|
on Urban and Real Estate Economics |
| By: | Anna Maria Mayda; Mine Z. Senses; Walter Steingress |
| Abstract: | Using U.S. county-level data from 1990 to 2010, we study the causal impact of immigration on the provision of local public goods. We uncover substantial heterogeneity across immigrants with different skills, mainly due to the asymmetric impact immigrants have on the per capita tax base and local revenues. In the absence of full insurance through intergovernmental transfers, the changes in per capita revenues are reflected in changes in the provision of local public services: per capita public expenditures decrease with the arrival of low-skilled immigrants and increase with the arrival of high-skilled immigrants. While the two types of immigrants offset each other on average, spatial differences in the population shares of low- and high-skilled immigrants lead to unequal fiscal effects across U.S. counties. We find the estimated impact to differ across various public services and for second-generation immigrants. |
| Keywords: | Fiscal policy; International topics; Regional economic developments |
| JEL: | F22 H41 H7 J61 J68 R5 |
| Date: | 2023–11 |
| URL: | http://d.repec.org/n?u=RePEc:bca:bocawp:23-57&r=ure |
| By: | Ningyi Li |
| Abstract: | This paper examines the effects of daily exercise time on the academic performance of junior high school students in China, with an attempt to figure out the most appropriate daily exercise time for students from the perspective of improving students' test scores. By dividing the daily exercise time into five sections to construct a categorical variable in a linear regression model as well as using another model to draw intuitive figures, I find that spending both too little and too much time on physical activity every day would have adverse impacts on students' academic performance, with differences existing in the impacts by gender, grade, city scale, and location type of the school. The findings of this paper carry implications for research, school health and education policy and physical and general education practice. The results also provide recommendations for students, parents and teachers. |
| Date: | 2023–11 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2312.11484&r=ure |
| By: | Marguerite Obolensky; Marco Tabellini; Charles Taylor |
| Abstract: | This paper introduces the concept of “climate matching” as a driver of migration and establishes several new results. First, we show that climate strongly predicts the spatial distribution of immigrants in the US, both historically (1880) and more recently (2015), whereby movers select destinations with climates similar to their place of origin. Second, we analyze historical flows of German, Norwegian, and domestic migrants in the US and document that climate sorting also holds within countries. Third, we exploit variation in the long-run change in average US climate from 1900 to 2019 and find that migration increased more between locations whose climate converged. Fourth, we verify that results are not driven by the persistence of ethnic networks or other confounders, and provide evidence for two complementary mechanisms: climate-specific human capital and climate as amenity. Fifth, we back out the value of climate similarity by: i) exploiting the Homestead Act, a historical policy that changed relative land prices; and, ii) examining the relationship between climate mismatch and mortality. Finally, we project how climate change shapes the geography of US population growth by altering migration patterns, both historically and into the 21st century. |
| JEL: | J15 J61 N31 N32 Q54 R11 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32035&r=ure |
| By: | Berliant, Marcus |
| Abstract: | We examine the fine microstructure of commuting in a game-theoretic setting with a continuum of commuters. Commuters' home and work locations can be heterogeneous. A commuter transport network is exogenous. Traffic speed is determined by link capacity and by local congestion at a time and place along a link, where local congestion at a time and place is endogenous. The model can be reinterpreted to apply to congestion on the internet. We find sufficient conditions for existence of equilibrium, that multiple equilibria are ubiquitous, and that the welfare properties of morning and evening commute equilibria differ on a generalization of a directed tree. |
| Keywords: | Commuting; Internet traffic; Congestion externality; Efficient Nash equilibrium |
| JEL: | L86 R41 |
| Date: | 2023–12–27 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:119590&r=ure |
| By: | Yugang Tang (School of Economics, Shandong University, Zhixin Building, Room B312, 27 Shanda Nanlu, 250100); Zhihao Su (Shandong University, No. 27 Shanda South Road, Jinan City, Shandong Province, China: 250100); Yilin Hou (Center for Policy Research, Maxwell School, Syracuse University, 426 Eggers Hall, Syracuse, NY 13244); Zhendong Yin (School of Economics, Central University of Finance and Economics, No. 39 Xueyuan South Road, Haidian District, Beijing, 102206) |
| Abstract: | This paper examines the fiscal motives behind municipal governments' decisions to allocate commercial and residential land when two categories of land use are subject to different fiscal revenue alternatives: business-related tax and/or land rent. We use urban parcel-level land transfers during China’s peak period of urbanization, match commercial parcels with residential parcels, and find significant price discounts on commercial parcels relative to adjacent residential parcels. The observed discounts arise from the future tax flows from commercial use, i.e., expected taxes from developed commercial land reduce its transfer price. We conduct a structural estimation to examine the implications on land use structure of future taxes lowering land transfer prices. Results show that while prospective taxes increase commercial land supply, a significant portion of the favorable treatment impact is mitigated by market price responses, suggesting that the land market counters commercial land favoritism when local revenues include both business-related taxes and land value-based charges. The results have implications for the design of urban public revenue systems. |
| Keywords: | Fiscal incentives; Land transfer; Spatial matching; Land use |
| JEL: | O18 P48 R12 R31 R38 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:max:cprwps:262&r=ure |
| By: | Litvinova Anastasiya (Department of Economics, Lomonosov Moscow State University); Maloyan Mariam (Department of Economics, Lomonosov Moscow State University); Nicolaev Anton (Department of Economics, Lomonosov Moscow State University) |
| Abstract: | In this work, we present our point of view on the unification of schools in Moscow. We try to clarify why the association took place, what motives the Moscow Department of Education and the schools themselves could have, suggesting that their actions had a rational justification. At the same time, we assume that those schools that had greater bargaining power could choose how and with whom to unite. We also consider this from an educational point of view, using the example of the policy of enlargement of schools or monopolization, which was carried out during the 2010- 2019 in the city of Moscow. In the first stage of our research, we solve the problem of spatial monopoly. We model schools as producers of quality education and apply the L?schian model. As a result, we determine some parameters of the equilibrium of the system, such as the quality of education, access conditions, etc. At the second stage, an empirical analysis of the location of schools in the city space and the influence of their location on the popularity measured by the number of schoolchildren is carried out. We also investigate the impact of the availability of sections and the rating of the school on its attractiveness. |
| Keywords: | Moscow school, Leshian model, quality of education, access conditions, school rating |
| JEL: | I21 I28 D42 D47 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:upa:wpaper:0063&r=ure |
| By: | Qi Li; Xu Zhang |
| Abstract: | This paper investigates the differential impact of monetary policy on homeownership and housing returns among Black, Hispanic and White households. Using data on 13 million repeat sales from 1993 to 2020, we construct and analyze race-specific entries and exits of homeownership and housing returns for 140 metropolitan areas in the United States. Our findings reveal significant heterogeneity: for minority households, one unit of monetary tightening leads to a 15% lower housing return and a 31% lower entry into homeownership than White households. This heterogeneity primarily stems from the less favorable labor market responses of minority groups to contractionary monetary policy. These findings emphasize the unintended consequences of monetary policy on racial inequality in the housing market. |
| Keywords: | Monetary policy; Housing; Central bank research |
| JEL: | E52 E40 R00 |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:bca:bocawp:23-62&r=ure |
| By: | Asmae AQZZOUZ; Nathalie PICARD |
| Abstract: | This study examines the influence of local taxes on household migration behavior between French municipalities (“communes”). We group households into five tenure status categories and four categories of household head age. Our findings support Tiebout "voting with feet" theory, especially among young flat renters in the private sector and flat owners. A surprising result is related to the introduction of the municipality size in the regression which dramatically affects the coefficient measuring the effect of local tax rates on migration probability. This suggests that a large part of the “Tiebout effect” usually found in the literature is an artefact caused by the spurious correlation between municipality size and local tax rates. |
| Keywords: | Residential mobility, local taxes, local public expenditures, heterogeneity, local amenities, life cycle. |
| JEL: | H71 H72 R23 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:ulp:sbbeta:2023-43&r=ure |
| By: | Brunetti, Roberto; Gaigné, Carl; Moizeau, Fabien |
| Abstract: | This paper investigates the credit market impact on urban land rents and the tax policy implications. We introduce a borrowing cost and a down-payment requirement in the canonical urban land use model. We first show that both imperfections lower equilibrium land prices in the most attractive city locations. This downward effect is more likely to occur when land is scarce and cities are large and endowed with inefficient transport infrastructures. Only the down-payment requirement generates utility differentials among homogeneous households (symmetry-breaking). We further show that the Henry George Theorem, which posits that a confiscatory tax on land rents is sufficient to finance public goods, needs to be amended as aggregate land rents are lower than public expenditures. Depending on the nature of mortgage market imperfections, we derive optimal tax schedules. |
