IDEAS home Printed from https://ideas.repec.org/p/cra/wpaper/2021-22.html
   My bibliography  Save this paper

Coastal Proximity and Individual Living Standards: Econometric Evidence from Geo-Referenced Household Surveys

Author

Listed:
  • Frederik Wild
  • David Stadelmann

Abstract

We investigate geo-referenced household-level data consisting of up to 206,896 individuals living in 21,826 localities across 28 sub-Saharan African countries over 20 years. We analyse the relevance of coastal proximity as a predictor of individual economic living standards. Our setting allows us to account for country-time fixed effects as well as individual-specific controls such as age, gender, and most importantly, urbanity. Results reveal that individuals living further away from the coast are more disadvantaged than individuals living in coastal regions along an array of welfare indicators. The findings are robust to the inclusion of other geographic covariates of development such as climate (e.g. temperature, precipitation), elevation or terrain ruggedness. We also explore mechanisms through which coastal proximity may influence individual welfare and decompose the estimated effect of coastal proximity via formal mediation analysis. Our results highlight the role of human capital as well as infrastructural endowments in reconciling the large intra-national disparities in individual economic welfare.

Suggested Citation

  • Frederik Wild & David Stadelmann, 2021. "Coastal Proximity and Individual Living Standards: Econometric Evidence from Geo-Referenced Household Surveys," CREMA Working Paper Series 2021-22, Center for Research in Economics, Management and the Arts (CREMA).
  • Handle: RePEc:cra:wpaper:2021-22
    as

    Download full text from publisher

    File URL: https://www.crema-research.ch/papers/2021-22.pdf
    File Function: Full Text
    Download Restriction: no

