scholarly journals The Persistent Effects of Place-Based Policy: Evidence from the West-German Zonenrandgebiet

2018 ◽  
Vol 10 (4) ◽  
pp. 344-374 ◽  
Author(s):  
Maximilian v. Ehrlich ◽  
Tobias Seidel

Using a natural experiment, we show that temporary place-based subsidies generate persistent effects on economic density. The spatial regression discontinuity design controls for continuous local agglomeration externalities, so we attribute an important role to capital formation in explaining persistent spatial patterns of economic activity. This persistence is driven by higher local public investment levels, which local governments could maintain after the end of the program because of a persistently higher tax base. We also find evidence for significant local relocation of economic activity, which raises doubts that the net effect of the policy is positive. Finally, we show that transfers have capitalized in land rents such that pretreatment landowners have benefited from the program. (JEL H71, H76, O18, R11, R12, R51, R58)

2019 ◽  
Vol 34 (Supplement_1) ◽  
pp. S52-S57
Author(s):  
Katrina Kosec ◽  
Tewodaj Mogues

Abstract This paper examines the impacts of devolving authority for public resource allocation to local governments in a setting of limited electoral control. Such a setting differs from that assumed by seminal formal models of devolution, but describes many developing countries. This study presents a formal model of this setting and tests it using unique data from a natural experiment in rural Ethiopia whereby half of the country's regions were decentralized but not the other half. Employing a spatial regression discontinuity design, this article shows that decentralization strongly improved delivery of agricultural public services, which are of high priority to the central government. In contrast, it did not impact drinking water services, on which the central government places lower priority but citizens place high priority.


2021 ◽  
pp. 103530462098360
Author(s):  
Fiona Jenkins ◽  
Julie Smith

In the COVID-19 pandemic, people’s dwellings suddenly became a predominant site of economic activity. We argue that, predictably, policy-makers and employers took the home for granted as a background support of economic life. Acting as if home is a cost-less resource that is free for appropriation in an emergency, ignoring how home functions as a site of gendered relations of care and labour, and assuming home is a largely harmonious site, all shaped the invisibility of the imposition. Taking employee flexibility for granted and presenting work-from-home as a privilege offered by generous employers assumed rapid adaptation. As Australia emerges from lockdown, ‘building back better’ to meet future shocks entails better supporting adaptive capabilities of workers in the care economy, and of homes that have likewise played an unacknowledged role as buffer and shelter for the economy. Investing in infrastructure capable of providing a more equitable basis for future resilience is urgent to reap the benefits that work-from-home offers. This article points to the need for rethinking public investment and infrastructure priorities for economic recovery and reconstruction in the light of a gender perspective on COVID-19 ‘lockdown’ experience. JEL Codes: E01, E22, J24


2021 ◽  
Vol 1 (1) ◽  
pp. 21-30
Author(s):  
Marta Sundari ◽  
Pardomuan Robinson Sihombing

Cocoa is one of the plantation commodities that has an important role in Indonesia's economic activity and is one of Indonesia's export commodities which is quite important as a source of foreign exchange and oil and gas. Sulawesi Island is one of the cocoa-producing islands in Indonesia. This study aims to determine a spatial regression model between the average cocoa productivity per month with the average drinking temperature per month, the average monthly rainfall and the average length of sunshine per month and the climatic factors that affect cocoa productivity in Sulawesi. The best model estimation uses the AIC value; the best model has the smallest AIC value. In this study, the SARMA spatial regression model is the best model with the specified criteria.


2017 ◽  
Vol 23 (6) ◽  
pp. 903-918
Author(s):  
Anna Krakowiak-Bal ◽  
Urszula Ziemianczyk ◽  
Andrzej Wozniak

Purpose The purpose of this paper is to verify the development of economic activities in rural areas in terms of their public infrastructural equipment. Design/methodology/approach As a case study, the Polish rural areas were selected. A two-stage survey was conducted in 2015. The first stage involved entrepreneurs from rural areas. The second stage of survey was data collection for rural areas regarding economic activity and infrastructural equipment. In total, 121 objects (communes) were selected. The multicriteria analytic hierarchy process (AHP) method was used for the analysis. Findings The results demonstrate that for each kind of business, communication accessibility is the most important criterion. By contrast, environmental awareness and concern for the environment is the least important element for pursuit of the economic activity in rural areas. Research limitations/implications Limitations are connected mainly with the applied AHP method. The number of the comparable elements at the same hierarchy level is limited due to practical purposes. In addition, an assumption of full comparability of elements (criteria and alternatives) in the hierarchy model can be discussed. Furthermore, data quality and availability limit the scope of the empirical work. This study is a major simplification of reality modeling, but it gives practical benefits by simplifying the decision support procedure. Practical implications The findings of this paper contribute to the advancing theory of local development, with public infrastructure being one of its basic elements (factor of production). This paper explores the importance of physical infrastructure for different economic activities, and thus offers theoretical insights in two areas. First, this paper indicates the uneven weight of each infrastructure element for the various business sectors. Second, based on the collected data, this study also contributes to the literature, by using the AHP method to explore the relationships between infrastructural equipment and economic activity in rural areas. As the practical implication for local and regional development policies, this study indicates, that the most important criterion for each kind of economic activity is communication accessibility. This kind of public investment should be undertaken primarily to support entrepreneurship, especially in rural areas. Originality/value The uniqueness of the method lies in assumption about the uneven weights of infrastructure elements and therefore their impact on the process of ranking the objects (rural areas). The weight of individual infrastructure elements will vary depending on the kind of economic activity; therefore, the way of ordering will also be different for each economic activity.


