. Should you Meet The Parents? The impact of information on non-test score attributes on school choice By Elisa Facchetti; Lorenzo Neri; Marco Ovidi
  12. Sharp increase in inequality in education in times of the COVID-19-pandemic By Haelermans, Carla; Korthals, Roxanne; Jacobs, Madelon; de Leeuw, Suzanne; Vermeulen, Stan; van Vugt, Lynn; Aarts, Bas; Breuer, Tijana; van der Velden, Rolf; van Wetten, Sanne; de Wolf, Inge
  13. Does gender matter? The effect of high performing peers on academic performances By Francesca Modena; Enrico Rettore; Giulia Martina Tanzi
  14. Transport Access and the Labour Market in the United States By Priest, Lachlan
  15. The creation and diffusion of knowledge: Evidence from the Jet Age By Pauly, Stefan; Stipanicic, Fernando
  16. The importance of global value chains and regional capabilities for the economic complexity of EU-regions By F. Colozza; R. Boschma; A. Morrison; C. Pietrobelli
  17. The Effect of Immigration on Local Labor Markets: Lessons from the 1920s Border Closure By Ran Abramitzky; Philipp Ager; Leah Boustan; Elior Cohen; Casper Hansen
  18. Market concentration, supply, quality and prices paid by local authorities in the English care home market By Espuny Pujol, Ferran; Hancock, Ruth; Hviid, Morten; Morciano, Marcello; Pudney, Stephen
  19. Forecasting Regional GDPs: a Comparison with Spatial Dynamic Panel Data Models By Anna Gloria Billé; Alessio Tomelleri; Francesco Ravazzolo
  20. Local property tax reform and municipality spending efficiency By António Afonso; Ana Venâncio
  21. Freight-on-Transit for urban last-mile deliveries: A Strategic Planning Approach By Diego Delle Donne; Laurent Alfandari; Claudia Archetti; Ivana Ljubić
  22. Do Economic Incentives Promote Physical Activity? Evidence from the London Congestion Charge By Nakamura, Ryota; Albanese, Andrea; Coombes, Emma; Suhrcke, Marc
  23. The Socio-Economic Profile of the Jewish Autonomous Oblast – 2020 By Ruslan Gulidov; Elena Veprikova
  24. Real Estate Investment and objective "zero net articificalisation" By Carmen Cantuarias-Villessuzanne; Gaëlle Audrain-Demey; Lolita Gillet; Carine Guemar; Radmila Pineau; Maleyre Isabelle
  25. Revisiting path-as-process: A railroad track model of path development, transformation, and agency By Maximilian Benner
  26. Do Boys and Girls Perform Better at Math Just Studying More ? By Eleonora Matteazzi; Martina Menon; Federico Perali
  27. Do price reductions attract customers in urban public transport? A synthetic control approach By Hannes Wallimann; Kevin Bl\"attler; Widar von Arx
  28. Slanted media does not increase police killings By Charles Crabtree; Michael Poyker
  29. Ethanol Refineries and Local Land Use By Stevens, Andrew W.
  30. Empirical Analysis of the Effect of the Infection and Damage of COVID-19 on Land Prices By Ryuji Kutsuzawa; Nobuo Akai; Toru Takemoto
  31. Understanding transformation patterns in different socio-technical systems – A scheme of analysis By Johan Miörner; Christian Binz; Lea Fuenfschilling
  32. Firm productivity and immigrant-native earnings disparity By Olof Åslund; Cristina Bratu; Stefano Lombardi; Anna Thoresson
  33. Effects of Wildfire Destruction on Migration, Consumer Credit, and Financial Distress By Jennifer Balch; Katherine Curtis; Jack DeWaard; Elizabeth Fussell; Kathryn McConnell; Kobie Price; Lise St. Denis; Stephan Whitaker
  34. The labour market impacts of female internal migration: Evidence from the end of Apartheid By Matthew Sharp
  35. How Much Violence Does Football Hooliganism Cause? By Helmut Rainer; Marc Fabel
  36. China's Easily Overlooked Monetary Transmission Mechanism:Real Estate Monetary Reservoi By Xiao Shuguang; Lai Xinglin
  37. Politics against Economics: The Case of Spanish Regional Financing By Daniel Aparicio-Pérez; Maria Teresa Balaguer-Coll; Emili Tortosa-Ausina
  38. The fertility effects of school entry decisions By Kamb, Rebecca; Tamm, Marcus
  39. Network Analysis of the Determinants of Attitudes towards Immigrants across Regions By Rachael Kei KAWASAKI; IKEDA Yuichi
  40. A Dynamic Theory Of Spatial Externalities By Raouf Boucekkine; Giorgio Fabbri; Salvatore Federico; Fausto Gozzi
  41. The Effect of Rural Electrification on Firm Creation - New Evidence from Ghana By Tom Carlowitz
  42. Testing Random Assignment To Peer Groups By Jochmans, Koen
  43. Minimum Wages in Concentrated Labor Markets By Popp, Martin
  44. Human Capital and Industrialization: German Settlers in Late Imperial Russia By Viktor Malein
  45. The Labor Market Integration of Syrian Refugees in Turkey By Murat Demirci; Murat Guray Kirdar
  46. Transportation Time and Freight Cost By Yoko KONISHI; Se-il MUN; Yoshihiko NISHIYAMA; Masahiro KINOMURA
  47. Overview of refugee’s access to housing in Europe By Carles Simó Noguera; P. Loncle; Noémie Dominguez; Eunice Cascant; Catherine Mercier-Suissa; Lauren Dixon; Emily Mugel; Maité Pinchon; Nancy Ottaviano; Alexandra Bousiou; Andrea Spehar; Pieter Bevelander; Haodong Qi; Ivana Bolognesi; Daniela Bolzani; Samantha Caccamo; Leonardo Corbo; Morena Cuconato; Marta Ilardo; Chiara Pagano; Marta Salinaro; Isadora Turnaj; Ana Maria Sales; Jordi Giner-Montfort; Juan Romero-Crespo; Daniel Milllor; Alicia Banyuls-Millet; Jorge Velazco; Emanuelle Maunaye
  48. Dissonance Minimization and Conversation in Social Networks By Mikhail Anufriev; Kirill Borissov; Mikhail Pakhnin
  49. Skill Demand and Labour Market Concentration: Theory and Evidence from Italian Vacancies By Emilio Colombo; Alberto Marcato

  1. By: Francisco Amaral (Macro Finance Lab, University of Bonn); Martin Dohmen (Macro Finance Lab,University of Bonn); Sebastian Kohl (MPIfG Cologne); Moritz Schularick (Macro Finance Lab, University of Bonn, Sciences Po Paris, and Federal Reserve Bank of New York)
    Abstract: We study long-term returns on residential real estate in 27 “superstar” cities in 15 countries over 150 years. We find that total returns in superstar cities are close to 100 basis points lower per year than in the rest of the country. House prices tend to grow faster in the superstars, but rent returns are substantially greater outside the big agglomerations, resulting in higher long-run total returns. The excess returns outside the superstars can be rationalized as a compensation for risk, especially for higher co-variance with income growth and lower liquidity. Superstar real estate is comparatively safe.