    File URL: https://www.crema-research.ch/abstracts/2021-22.htm
    File Function: Abstract
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Mesbah Motamed & Raymond Florax & William Masters, 2014. "Agriculture, transportation and the timing of urbanization: Global analysis at the grid cell level," Journal of Economic Growth, Springer, vol. 19(3), pages 339-368, September.
    2. Nathan Nunn & Diego Puga, 2012. "Ruggedness: The Blessing of Bad Geography in Africa," The Review of Economics and Statistics, MIT Press, vol. 94(1), pages 20-36, February.
    3. Elias Papaioannou, 2014. "National Institutions and Subnational Development in Africa," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 129(1), pages 151-213.
    4. Dave Donaldson, 2018. "Railroads of the Raj: Estimating the Impact of Transportation Infrastructure," American Economic Review, American Economic Association, vol. 108(4-5), pages 899-934, April.
    5. Daron Acemoglu & Simon Johnson & James A. Robinson, 2001. "The Colonial Origins of Comparative Development: An Empirical Investigation," American Economic Review, American Economic Association, vol. 91(5), pages 1369-1401, December.
    6. Dani Rodrik & Arvind Subramanian & Francesco Trebbi, 2004. "Institutions Rule: The Primacy of Institutions Over Geography and Integration in Economic Development," Journal of Economic Growth, Springer, vol. 9(2), pages 131-165, June.
    7. J Vernon Henderson & Tim Squires & Adam Storeygard & David Weil, 2018. "The Global Distribution of Economic Activity: Nature, History, and the Role of Trade1," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 133(1), pages 357-406.
    8. Rémi Jedwab & Adam Storeygard, 2022. "The Average and Heterogeneous Effects of Transportation Investments: Evidence from Sub-Saharan Africa 1960–2010," Journal of the European Economic Association, European Economic Association, vol. 20(1), pages 1-38.
    9. Jetter, Michael & Mösle, Saskia & Stadelmann, David, 2019. "Cursed by no coast: How regional landlockedness affects income within countries," Economics Letters, Elsevier, vol. 181(C), pages 70-73.
    10. Nicola Gennaioli & Rafael La Porta & Florencio Lopez-de-Silanes & Andrei Shleifer, 2013. "Human Capital and Regional Development," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 128(1), pages 105-164.
    11. Mitton, Todd, 2016. "The wealth of subnations: Geography, institutions, and within-country development," Journal of Development Economics, Elsevier, vol. 118(C), pages 88-111.
    12. Adam Storeygard, 2016. "Farther on down the Road: Transport Costs, Trade and Urban Growth in Sub-Saharan Africa," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 83(3), pages 1263-1295.
    13. Fabrizio Carmignani, 2015. "The Curse of Being Landlocked: Institutions Rather than Trade," The World Economy, Wiley Blackwell, vol. 38(10), pages 1594-1617, October.
    14. Redding, Stephen & Venables, Anthony J., 2004. "Economic geography and international inequality," Journal of International Economics, Elsevier, vol. 62(1), pages 53-82, January.
    15. Gollin, Douglas & Lagakos, David & Kirchberger, Martina, 2017. "In Search of a Spatial Equilibrium in the Developing World," CEPR Discussion Papers 12114, C.E.P.R. Discussion Papers.
    16. Chauvin, Juan Pablo & Glaeser, Edward & Ma, Yueran & Tobio, Kristina, 2017. "What is different about urbanization in rich and poor countries? Cities in Brazil, China, India and the United States," Journal of Urban Economics, Elsevier, vol. 98(C), pages 17-49.
    17. James Feyrer, 2019. "Trade and Income—Exploiting Time Series in Geography," American Economic Journal: Applied Economics, American Economic Association, vol. 11(4), pages 1-35, October.
    18. Emmanuel Skoufias & Roy S. Katayama, 2011. "Sources of welfare disparities between and within regions of Brazil: evidence from the 2002--2003 household budget survey (POF)," Journal of Economic Geography, Oxford University Press, vol. 11(5), pages 897-918, September.
    19. Maren Radeny & Erwin Bulte, 2012. "Determinants of Rural Income: The Role of Geography and Institutions in Kenya," Journal of African Economies, Centre for the Study of African Economies, vol. 21(2), pages 307-341, March.
    20. Flückiger, Matthias & Ludwig, Markus, 2018. "Geography, human capital and urbanization: A regional analysis," Economics Letters, Elsevier, vol. 168(C), pages 10-14.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Frederik Wild & David Stadelmann, 2022. "Coastal proximity and individual living standards: Econometric evidence from georeferenced household surveys in sub‐Saharan Africa," Review of Development Economics, Wiley Blackwell, vol. 26(4), pages 1883-1901, November.
    2. Lessmann, Christian & Seidel, André, 2017. "Regional inequality, convergence, and its determinants – A view from outer space," European Economic Review, Elsevier, vol. 92(C), pages 110-132.
    3. Richard Bluhm & Axel Dreher & Andreas Fuchs & Bradley C. Parks & Austin M. Strange & Michael J. Tierney, 2020. "Connective Financing - Chinese Infrastructure Projects and the Diffusion of Economic Activity in Developing Countries," CESifo Working Paper Series 8344, CESifo.
    4. Christian Düben & Melanie Krause, 2021. "Population, light, and the size distribution of cities," Journal of Regional Science, Wiley Blackwell, vol. 61(1), pages 189-211, January.
    5. Rémi Jedwab & Adam Storeygard, 2022. "The Average and Heterogeneous Effects of Transportation Investments: Evidence from Sub-Saharan Africa 1960–2010," Journal of the European Economic Association, European Economic Association, vol. 20(1), pages 1-38.
    6. Matthias Flückiger & Markus Ludwig, 2019. "Transport infrastructure, growth and persistence: The rise and demise of the Sui Canal," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 52(2), pages 624-666, May.
    7. Flückiger, Matthias & Ludwig, Markus, 2020. "Malaria suitability, urbanization and subnational development in sub-Saharan Africa," Journal of Urban Economics, Elsevier, vol. 120(C).
    8. Gregor Pfeifer & Fabian Wahl & Martyna Marczak, 2018. "Illuminating the World Cup effect: Night lights evidence from South Africa," Journal of Regional Science, Wiley Blackwell, vol. 58(5), pages 887-920, November.
    9. Rok Spruk & Mitja Kovac, 2019. "Transaction costs and economic growth under common legal system: State‐level evidence from Mexico," Economics and Politics, Wiley Blackwell, vol. 31(2), pages 240-292, July.
    10. Bensch, Gunther & Gotz, Gunnar & Peters, Jörg, 2020. "Effects of rural electrification on employment: A comment on Dinkelman (2011)," Ruhr Economic Papers 840, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    11. Borsky, Stefan & Kalkschmied, Katja, 2019. "Corruption in space: A closer look at the world's subnations," European Journal of Political Economy, Elsevier, vol. 59(C), pages 400-422.
    12. Jan David Bakker & Stephan Maurer & Jörn-Steffen Pischke & Ferdinand Rauch, 2021. "Of Mice and Merchants: Connectedness and the Location of Economic Activity in the Iron Age," The Review of Economics and Statistics, MIT Press, vol. 103(4), pages 652-665, October.
    13. Baragwanath, Kathryn & Goldblatt, Ran & Hanson, Gordon & Khandelwal, Amit K., 2021. "Detecting urban markets with satellite imagery: An application to India," Journal of Urban Economics, Elsevier, vol. 125(C).
    14. Remi Jedwab & Adam Storeygard, 2019. "Economic and Political Factors in Infrastructure Investment: Evidence from Railroads and Roads in Africa 1960–2015," Economic History of Developing Regions, Taylor & Francis Journals, vol. 34(2), pages 156-208, May.
    15. William W. Olney, 2022. "Intra-African trade," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 158(1), pages 25-51, February.
    16. Ferdinand Rauch & Stephan Maurer & Jörn-Steffen Pischke, 2018. "Of Mice and Merchants: Trade and Growth in the Iron Age," Economics Series Working Papers 854, University of Oxford, Department of Economics.
    17. Delgadillo Chavarria, Carlos Bruno, 2019. "El Efecto de la Mediterraneidad sobre el Flujo Comercial Internacional: Evidencia Empírica Internacional y para América del Sur (1990-2016) [The Effect of Landlocked Country Status on International," MPRA Paper 96294, University Library of Munich, Germany, revised 10 Sep 2019.
    18. Ryan H. Murphy, 2021. "Plausibly exogenous causes of economic freedom," Journal of Bioeconomics, Springer, vol. 23(1), pages 85-105, April.
    19. Hamang, Jonas, 2024. "Economic development and known natural resource endowment: Discovery rate differentials of oil," Journal of Development Economics, Elsevier, vol. 170(C).
    20. Fenske, James & Kala, Namrata & Wei, Jinlin, 2023. "Railways and cities in India," Journal of Development Economics, Elsevier, vol. 161(C).

    More about this item

    Keywords

    Geography; Coastal Proximity; Sub-Saharan Africa; Mediation Analysis;
    All these keywords.

    JEL classification:

    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cra:wpaper:2021-22. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Anna-Lea Werlen (email available below). General contact details of provider: https://edirc.repec.org/data/cremach.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.