| Keywords: | Land Economics/Use, Public Economics |
| Date: | 2024–01–19 |
| URL: | http://d.repec.org/n?u=RePEc:ags:inrasl:339260&r=ure |
| By: | Geoff Boeing; Clemens Pilgram; Yougeng Lu |
| Abstract: | This study estimates the relationships between street network characteristics and transport-sector CO2 emissions across every urban area in the world and investigates whether they are the same across development levels and urban design paradigms. The prior literature has estimated relationships between street network design and transport emissions -- including greenhouse gases implicated in climate change -- primarily through case studies focusing on certain world regions or relatively small samples of cities, complicating generalizability and applicability for evidence-informed practice. Our worldwide study finds that straighter, more-connected, and less-overbuilt street networks are associated with lower transport emissions, all else equal. Importantly, these relationships vary across development levels and design paradigms -- yet most prior literature reports findings from urban areas that are outliers by global standards. Planners need a better empirical base for evidence-informed practice in under-studied regions, particularly the rapidly urbanizing Global South. |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2401.01411&r=ure |
| By: | Ziyang Chen; Maggie Rong Hu; Ginger Zhe Jin; Qiyao Zhou |
| Abstract: | This paper provides the first theory and evidence on the role of presale policies in the residential housing market. We start with constructing a novel dataset of unfinished projects, presale policies, and land auction outcomes across 270 major cities in China. We then identify 2, 330 unfinished residential projects from 2010 to 2017 on a citizen complaint website run by the central government. We find that both presale criterion and postsale supervision of construction costs relate to a lower probability of unfinished projects. But only presale criterion relates negatively to the pace of new housing development, measured by developers' multitasking and land auction outcomes. A back-of-the-envelope calculation suggests that the average bundle of presale policies is inferior to the Pareto frontier in our sampled cities. Tightening the regulation on postsale supervision by 2 standard deviations may lead to a 58% reduction in the occurrence of unfinished projects, while keeping the pace of new housing development unchanged. Eliminating unfinished projects would entail a drastic increase in both presale criterion and postsale supervision, with slower housing development. |
| JEL: | D22 D82 H7 K23 L52 L78 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32013&r=ure |
| By: | Stefano Colonnello (Ca’ Foscari University of Venice; Halle Institute for Economic Research); Mariela Dal Borgo (Banco de México, Directorate General of Financial Stability) |
| Abstract: | We provide evidence on the terms and performance of a mortgage co-financed between banks and a Mexican housing provident fund (HPF). Relative to traditional bank mortgages, we find that borrowers take out larger loans under the co-financing scheme to lower down payments rather than to acquire more expensive properties. Default risk is mitigated by enhancing borrowers' liquidity and the HPF's secure repayment system. We also find that co-financing reduces income disparities in access to home financing but not to good quality properties. Our findings are relevant for the design of products that raise leverage in settings with pervasive borrowing constraints. |
| Keywords: | Residential Mortgages, Co-Financing, Housing Provident Fund, Household Leverage, Default |
| JEL: | D04 D14 G21 G51 H81 O16 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:ven:wpaper:2024:01&r=ure |
| By: | Katharine G. Abraham; Mohammad Ashoori; Aref Darzi; Nathalie Gonzalez-Prieto; John C. Haltiwanger; Aliakbar Kabiri; Erkut Y. Ozbay |
| Abstract: | Using longitudinal data on the location of mobile devices, we provide new evidence on the evolution of onsite work (OSW) over the course of the pandemic and its aftermath. We start with a large sample of individuals who, based on their mobile device activity, had a job at which they worked onsite in February 2020. We track the evolution of these individuals’ onsite work activity over the following thirteen to fourteen months, observing them in May 2020, August 2020, November 2020 and March/April 2021. Consistent with other evidence, we find a dramatic decline in OSW in May 2020 followed by a substantial rebound by the spring of 2021, albeit to a lower level than in February 2020. We document considerable cross-state, cross-city and cross-county variation in OSW. We also find, however, that the tract-level variation in OSW within states, cities and even counties far exceeds the variation across larger geographic areas. Observable characteristics such as industry, occupation, education and income account for much of the variation in OSW across large geographic areas since the pandemic. These same variables account for much of the enormous cross-tract variation in OSW that remains after controlling for state or county, but more than half of the cross-tract variation is accounted for by residual factors. These findings imply considerable heterogeneity in how the pandemic has affected where the resident populations of U.S. neighborhoods spend their days, a finding that has significant implications for businesses, workers, and policymakers. |
| JEL: | J21 L23 R23 R40 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32042&r=ure |
| By: | David W. Berger; Konstantin Milbradt; Fabrice Tourre; Joseph S. Vavra |
| Abstract: | There are large cross-sectional differences in how often US borrowers refinance mortgages. In this paper, we develop an equilibrium mortgage pricing model with heterogeneous borrowers and use it to show that equilibrium forces imply important cross-subsidies from borrowers who rarely refinance to those who refinance often. Mortgage reforms can potentially reduce these regressive cross-subsidies, but the equilibrium effects of these reforms can also have important distributional consequences. For example, many policies that lead to more frequent refinancing also increase equilibrium mortgage rates and thus reduce residential mortgage credit access for a large number of borrowers. |
| JEL: | D53 E1 E44 G5 G51 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32022&r=ure |
| By: | TANAKA Ryuichi; WANG Tong |
| Abstract: | This paper studies the effect of class-size reduction on students’ academic outcomes with a special focus on its heterogeneity based on classmates’ characteristics. We estimate the causal effects of class-size reduction on students’ mathematics and language test scores, controlling student-teacher fixed effects and applying the predicted class size with a cap as an instrument for the actual class size. Using rich panel data on Japanese primary school students, we find that the average effect of class size reduction is positive and robust for math test scores and that classes with high-ability classmates benefit even more from class size reduction. We find that the effect of class size reduction depends positively on the ability of the student with the lowest rank in a class. In addition, we find that classes with a high share of female students benefit more from class size reduction. Our findings provide strong support for the theoretical framework of Lazear (2001). |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:eti:dpaper:24004&r=ure |
| By: | Arpita Ghosh (Department of Economics, University of Exeter); Brendon McConnell (Department of Economics, City University of London); Jaime Millán-Quijano (Navarra Center for International Development, Universidad de Navarra) |
| Abstract: | We study the housing market response to a country-wide policy that mandated the provision of energy efficiency information with all marketing material at the time of listing. Using the near universe of housing sales in England and Wales, we match in the energy efficiency status of the property from Energy Performance Certificates data. We develop a conceptual framework that makes clear the key channels through which the policy may impact house prices - an information-driven salience channel and a market valuation channel. We provide causal evidence of homebuyers' willingness to pay for a higher energy rated property, documenting a 1-3% premium to a higher energy efficiency rating at the national level, and a 3-6% premium in the London market. We explore a set of key margins along which homebuyers can respond, ruling out as explanations both a consumption channel and an information channel. We conclude that the elevated EPC-rating premiums are driven by a market valuation channel, a conclusion for which we provide empirical support. Such a conclusion is of key policy importance, as it suggests market-facing energy efficiency regulations can increase demand for more energy efficient housing, even in absence of any discernible demand-side consumption or information effects. |
| Keywords: | hedonic price models, energy performance certificates, real estate |
| JEL: | R38 Q48 K32 |
| Date: | 2024–01–16 |
| URL: | http://d.repec.org/n?u=RePEc:exe:wpaper:2402&r=ure |
| By: | Marco Di Cataldo (Department of Economics, Ca’ Foscari University of Venice; Department of Geography and Environment, London School of Economics); Elena Renzullo (Department of Economics, Ca’ Foscari University of Venice; Department of Geography and Environment, London School of Economics) |
| Abstract: | The EU Cohesion Policy, with its ability to influence the socio-economic trajectories of European regions and cities, also has the potential to shape the political preferences of citizens. While some evidence exists regarding the impact of EU funds on national electoral outcomes, their role for local elections remains largely unexplored, overlooking the inherently territorial nature of Cohesion Policy and the pivotal role played by local policymakers in its activation and implementation. This study leverages detailed administrative data on European development projects to investigate the impact of EU funds on the political support for local incumbent politicians in Italy. It studies the relationship between the inflow of European funds and the probability of re-election for Italian mayors, considering different project types that reflect the mayors’ ability to attract European funds. The results reveal that Cohesion Policy plays a critical role in shaping local voting behaviours. Larger and more visible projects significantly increase the chances of mayoral re election. Moreover, local contexts characterised by faster growth, where EU projects effectively improve municipal public services, witness the greatest electoral gains for incumbents. These results underscore the importance of the design, visibility, and effectiveness of local development projects in determining the political impact of EU redistributive policies. |