    Keywords: housing returns, housing risk, superstar cities, regional housing markets
    JEL: G10 G12 N90 R21 R31
    Date: 2021–12
  2. By: Alexander Dentler; Enzo Rossi
    Abstract: We combine real estate data with various types of crime data using time and geospatial information to detect discontinuities in transaction densities and pricing around crime events in Rochester, NY. Discontinuities in transaction densities invalidate causal inference for price responses implied by the regression discontinuity design (RDD) approach. However, these discontinuities also capture the liquidity response to crimes and, together with the commonly emphasized price response, provide a richer picture of how crime affects housing valuation. A calibrated match-and-bargain model reveals that house valuations decrease between 6% and 25% after a crime, depending on the type of crime. These predictions are manifolds of the estimated effect on prices documented in this paper and in the literature. The welfare effects of crime are not uniform across market participants and can elicit considerable disappointment to uninformed buyers that move into a high-crime neighborhood.
    Keywords: Crime, real estate, liquidity effects, density discontinuity
    JEL: C31 R21 R23 R30
    Date: 2021
  3. By: Jaschke Philipp (Philipp Jaschke); Sulin Sardoschau (Sulin Sardoschau); Marco Tabellini (Marco Tabellini)
    Abstract: This paper studies the effects of threat on convergence to local culture and on economic assimilation of refugees, exploiting plausibly exogenous variation in their allocation across German regions between 2013 and 2016. We combine novel survey data on cultural preferences and economic outcomes of refugees with corresponding information on locals, and construct a threat index that integrates contemporaneous and historical variables. On average, refugees assimilate both culturally and economically. However, while refugees assigned to more hostile regions converge to local culture more quickly, they do not exhibit faster economic assimilation. We provide evidence consistent with the hypothesis that refugees exert more assimilation effort in response to local threat, but fail to successfully integrate because of higher discrimination by locals in more hostile regions.
    Keywords: Migration, refugees, culture, assimilation, identity
    JEL: F22 J15 Z10
    Date: 2021–12
  4. By: Nathan Lachapelle (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES)); Francesco Pascucci (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES))
    Abstract: In this paper we build a quantitative spatial general equilibrium model to study the geographical variation in unemployment rates in the presence of wage rigidities and when workers are allowed to commute from residence to workplace. Calibrating the model on Belgian district data, we find that, were workers' location choice driven only by preferences for amenities, workers would relocate away from the center of the country, generating a less concentrated spatial distribution of economic activity. We also explore the role of unemployment insurance in determining the location choices of workers. We find that when the risk of unemployment is fully insured, workers relocate to districts with initially high unemployment rates, therefore accentuating the spatial misallocation of labor. Removing unemployment insurance would instead not generate significant changes in the spatial distribution of workers. To gauge the magnitude of wage distortions, we compare the observed gross wage levels with the counterfactual market-clearing wages. Removing wage rigidities would generate significant gains in local and total GDP (+3%) and modest gains in the average real net labor income per resident (+1%). Lastly, we determine the level of the employers' social contribution rate that would allow to achieve full employment in all districts. We find that the optimal social contribution rate should be 24%, 12 percentage points lower than the observed rate, while at the same time it would increase fiscal revenue by 1.5%.
    Keywords: wage regulation, spatial equilibrium, labor mobility, commuting, local unemployment.
    JEL: J3 J5 J61 R12 R23
    Date: 2021–12–09
  5. By: Frank van Hoenselaar; Boris Cournède; Federica De Pace; Volker Ziemann
    Abstract: The landscapes of housing loan markets vary considerably across OECD countries, reflecting differences in preferences and policy settings. This paper first draws a topography of disparities in mortgage structure, documenting considerable variation across OECD countries in key features such as in use of fixed vs variable interest rates and typical maturities. The paper then discusses policies that can influence these outcomes. It highlights the scope for encouraging inclusive access to housing through tax-and-spending programmes that are neutral between renting and owning rather than through often very costly tax advantages for mortgage borrowing. The paper finally proposes a novel indicator to measure the balance between the rights of borrowers and lenders. Mortgage markets are deepest in countries where the index shows that creditor and borrower rights are balanced rather than severely tilted to one side.
    Keywords: finance, housing, mortgage markets
    JEL: G21 R21
    Date: 2021–12–14
  6. By: Aymo Brunetti; Konstantin Büchel; Martina Jakob; Ben Jann; Daniel Steffen
    Abstract: Good teachers are the backbone of a successful education system. Yet, in developing countries, teachers’ content knowledge is often inadequate. This study documents that primary school math teachers in the department of Morazan in El Salvador only master 47 percent of the curriculum they teach. In a randomized controlled trial with 175 teachers, we further evaluate a computer-assisted learning (CAL) approach to address this shortcoming. After a five months in-service training combining CAL-based self-studying with monthly workshops, participating teachers outperformed their peers from the control group by 0.29 standard deviations, but this effect depreciated by 72 percent within one year. Our simulations show that the program is unlikely to be as cost-effective as CAL interventions directly targeting students.
    Keywords: education quality, teacher performance, teacher training, student learning, basic math education, computer-assisted learning
    JEL: C93 I20 I21 I28 O15
    Date: 2021–12–09
  7. By: Haelermans, Carla (ROA / Education and transition to work, RS: GSBE Studio Europa Maastricht, RS: GSBE Theme Learning and Work); Jacobs, Madelon (ROA / Education and transition to work, RS: GSBE other - not theme-related research); van Vugt, Lynn (ROA / Health, skills and inequality, RS: GSBE Theme Learning and Work); Aarts, Bas (RS: GSBE other - not theme-related research, ROA / Human capital in the region); Abbink, Henry (RS: GSBE other - not theme-related research, ROA / Labour market and training); Smeets, Chayenne; van der Velden, Rolf (ROA / Education and transition to work, RS: GSBE Theme Learning and Work); van Wetten, Sanne (RS: GSBE other - not theme-related research, ROA / Education and transition to work)
    Abstract: After more than a year of COVID-19 crisis and the school closures that followed all around the world, the concerns about lower learning growth and exacerbated inequalities are larger than ever. In this paper, we use unique data to analyse how one full year of COVID-19 crisis in Dutch primary education has affected learning growth and pre-existing inequalities. We draw on a dataset that includes around 330,000 Dutch primary school students from about 1,600 schools, with standardized test scores for reading, spelling and mathematics, as well as rich (family) background information of the students. The results show a lower learning growth over a full year for all three domains, varying from 0.06 standard deviations for spelling to 0.12 for maths and 0.17 standard deviations for reading. Furthermore, we find that the lower learning growth is (much) larger for vulnerable students with a low socioeconomic background. This implies that pre-existing inequalities between students from different backgrounds have increased. These results are quite alarming and suggest that distance learning could not compensate for classroom teaching, although it prevented some damage that would have occurred if students had not enjoyed any formal education at all.
