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This paper uses a quasi-experimental study of a major bridge construction in Bangladesh to understand the effects of a large reduction in trade costs on the pattern of structural change and agricultural productivity. The paper develops a spatial general equilibrium model with a core and two hinterlands at the opposite sides separated by rivers, and allows for productivity gains through agglomeration in the agriculture and manufacturing sectors. The model yields insights different from the standard core-periphery and trade models: (i) the newly connected hinterland may experience higher population density and agricultural productivity despite significant de-industrialization; (ii) even with increased specialization in agriculture, the share of agricultural employment may decline when interregional trade requires local services (such as processing and trading); and (iii) the strongest effects on employment structure are felt not necessarily in the areas next to the bridge but in the areas that move out of autarky as a result of the bridge. The empirical estimation uses doubly robust estimators in a difference-in-difference design where the comparison hinterland comes from a region which was supposed to be connected to the core (capital city) by the proposed, but not yet constructed, Padma bridge. In the short run, there is significant labor reallocation from agriculture to services in the connected hinterland, but no perceptible effects on the employment share of manufacturing, population density, and night-lights. In the long run, the labor share of manufacturing declines in the treatment hinterland and increases in the core. However, there are significant positive effects on population density, night light luminosity, and agricultural yields in the treatment hinterland which contradict backwash effects of the bridge. The effects of the bridge on intersectoral labor allocation are spatially heterogeneous, with relatively weak effects in the areas close to the bridge.
Agricultural Productivity --- Agriculture --- Bridge --- Core-Periphery --- Density --- Rural Development --- Transport --- Transport in Urban Areas --- Urban Development
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Like in many large cities in developing countries, traffic in Grand Casablanca, Morocco, is congested and public buses are crowded. These conditions are alleviated by a combination of supply-side infrastructure expansions, such as more buses and new road capacity, and demand-side pricing instruments, such as parking and fuel taxes. Using an empirical urban transportation mode choice model for Casablanca, this study finds a mix of these expansion policies and pricing instruments to alleviate congestion and maximize aggregate social welfare. The optimal mix is sensitive to the marginal costs of the infrastructure expansions. If the city were to spread out in its periphery where land constraints do not exist and land is available at lower prices, a supply-side instrument, particularly the optimal expansion of roads, would be far more effective in achieving welfare gains than the use of optimal pricing instruments without new roads. By contrast, if the city were to densify in already built-up areas, land and other physical constraints and the high price of land may leave expensive "elevated roads" as the only option. In this case, demand-side instruments together with the elevated roads would equally contribute to reduce traffic congestion and in-bus crowding.
Buses --- Infrastructure Investment --- Roads --- Roads Capacity --- Roadways --- Traffic Congestion --- Transport --- Transport in Urban Areas --- Urban Development --- Urban Transport
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This paper provides empirical evidence on the impact of institutional fragmentation and metropolitan coordination on urban productivity in Latin American cities. The use of night-time lights satellite imagery and high-resolution population data allow the use of a broader definition of metropolitan area. Thus, metropolitan area consists of the urban extent that results from the union between the formally defined metropolitan area and the contiguous patches of urbanized areas with more that 500,000 inhabitants. The initial results suggest that the presence of multiple local governments within metropolitan areas generates opposite effects on urban productivity. On the one hand, smaller governments tend to be more responsive and efficient, which increases productivity. But, on the other hand, multiple local governments face coordination costs that reduce productivity.
Economic growth --- Economic theory and research --- Hydrology --- Industrial economics --- Industry --- Institutional fragmentation --- Macroeconomics and economic growth --- Metropolitan coordination --- Productivity --- Railways transport --- Transport in urban areas --- Water resources
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This paper draws lessons from an original randomized experiment in Malawi. In order to understand why roads in relatively good condition in rural areas may not be used by buses, a minibus service was subsidized over a six-month period over a distance of 20 kilometers to serve five villages. Using randomly allocated prices for use of the bus, this experiment demonstrates that at very low prices, bus usage is high. Bus usage decreases rapidly with increased prices. However, based on the results on take-up and minibus provider surveys, the experiment demonstrates that at any price, low (with high usage) or high (with low usage), a bus service provider never breaks even on this road. This can contribute to explain why walking or cycling is so widespread on most rural roads in Sub-Saharan Africa. In terms of policy implications, this experiment explains that motorized services need to be subsidized; otherwise a road in good condition will most probably not lead to provision of service at an affordable price for the local population.
Markets and Market Access --- Randomized --- Roads --- Rural --- Rural Development --- Rural Roads & Transport --- Transport Economics Policy & Planning --- Transport in Urban Areas --- Transport policy --- Transport services --- Urban Transport --- Malawi
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There is increasing recognition that women experience mobility differently from men. A growing body of literature documents the differences in men and women's mobility patterns. However, there is limited evidence on the evolution of these mobility patterns over time and the role that transportation networks play in women's access to economic opportunities. This study attempts to fill these gaps. It contributes to the literature in two ways. First, it documents the differences in men and women's mobility patterns in Mumbai, India, and the changes in these patterns over time, as the city has developed. Second, it explores whether the lack of access to mass transit limits women's labor force participation. The study analyzes two household surveys conducted in the Greater Mumbai Region in 2004 and 2019. It finds important differences in the mobility patterns of men and women that reflect differences in the division of labor within the household. These differences in mobility patterns, and their evolution over time, point to an implicit "pink tax" on female mobility. Transport appears to be only one of many barriers to women's labor force participation and not the most important one.
Access to Transport --- Employment and Unemployment --- Female Employment --- Female Labor Force Participation --- Gender --- Gender and Development --- Gender and Transport --- Gender Barriers --- Inequality --- Labor Markets --- Pink Tax --- Poverty Reduction --- Public Transit --- Transport --- Transport in Urban Areas --- Transport Mobility
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This paper investigates the effect of carbon or gasoline taxes on commuting-related CO2 emissions in an urban context. To assess the impact of public transport on the efficiency of the tax, the paper investigates two exogenous scenarios using a dynamic urban model (NEDUM-2D) calibrated for the urban area of Paris: (i) a scenario with the current dense public transport infrastructure, and (ii) a scenario without. It is shown that the price elasticity of CO2 emissions is twice as high in the short run if public transport options exist. Reducing commuting-related emissions thus requires lower (and more acceptable) tax levels in the presence of dense public transportation. If the goal of a carbon or gasoline tax is to change behaviors and reduce energy consumption and CO2 emissions (not to raise revenues), then there is an incentive to increase the price elasticity through complementary policies such as public transport development. The emission elasticity also depends on the baseline scenario and is larger when population growth and income growth are high. In the longer run, elasticities are higher and similar in the scenarios with and without public transport, because of larger urban reconfiguration in the latter scenario. These results are policy relevant, especially for fast-growing cities in developing countries. Even for cities where emission reductions are not a priority today, there is an option value attached to a dense public transport network, since it makes it possible to reduce emissions at a lower cost in the future.
Carbon Taxes --- Climate Change Economics --- Climate Change Mitigation and Green House Gases --- Environment --- Land Use-Transport Model --- Macroeconomics and Economic Growth --- Spatial Lock-In --- Transport --- Transport and Environment --- Transport Economics Policy and Planning --- Transport Infrastructure --- Urban Development --- Urban Form --- Urban Transport in Urban Areas
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