2021 ◽  
Vol 26 (4) ◽  
pp. 121-138
Author(s):  
Zbigniew Ofiarski

Abstract In an effort to limit the effects of the COVID-19 epidemic determined by restrictions in economic activity and various areas of social activity, the catalogue of preventive actions was expanded by tax and legal instruments in the form of income tax reliefs inclining taxpayers to certain behaviours. The reliefs entitle taxpayers to deduct the value of donations made for the purposes of counteracting COVID-19 from the tax base. Two types of such donations have been distinguished, i.e., donations for entities participating in the treatment of infected persons and donations for educational institutions providing remote education. The aim of this article is to establish the premises justifying the claim that the tax reliefs for donations made by income tax payers are autonomous in relation to other tax preferences available to taxpayers making donations for other socially useful purposes. The hypothesis about the ad hoc and temporary nature of these tax reliefs has been verified as true, and the dominance of the motivating and stimulating function over their fiscal function has been demonstrated. Symmetrical solutions have been identified in the legal structure of the subject tax reliefs, as the donor uses a deduction from the tax base, while the recipient does not include the accepted donation in their income. The study uses the legal-dogmatic method and, in addition, the empirical analytical method to present the jurisprudence of courts in the field of applying tax reliefs due to donations made by income tax payers.


Author(s):  
Alcides Huamaní Peralta

<p>Se pretende explicar y analizar las implicancias que ha tenido la inversión pública de los gobiernos locales y el gobierno regional en el Departamento de Puno sobre el desarrollo socioeconómico; en los últimos años<a href="file:///C:/Users/FORTUNATO/Desktop/aptos%20ria%2018n3/8-%20INVERSI%C3%92N%20P%C3%99BLICA%20alcides%20huamani%20peralta.doc#_msocom_1">]</a> , la gestión pública es cuestionado principalmente porque éstas no han mostrado mejoras significativas en el desarrollo socioeconómico a pesar del incremento de recursos. Se ha considerado información anual del 2007 al 2014, referida a gobiernos subnacionales; para el primer objetivo se ha realizado la caracterización de gobiernos locales y gobierno regional; para el segundo objetivo, se analiza las implicancias que tiene la inversión pública sobre el desarrollo socioeconómico, mediante un modelo econométrico. Se ha caracterizado a la gestión de los gobiernos locales y el gobierno regional, encontrando problemas en la ejecución de inversiones, como la falta de calidad en proyectos de inversión, hechos de corrupción, limitadas capacidades de autoridades y funcionarios, y problemas de transparencia y procesos participativos; se ha evidenciado que las inversiones públicas tienen efectos muy limitados o marginales sobre el desarrollo socioeconómico en nuestro departamento, esto se infiere de los resultados del modelo econométrico aplicado. Conforme a la evidencia empírica, los gobiernos subnacionales no han generado mejoras significativas en las condiciones de vida de la población y condiciones favorables para el sector privado.</p><p> </p><p> </p><p> </p><p><strong> </strong></p><p align="center"><strong>ABSTRACT.</strong></p><p><strong> </strong></p><p>We  try to explain and analyze the implications that had the public investment of local governments and the regional government in the Department of Puno about the socio-economic development; in recent years, was questioned mainly because they have not shown significant improvements in the socio-economic development despite the increase of resources. It has been considered annual information from 2007 to 2014, referring about sub-national governments; for the first objective it has been taken characterization of local government and regional government; for the second objective, it has been analized the implications that has the public investment on the socio-economic development, using an econometric model. It has been characterized the management local governments and regional government, finding problems in the execution of investments, such as the lack of quality in investment projects, acts of corruption, limited capacities of authorities and civil servants, and problems of transparency and participatory processes;  this shows that public investments have very limited or marginal effects on the socio-economic development in our department, this is the conclussion  from the results of the applied econometric model. According to the empiric evidence, sub-national governments have not generated significant improvements in population’s  living conditions and favourable conditions for the private sector.</p><p> </p><p> </p><p>Key words: public management, private investment, standard of living.<strong></strong></p><p> </p><p> </p><p> </p><p> </p>


2017 ◽  
Vol 9 (3) ◽  
pp. 364-371 ◽  
Author(s):  
Shigehiro Oishi ◽  
Florian Kohlbacher ◽  
Hyewon Choi

Does a major natural disaster change life satisfaction? This study is a rare natural experiment, in which roughly half of the respondents completed the survey before and the other half completed it after the Great East Japan Earthquake of March 11, 2011. A series of regression discontinuity design analyses showed that those who completed the survey after the earthquake reported being less satisfied with their lives than those who happened to complete the survey before the earthquake. There were no discontinuity on demographic variables and other consumer attitudes. The main findings remained virtually unchanged when we controlled for Big Five personality traits and demographic variables. Together, the current findings suggest that the experience of a major natural disaster changes their life satisfaction at least in the short run.


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