    JEL: I24 I20 I21 C90
    Date: 2021–12–14
  8. By: Mr. Adrian Alter; Zaki Dernaoui
    Abstract: This paper studies the US housing market using a proprietary and comprehensive dataset covering nearly 90 million residential transactions over 1998–2018. First, we document the evolution of different types of investment purchases such as those conducted by short-term buyers, out-of-state buyers, and corporate cash investors. Second, we quantify the contributions of non-primary home buyers to the housing cycle. Our findings suggest that the share of short-term investors grew substantially in the run-up to the global financial crisis (GFC), which amplified the boom-bust cycle, while out-of-state buyers propped up prices in some areas during the recession. An instrumental variable approach is employed to establish a causal relationship between housing investors and prices. Finally, we show that the recent rise of shadow bank lending in the residential market is associated with riskier mortgages, and explore its implications for non-primary home buyers and its effects on house prices and rents.
    Keywords: WP;house price;out-of-state buyer;zip code
    Date: 2020–08–28
  9. By: Efthyvoulou, Georgios (University of Sheffield); Bove, Vincenzo (University of Warwick, Department of Politics and International Studies and CAGE); Pickard, Harry (Newcastle University Business School)
    Abstract: When people migrate internally, do they tend to move to locations that reflect their political preferences? To address this question, we first compile a unique panel dataset on the universe of population movements in England and Wales across 346 local authority districts over the period 2002-2015, and estimate a gravity model of internal migration. We show that proximity in partisan composition exerts an important positive effect on migration flows, which is of a similar order of magnitude as wage differentials or ethnic proximity. We then use individual surveybased data over the same time period to investigate some of the micro-foundations underlying the macromoves. We find that political alignment to the district of residence contributes to individuals' sense of belonging and fitting in consistent with the existence of a political homophily mechanism and that a migrant's political ideology can predict the partisanship of the destination district.
    Keywords: Internal migration ; Residential mobility ; Neighbourhood preference ; Polarization ; Political sorting ; Gravity models
    Date: 2021
  10. By: Fanny Dellinger
    Abstract: Housing support is an important lever for promoting integration objectives with huge potential to improve refugees' early employment outcomes. This mixed-methods study is based on Austrian register data and interviews with NGO and government representatives. In Austria, asylum seekers are quasi-randomly assigned to federal states (Bundesländer). There, monetary assistance is similar for asylees but only some states offer further support with the housing search process. This study assesses the impact of housing support on refugees' location choice and early employment outcomes by comparing two groups of refugee men: singles and those with families. If housing support is limited, scarce resources are directed to the most vulnerable and single men are often left out. This makes them more likely to leave an assigned state and find shelter with the ethnic community. Whereas in states with strong housing support single men and families show roughly equal propensities to out-migrate, if support is low 63% of single men but only 35% of families leave. In the first year, employment rates of single men assigned to low housing support states are estimated to be 6 percentage points lower due to a lack of housing support.
    Keywords: Labor Market Integration of Refugees, Housing entry pathways, host country institutions, Austria
    JEL: J61 J68 I38 H73
    Date: 2021
  11. By: Elisa Facchetti; Lorenzo Neri; Marco Ovidi (Università Cattolica del Sacro Cuore; Dipartimento di Economia e Finanza, Università Cattolica del Sacro Cuore)
    Abstract: We study whether parents value non-test score attributes when choosing school. We exploit an intervention designed to provide hard-to-find information about school environment and day-to-day life at local public-sector institutions. School choice in London provides a unique setting where information on academic performance is already diffused and not shifted by the programme we study. Difference-in-differences estimates show the treatment increased enrolment in state-funded schools with respect to private institutions. We uniquely document that the information particularly affected choices of students with high socio-economic status. In addition, the programme has spillover effects on school choice of unexposed parents. Survey data and text analysis of meeting minutes support the interpretation of our results as effects of information on hard-to-find non-test score school attributes. Our results imply that relatively simple interventions may increase state schools’ financial resources and the quality of the student intake.
    Keywords: School choice, Non-test score school attributes, Information intervention.
    JEL: I24 I28 H75
    Date: 2021–12
  12. By: Haelermans, Carla (ROA / Education and transition to work, RS: GSBE Studio Europa Maastricht, RS: GSBE Theme Learning and Work); Korthals, Roxanne; Jacobs, Madelon (ROA / Education and transition to work, RS: GSBE other - not theme-related research); de Leeuw, Suzanne (RS: GSBE other - not theme-related research, ROA / Education and transition to work); Vermeulen, Stan (ROA / Education and transition to work, RS: GSBE Theme Learning and Work); van Vugt, Lynn (ROA / Health, skills and inequality, RS: GSBE Theme Learning and Work); Aarts, Bas (RS: GSBE other - not theme-related research, ROA / Human capital in the region); Breuer, Tijana (ROA / Labour market and training, RS: GSBE other - not theme-related research); van der Velden, Rolf (ROA / Education and transition to work, RS: GSBE Theme Learning and Work); van Wetten, Sanne (RS: GSBE other - not theme-related research, ROA / Education and transition to work); de Wolf, Inge (ROA / Labour market and training, RS: GSBE other - not theme-related research)
    Abstract: The COVID-19-pandemic forced many countries to close schools abruptly in the spring of 2020. These school closures and the subsequent period of distance learning has led to concerns about increasing inequality in education, as children from lower-educated and poorer families have less access to (additional) resources at home. This study analyzes differences in declines in learning gains in primary education in the Netherlands for reading, spelling and math, using rich data on standardized test scores and register data on student and parental background for almost 300,000 unique students. The results show large inequalities in the learning loss based on parental education and parental income, on top of already existing inequalities. The results call for a national focus on interventions specifically targeting vulnerable students.
    JEL: I24 I20 I21 C90
    Date: 2021–12–14
  13. By: Francesca Modena (Bank of Italy); Enrico Rettore (Department of Economics and Management, University of Padova and FBK-IRVAPP); Giulia Martina Tanzi (Bank of Italy)
    Abstract: This paper exploits student-level administrative data on the population of Italian university students, from 2006 to 2014, to analyse the effects of high performing (HP) male or female peers on individual academic performance, according to the gender of the student. The identification strategy is based on quasi-random variation in the exposure to HP peers across cohorts, within the same university and the same degree programme. The impact of HP students, proxied by their final high school grade, is heterogeneous. We found that female HP peers have stronger positive effects than HP males, in particular with peers of the same gender. Moreover, there is evidence that exposure to HP males can even be negative, especially for female students in competitive environments, such as the STEM fields of study, and for low ability students of both genders.
    Keywords: Higher education, University performance, Gender, Peers.
    JEL: I22 I23 C21 C35
    Date: 2021–12
  14. By: Priest, Lachlan (Monash University)
    Abstract: In this paper I analyse the effects that car ownership has on one’s outcomes in the labour market, and the barriers that a lack of car access presents in the United States. I also analyse the transport mismatch hypothesis. I do this by looking at time series regressions using car ownership as the explanatory variable. I also look at how trip distances, and public transport wait time are affected by income, and the types of cities people live in. I find evidence that car access is associated with increased participation in the labour force overall, as well as commute times, but has a varied impact on salaries. The results also show that higher income is associated with longer travel distances. Higher income is also associated with shorter wait times for public transport, but this is less pronounced in cities that have a good public transport system.