| Keywords: | EU Cohesion Policy, incumbent re-election, political preferences, redistribution, local voting behaviour |
| JEL: | D72 I38 H7 R58 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:ven:wpaper:2024:02&r=ure |
| By: | Kim, Minki (University of Mannheim); Lee, Munseob (University of California, San Diego) |
| Abstract: | Structural transformation and regional convergence in U.S. income have been long-standing trends. Caselli and Coleman (2001) discovered that 60% of regional convergence between the U.S. South and North from 1940 to 1990 is due to structural transformation. Our replication confirms these robust findings. Examining black and white populations separately, we find the magnitude of the regional income convergence was much larger for the black workers and structural transformation explains most regional income convergence for white workers but only 30% for black workers. Extending the analysis until 2020, we observe income convergence among black workers and divergence among white workers. Structural transformation's role in income convergence or divergence from 1990 to 2020 is negligible. |
| Keywords: | structural transformation, regional convergence, racial heterogeneity |
| JEL: | O1 R1 |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp16673&r=ure |
| By: | Karelin, Iliya; Kapelyuk, Sergey |
| Abstract: | Digital skills have become a key component of human capital, influencing employment, career growth, and access to public services. However, the expanding digital divide underscores the importance of estimating and explaining regional variations. This study aims to empirically analyze differences among Russian regions in the prevalence of digital skills among their residents. By identifying factors contributing to digital inequality, this research seeks to contribute to narrowing the digital gap and promoting equitable access to digital opportunities across regions. We conducted a review of theoretical explanations for regional differences in human capital. Utilizing correlation analysis, we empirically tested several theories using the microdata of the Survey on the use of information technologies and information and telecommunication networks conducted by Rosstat. The study revealed that regional disparities in the prevalence of digital skills are more prominent for advanced competencies. Basic skills are consistently high across the Russian labor force aged 15–74, demonstrating minimal regional variation due to the widespread adoption of digital technologies. In contrast, intermediate and advanced digital skills experience substantial regional disparities. The findings highlight the influential role of three factors – the share of the creative class in the region, labor market tightness, and the consumption of cultural goods – in contributing to regional variations in digital skills. Importantly, these factors overshadow traditional explanations such as living standards, urbanization, and age differences. As the digitization of Russia's labor market advances, understanding the regional differences in digital skills proficiency becomes crucial. This research demonstrates that regional variations in digital skills levels are influenced by the same factors that contribute to spatial differences in human capital. Recognizing these regional differences is essential for lowering the digital divide in the country. |
| Keywords: | digital skills; digital competencies; digital inequality; digital divide; Russian regions; regional differentiation; creative class; labor market tightness; cultural consumption |
| JEL: | J24 R23 |
| Date: | 2023–12–16 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:119494&r=ure |
| By: | Kosfeld, Reinhold; Mitze, Timo; Rode, Johannes; Wälde, Klaus |
| Abstract: | The paper studies the containment effects of public health measures to curb the spread of Covid‐19 during the first wave of the pandemic in spring 2020 in Germany. To identify the effects of six compound sets of public health measures, we employ a spatial difference‐in‐differences approach. We find that contact restrictions, mandatory wearing of face masks and closure of schools substantially contributed to flattening the infection curve. The significance of the impact of restaurant closure does not prove to be robust. No incremental effect is evidenced for closure of establishments and the shutdown of nonessential retail stores. |
| Date: | 2023–12–22 |
| URL: | http://d.repec.org/n?u=RePEc:dar:wpaper:142046&r=ure |
| By: | Alan Manning; Sandra McNally; Guglielmo Ventura |
| Abstract: | Firms have two ways to ensure access to a skilled workforce: they can train their employees to the required level of skill or they can hire workers who are already skilled. Training is costly and an increase in the availability of skilled workers may dissuade firms from providing it. In this paper we study the impact of a large increase in net migration to the UK on workers' participation in vocational training. We use administrative information on publicly-funded workplace training capturing provision of training in nationally-recognised sector-wide general skills. We consider variation in migration inflows across local labour markets using a shift-share IV approach to deal with migrants' endogenous sorting across regions or occupations. Our evidence suggests that higher migration intensity led to a reduction in training participation among workers. But effects are concentrated in types of training that are less valuable and among workers who are less likely to benefit from it (in terms of higher earnings). |
| Keywords: | migration, training |
| Date: | 2024–01–10 |
| URL: | http://d.repec.org/n?u=RePEc:cep:cverdp:040&r=ure |
| By: | Craig Johnston; Geneviève Vallée; Hossein Hosseini Jebeli; Brett Lindsay; Miguel Molico; Marie-Christine Tremblay; Aidan Witts |
| Abstract: | We assess the potential financial risks of current and projected flooding caused by extreme weather events in Canada. We focus on the residential real estate secured lending (RESL) portfolios of Canadian financial institutions (FIs) because RESL portfolios are an important component of FIs’ balance sheets and because the assets used to secure such loans are immobile and susceptible to climate-related extreme weather events. We build a loan-level dataset from the residential RESL portfolios of some federally and provincially regulated FIs. We use current and projected flood events under different climate scenarios to apply shocks to these portfolios. We then control for private flood insurance using data from a variety of property and casualty insurers based in Canada. We find that the direct damages of flooding have modest impacts on the FIs’ loss given default on their residential RESL portfolios. This is partly due to rising homeowner equity and the recent rapid increase in house prices across Canada. Nevertheless, some risk channels have emerged. Notably, the combined influence of high household leverage and lending in flood zones can exacerbate the risk that lenders face from extreme weather events. Our analysis also shows that other disaster-related risk channels may increase risk to lenders. These channels include climate change, price adjustment of the salvage value and time to settlement. However, this analysis has several limitations. Specifically, the lack of granular flood data may have led to an underestimation and smoothing of financial risks across households. As a result, the analysis potentially smoothed what could be more acute shocks to specific properties. |
| Keywords: | Climate change; Central bank research; Credit risk management; Econometric and statistical methods; Financial institutions; Financial stability |
| JEL: | C81 G21 Q54 |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:bca:bocadp:23-33&r=ure |
| By: | Christof Brandtner (EM - emlyon business school) |
| Abstract: | "Why do some cities adopt practices to resolve social and environmental problems more rapidly and extensively than others? Although diffusion studies emphasize administrative adoption by central authorities, a range of private and public organizations are involved in the distributed adoption of innovations. The author argues that variation in the adoption of urban innovations results from persistent differences in cities' organizational communities. An econometric analysis of the geographic dispersion of green construction practices and policies demonstrates that cities with greater civic capacity, where values-oriented organizations recognize and tackle social problems, see quicker and more extensive adoption. The effect is largest early in the diffusion process because nonprofits are themselves early adopters of green construction. Municipal policies later legitimate green building, but they follow prior individual organizations. The sequential framework of distributed and administrative adoption contributes to the understanding of the institutional determinants of responses to climate change, nonprofits as catalysts of urban innovation, and the consequences of urban governance on an intercity scale." |
| Keywords: | cities, climate change, institutional theory, diffusion, urban governance, civil society, nonprofit organizations, civic capacity, sociology |
| Date: | 2022–11–01 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-04325656&r=ure |
| By: | Cummins, Neil |
| Abstract: | We use the universe of probate and vital registers, from England between 1838 and 2018 to document the status of the Irish in England. We identify the ‘Irish’ in the records as those individuals with distinctively Irish surnames. From at least the mid-19th century to 2018, the Irish in England have persisted as an underclass, being on average 50% poorer than the English. Infant mortality was about 25% higher for the Irish between the 1830s and the mid-twentieth century but has subsequently equalized. Sorting, both to urban areas, and to the North of England, are important elements in the Irish experience. We discuss the potential roles of selective migration, social mobility, and discrimination in this, and signpost directions for future research. |
| Keywords: | inequality; economic history; big data |
| JEL: | N00 N33 N34 |
| Date: | 2024–01–05 |
| URL: | http://d.repec.org/n?u=RePEc:ehl:lserod:121184&r=ure |
| By: | KIKUCHI Shinnosuke; Daniel G. O'CONNOR |
