Do rent-seeking and interregional transfers contribute to urban primacy in sub-Saharan Africa?

We develop an economic geography model where mobile skilled workers choose to either work in a production sector or to become part of an unproductive elite. The elite sets income tax rates to maximize its own welfare by extracting rents, thereby influencing the spatial structure of the economy and changing the available range of consumption goods. We show that either unskilled labor mobility, or rent-seeking behavior, or both, are likely to favor the occurence of agglomeration and of urban primacy. In equilibrium, the elite may tax the unskilled workers but does not tax the skilled workers, and there are rural-urban transfers towards the agglomeration. The size of the elite and the magnitude of the tax burden that falls on the unskilled decrease with product differentiation and with the expenditure share for manufacturing goods. All these results are broadly in line with observed patterns of urban primacy and economic development in sub-Saharan African countries.economic geography; rent-seeking; interregional transfers; urban primacy; Sub-Saharan Africa.

Understanding the origins and pace of Africa’s urban transition

In this paper the author argues that urbanisation should be understood as a global historical process driven primarily by population dynamics stimulated by technological and institutional change. In particular, disease control and expanded access to surplus energy supplies are necessary and sufficient conditions for urbanisation to occur given historical evidence of an inherent human propensity to agglomerate. Economic development, which has traditionally been viewed as the primary driving force behind urbanisation, can accelerate the process but is not a necessary condition for it to occur. Informed by this historically-grounded theory of urbanisation, a range of qualitative and quantitative evidence is used to explain the stylised facts of sub-Saharan Africa's urban transition, namely the late onset of urbanisation in Africa vis-a-vis other major world regions, the widely noted but inadequately explained phenomenon of 'urbanisation without growth' observed in Africa in the 1980s and 1990s, and the historically unprecedented rates of urban population growth seen in the region throughout the late twentieth century

Settlement Patterns and the Geographic Mobility of Recent Migrants to New Zealand

Twenty-three percent of New Zealand's population is foreign-born and forty percent of migrants have arrived in the past ten years. Newly arriving migrants tend to settle in spatially concentrated areas and this is especially true in New Zealand. This paper uses census data to examine the characteristics of local areas that attract new migrants and gauges the extent to which migrants are choosing to settle where there are the best labour market opportunities as opposed to where there are already established migrant networks. We estimate McFadden's choice models to examine both the initial location choice made by new migrants and the internal mobility of this cohort of migrants five years later. This allows us to examine whether the factors that affect settlement decision change as migrants spend more time in New Zealand.Immigration, Settlement, Mobility, New Zealand

Geography and Development in Africa: Overview and Implications for Regional Cooperation

Geography causes African countries to experience a ?proximity gap?. To overcome this gap a ?big push? may be needed in infrastructure. The cross-border nature of such infrastructure requires regional cooperation in at least four issues: transport infrastructure, trade facilitation, decentralization and local economic development, and migration. Because incentives for regional cooperation in these aspects may not be symmetrical, commitments made may not be credible. Therefore, transport infrastructure at least should be bound in WTO rules on trade facilitation to provide third party enforcement. Incentives for cooperation could also be improved with transport corridor design and collective peer pressure by landlocked countries. Regional cooperation could be supported by the international community with aid, the assurance of full implementation and adherence to international law on the rights of landlocked countries to access to the sea, the extension of appropriate trade preferences to African regions and ensuring consistency of international agreements and trade preferences with current regional integration initiatives.Africa, poverty gaps, proximity, geographical economics, infrastructure, regional cooperation

Fiscal competition in developing countries : a survey of the theoretical and empirical literature

The last two decades have witnessed a sharp increase in foreign direct investment (FDI) flows and increased competition among developing countries to attract FDI, resulting in higher investment incentives offered by host governments and removal of restrictions on operations of foreign firms in their countries. Fiscal competition between governments can take the form of business tax rebates, productivity-enhancing public infrastructure or investment incentives such as tax holidays, accelerated depreciation allowances or loss carry-forward for income tax purposes. It can take place between governments of different countries or between local governments within the same country. This paper surveys the recent theoretical and empirical economic literature on decentralization which attempts to answer three questions. First, does theoretical literature on fiscal competition and"bidding races"contribute to a better understanding of such phenomenon in developing countries? Second, are FDI inflows in developing countries sensitive to fiscal incentives and is there empirical evidence of strategic behavior from the part of developing countries in order to attract FDI? Third, what evidence is there about fiscal competition among local governments in developing countries?Subnational Economic Development,Debt Markets,Taxation&Subsidies,Emerging Markets,Public Sector Economics

The impact of immigration on geographic mobility of New Zealanders

This paper uses data from the New Zealand Census to examine how the supply of recent migrants in particular skill groups affects the geographic mobility of the New Zealand-born and earlier migrants. We identify the impact of recent migration on mobility using the ‘area-analysis’ approach, which exploits the fact that immigration is spatially concentrated, and thus a change in the local supply of migrants in a particular skill group should have an impact on the mobility of similarly skilled nonmigrants in that local labour market. Overall, our results provide little support for the hypothesis that migrant inflows displace either the NZ-born or earlier migrants with similar skills in the areas that new migrants are settling. If anything, they suggest that there are positive spillovers between recent migrants and other individuals that encourage individuals to move to or remain in the areas in which similarly skilled migrants are settling. Thus, it appears unlikely that internal mobility moderates any potential impacts of immigration on labour or housing markets in New Zealand

Big-data-driven modeling unveils country-wide drivers of endemic schistosomiasis

Schistosomiasis is a parasitic infection that is widespread in sub-Saharan Africa, where it represents a major health problem. We study the drivers of its geographical distribution in Senegal via a spatially explicit network model accounting for epidemiological dynamics driven by local socioeconomic and environmental conditions, and human mobility. The model is parameterized by tapping several available geodatabases and a large dataset of mobile phone traces. It reliably reproduces the observed spatial patterns of regional schistosomiasis prevalence throughout the country, provided that spatial heterogeneity and human mobility are suitably accounted for. Specifically, a fine-grained description of the socioeconomic and environmental heterogeneities involved in local disease transmission is crucial to capturing the spatial variability of disease prevalence, while the inclusion of human mobility significantly improves the explanatory power of the model. Concerning human movement, we find that moderate mobility may reduce disease prevalence, whereas either high or low mobility may result in increased prevalence of infection. The effects of control strategies based on exposure and contamination reduction via improved access to safe water or educational campaigns are also analyzed. To our knowledge, this represents the first application of an integrative schistosomiasis transmission model at a whole-country scale

Desertification

IPCC SPECIAL REPORT ON CLIMATE CHANGE AND LAND (SRCCL) Chapter 3: Climate Change and Land: An IPCC special report on climate change, desertification, land degradation, sustainable land management, food security, and greenhouse gas fluxes in terrestrial ecosystem

Growth Econometrics

This paper provides a survey and synthesis of econometric tools that have been employed to study economic growth. While these tools range across a variety of statistical methods, they are united in the common goals of first, identifying interesting contemporaneous patterns in growth data and second, drawing inferences on long-run economic outcomes from cross-section and temporal variation in growth. We describe the main stylized facts that have motivated the development of growth econometrics, the major statistical tools that have been employed to provide structural explanations for these facts, and the primary statistical issues that arise in the study of growth data. An important aspect of the survey is attention to the limits that exist in drawing conclusions from growth data, limits that reflect model uncertainty and the general weakness of available data relative to the sorts of questions for which they are employed.