Economics Commons^™

Public Actors In Private Markets: Toward A Developmental Finance State, Robert Hockett, Saule Omarova

Saule T. Omarova

The recent financial crisis brought into sharp relief fundamental questions about the social function and purpose of the financial system, including its relation to the “real” economy. This Article argues that, to answer these questions, we must recapture a distinctively American view of the proper relations among state, financial market, and development. This programmatic vision – captured in what we call a “developmental finance state” – is based on three key propositions: (1) that economic and social development is not an “end-state” but a continuing national policy priority; (2) that the modalities of finance are the most potent means of …

Roads And Resources: Groundwater Depletion In Lankao Country In The North China Plains, Ujjayant N. Chakravorty, Xiangzheng Deng, Yazhen Gong, Martino Pelli, Zhang Qian

Ujjayant Chakravorty

China produces most of its food grains in the North China Plains. However, there is evidence that groundwater aquifers in this region are being overexploited. We use a unique GIS-referenced dataset of the depth of the water table for all the 12,000 odd tube wells in Lankao county. We find that the construction of new highways has led to a depletion of the water table in wells close to the highways. This relationship is robust to a variety of controls, including distance to river and primary canals, village and township fixed effects, the date of drilling of the well and …

Does The Quality Of Electricity Matter? Evidence From Rural India, Ujjayant Chakravorty, Martino Pelli, Beyza Ural Marchand

Ujjayant Chakravorty

This paper estimates the returns to household income due to improved access to electricity in rural India. We examine the effect of connecting a household to the grid and of the quality of electricity, defined as hours of daily supply. The analysis is based on two rounds of a representative panel of more than 10,000 households. We use the district-level density of transmission cables as instrument for the electrification status of the household. We find that a grid connection increases non-agricultural incomes of rural households by about 9 percent during the study period (1994-2005). However, a grid connection and a …

The Economics Of Horizontal Government Cooperation (Working Paper), Matthew R. Dalsanto Ph.D.

Matthew R. DalSanto, Ph.D.

This paper analyzes the ability of intrastate and interstate cooperative agreements to either minimize or capitalize on interjurisdictional externalities. These agreements are commonly referred to as compacts or joint powers agreements (intrastate compacts). The compact mechanism allows regional governments to enter into contractual agreements with one another to coordinate policy choices and to engage in cooperative endeavors. Given the inter-jurisdictional nature of the issues that affect horizontally situated governments, this mechanism is a powerful tool to achieve welfare-enhancing outcomes for citizens.

A review of the legal case law surrounding compacts is conducted to analyze the legal properties from an economic …

Infrastructure For Economic Growth And Development: The Financing Gap, Michael Regan

Michael Regan

Extract: Infrastructure is one of the most important tools for accelerating economic development in developing and transition economies. However, the benefits are not always uniform across nations; the results vary significantly between industries, and improved social returns from additional investment have more to do with the procurement method and operational efficiencies than the amount of money that is employed. This article provides a review of the role that infrastructure plays in strengthening economic development and poverty reduction and reducing trade costs to support improved regional cooperation and integration in Commonwealth countries.

Critical Foundations: Providing Australia’S 21st Century Infrastructure, Michael Regan

Michael Regan

Extract:

Infrastructure is undoubtedly the least understood of the major asset classes in Australia. A tradition of public ownership and operation, its status as a public good and a lack of information about its investment characteristics in both public and private hands has contributed to limited recognition of its role in national and regional economies. However, this situation is changing. A coincidence of political, economic and financial events in the lead up to the worldwide economic recession of the late 1980s and Australia's microeconomic reforms of the 1990s b[r]ought into sharper focus the central role that infrastructure plays in both …