| Abstract: | A few large firms dominate many local labor markets. This leaves workers vulnerable to firm-specific shocks. If one firm has a bad productivity shock in a small market, workers will be stuck with that unproductive employer, while in a large labor market, workers can move to another firm. Building on that insight, we present a model of local labor markets with a finite number of firms subject to idiosyncratic shocks. We show that there are increasing returns to scale which disappear as the number of firms goes to infinity. We also show that there can be under-entry of firms, especially in small markets. We then test the main mechanism in Japanese administrative data. We first confirm that payroll is less volatile in larger, less concentrated local labor markets. We also show that establishments with larger payroll shares respond less in adjusting employment to a demand shock. Finally, we propose a quantitative, granular model of economic geography with free entry of firms and costly mobility of workers across sectors and commuting zones that could be used to quantify our mechanisms and do counterfactuals. |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:eti:dpaper:24005&r=ure |
| By: | Francisco Estrada; Veronica Lupi; Wouter Botzen; Richard S. J. Tol |
| Abstract: | The social cost of carbon (SCC) serves as a concise gauge of climate change's economic impact, often reported at the global and country level. SCC values are disproportionately high for less-developed, populous countries. Assessing the contributions of urban and non-urban areas to the SCC can provide additional insights for climate policy. Cities are essential for defining global emissions, influencing warming levels and associated damages. High exposure and concurrent socioenvironmental problems exacerbate climate change risks in cities. Using a spatially explicit integrated assessment model, the SCC is estimated at USD$137-USD$579/tCO2, rising to USD$262-USD$1, 075/tCO2 when including urban heat island (UHI) warming. Urban SCC dominates, with both urban exposure and the UHI contributing significantly. A permanent 1% reduction of the UHI in urban areas yields net present benefits of USD$484-USD$1, 562 per urban dweller. Global cities have significant leverage and incentives for a swift transition to a low-carbon economy, and for reducing local warming. |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2401.00919&r=ure |
| By: | Berg, Tobias; Haselmann, Rainer; Kick, Thomas; Schreiber, Sebastian |
| Abstract: | We investigate how unconventional monetary policy, via central banks' purchases of corporate bonds, unfolds in credit-saturated markets. While this policy results in a loosening of credit market conditions as intended by policymakers, we report two unintended side effects. First, the policy impacts the allocation of credit among industries. Affected banks reallocate loans from investment-grade firms active on bond markets almost entirely to real estate asset managers. Other industries do not obtain more loans, particularly real estate developers and construction firms. We document an increase in real estate prices due to this policy, which fuels real estate overvaluation. Second, more loan write-offs arise from lending to these firms, and banks are not compensated for this risk by higher interest rates. We document a drop in bank profitability and, at the same time, a higher reliance on real estate collateral. Our findings suggest that central banks' quantitative easing has substantial adverse effects in credit-saturated economies. |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:imfswp:281063&r=ure |
| By: | Andersson, Tommy (Department of Economics, Lund University); Kessel, Dany (Department of Economics, Södertörn University); Lager, Nils (Department of Economics, Stockholm School of Economics); Olme, Elisabet (Svensk Utbildningsteknologi AB, Stockholm); Reese, Simon (Department of Economics, Lund University) |
| Abstract: | In a recent paper, Fack et al. (2019, American Economic Review) convincingly argue and theoretically demonstrate that there may be strong incentives for students to play non-truth-telling strategies when reporting preferences over schools, even when the celebrated deferred acceptance algorithm is employed. Their statistical test also rejects the (weak) truth-telling assumption in favour of another assumption, called stability, using a single data set on school choice in Paris. This paper uses Swedish school choice data and replicates their empirical finding in 52 of the 58 investigated data sets (P-value threshold 0.05). |
| Keywords: | school choice; deferred acceptance algorithm; truth-telling; stability; replication study |
| JEL: | D12 D82 I23 |
| Date: | 2024–01–17 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:lunewp:2024_001&r=ure |
| By: | TIMOFEI, Pașa |
| Abstract: | The need for counseling in school is an obvious one, because the student's activity can be marked by the appearance of certain problems, for the approach of which the experience, knowledge and guidance of a specialist are needed. |
| Keywords: | counseling, research, CES, integration, guidance |
| JEL: | I21 |
| Date: | 2023–02–02 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:119688&r=ure |
| By: | Asatryan, Zareh; Baskaran, Thushyanthan; Birkholz, Carlo; Hufschmidt, Patrick |
| Abstract: | In this paper, we study the extent to which ministers engage in regional favoritism. We are the first to provide a comprehensive analysis of a larger set of the governing elite, not just focusing on the primary leader. We hand-collect birthplaces of this governing elite globally. Combining this information with extended night-time luminosity and novel population data over the period from 1992 to 2016, we utilize a staggered difference-in-differences estimator and find that birthplaces of ministers globally emit on average roughly 7% more nightlight. We do not find evidence that this is driven by, or induces migration to their home regions. The size of our data set lets us investigate heterogeneities along a number of dimensions: political power, ministerial portfolio, and the institutional setting. |
| Keywords: | Favoritism, elite capture, spatiality, luminosity, population, democracy |
| JEL: | D72 H72 H77 R11 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:zewdip:280926&r=ure |
| By: | Paul Bingley; Lorenzo Cappellari; Marco Ovidi |
| Abstract: | We investigate the stages of childhood at which parental job loss is most consequential for their child’s education. Using Danish administrative data linking parents experiencing plant closures to their children, we compare end-of-school outcomes to matched peers and to closures hitting after school completion age. Parental job loss disproportionally reduces test taking, scores, and high school enrolment among children exposed during infancy (age 0-1). Effects are largest for low-income families and low-achieving children. The causal chain from job loss to education likely works through reduced family income. Maternal time investment partially offsets the effect of reduced income |
| Keywords: | Parental labor market shocks; Intergenerational mobility; Child development |
| JEL: | D10 J13 |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:irs:cepswp:2023-12&r=ure |
| By: | Claudia Macaluso |
| Abstract: | This paper quantifies how the local skill remoteness of a laid-off worker’s last job affects subsequent wages, employment, and mobility rates. Local skill remoteness captures the degree of dissimilarity between the skill profiles of the worker’s last job and all other jobs in a local labor market. I implement a measure of local skill remoteness at the occupation-city level and find that higher skill remoteness at layoff is associated with persistently lower earnings after layoff. Earnings differences between workers whose last job was above or below median skill remoteness amount to a loss of more than $10, 000 over 4 years, and are mainly accounted for by lower wages upon re-employment (not lower hours worked). Workers who lost a skill-remote job also have a higher probability of changing occupation, a lower probability of being re-employed at jobs with similar skill profiles, and a higher propensity to migrate to another city after layoff. Finally, I show that jobs destroyed in recessions are more skill-remote than those lost in booms. Taking all these facts together, I conclude that the local skill remoteness of jobs is an empirically relevant factor to understand the severity and cyclicality of displaced workers’ earnings losses and reallocation patterns. |
| Keywords: | mismatch, job loss, worker reallocation, occupational change, migration |
| JEL: | E24 J24 J63 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_10845&r=ure |
| By: | Idrees Khawaja (Pakistan Institute of Development Economics); Zehra Gardezi (Pakistan Institute of Development Economics); Mohammad Shaaf Najib (Pakistan Institute of Development Economics); Maryam Akhtar Khan (Pakistan Institute of Development Economics) |
| Abstract: | Free parking is a subsidy to car owners in the sense that motorists undervalue the cost of driving resulting in car use beyond the optimal level. This imposes several costs on society in the form of traffic congestion, urban sprawl, greater consumption of energy, and pollution. Evidence suggests that paid parking reduces car use, yet the policy response to more cars on the roads has been to increase the number of parking spaces – thus instead of demand management, the focus is on augmenting the supply. Parking spaces are developed on valuable urban land that has competing uses, hence there should be a limit on land that can be allocated to parking – pricing the parking land will determine the limit. |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:pid:rrepot:2023:4&r=ure |
| By: | Dodini, Samuel (Dept. of Economics, Norwegian School of Economics and Business Administration); Willén, Alexander (Dept. of Economics, Norwegian School of Economics and Business Administration); Zhu, Julia Li (Dept. of Economics, Norwegian School of Economics and Business Administration) |
| Abstract: | We examine if unions narrow or widen labor market gaps between natives and immigrants. We do so by combining rich Norwegian employer-employee matched register data with exogenous variation in union membership obtained through national government policies that differentially shifted the cost to workers to join a union. While union membership significantly improves the wages of natives, its positive effects diminish substantially for Western immigrants and disappear almost entirely for non-Western immigrants. The effect of unions on native wages, and the role of unions in augmenting the native-immigrant wage gap, is nonexistent in competitive labor markets while it is substantial in markets characterized by a high degree of labor concentration. This implies that unions act as a countervailing force to employer power in imperfect markets and can ameliorate the negative labor market effects of labor market concentration, but only for natives. Using unions as a means to empower workers and solve market failures caused by imperfect competition in the labor market, therefore, is likely to lead to a significant increase in societal inequality. |
| Keywords: | Unions; Migration; Inequality |
| JEL: | J10 J50 J60 |
