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• W798633900 abstract "Economic activities are fundamentally influenced by their location in space, whichdetermines the physical and natural environment in which they take place. Likewise,location defines the social context of economic activity prescribing the particularlaws, regulations and social norms to which it should conform. Moreover, spatiallocation defines proximity, which shapes the costs of accessing factor inputs, productmarkets and other economic and social institutions. In fact, spatial location mediatesmost forms of interaction, intended and unintended, that may arise fromcommunication and connections between economic agents. These spatial processeshave important implications for estimation, policy evaluation and prediction inmodels of economic activity.This thesis is comprised of two parts. Part I presents a broad range of issues thatarise in estimation due to space and frames these as general spatial omitted variables.I explore the use of semi-parametric estimators to identify the parameters of interestin this general model and derive identification conditions for fixed and local adaptivespatial smoothing estimators. The properties of these estimators are contrasted toOLS and spatial econometric estimators.Part II addresses issues in policy evaluation and prediction. I derive an equilibriumsorting model with endogenous tenure choice that can be used to evaluate the generalequilibrium welfare effects of policies that affect local environmental quality. Usinga series of simulations, motivated by a real world policy application, I contrast thewelfare changes derived under this model to a conventional static approach. Byallowing for rental and purchase markets the model I develop provides a far richercharacterisation of the complex adjustments that propagate through the propertymarket following policy changes and the contrary impact such policies can haveupon renters and owners. The usefulness of the model for applied policy analysis isdemonstrated through two applications: The Polegate Bypass and Mortgage InterestDeduction reform." @default.
• W798633900 created "2016-06-24" @default.
• W798633900 creator A5085704072 @default.
• W798633900 date "2012-12-01" @default.
• W798633900 modified "2023-09-24" @default.
• W798633900 title "Spatial processes in environmental economics : empirics and theory" @default.
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