    Date: 2021
  15. By: Pauly, Stefan; Stipanicic, Fernando
    Abstract: This paper provides new causal evidence of the impact of improvements in air travel during the beginning of the Jet Age on the creation and diffusion of knowledge. We digitize airlines’ historical flight schedules and construct a novel data set of the flight network in the United States. Between 1951 and 1966, travel time between locations more than 2,000km apart decreased on average by 41%. The reduction in travel time explains 33% of the increase in knowledge diffusion as measured by patent citations. The increase in knowledge diffusion further caused an increase in the creation of new knowledge. The results provide evidence that jet airplanes led to innovation convergence across locations and contributed to the shift in innovation activity towards the South and the West of the United States.
    Keywords: O31, O33, R41, N72
    Date: 2021–11
  16. By: F. Colozza; R. Boschma; A. Morrison; C. Pietrobelli
    Abstract: This paper combines various literatures on Global Value Chains (GVC), Economic Complexity and Evolutionary Economic Geography. The objective is to assess the role of regional capabilities and GVC participation in fostering economic complexity in 236 NUTS2-regions in Europe. Our results suggest there is no such thing as a common path of economic upgrading across EU regions. Regions with high economic complexity tend to keep their advantageous positions, as they are capable of benefitting from both regional capabilities (as proxied by a high relatedness between local activities) and external linkages in terms of GVC participation. Conversely, low-complex regions do not benefit from GVC participation, unless their regional capabilities (in terms of relatedness density) are also stronger.
    Keywords: Economic Complexity, Evolutionary Economic Geography, Global Value Chains, Relatedness, Economic Upgrading, EU regions
    JEL: B52 F23 O19 O33 R10
    Date: 2021–12
  17. By: Ran Abramitzky; Philipp Ager; Leah Boustan; Elior Cohen; Casper Hansen
    Abstract: In the 1920s, the United States substantially reduced immigration by imposing country-specific entry quotas. We compare local labor markets differentially exposed to the quotas due to variation in the national origin mix of their immigrant populations. U.S.-born workers in areas losing immigrants did not gain in income score relative to workers in less exposed areas. Instead, in urban areas, European immigrants were replaced with internal migrants and immigrants from Mexico and Canada. By contrast, farmers shifted toward capital-intensive agriculture, and the immigrant-intensive mining industry contracted. These differences highlight the uneven effects of the quota system at the local level.
    Keywords: Immigration; Immigrants; Labor
    JEL: J61 N31 N32
    Date: 2021–09–30
  18. By: Espuny Pujol, Ferran; Hancock, Ruth; Hviid, Morten; Morciano, Marcello; Pudney, Stephen
    Abstract: We investigate the impact of exogenous local conditions which favor high market concentration on supply, price and quality in local markets for care homes for older people in England. We extend the existing literature in: (i) considering supply capacity as a market outcome alongside price and quality; (ii) taking account of the chain structure of care home supply and differences between the nursing home and residential care home sectors; (iii) using an econometric approach based on reduced form relationships that treats market concentration as a jointly determined outcome of a complex market. We find that areas susceptible to a high degree of market concentration tend to have greatly restricted supply of care home places and (to a lesser extent) a higher average public cost, than areas susceptible to low degree of market concentration. There is no significant evidence that conditions favoring high market concentration affect average care home quality.
    Keywords: care homes; market concentration; price; quality; supply; ES/L009153/1; ES/L011859/1; NIHR Applied Research Collaboration for Greater Manchester
    JEL: N0 L81
    Date: 2021–08–01
  19. By: Anna Gloria Billé; Alessio Tomelleri; Francesco Ravazzolo
    Abstract: The monitoring of the regional (provincial) economic situation is of particular importance due to the high level of heterogeneity and interdependences among different territories. Although econometric models allow for spatial and serial correlation of various kinds, the limited availability of territorial data restricts the set of relevant predictors at a more disaggregated level, especially for GDPs. This paper evaluates the predictive performance of a spatial dynamic panel data model with individual fixed effects and some relevant exogenous regressors by using data on total GVA for 103 Italian provinces (NUTS-3 level) over the period 2000-2016. A comparison with nested panel sub-specifications as well as pure temporal autoregressive specifications has also been included. The main finding is that the spatial dynamic specification increases forecast accuracy more than its competitors throughout the out-of-sample, recognizing an important role played by both space and time. However, when temporal cointegration is detected, the random walk specification is still to be preferred in some cases even in the presence of short panels.
    Keywords: Prediction,, Spatial Correlation, Panel Data, Regional GVA forecasting
    JEL: C33 C52 C53 E37 R11
    Date: 2021–12
  20. By: António Afonso; Ana Venâncio
    Abstract: We investigate the effect on municipality spending efficiency of a local property tax reform, which reduced in 2008 the upper limit of the property tax. We compute municipality efficiency scores via data Envelopment Analysis (DEA) from 2005 to 2011, and then we rely in a panel data set to estimate how the tax reform affected the efficiency scores. Results of the analysis show that average input efficiency scores declined from 0.575 before the tax reform to 0.488 after the tax reform. This change was transversal to municipalities that reduced the municipal property tax (IMI) and to the ones that maintained the tax rate. In addition, the IMI reform is linked to higher efficiency scores. In other words, the reduction in efficiency ends up being smaller for the municipalities that decreased the IMI tax rate.
    Keywords: public spending efficiency, local government, data envelopment analyis (DEA), local property tax reform.
    JEL: C14 C23 H11 H21 H50
    Date: 2022–01
  21. By: Diego Delle Donne (ESSEC Business School - Essec Business School); Laurent Alfandari (ESSEC Business School - Essec Business School); Claudia Archetti (ESSEC Business School - Essec Business School); Ivana Ljubić (ESSEC Business School - Essec Business School)
    Abstract: We study a delivery strategy for last-mile deliveries in urban areas which combines freight transportation with mass mobility systems with the goal of creating synergies contrasting negative externalities caused by transportation. The idea is to use the residual capacity on public transport means for moving freights within the city. In particular, the system is such that parcels are first transported from origins (central distribution centers) to drop-in stations, which are stop locations on public vehicles itineraries. Then, they are transported through public vehicles to drop-out stations, from where they are delivered to destination by freighters using green vehicles (such as bikes, drones, porters, etc.). The system is known as Freight-On-Transit (FOT). In this paper, we focus on the strategic decisions related to defining the public transportation network that will take part to the delivery system, i.e., which public vehicle lines and stop locations will be included (and thus equipped for the service). We propose different formulations for the problem and effective heuristic solution approaches based on column generation. We perform exhaustive tests aimed at providing managerial insights on the performance and the efficiency of the system.
    Keywords: freight-on-transit,network flow,column generation,mixed integer linear programming
    Date: 2021–11–30
  22. By: Nakamura, Ryota; Albanese, Andrea; Coombes, Emma; Suhrcke, Marc
    Abstract: This study investigates the impact of economic incentives on travel-related physical activity, leveraging the London Congestion Charge’s disincentivising of sedentary travel modes via increasing the cost of private car use within Central London. The scheme imposes charges on most types of cars entering, exiting and operating within the Central London area, while individuals living inside the charging zone are eligible for a 90% reduction in congestion charges. Geographical location information provides the full-digit postcode data necessary to precisely identify the eligibility for the discount of participants in the London Travel Demand Survey for the period 2005–2011. Using a boundary regression-discontinuity design reveals a statistically significant but small impact on active commuting (i.e. cycling and walking) around the border of the charging zone. The effect is larger for lower-income households and car owners. The findings are robust against multiple specifications and validation tests.
