Politics, Information and the Urban Bias
AbstractGovernments in many developing countries skew public resources towards urban sectors, despite a majority of citizens residing in rural areas. This paper develops a novel political argument for this urban bias phenomenon in a framework where all voters, rural and urban, have equal voice, but di?er in their access to information. We argue that this di?erence is su?cient to give governments an incentive to ine?ciently overallocate resources towards urban areas. The bias is shown to worsen during adverse economic times, leading to increased migration. We also examine how voter informativeness a?ects e?ciency of the electoral process in weeding out incompetent governments.
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Bibliographic InfoPaper provided by Department of Economics, Tufts University in its series Discussion Papers Series, Department of Economics, Tufts University with number 0409.
Date of creation: 2004
Date of revision:
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Urban Bias; Information; Heterogeneous Electorate; Migration.;
Other versions of this item:
- O18 - Economic Development, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
- H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
- D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
- R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
This paper has been announced in the following NEP Reports:
- NEP-ALL-2004-02-29 (All new papers)
- NEP-GEO-2004-02-29 (Economic Geography)
- NEP-PBE-2004-02-29 (Public Economics)
- NEP-POL-2004-02-29 (Positive Political Economics)
- NEP-URE-2004-02-29 (Urban & Real Estate Economics)
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