| Date: | 2023–12–22 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:nhheco:2023_024&r=ure |
| By: | Heng Chen; Daneal O’Habib; Hongyu Xiao |
| Abstract: | This paper develops a travel-based metric to measure Canadians’ access to cash from automated banking machines (ABMs) and financial institution branches. Our findings indicate that the average distance Canadians need to travel to reach the nearest ABM is 2.0 km, while the average distance to the nearest branch is 4.5 km. Moreover, more than 90% of Canadians live within 5 km of an ABM, and 84% live within 5 km of a branch. The total number of ABMs in Canada increased by 3.7% between 2019 and 2022, and our results show that, overall, access to cash remained stable in that period. However, the total number of branches decreased by 5.2%. The decline in branch coverage is concentrated in rural areas at 7.2%. This may increase the challenge of accessing cash in these regions. Rural Canadians already have less access to cash: they need to drive an average distance of 4.0 km to the nearest ABM and 9.6 km to the nearest branch, each distance twice the national average. |
| Keywords: | Financial services; Regional economic developments |
| JEL: | G21 J15 R51 |
| Date: | 2023–11 |
| URL: | http://d.repec.org/n?u=RePEc:bca:bocadp:23-28&r=ure |
| By: | Patricia Cortés; Ying Feng; Nicolás Guida-Johnson; Jessica Pan |
| Abstract: | We examine the differential effects of automation on the labor market and educational outcomes of women relative to men over the past four decades. Although women were disproportionately employed in occupations with a high risk of automation in 1980, they were more likely to shift to high-skill, high-wage occupations than men in over time. We provide a causal link by exploiting variation in local labor market exposure to automation attributable to historical differences in local industry structure. For a given change in the exposure to automation across commuting zones, women were more likely than men to shift out of routine task-intensive occupations to high-skill, high wage occupations over the subsequent decade. The net effect is that initially routine-intensive local labor markets experienced greater occupational gender integration. College attainment among younger workers, particularly women, also rose significantly more in areas more exposed to automation. We propose a model of occupational choice with endogenous skill investments, where social skills and routine tasks are q-complements, and women have a comparative advantage in social skills, to explain the observed patterns. Supporting the model mechanisms, areas with greater exposure to automation experienced a greater movement of women into occupations with high social skill (and high cognitive) requirements than men. |
| JEL: | J16 J24 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32030&r=ure |
| By: | Carmen Marín-González; Diego Martínez-López |
| Abstract: | This paper focusses on the objectives guiding the fiscal policy of the Spanish regions over the period 2013-2022. Beyond the usual concerns of national governments for closing the output gap and guaranteeing debt sustainability, we have included an additional task at the subnational level, namely, the provision of public services such as health and education. The results indicate that, except for the year 2020, there is a strong policy preference for primary public spending, with a relative weight of between 40 and 60 per cent among the objectives driving fiscal policy. The preference for debt sustainability has ranged between 20 per cent (with the maximum value reached in 2013 and then again after the pandemic) and 0, depending on the model specification. And finally, the weight of stabilisation has been estimated, using previous contributions, at between 0.39 and 0.25. Additional results regarding variations across regions have been also obtained. |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:fda:fdaeee:eee2024-02&r=ure |
| By: | Aleksandra Kislenok; Mikhail Burik (Federal Autonomous Scientific Institution «Eastern State Planning Centre») |
| Abstract: | The article substantiates the relevance of studying the shock resistance of local territories. A methodology for assessing the resistance of municipalities to external shocks is proposed, which is based on an analysis of short-term resilience, assessment of deviations from forecast values and comparative analysis with average regional trends. The proposed approach was tested using the example of a study of the response of municipalities in the Kamchatka Territory to the shock associated with the spread of the coronavirus pandemic in 2020. |
| Keywords: | coronavirus pandemic, resilience of local territories, shock resistance, external shocks, municipalities in the Kamchatka Territory |
| JEL: | P25 R13 O11 O15 |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:aln:wpaper:350-00001-23/2&r=ure |
| By: | Katimertzopoulos, Fotios (Democritus University of Thrace, Department of Economics); Vlados, Charis (Democritus University of Thrace, Department of Economics); Koutroukis, Theodore (Democritus University of Thrace, Department of Economics) |
| Abstract: | The primary aim of this paper is to identify key similarities and differences in the conceptualization of culture across the major theories of regional socioeconomic science, including economic, business, administrative, social, cultural and political dimensions acting at the regional and local scales. The second goal is to present an overview of the knowledge base and third to cohesively examine and partially recreate the topic using the semi-systematic review method. The final objective of examining the aforementioned issues is to clarify the dynamic correlation in the structuring of business and innovation culture, as well as to identify the characteristics that contribute to the sustainable culture of business and regional innovation systems, including long-term sustainable development. The research shows that the coexistence and combination of innovative culture at the business and regional levels should be perceived as a dynamic and co-evolutionary process involving a variety of factors. Local organizations and institutes that foster entrepreneurship are among the elements that enhance the innovation culture; however, having all of the resources in isolation is insufficient for an efficient ecosystem. This study proposes the establishment of a framework that will enhance the growth of innovation, cultural evolution and regional ecosystem performance. The Institutes of Local Development and Innovation (ILDI) are a policy idea that might give effective micro–meso-level solutions for the region. These policy proposals will diagnose the regional business culture under the prism of strategy, technology, and management levels. The specific investigation attempted in this paper demonstrates that several converging fruitful paths have already been created in the relative international literature. These paths could be combined and deepened further by studying the close evolutionary interconnection between business and regional innovation culture as it emerges at a global scale in the present. |
| Keywords: | business culture; regional culture; innovation culture; regional development; regional innovation system; Stra.Tech.Man Innovation approach; Institutes of Local Development and Innovation (ILDI) |
| JEL: | M14 O18 P48 |
| Date: | 2023–12–27 |
| URL: | http://d.repec.org/n?u=RePEc:ris:duthrp:2023_004&r=ure |
| By: | KONDO Keisuke |
| Abstract: | This study empirically tests the hypothesis that neighboring exporters increase the probability of export market entry (extensive margin) and export values (intensive margin). As mentioned in the international trade literature, export initiation requires additional fixed entry costs, and therefore, a high productivity is required to earn a positive profit. If neighboring establishments are already exporting, the necessary information for initiating exports is available in those areas, thus lowering entry costs. Prior studies provide mixed evidence on local export spillovers and need further validation. Using panel data on Japanese manufacturing establishments, this study provides evidence regarding intra-industry local export spillover effects on the extensive and intensive margins of exports; however, evidence concerning inter-industry local export spillovers is limited. |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:eti:dpaper:23090&r=ure |
| By: | Camarero Garcia, Sebastian |
| Abstract: | Over the 2000s, many federal states in Germany shortened the duration of secondary school by one year while keeping the curriculum unchanged. The quasi-experimental variation arising from the staggered introduction of this reform allows me to identify the causal effect of increased learning intensity, the ratio of curricular content covered per year, on Inequality of Educational Opportunity (IEOp), the share in educational outcome variance explained by predetermined circumstances beyond a student's control. Findings show that higher learning intensity aggravated IEOp due to parental resources becoming more important through support opportunities like private tuition, adapting to an intensified educational process. The effect is stronger for mathematics/science than for reading, implying the existence of subject-dependent curricular flexibilities. My findings underscore the importance of accounting for distributional consequences when evaluating reforms aimed at increasing educational efficiency and point to the role of learning intensity for explaining changes in educational opportunities influencing social mobility. |
| Keywords: | compulsory education; educational efficiency; human capital; inequality of opportunity; school reform; social mobility |
| JEL: | D63 H75 I28 J24 J62 |
| Date: | 2022–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:ehl:lserod:113365&r=ure |
| By: | Razbegina Anastasiya (Department of Economics, Lomonosov Moscow State University); Mirzoyan Ashot (Department of Economics, Lomonosov Moscow State University) |