    Keywords: economic incentive, health behaviour, London Congestion Charge, geographical information system, regression-discontinuity
    JEL: D04 I12 R48
    Date: 2021–12
  23. By: Ruslan Gulidov; Elena Veprikova (Federal Autonomous Scientific Institution «Eastern State Planning Center»)
    Abstract: The paper presents a snapshot of the socio-economic development of the Jewish Autonomous Oblast, a region of the Russian Federation. General information on the territory (the number and density of the population, the pattern of settlements, the presence of undeveloped and border areas) is presented. The problems of the infrastructure availability of the region are identified. The region's current stage of economic development is analyzed, including the performance of the key economy sectors, foreign economic activity, employment, labor productivity and wages, investments, and preferential regimes. The state and features of the use of the resource potential are demonstrated. The level of social development and the quality of life in the Jewish Autonomous Oblast are presented. The state and potential of regional budgets are revealed. Based on the comprehensive analysis of a wide array of relevant factual data, the key competitive advantages, limitations and development potentials of the Jewish Autonomous Oblast are revealed. The paper is intended for specialists in the regional economics, regional and local government officials, faculty members, graduates and postgraduates as well as other readers interested in the development of the Russian Far East and the Jewish Autonomous Oblast, in particular.
    Keywords: socio-economic development, development of the territory, transport infrastructure, energy infrastructure, communications infrastructure, land resources, mineral resources, forest resources, aquatic biological resources, foreign economic activity, employment, labor productivity, wages, investments, preferential regimes, well-being, social development, regional budget, development limitations, development drivers
    JEL: R10 J1 O10
    Date: 2020–12
  24. By: Carmen Cantuarias-Villessuzanne (ESPI2R); Gaëlle Audrain-Demey (ESPI2R); Lolita Gillet (ESPI2R); Carine Guemar (ESPI2R); Radmila Pineau (ESPI2R); Maleyre Isabelle (ESPI2R)
    Date: 2021–07
  25. By: Maximilian Benner
    Abstract: In the path development literature, the path-as-process perspective conceptualizes the emergence, evolution, transformation, and decline of regional industries in the long term. However, critical questions about the role of agency in and between episodes of path development and transformation remain open. This article argues that we should see path development as a long-term sequence that includes stretches of path development interrupted by occasional switches of transformation that are driven by changing patterns of agency. This railroad track model focuses attention on how and why the mix of agency changes at critical junctures between path development episodes.
    Keywords: evolutionary economic geography, path development, path transformation, agency, tourism, Israel
    Date: 2021
  26. By: Eleonora Matteazzi; Martina Menon; Federico Perali
    Abstract: This paper investigates the role of effort on mathematics performance of boys and girls, an aspect that may contribute to our understanding of the gender gap in science, technology, engineering and math (STEM) fields in college. We exploit a remarkably rich primary data set to estimate a simultaneous equations model of mathematics attainment and students’ effort. Our estimation strategy infers causal relations by relying on an instrumental variable approach validated using weak-instruments-robust confidence sets and partial identification techniques. The results show that study effort plays a different role in the math performance of girls and boys. If a boy dedicates one extra hour to study, his math grade increases by 1 point on a 10-point scale. Differently, an additional hour of home study does not have an effect on girls’ math performance, though, in our sample, on average, girls perform significantly better than boys in math. We also examine the role played by peers, the quality of the attended school, and family socio-economic background. These factors mainly affect math achievement only indirectly through student’s effort. Validity tests suggest that our results are not confounded by unobservable heterogeneity. Our findings suggest that asking girls for additional efforts may not be effective to bridge the gender gap in STEM.
    Keywords: Mathematics, effort, gender inequality, peer effects, school quality
    Date: 2021
  27. By: Hannes Wallimann; Kevin Bl\"attler; Widar von Arx
    Abstract: In this paper, we assess the demand effects of lower public transport fares in Geneva, an urban area in Switzerland. Considering a unique sample based on transport companies' annual reports, we find that, when reducing the costs of annual season tickets, day tickets and short-distance tickets (by up to 29%, 6% and 20%, respectively), demand increases by, on average, about 13%. However, we also show that the effect of the policy intervention did not occur immediately after the price reduction. To the best of our knowledge, we are the first to show how the synthetic control method (Abadie and Gardeazabal, 2003, Abadie, Diamond, and Hainmueller, 2010) can be used to assess such (for policy-makers) important price reduction effects in urban public transport. To assess the demand effects, we propose an aggregate metric that inherits extensions of networks, namely passenger trips per vehicle kilometre. Therefore, we can isolate the impact of price reductions, ensuring that companies' network extensions do not affect estimators of interest. In addition, we show how to investigate the robustness of results in similar settings using recent statistical methods and different study designs. Finally, as far as we know, it is the first causal estimate of price reduction on urban public transport initiated by direct democracy.
    Date: 2021–11
  28. By: Charles Crabtree; Michael Poyker
    Abstract: To what extent do slanted media influence police perceptions and thereby their use of violent forces? We know that media bias affects many aspects of American life, such as perceptions of facts and views of politicians and policies. In this paper, we show that there is little evidence that slanted media influences police violence. To assess this relationship, we employ instrument variable estimation using the quasirandom positioning of FNC in the cable lineup as a source of exogenous variation in viewership. The evidence shows that increased exposure to FNC does not lead to more frequent police killings of Black people or people of other races. Our results suggest that slanted media coverage of crimes does not necessarily lead to fatal racial discrimination by police officers.
    Keywords: JEL Codes: J15, K42, L82, Z13
    Date: 2021
  29. By: Stevens, Andrew W.
    Keywords: Land Economics/Use, Resource /Energy Economics and Policy
    Date: 2021–08
  30. By: Ryuji Kutsuzawa (Ministry of Land, Infrastructure, Transport and Tourism); Nobuo Akai (Osaka School of International Public Policy, Osaka University); Toru Takemoto (Professor, Nihon University, College of Law)
    Abstract: During the outbreak of the coronavirus 2019 disease (COVID-19), social distance and telework is encouraged to prevent the infection and the demand for houses,shops and offices including location and style is changing,as a result,the change will be reflected in land prices. Therefore,this paper will analyze the effects of the number of COVID-19 cases and deaths per capita on land prices through changes in residents'preferences for residential and commercial land by using a fixed effect model with panel data of land prices compiled by the Japanese government and an instrumental variable to cope with the endogeneity of COVID-19 cases and deaths. The results show that 1) the number of COVID-19 cases and deaths per capita have negative impacts on land prices, 2) the infection and damage of COVID-19 affects land prices in commercial areas greater than those in residential areas, 3) COVID-19 has greater influence on land prices at the point where land is highly used and the floor area ratio is higher.
