Arbeitspapier

Agglomeration, pollution, and migration: A substantial link, and policy design

We study a developing countries setting in which agglomeration efficiency of urban production attracts rural-to-urban migration, whereas urban pollution deters rural-to-urban migration. By means of a general equilibrium model we study the formation of policies aimed at striking a socially optimal balance between supporting efficient levels of urban agglomeration and mitigating urban pollution in the presence of endogenous rural-to-urban migration. We show that without government intervention, although rural-to-urban migration contributes to agglomeration economies, it does not improve social welfare because it also exacerbates environmental degradation. We also show that urban pollution problems cannot be resolved by means of environmental regulation alone: for example, an emissions tax aimed at curbing urban pollution can backfire as and when it increases the appeal of rural-to-urban migration. A policy of emissions tax in conjunction with a subsidy to rural individuals is an effective means of enhancing urban productivity while reducing urban pollution.

Sprache
Englisch

Erschienen in
Series: ZEF Discussion Papers on Development Policy ; No. 321

Klassifikation
Wirtschaft
Taxation and Subsidies: Externalities; Redistributive Effects; Environmental Taxes and Subsidies
Geographic Labor Mobility; Immigrant Workers
Economic Development: Human Resources; Human Development; Income Distribution; Migration
Urban, Rural, Regional, Real Estate, and Transportation Economics: Regional Migration; Regional Labor Markets; Population; Neighborhood Characteristics
Thema
Rural-to-urban migration
Industrial emissions
Polluting urban agglomeration
Environmental regulation
Policy formation

Ereignis
Geistige Schöpfung
(wer)
Stark, Oded
Pang, Yu
Fan, Simon Chengze
Ereignis
Veröffentlichung
(wer)
University of Bonn, Center for Development Research (ZEF)
(wo)
Bonn
(wann)
2022

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Stark, Oded
  • Pang, Yu
  • Fan, Simon Chengze
  • University of Bonn, Center for Development Research (ZEF)

Entstanden

  • 2022

Ähnliche Objekte (12)