| Abstract: | In the context of universal digitalization and increasing competition between countries and regions in the struggle for resources and markets, innovation is becoming a critical factor in development. Regional innovation systems (RIS) play a key role in the creation and use of innovations, as they represent a complex network of participants in the innovation process, including educational organizations and research institutes, entrepreneurship, the state and other institutions. The purpose of the study is to evaluate the effectiveness of RICE and determine the factors influencing them. The study of the factors of RICE development is an urgent and important task, since it allows us to identify the main mechanisms that influence the success or failure of regions in the field of innovative development. In Russia, there is a significant regional inequality in terms of the level of innovation activity, which necessitates the analysis of the peculiarities of RICE development in different regions. Also, the development of effective strategies and policies for innovative development at the regional level requires a comprehensive study of regional specifics, strengths and weaknesses of RICE. To assess the effectiveness of RIS, a DEA model is used, as well as cluster analysis using k-means and k-medians (k-medoids), regression analysis (tobit). As a result, a rating of innovative development of Russian regions was compiled, and effective regions were identified (Moscow, Tatarstan, Moscow Region, Samara Region, Ivanovo Region, Mari El) and abnormal regions for which a special approach and a special innovation policy are needed to achieve the necessary level of innovative development. |
| Keywords: | innovations, regional innovation systems, regional development |
| JEL: | C67 O30 |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:upa:wpaper:0062&r=ure |
| By: | Provenzano, Sandro |
| Abstract: | This paper documents that in Sub-Saharan Africa areas isolated from the capital city are less economically developed and examines potential underlying mechanisms. We apply a boundary-discontinuity design using national borders that divide pre-colonial ethnic homelands to obtain quasi-experimental variation in distance to the national capital city. We find that a one percent increase in distance to the capital city causes a decrease in the probability of detecting nightlights by 0.12 times the average probability to be lit, or to a reduction in household wealth corresponding to 3.5 percentiles of the national wealth distribution. Our results suggest that a lower provision of public goods in isolated areas is a key link between remoteness and economic performance. Despite receiving worse services, people who are isolated exhibit a higher level of trust in their political leaders. Further, isolated citizens consume the news less frequently and penalize their leaders less for misgovernance. We interpret these findings as pointing towards dysfunctional accountability mechanisms that reduce the incentives of vote-maximizing state executives to invest into isolated areas. |
| Keywords: | accountability; boundary discontinuity; capital city; development; public goods; spatial inequality; Sub-Saharan Africa; PhD Studentship; Elsevier deal |
| JEL: | D72 H41 O10 O40 R12 |
| Date: | 2023–11–22 |
| URL: | http://d.repec.org/n?u=RePEc:ehl:lserod:120909&r=ure |
| By: | Többen, Johannes; Banning, Maximilian; Hembach-Stunden, Katharina; Stöver, Britta; Ulrich, Philip; Schwab, Thomas |
| Abstract: | The European Green Deal mandates a substantial transformation of the energy sector, responsible for more than 80 % of total greenhouse gas emissions. This study investigates the economic implica-tions of achieving climate neutrality in the European energy sector in light of the EU's core goal of economic cohesion, i.e. harmonious economic development across European regions. Employing a novel multi-regional input-output model, our analysis reveals how the renewable energy transition affects European regions. Under complete decarbonisation, changes in value added per capita range from -2, 450 Euro to +1, 570 Euro, and employment levels fluctuate between -2.1 % and +4.9 %. On average, most regions experience positive effects, characterised by an average increase in value added per capita of 10 Euro and a 0.3 % rise in employment in 2050. Overall, rural regions with sub-stantial renewable energy potential derive the greatest benefits, while urban regions heavily reliant on carbon-intensive industries are more likely to experience adverse effects. This dynamic fosters economic cohesion by providing opportunities for lagging regions to catch up, yet also poses fresh challenges to achieving this goal. Therefore, cohesion policy must expand its scope to counter the adverse effects as well as leveraging opportunities created by the renewable energy transition in all European regions. |
| Keywords: | energy, transition, cohesion, inequality, regions |
| JEL: | C67 O11 Q43 |
| Date: | 2023–12–05 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:119374&r=ure |
| By: | Giuseppe Cavaliere; Graziano Moramarco; Alireza Naghavi |
| Abstract: | This paper investigates the potential benefits of intellectual property rights (IPR) institutions for international production networks. Using unique data on manufacturer-supplier linkages in the automotive industry, we establish a positive empirical relationship between the productivity and efficiency of manufacturing firms and IPR protection in their suppliers’ locations. Notably, IPRs do not have the same impact on ownership networks, and protection of physical property rights does not generate any improvement in performance. We confirm that the results are not driven by other firm-level characteristics and address potential endogeneity concerns by employing a novel gravity-based IV approach, followed by a GMM analysis. |
| Keywords: | International production networks, Intellectual property rights, Ownership, Internalization, Automotive industry, Knowledge dissipation, Firm efficiency |
| JEL: | F21 F23 L14 L25 L62 O34 G32 |
| Date: | 2024–01–16 |
| URL: | http://d.repec.org/n?u=RePEc:csl:devewp:492&r=ure |
| By: | Juan S. Mora-Sanguinetti (Banque de France - Eurosystème and Banco de España - Eurosistema); Andrés Atienza-Maeso (Universidad Carlos III and Banco de España - Eurosistema) |
| Abstract: | The achievement of an environmentally sustainable growth model, the development of renewable energies or the adoption of energy efficiency measures are nowadays fundamental issues in economic analysis and are a substantial part of the public debate. However, while there may be an increased social awareness of these issues, a different question is at what pace these social concerns have been translated into regulation, fostering or hindering the development of new markets or “green” technologies. This paper proposes a rigorous empirical study identifying and quantifying, through text analysis, all regulations related to four different subject blocks associated with “green growth” (renewable energies, sustainable transportation, pollution and energy efficiency), issued by Spanish national or regional governments over the period 2000-2022. This research thus constructs a database in panel data format. Among other results, we identify 3, 482 regulations related to renewable energies, 783 regulations dealing with sustainable transportation, 108 on pollution management and 5, 116 related to the measurement (and management) of energy efficiency. The results show that regulation is diverse by subject matter, reflects significant regional diversity and has increased over time, especially in more recent years, after a certain standstill during the Great Recession. This database could help develop future research projects on the impacts of “green” regulation on certain economic or institutional variables (such as “green” innovation or environmental conflict). The paper concludes with a comparison of renewable energy regulation in France and Spain, also based on text analysis. Spain shows a higher and more disaggregated volume of regulation. |
| Keywords: | energy efficiency, renewable energies, sustainable transport, pollution, regulation, regulatory complexity, text mining |
| JEL: | K32 Q5 O13 O44 |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:bde:wpaper:2336&r=ure |
| By: | Dowds, Jonathan; Howerter, Sarah; Hines, Paul; Aultman-Hall, Lisa |
| Abstract: | This paper describes a model for developing highly resolved, time-of-day specific electric vehicle charging demand profiles from travel survey data. Since timing of vehicle charging is dependent on electric vehicle supply equipment (EVSE) availability, four EVSE scenarios are considered: 1) home only, 2) home and workplace only, 3) universal EVSE, and 4) a probabilistic scenario where EVSE availability varies by location. To illustrate the implications of differing demand profiles on power grid operation with high renewable generating capacity, the profiles are in a typical regional economic dispatch model. The results provide a valuable approach for understanding the interactions between vehicle electrification and renewable energy deployment while exploring an updated range of assumptions about EVSE availability and charging behaviors for New York and the six New England states. All scenarios result in increased peak demand and increased generation by non-renewable generating sources. This indicates that incentive mechanisms that influence charging decisions are necessary to attain lower emissions outcomes. View the NCST Project Webpage |
| Keywords: | Engineering, Social and Behavioral Sciences, Electric vehicle, electric dispatch model, vehicle charging, National Household Transportation Survey |
| Date: | 2024–01–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt9nv8z4kc&r=ure |
| By: | Avdeitchikova, Sofia (Lund University); Schwaag Serger, Sylvia (Lund University) |
| Abstract: | In recent years, countries, regions, municipalities and the EU Commission have introduced a significant number of innovation policy initiatives under the banner of ‘missions’, ‘societal challenges’, sustainability and ‘transformation’, or systemic change. In parallel, there has been a rapidly growing body of literature seeking to analyze or assess these real-world manifestations of attempts to pivot innovation policy towards environmental and societal challenges. The aim of this chapter is to provide a reflexive overview of state of the art of the knowledge on transformative innovation policy design and implementation. To contribute real-world, real-time learning for planned or ongoing policymaking, we also synthesize lessons and insights from recent policy initiatives in Sweden, Finland and the Netherlands, with the purpose of distilling them into policy-relevant observations. Based on these, we draw conclusions on what recent experiences from trying to design and implement transformative innovation policies in the respective national and institutional contexts tell us about the role of innovation policy, and implicitly, the role of the state, in driving transformation. |
| Keywords: | innovation policy; transformation; societal challenges; public policy |
| JEL: | H11 I28 O33 O38 |
| Date: | 2024–01–07 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:lucirc:2024_001&r=ure |
| By: | Jesse LaBelle; Inmaculada Martinez-Zarzoso; Ana Maria Santacreu; Yoto V. Yotov |
| Abstract: | We build a stylized model that captures the relationships between cross-border patenting, globalization, and development. Our theory delivers a gravity equation for cross-border patents. To test the model’s predictions, we compile a new dataset that tracks patents within and between countries and industries, for 1980-2019. The econometric analysis reveals a strong, positive impact of policy and globalization on cross-border patent flows, especially from North to South. A counterfactual welfare analysis suggests that the increase in patent flows from North to South has benefited both regions, with South gaining more than North post-2000, thus lowering real income inequality in the world. |