    Keywords: COVID-19,official land price, fixed effect analysis
    Date: 2021–12
  31. By: Johan Miörner (Eawag, Swiss Federal Institute of Aquatic Science and Technology, Switzerland); Christian Binz (Eawag, Swiss Federal Institute of Aquatic Science and Technology, Switzerland); Lea Fuenfschilling (CIRCLE, Lund University)
    Abstract: Transitions literature shows important gaps when it comes to specifying how, and why, transformation processes play out differently in different sectoral contexts. This paper develops a heuristic for analysing a socio-technical system’s inherent transformative potential and for comparing transition trajectories in different socio-technical systems with each other. The framework draws on insights from transition studies and organizational institutionalism to specify three features of a socio-technical system which shape its inherent transformative potential and most likely transition trajectories: the degree of institutionalization of socio-technical configurations, their coherence, as well as spatial characteristics of the system as a whole. The contribution of the paper is threefold: 1) it develops a systematic understanding of the basic characteristics of a sector’s socio-technical system and how they influence the likelihood, nature, and speed of transition processes; 2) it provides insights to whether and how lessons derived from one sector can be used for understanding transitions in others; 3) it guides the identification of places and spatial scales at which transitions unfold and where leverage points for transformative change lie in different sectors. The framework is illustrated with empirical examples from existing literature on the water- and urban mobility sectors.
    Keywords: socio-technical systems, sector transformation, transition potentials, systemness, water, urban mobility
    Date: 2021
  32. By: Olof Åslund (Olof Åslund); Cristina Bratu (Cristina Bratu); Stefano Lombardi (Stefano Lombardi); Anna Thoresson (Anna Thoresson)
    Abstract: We study the role of firm productivity in explaining earnings disparities between immigrants and natives using population-wide matched employer-employee data from Sweden. We find substantial earnings returns to working in firms with higher persistent productivity, with greater gains for immigrants from non-Western countries. Moreover, the pass-through of within-firm productivity variation to earnings is stronger for immigrants in low-productive, immigrant-dense firms. But immi grant workers are underrepresented in high-productive firms and less likely to move up the productivity distribution. Thus, sorting into less productive firms decreases earnings in poor-performing immigrant groups that would gain the most from working in high-productive firms
    Keywords: Firm productivity; Immigrant-native earnings gaps; Wage inequality
    JEL: J15 J31 J62
    Date: 2021–12
  33. By: Jennifer Balch; Katherine Curtis; Jack DeWaard; Elizabeth Fussell; Kathryn McConnell; Kobie Price; Lise St. Denis; Stephan Whitaker
    Abstract: The scale of wildfire destruction has grown exponentially in recent years, destroying nearly 25,000 buildings in the United States during 2018 alone. However, there is still limited research exploring how wildfires affect migration patterns and household finances. In this study, we evaluate the effects of wildfire destruction on in-migration and out-migration probability at the Census tract level in the United States from 1999 to 2018. We then shift to the individual level and examine changes in homeownership, consumer credit usage, and financial distress among people whose neighborhood suffered damaging fires. We pair quarterly observations from the Federal Reserve Bank of New York/Equifax Consumer Credit Panel with building destruction counts from the US National Incident Management System/Incident Command System database of wildfire events. Our findings show significantly heightened out-migration probability among tracts that experienced the most destructive wildfires, but no effect on in-migration probability. Among the consumer credit measures, we find a significant drop in homeownership among those treated by major fires. This is concentrated in people over the age of 60. Measures of credit distress, including delinquencies, bankruptcies, and foreclosures, improve rather than deteriorate after the fire, but the changes are not statistically significant. While wildfire effects on migration and borrowing are measurable, they are not yet as large as those observed following other natural disasters such as hurricanes.
    Keywords: Wildfire; Migration; Consumer Credit
    JEL: D12 Q54 R23
    Date: 2021–12–27
  34. By: Matthew Sharp
    Abstract: Women often migrate within developing countries for different reasons than men and female migrants tend to be very differently distributed across economic sectors as compared to male migrants. This paper provides some of the first evidence on the labour market impacts of female internal migration, examining effects in both the productive and household sectors. I merge large sample migration data from South African censuses with detailed labour force survey data, and exploit substantial time-variation in female migrant inflows into over 200 districts. To identify the causal effects of migration on labour market outcomes, I make use of the unique history of South Africa to construct a plausibly exogenous shift-share instrument for female migrant concentration based on earlier male migration flows from reserves during the Apartheid period. I firstly find that this migration increases the employment and hours worked of high-skilled women (but not men). I demonstrate that this effect is driven by substitution in household work as many female migrants find work as domestic helpers. I also find that female migration leads to a (short-term) reduction in the employment of low-skilled female non-migrants suggesting an increase in competition at the bottom of the economic ladder.
    Keywords: internal migration; economics of gender; natural experiment
    JEL: R23 J16 J22
    Date: 2021
  35. By: Helmut Rainer; Marc Fabel
    Abstract: This paper quantifies how much of violent crime in society can be attributed to football-related violence. We study the universe of professional football matches played out in Germany’s top three football leagues over the period 2011-2015. To identify causal effects, we leverage time-series and cross-sectional variation in crime register data, comparing the number of violent crimes on days with and without professional football matches while controlling for date heterogeneity, weather, and holidays. Our main finding shows that violent crime increases by 21.5 percent on a match day. In total, professional football matches explain almost 18 percent of all violent assaults in the regions studied, and generate annual social costs of 95 million euros. Exploring possible mechanisms, we establish that the match day effect cannot be explained by emotional cues stemming from either unsettling events during a match or unexpected game outcomes, nor is it driven by increases in domestic violence. Instead, we find that the match day effect can be attributed to violence among males in the 18-29 age group, rises to almost 70 percent on days with high-rivalry derby matches, and that a non-negligible share of it stems from violent assaults on police officers. These findings are inconsistent with frustration-aggression theories that can explain sports-related violence in the United States, but can be accommodated by social identity explanations of football hooliganism.
    Keywords: violent crime, football hooliganism
    JEL: J19 K42 Z13 Z29
    Date: 2021
  36. By: Xiao Shuguang; Lai Xinglin
    Abstract: While the traditional monetary transmission mechanism usually uses the equity and capital markets as monetary reservoirs, due to China's unique fiscal and financial system, the real estate sector has become China's 'invisible' non-traditional monetary reservoir for many years. Firstly, based on the perspective of the real estate sector as a monetary reservoir, this paper constructs a dynamic general equilibrium model that includes fiscal investment and financing and uses Chinese housing market data as well as central bank data on refinancing rates to financial institutions and GDP data for parameter estimation to reveal the laws of the monetary transmission mechanism of the monetary reservoir-fiscal financing investment: firstly, an asset can be financed as long as it satisfies the three criteria of a leveraged trading system:First,there is a commitment to pay and the existence of government utility; second, local governments have an incentive to carry out credit expansion and investment and also financing operations through money pool assets, and there is a financing effect when the tax return on fiscal investment is higher than fiscal financing; third, the bubble effect is greater than the financing effect and it will push the monetisation of fiscal deficits when the financing effect is greater than the bubble effect and then the economic growth masks the credit expansion of local governments.To address the problem of monetary transmission mechanism under the perspective of real estate monetary reservoir, this paper carries out the design of a de-bubble financing mechanism for monetary reservoir assets.
