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Journal Article
This peer-reviewed research is available free of charge. UNU-WIDER believes that research is a global public good and supports Open Access.
– Do urban agglomeration economies matter?
The effects of a rural roads programme depend on labour mobility, how the programme is financed, and agglomera-tion economies. If financed by a rural poll tax and cross-price effects and agglomeration economies are sufficiently small, the wage will rise, with some return migration. Taxes on trade...
Working Paper
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– Benefits for town and country?
Do urban agglomeration economies enhance the social profitability of rural roads? When all goods are traded at parametric world prices, lower transport costs benefit villagers. Urban activities and welfare are unaffected if labour is immobile, but their levels fall when rural workers move freely to...
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