| Keywords: | cross-border patents, gravity, policy, globalization, development |
| JEL: | F63 O14 O33 O34 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_10850&r=ure |
| By: | Theodoros Chatzivasileiadis; Ignasi Cortes Arbues; Jochen Hinkel; Daniel Lincke; Richard S. J. Tol |
| Abstract: | This study investigates the long-term economic impact of sea-level rise (SLR) on coastal regions in Europe, focusing on Gross Domestic Product (GDP). Using a novel dataset covering regional SLR and economic growth from 1900 to 2020, we quantify the relationships between SLR and regional GDP per capita across 79 coastal EU & UK regions. Our results reveal that the current SLR has already negatively influenced GDP of coastal regions, leading to a cumulative 4.7% loss at 39 cm of SLR. Over the 120 year period studied, the actualised impact of SLR on the annual growth rate is between -0.02% and 0.04%. Extrapolating these findings to future climate and socio-economic scenarios, we show that in the absence of additional adaptation measures, GDP losses by 2100 could range between -6.3% and -20.8% under the most extreme SLR scenario (SSP5-RCP8.5 High-end Ice, or -4.0% to -14.1% in SSP5-RCP8.5 High Ice). This statistical analysis utilising a century-long dataset, provides an empirical foundation for designing region-specific climate adaptation strategies to mitigate economic damages caused by SLR. Our evidence supports the argument for strategically relocating assets and establishing coastal setback zones when it is economically preferable and socially agreeable, given that protection investments have an economic impact. |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2401.00535&r=ure |
| By: | Joonkyung Yoo |
| Abstract: | Given a player is guaranteed the same payoff for each delivery path in a single-cube delivery network, the player's best response is to randomly divide all goods and deliver them to all other nodes, and the best response satisfies the Kuhn-Tucker condition. The state of the delivery network is randomly complete. If congestion costs are introduced to the player's maximization problem in a multi-cubic delivery network, the congestion paradox arises where all coordinates become congested as long as the previous assumptions about payoffs are maintained. |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2401.00940&r=ure |
| By: | Eva Hromadkova; Ivana Kubicova; Branislav Saxa |
| Abstract: | We examine interest rate pass-through in the Czech Republic over the period of 2004-2022. We investigate the speed and completeness of the transmission of changes in reference market interest rates to lending rates on loans to non-financial companies and housing loans. The use of a rolling window approach enables us to examine changes in the pass-through over time. In the case of housing loans, the transmission of the 5-year interest rate swap rate to client rates is strong in the long term, although currently it is not complete. A 1 percentage point increase in the unemployment rate implies an approximately 0.2 percentage point increase in the risk premium for the interest rate on loans for house purchase. Our estimates for loans to non-financial companies confirm that changes in the 3M PRIBOR are passed on almost completely with minimal delay. A 1 percentage point reduction in the output gap implies an approximately 0.1 percentage point increase in the risk premium for the client interest rate on corporate loans. |
| Keywords: | ARDL model, credit premium, interest rate pass-through, rolling windows |
| JEL: | C2 E43 E52 |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:cnb:rpnrpn:2023/02&r=ure |
| By: | Luca Bellodi; Frederic Docquier; Stefano Iandolo; Massimo Morelli; Riccardo Turati |
| Abstract: | We study the effect of local exposure to populism on net population movements by citizenship status, gender, age and education level in the context of Italian municipalities. We present two research designs to estimate the causal effect of populist attitudes and politics. Initially, we use a combination of collective memory and trigger variables as an instrument for the variation in populist vote shares across national elections. Subsequently, we apply a regression discontinuity design to estimate the effect of electing a populist mayor on population movements. We establish three converging findings. First, the exposure to both populist attitudes and policies, as manifested by the vote share of populist parties in national election or the closeelection of a new populist mayor, reduces the attractiveness of municipalities, leading to larger population outflows. Second, the effect is particularly pronounced among young, female, and highly educated natives, who tend to relocate across Italian municipalities rather than internationally. Third, we do not find any effect on the foreign population. Our results highlight a foot-voting mechanism that may contribute to a political polarization in Italian municipalities. |
| Keywords: | Migration, Human Capital, Populism, Italian Politics |
| JEL: | D72 F22 F52 J61 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:baf:cbafwp:cbafwp24216&r=ure |
| By: | Carlos Esquivel Author-1-Name-First: Carlos Author-1-Name-Last: Esquivel (Rutgers University); Victor Almeida Author-2-Name-First: Victor Author-2-Name-Last: Almeida (Carleton College); Timothy Kehoe Author-3-Name-First: Timothy Author-3-Name-Last: Kehoe (University of Minnesota); Juan Pablo Nicolini Author-4-Name-First: Juan Pablo Author-4-Name-Last: Nicolini (Federal Reserve Bank of Minneapolis and Universidad Torcuato Di Tella) |
| Abstract: | We consider how size matters for banks in three size groups: small community banks with assets less than $1 billion, large community banks with assets between $1 billion and $10 billion, and midsize banks with assets between $10 billion and $50 billion. To illustrate the differences between these banks and larger banks whose business models are distinctly different, we examine large banks with assets between $50 billion and $250 billion and the largest banks with assets exceeding $250 billion. Community banks have potential advantages in relationship lending compared with large banks. However, increases in regulatory compliance and technological burdens may have disproportionately increased community banks’ costs, raising concerns about small businesses’ access to credit. Our evidence suggests several patterns: (1) while small community banks exhibit relatively more valuable investment opportunities, larger community banks, midsize banks, and larger banks exploit theirs more efficiently and achieve better financial performance; (2) average operating costs that include costs related to regulatory compliance and technology decrease with size; (3) unlike small community banks, large community banks have financial incentives to increase lending to small businesses; and (4) for business lending and commercial real estate lending, compared with small community banks, large community banks, midsize banks, and larger banks assume higher inherent credit risk and exhibit more efficient lending. Thus, concern that small business lending would be adversely affected if small community banks find it beneficial to increase their scale is not supported by our results. |
| Keywords: | Sovereign Default, Renegotiation, Interest Rate Shocks |
| JEL: | F34 F41 |
| Date: | 2024–11–12 |
| URL: | http://d.repec.org/n?u=RePEc:rut:rutres:202405&r=ure |
| By: | Libor Dušek; Christian Traxler |
| Abstract: | This paper studies how the swiftness and delay of punishment affect behavior. Using rich administrative data from automated speed cameras, we exploit two (quasi-)experimental sources of variation in the time between a speeding offense and the sending of a ticket. At the launch of the speed camera system, administrative challenges caused delays of up to three months. Later, we implemented a protocol that randomly assigned tickets to swift or delayed processing. We identify two different results. First, delays have a negative effect on payment compliance: the rate of timely paid fines diminishes by 7 to 9% when a ticket is sent with a delay of four or more weeks. We also find some evidence that very swift tickets – sent on the first or second day following the offense – increase timely payments. These results align with the predictions of expert scholars that we elicited in a survey. Second, speeding tickets cause a strong, immediate, and persistent decline in speeding. However, we do not detect any robust, differential effects of swiftness or delay on speeding. This challenges widely held beliefs, as reflected in our survey. Yet, we document large mechanical benefits of swift punishment and provide a theoretical framework of learning and updating that explains our findings. |
| Keywords: | Law enforcement, celerity of punishment, swiftness, specific deterrence, speeding, payment compliance, expert survey |
| JEL: | K14 K42 D80 |
| Date: | 2024–01–19 |
| URL: | http://d.repec.org/n?u=RePEc:bdp:dpaper:0032&r=ure |
| By: | Shinsuke KYOI (Research Institute for Humanity and Nature); Kengo IWATA (Kyoto Institute of Economic Research, Kyoto University); Yoshiaki USHIFUSA (Faculty of Economics, The University of Kitakyushu) |
| Abstract: | The purpose of this study is to investigate local citizens' recognition of offshore wind power and to evaluate their preferences for offshore wind turbines in four prefectures in Japan, namely, Akita, Chiba, Fukuoka, and Nagasaki, where is promoted areas of offshore wind power. Although the development of offshore wind power is an important measure for Japan to achieve a decarbonized society by 2050, local opposition is one of the main barriers to promoting offshore wind power. This study conducts an online survey and choice experiment with 2400 respondents from the four prefectures. The survey reveals that 55% of respondents agree with the promotion of offshore wind power. Those who opposes the offshore wind power concerns about the durability of turbines and future removal plans. Moreover, the mixed logit model shows that people prefer a greater distance from turbines, a larger number of turbines but not too many, and less impact on marine ecosystems. The model also shows the heterogeneous preferences among individuals and prefectures. Furthermore, the ordered logit model demonstrates that those who recognize the possible contributions of offshore wind turbines are likely to accept the development of offshore wind turbines while those who are concerned about the negative impact of turbines on the marine landscape and removal plans seem to oppose the turbines. The study highlights the importance of tailoring offshore wind farm strategies to local concerns to effectively build consensus among stakeholders. |