    Date: 2021–11
  37. By: Daniel Aparicio-Pérez (Department of Finance and Accounting, Universitat Jaume I, Castellón, Spain); Maria Teresa Balaguer-Coll (Department of Finance and Accounting, Universitat Jaume I, Castellón, Spain); Emili Tortosa-Ausina (IVIE, Valencia and IIDL and Department of Economics, Universitat Jaume I, Castellón, Spain)
    Abstract: The link between fiscal decentralization and economic growth is a work-horse field of research which has historically arrived to ambiguous conclusions. Nevertheless, less is known about the regional consequences of an asymmetric decentralized system as in the case of Spain. In this article, we provide evidence for the literature evaluating the two-extreme-cases regions (The Basque Country and The Valencian Community) in terms of how they have been benefited/harmed, after the approval of their respective more recent critical laws regarding the Spanish fiscal decentralization process: (i) the Basque Economic Agreement (BEA, hereinafter) approved in 2002 and (ii) the 2001-model within the common financing system. To undertake this analysis, we develop our empirical strategy based on diff-in-diff regression and the Synthetic Control Method. We intend to demonstrate that an asymmetric fiscal decentralized system, based on cultural or political reasons rather than economic ones, is not innocuous for the economic development of a given region and it has quasi-permanent consequences in terms of convergence for the whole country. We find that the BEA approved in 2002 would have increased the Basque Country level of GDP per capita under diff-in-diff regression and under Synthetic Control method. Conversely, we also find that the approval of the 2001-model, within the common financing system, has implied a considerably reduction in the Valencian level of GDP per capita, also under both methods.
    Keywords: economic growth, fiscal decentralization, difference-in-differences, synthetic control method
    JEL: C22 H11 H73 H77 O40
    Date: 2021
  38. By: Kamb, Rebecca; Tamm, Marcus
    Abstract: School entry regulations lead to differences in the age when children start school. While previous literature estimated the effects of age at school entry for compliers with school entry regulations, we look at non-compliers, namely those who enter school one year before the official entry date. Based on an instrumental variable approach, the results show that early enrollment increases the number of children by 0.1, whereas we find no significant impact on rates of childlessness.
    Keywords: School starting age,early school enrollment,fertility,motherhood,childlessness
    JEL: I21 J24
    Date: 2021
  39. By: Rachael Kei KAWASAKI; IKEDA Yuichi
    Abstract: Widespread anti-immigrant sentiment during the COVID-19 pandemic has shown that attitudes towards immigrants are a pertinent issue for policymakers aiming to create effective immigration and integration policy. However, previous research has mainly focused on European and a select group of Anglophone countries, like the United States, Canada, the UK. As a result, policymakers outside of these contexts may find this research inapplicable to their context. This study analyzes regional differences in the determinants of attitudes towards immigrants in over 50 countries by employing four signed and weighted bipartite networks of large regions of countries connected through migration. Using data from Wave 6 of the World Values Survey, four bipartite networks of countries and determinants of attitudes towards immigrants are constructed and projected into one-mode networks: one of the countries and one of the attitudes, beliefs, and values which influence attitudes, or "features." Community analysis detects which features are correlated in determining attitudes, allowing for the reduction of hundreds of features to key determinants of attitudes in a region. The study finds that prejudices towards out-groups, especially racial prejudice, are important determinants irrespective of region and can be considered a generalizable determinant of attitudes towards immigrants. Moreover, analysis of racial prejudice's links with other determinants and its subcommunity structure finds that intergroup conflict theory is influential in the Eastern Europe/Central Asia and Western Europe/North Africa networks, while neither social identity theory nor intergroup conflict theory are present in the Africa, Americas, or Asia networks. Results are mixed in the Middle East and Southeast Asia networks. Finally, values-based attitudes, such as the importance a person puts on fairness or benevolence, are more prominent in networks containing European countries, while they are not in other regions. This finding suggests that values-based communications on migration, which are often considered best practice, may not be effective in other regions, and highlights the need for greater research into cultural differences in the determinants of attitudes.
    Date: 2021–12
  40. By: Raouf Boucekkine (Rennes School of Business); Giorgio Fabbri (Univ. Grenoble Alpes, CNRS, INRA, Grenoble INP, GAEL, 38000 Grenoble, France.); Salvatore Federico (Università degli Studi di Genova, Dipartimento di Economia.); Fausto Gozzi (Dipartimento di Economia e Finanza, LUISS Guido Carli, Roma.)
    Abstract: This work targets the class of spatiotemporal problems with free riding under natural (pollution, epidemics...etc) diffusion and spatial externalities. Such a class brings to study a family of differential games in continuous time and space. In the fundamental pollution free riding problem we develop a strategy to solve completely the associated game contributing to the associated debate on environmental federalism. We depart from the preexisting literature in several respects. First, instead of assuming ad hoc pollution diffusion schemes across space, we consider a realistic spatiotemporal law of motion for pollution (diffusion and advection). Second, we tackle spatiotemporal non-cooperative (and cooperative) differential games instead of static games in the related literature. Precisely, we consider a circle partitioned into several states where a local authority decides autonomously about its investment, production and depollution strategies over time knowing that investment/production generates pollution, and pollution is transboundary. The time horizon is infinite. Third, we allow for a rich set of geographic heterogeneities across states while the literature assumes identical states. We solve analytically the induced non-cooperative differential game under decentralization and fully characterize the resulting long-term spatial distributions. In particular, we prove that there exist a Perfect Markov Equilibrium, unique among the class of the a‑ne feedbacks. We further provide with full exploration of the free riding problem, reflected in the so-called border effects. Finally, we explore how geographic discrepancies (the most elementary being the asymmetry of players) affect the shape of the border effects. We check in particular that our model is consistent with the set of stylized facts put forward by the related empirical literature.
    Keywords: Spatial externalities, spatial diffusion, differential games in continuous time and space, infinite dimensional optimal control problems, environmental federalism
    JEL: Q53 R12 O13 C72 C61 O44
    Date: 2021–11–18
  41. By: Tom Carlowitz
    Abstract: Billions of dollars are spent each year on electrification infrastructure projects in the hope to benefit the 770 million people who still lack access to electricity. However, the evidence to date on the effects of such projects is mixed. In this paper, I study the effect of rural electrification on firm creation in Ghana by focusing on the effect on female-owned microenterprises. I combine firm census data covering over 638,000 firms (including informal and rural establishments) with electricity access and geo-spatial data. I address the endogeneity of the grid expansion using an instrumental variable approach. The instrument is the distance to a hypothetical grid connecting historical regional capitals, border towns, and main hydropower plants. I find that a 10% increase in district-level electrification leads to the creation of 152 female-owned firms, which corresponds to a 37% increase. I show that this effect is largely driven by two channels: i) a reduction in home production activities by women and ii) a lowering of required startup capital for microenterprises. The findings of this paper are consistent with previous literature, showing large effects of electrification particularly for women.
    Keywords: rural electrification; infrastructure; microenterprises; firms; Ghana
    JEL: L26 O13 O14 O18 Q41 R11
    Date: 2021
  42. By: Jochmans, Koen
    Abstract: Identification of peer effects is complicated by the fact that the individuals under study may self-select their peers. Random assignment to peer groups has proven useful to sidestep such a concern. In the absence of a formal randomization mechanism it needs to be argued that assignment is `as good as' random. This paper introduces a simple yet powerful test to do so. We provide theoretical results for this test. As a by-product we equally obtain such results for an approach popularized by Guryan, Kroft and Notowidigdo (2009). These results help to explain why this approach suffers from low power, as has been observed elsewhere. Our approach can equally be used to test for the presence of peer effects in the linear-in-means model without modification.
