Estimating the effects of nuclear power facilities on local income levels: A quasi-experimental approach
AbstractThis paper studies how the establishment of Nuclear Power Facilities (NPF) in the 1970s and 1980s has affected local per capita income levels in NPF-located municipalities in Japan by using the synthetic control method (SCM). Eight quantitative case studies using the SCM clarify that the effects of NPF establishment on per capita taxable income levels are highly heterogeneous, but often economically meaningful and in some cases huge: an 11 % increase on average, a 62 % increase in Rokkasho village in 2002 and a 30 % increase in Tomioka town in 2002. On the other hand, a few NPF-located municipalities receive weak or negligible effects from NPF establishment. I also examine the statistical significance of individual treatment effects with several placebo tests and find that the treatment effects of 4 out of the 8 NPF locations are larger than 95% of placebo effects.
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Bibliographic InfoPaper provided by Uppsala University, Department of Economics in its series Working Paper Series with number 2013:3.
Length: 44 pages
Date of creation: 27 Jan 2013
Date of revision:
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More information through EDIRC
local economic growth; nuclear power facilities; synthetic control method;
Find related papers by JEL classification:
- H71 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Taxation, Subsidies, and Revenue
- O18 - Economic Development, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
- R53 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Public Facility Location Analysis; Public Investment and Capital Stock
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-03-09 (All new papers)
- NEP-PBE-2013-03-09 (Public Economics)
- NEP-URE-2013-03-09 (Urban & Real Estate Economics)
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