| Keywords: | Social acceptance; Offshore wind power; Preference heterogeneity; Choice experiment; Carbon neutral |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:kyo:wpaper:repec:kyo:wpaper:1101&r=ure |
| By: | Galindo, Arturo (Inter-American Development Bank); Tovar, Jorge (Universidad de los Andes) |
| Abstract: | There is a growing body of literature on the impact that COVID-19 has on workers' performance upon recovery. This paper explores that question using granular data from professional athletes. Using a difference-in-difference estimation strategy and estimating an n-dimensional performance index, we find that performance drops upon recovery during the first thirty days aer infection by 13, 4%. Exploiting the mountainous geography of Colombia, our results indicate that the main driver of such a drop is performing at high altitudes. |
| Keywords: | COVID-19; Football; Soccer; Workers Performance |
| JEL: | H12 I18 J21 J40 O54 Z20 |
| Date: | 2024–01–18 |
| URL: | http://d.repec.org/n?u=RePEc:col:000089:021007&r=ure |
| By: | Grossmann, Max; Hackethal, Andreas; Laudi, Marten; Pauls, Thomas |
| Abstract: | We conduct a field experiment with clients of a German universal bank to explore the impact of peer information on sustainable retail investments. Our results show that information about peers' inclination towards sustainable investing raises the amount allocated to stock funds labeled sustainable, when communicated during a buying decision. This effect is primarily driven by participants initially underestimating peers' propensity to invest sustainably. Further, treated individuals indicate an increased interest in additional information on sustainable investments, primarily on risk and return expectations. However, when analyzing account-level portfolio holding data over time, we detect no spillover effects of peer information on later sustainable investment decisions. |
| Keywords: | Household Finance, Sustainable Finance, Experimental Finance, Financial Advice |
| JEL: | D14 G11 C93 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:safewp:280963&r=ure |
| By: | Ihsaan Bassier; Joshua Budlender |
| Abstract: | We characterize the spending and factor income effects of a large public employment programme in South Africa. We match anonymized participant IDs with weekly individual-level sales data from one of the country’s largest retailers, and estimate the treatment effect on participant spending at the retailer. Our event studies show flat pretrends with a sharp increase in average spending of 15%. Effects are substantially higher for nonfood products that likely have higher income elasticities, and there are smaller positive effects of 4% that persist in the months after the end of the programme. We use administrative firm data, input-output tables and a survey of participant spending to extrapolate effects of the increase in retailer sales on domestic factor incomes, particularly highlighting effects on the national and local wagebill. Our estimates contribute to evidence that government spending programmes benefit non-programme employment and wages. |
| Keywords: | Afrique du Sud |
| JEL: | Q |
| Date: | 2024–01–08 |
| URL: | http://d.repec.org/n?u=RePEc:avg:wpaper:en16322&r=ure |
| By: | Alessandro V. M. Oliveira; Bruno F. Oliveira; Moises D. Vassallo |
| Abstract: | The service quality of a passenger transport operator can be measured through face-to-face surveys at the terminals or on board. However, the resulting responses may suffer from the influence of the intrinsic aspects of the respondent's personality and emotional context at the time of the interview. This study proposes a methodology to generate and select control variables for these latent psychosituational traits, thus mitigating the risk of omitted variable bias. We developed an econometric model of the determinants of passenger satisfaction in a survey conducted at the largest airport in Latin America, S\~ao Paulo GRU Airport. Our focus was on the role of flight delays in the perception of quality. The results of this study confirm the existence of a relationship between flight delays and the global satisfaction of passengers with airports. In addition, favorable evaluations regarding airports' food/beverage concessions and Wi-Fi services, but not their retail options, have a relevant moderating effect on that relationship. Furthermore, dissatisfaction arising from passengers' interaction with the airline can have negative spillover effects on their satisfaction with the airport. We also found evidence of blame-attribution behavior, in which only delays of internal origin, such as failures in flight management, are significant, indicating that passengers overlook weather-related flight delays. Finally, the results suggest that an empirical specification that does not consider the latent psychosituational traits of passengers produces a relevant overestimation of the absolute effect of flight delays on passenger satisfaction. |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2401.02139&r=ure |
| By: | Gerardo Sabater-Grande (LEE and Department of Economics, Universitat Jaume I, Castellón, Spain); Noemí Herranz-Zarzoso (Department of Economic Analysis, Universitat de València, Spain); Aurora García-Gallego (LEE & Economics Department, Universitat Jaume I, Castellón-Spain) |
| Abstract: | We analyze the effectiveness of monetary incentives and/or feedback in order to improve students’ calibration of academic performance. A randomized field experiment is implemented in which undergraduate students enrolled in a Microeconomics course are offered the possibility to judge their academic performance immediately before (prediction) and after (postdiction) completing each of the three exam-multiple choice tests of their continuous evaluation. Potential (actual) miscalibration in each test is calculated as the difference between the predicted (post-dicted) grade and the actual grade. The treatment variables are monetary incentives and individual feedback since they may potentially affect students’ judgment accuracy. Different treatments allow for the analysis of the effect of one of the variables alone or the joint effect of introducing the two variables. The main result is that potential and actual miscalibration are independent of the treatment variables. Our data analysis controls for confounding factors like students’ cognitive ability, academic record, risk attitudes and personality traits. Our data reflect that students’ potential miscalibration is significantly reduced in subsequent tests to the first, only in the treatment where individual feedback as well as monetary incentives are provided. |
| Keywords: | calibration of academic performance, monetary incentives, feedback, prediction, post-diction |
| JEL: | C93 D03 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:jau:wpaper:2024/01&r=ure |
| By: | Matteo Crosignani; Hanh Le |
| Abstract: | In the second quarter of 2022, the homeownership rate for white households was 75 percent, compared to 45 percent for Black households and 48 percent for Hispanic households. One reason for these differences, virtually unchanged in the last few decades, is uneven access to credit. Studies have documented that minorities are more likely to be denied credit, pay higher rates, be charged higher fees, and face longer turnaround times compared to similar non-minority borrowers. In this post, which is based on a related Staff Report, we show that banks vary substantially in their lending to minorities, and we document an overlooked factor in this difference—the inequality aversion of banks’ stakeholders. |
| Keywords: | inflation; inflation expectations; markups; market power; euro area; supply chain; inequality |
| JEL: | G21 D63 |
| Date: | 2024–01–10 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fednls:97557&r=ure |
| By: | Eva M. Berger (Federal Ministry of Labour and Social Affairs); Ernst Fehr (University of Zurich); Henning Hermes (ifo Institute Munich); Daniel Schunk (Johannes Gutenberg University); Kirsten Winkel (University of Koblenz) |
| Abstract: | Working memory capacity is a key component of executive functioning and is thought to play an important role for a wide range of cognitive and noncognitive skills such as fluid intelligence, math, reading, the inhibition of pre-potent impulses or more general self-regulation abilities. Because these abilities substantially affect individuals’ life trajectories in terms of health, education, and earnings, the question of whether working memory (WM) training can improve them is of considerable importance. However, whether WM training leads to spillover effects on these other skills is contested. Here, we examine the causal impact of WM training embedded in regular school teaching by a randomized educational intervention involving a sample of 6–7 years old first graders. We find substantial immediate and lasting gains in working memory capacity. In addition, we document positive spillover effects on geometry, Raven’s fluid IQ measure, and the ability to inhibit pre-potent impulses. Moreover, these spillover effects emerge over time and only become fully visible after 12–13 months. Finally, we document that three years after the intervention the children who received training have a roughly 16 percentage points higher probability of entering the academic track in secondary school. |
| Date: | 2024–01–11 |
| URL: | http://d.repec.org/n?u=RePEc:jgu:wpaper:2402&r=ure |
| By: | Cano Christiny, María Verónica; Martínez Pizarro, Jorge |
| Abstract: | This document presents the results of five studies on the contribution of migration to sustainable development in a selection of Latin American and Caribbean countries (Chile, Costa Rica, Jamaica, Mexico and Peru), within the framework of a project under the twelfth tranche United Nations Development Account entitled “Harnessing the contribution of international migration to sustainable development in Latin American and Caribbean countries”, implemented by ECLAC between 2020 and 2023. Evidence from economic, demographic and cultural studies is compared using quantitative and qualitative methodologies. An analysis is provided with regard to the dissemination of the studies in national workshops, which were delivered using an expository and participatory methodology to encourage relevant actors and decision makers to engage in discussions that would be useful for designing public policies based on evidence and the protection of rights. Lastly, the document includes a list of proposed indicators on the contributions of migration to development, as well as reflections and recommendations to guide and facilitate the work of policymakers on migration. |
| Date: | 2023–12–08 |
| URL: | http://d.repec.org/n?u=RePEc:ecr:col022:68726&r=ure |