    Keywords: asymptotic power; bias; fixed effects; peer effects; random assignment;; test
    JEL: C12 C21
    Date: 2021–11–30
  43. By: Popp, Martin (Institute for Employment Research (IAB), Nuremberg, Germany)
    Abstract: "Economists increasingly refer to monopsony power to reconcile the absence of negative employment effects of minimum wages with theory. However, systematic evidence for the monopsony argument is scarce. In this paper, I perform a comprehensive test of monopsony theory by using labor market concentration as a proxy for monopsony power. Labor market concentration turns out substantial in Germany. Absent wage floors, a 10 percent increase in labor market concentration makes firms reduce wages by 0.5 percent and employment by 1.6 percent, reflecting monopsonistic exploitation. In line with perfect competition, sectoral minimumwages lead to negative employment effects in slightly concentrated labor markets. This effect weakens with increasing concentration and, ultimately, becomespositive in highly concentrated or monopsonistic markets. Overall, the results lend empirical support to the monopsony argument, implying that conventional minimum wage effects on employment conceal heterogeneity across market forms." (Author's abstract, IAB-Doku) ((en))
    Date: 2021–12–22
  44. By: Viktor Malein (University of Southern Denmark)
    Abstract: Between 1890 and 1913, Russian Empire experienced a rapid transition to an industrial economy, catching up with Western countries. Using accidental elements in German settlement locations in Russia 1763-1861, the paper estimates the effects of the more educated Germans in Russia’s industrial transition in 1890-1913. I demonstrate that German settlers had significant external benefits in their regions through improved schooling infrastructure and increased literacy among the local population. Educational benefits translated into a higher share of industrial occupations, per-capita local expenditures and urbanization by 1897. I also find a positive impact of education on productivity, mainly in industries that experienced technological transformation and had higher human capital requirements. Furthermore, panel estimates reveal that German areas experienced a higher industrial growth only after 1890 with the adaption of more progressive technologies. Finally, I find no evidence supporting alternative explanations of the German impact: increased agricultural productivity, lower exposure to serfdom, demographic transition or changes in landownership structure.
    Keywords: Human capital, Russian economic history, Industrialization
    JEL: N14 I25 O47
    Date: 2021–12
  45. By: Murat Demirci (Department of Economics, Koç University); Murat Guray Kirdar (Department of Economics, Boğaziçi University)
    Abstract: Turkey hosts the largest population of refugees globally; however, we know little about their labor market outcomes at the national level. We use the 2018 round of the Turkey Demographic and Health Survey, which includes a representative sample of Syrian refugees in Turkey for the first time, to examine a rich set of labor market outcomes. We find that the native-refugee gap in men’s employment in Turkey (in favor of natives) is much smaller than that reported for most developed countries. Moreover, men’s employment peaks quite early (one year) after arrival and remains there, whereas women’s employment is lower to begin with and changes little over time. Once we account for demographic and educational differences, the native-refugee gap in men’s (women’s) paid employment reduces to 4.7 (4.0) percentage points (pp). These small gaps conceal the fact that refugees’ formal employment is much lower. Even after accounting for the covariates, refugee men’s formal employment rate is 58 pp lower. In addition, the native-refugee gap is the smallest in manufacturing for men and in agriculture for women, and the gap is also much smaller in wage-employment than self-employment and unpaid family work for both genders. Young refugees are more likely to work than natives, whereas the gap favors natives among the prime-age working people. Moreover, the native-refugee gap in employment widens for more educated refugees. Finally, accounting for the differences in covariates, the native-refugee gap in men’s employment vanishes for Turkish-speaking refugees but persists for Arabic- and Kurdish-speaking refugees.
    Keywords: Syrian refugees, labor market integration, employment, Turkey.
    JEL: J61 F22 J21 O15
    Date: 2021–12
  46. By: Yoko KONISHI; Se-il MUN; Yoshihiko NISHIYAMA; Masahiro KINOMURA
    Abstract: This paper develops a model of freight transportation market, in which transportation time is endogenously determined in the market. Two types of transportation contract are considered: delivery with and without time designation. Theoretical analysis suggests that, in the presence of the uncertainty in transportation time, shippers choosing the time designation spend longer time for delivering cargos. We estimate the freight charge function, expressway choice model, and transportation time function, using microdata of freight flow in Japan. Based on the estimated freight charge function, we confirm the theoretical predictions. We also obtain the values of willingness to pay for time designation, as an alternative measure to evaluate the reliability value of transportation.
    Date: 2021–12
  47. By: Carles Simó Noguera; P. Loncle; Noémie Dominguez (Centre de Recherche Magellan - UJML - Université Jean Moulin - Lyon 3 - Université de Lyon - Institut d'Administration des Entreprises (IAE) - Lyon); Eunice Cascant; Catherine Mercier-Suissa; Lauren Dixon; Emily Mugel; Maité Pinchon; Nancy Ottaviano; Alexandra Bousiou; Andrea Spehar; Pieter Bevelander; Haodong Qi; Ivana Bolognesi; Daniela Bolzani; Samantha Caccamo; Leonardo Corbo; Morena Cuconato; Marta Ilardo; Chiara Pagano; Marta Salinaro; Isadora Turnaj; Ana Maria Sales; Jordi Giner-Montfort; Juan Romero-Crespo; Daniel Milllor; Alicia Banyuls-Millet; Jorge Velazco; Emanuelle Maunaye
    Keywords: Arènes,UVEG,Quatorze,UJML,UNIBO,UGOT,MAU
    Date: 2021–10
  48. By: Mikhail Anufriev; Kirill Borissov; Mikhail Pakhnin
    Abstract: We study a model of social learning in networks where the dynamics of beliefs are driven by conversations of dissonance-minimizing agents. Given their current beliefs, agents make statements, tune them to the statements of their associates, and then revise their beliefs. We characterize the long-run beliefs in a society, provide the necessary and sufficient conditions for a society to reach a consensus, and show that agents’ social influences (weights on the consensus belief) are decreasing in their dissonance sensitivities. Comparing the outcomes of two models, with and without conversation, we show that conversation leads to a redistribution of social influences in favor of agents with higher self-confidence. Finally, we provide analytical insights for the model where agents minimize dissonance by revising both beliefs and network, and show that an endogenous change of network may prevent a society from reaching a consensus.
    Keywords: social networks, DeGroot learning, social influence, dissonance minimization, conversation
    JEL: D83 D85 D91 Z13
    Date: 2021
  49. By: Emilio Colombo; Alberto Marcato
    Abstract: This paper analyses the relationship between labor market concentration and employers' skill demand. Using a novel data set on Italian online job vacancies during 2013-2018 we show that employers in a highly concentrated labor market demand competencies associated with the ability of workers to learn faster (e.g. Social skills) rather than actual knowledge. They also require less experience but higher education. These results are consistent with the hypothesis that employers in more concentrated labor markets are more prone to train their employees. Instead of looking for workers who already have job-specific skills, they look for workers who can acquire them faster and efficiently.
    JEL: J24 J42 J63
    Date: 2021

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