By Ravi Kanbur, Anthony J. Venables
ISBN-10: 0199278636
ISBN-13: 9780199278633
What precisely is spatial inequality? Why does it subject? And what could be the coverage reaction to it? those questions became very important in recent times because the spatial dimensions of inequality have all started to draw enormous coverage curiosity. In China, Russia, India, Mexico, and South Africa, in addition to such a lot different constructing and transition economies, spatial and nearby inequality - of financial job, earning, and social symptoms - is at the increase.
Spatial inequality is a measurement of total inequality, however it has further value whilst spatial and nearby divisions align with political and ethnic tensions to undermine social and political balance. additionally very important within the coverage debate is a perceived experience that expanding inner spatial inequality is expounded to bigger openness of economies, and to globalization in general.
Despite those very important matters, there's remarkably little systematic documentation of what has occurred to spatial and nearby inequality over the past two decades. Correspondingly, there's inadequate figuring out of the determinants of inner spatial inequality.
This quantity makes an attempt to respond to the questions posed above, drawing on facts from twenty-five international locations from all areas of the realm. they bring about jointly views and services in improvement economics and in fiscal geography and shape a well-researched creation to a space of growing to be analytical and coverage importance.
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Extra info for Spatial Inequality and Development (UNU-WIDER Studies in Development Economics)
Sample text
Evidence has slowly begun to accumulate on the magnitude of the agglomeration externalities that create these disparities. The chapters by Davis and Weinstein and by Ravallion in this volume are an important contribution to this literature, and highlight the importance of agglomeration effects and location externalities. How has spatial inequality been evolving over the past two decades? If the evidence presented in this volume is anything to go by, it has been on the increase. Its relationship to greater openness in trade and investment is investigated by Rodríguez-Pose and Sánchez-Reaza for Mexico and by Lin for China.
But if the ultimate object is overall interpersonal inequality, then we are led to (iii), the percentage of Spatial Inequality and Development 9 total interpersonal inequality ‘accounted for’ by (ii). As shown in this volume, taking (iii) as the concept of spatial inequality leads empirically to the conclusion that spatial inequality accounts for, at most, one-third of total interpersonal inequality. Most of the variation with individuals is within spatial units, not across them, even for quite fine disaggregations, as shown by Elbers et al.
The recent theoretical literature has suggested the importance of location and agglomeration externalities as key determinants of spatial concentration of economic activity and income. The empirical literature has lagged behind the theoretical developments, and the two studies in this section are attempts to identify and quantify these factors in the data. The chapter by Davis and Weinstein investigates the effect of region size on regional productivity, allowing for possible spillover effects across neighbouring regions, and other more standard explanatory factors.