IDEAS home Printed from https://ideas.repec.org/p/cdp/texdis/td608.html
   My bibliography  Save this paper

Infrastructure and income inequality: an application to the brazilian case using hierarchical spatial autoregressive models

Author

Listed:
  • Victor Medeiros

    (UFMG)

  • Rafael Saulo Marques Ribeiro

    (UFMG)

  • Pedro Vasconcelos Maia do Amaral

    (UFMG)

Abstract

Many scholars have highlighted the role of infrastructure in reducing income inequality. Developing economies present immense regional and income discrepancies, which are correlated with unequally distributed infrastructure in territorial and population terms. In this paper, we assess the effects of infrastructure supply on income inequality and verify whether these effects vary according to the infrastructure sector and its degree of quality and access in Brazil. The analysis is based on spatial hierarchical models. Results allow us to say that infrastructure correlates negatively with income inequality. Hence, policies aimed at improving infrastructure quality and expanding access are crucial for reducing income concentration.

Suggested Citation

  • Victor Medeiros & Rafael Saulo Marques Ribeiro & Pedro Vasconcelos Maia do Amaral, 2019. "Infrastructure and income inequality: an application to the brazilian case using hierarchical spatial autoregressive models," Textos para Discussão Cedeplar-UFMG 608, Cedeplar, Universidade Federal de Minas Gerais.
    • Handle: RePEc:cdp:texdis:td608
    as

    Download full text from publisher

    File URL: https://www.cedeplar.ufmg.br/pesquisas/td/TD%20608.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Brakman, Steven & Garretsen, Harry & Marrewijk, Charles van, 2002. "Locational competition and agglomeration: the role of government spending," CCSO Working Papers 200209, University of Groningen, CCSO Centre for Economic Research.
    2. repec:ilo:ilowps:488271 is not listed on IDEAS
    3. César Calderón & Alberto Chong, 2004. "Volume and Quality of Infrastructure and the Distribution of Income: An Empirical Investigation," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 50(1), pages 87-106, March.
    4. Aschauer, David Alan, 1989. "Is public expenditure productive?," Journal of Monetary Economics, Elsevier, vol. 23(2), pages 177-200, March.
    5. Stefania Cosci & Loredana Mirra, 2018. "A spatial analysis of growth and convergence in Italian provinces: the role of road infrastructure," Regional Studies, Taylor & Francis Journals, vol. 52(4), pages 516-527, April.
    6. Henry Kaiser, 1958. "The varimax criterion for analytic rotation in factor analysis," Psychometrika, Springer;The Psychometric Society, vol. 23(3), pages 187-200, September.
    7. Straub, Stephane, 2008. "Infrastructure and growth in developing countries : recent advances and research challenges," Policy Research Working Paper Series 4460, The World Bank.
    8. Luisa Corrado & Bernard Fingleton, 2012. "Where Is The Economics In Spatial Econometrics?," Journal of Regional Science, Wiley Blackwell, vol. 52(2), pages 210-239, May.
    9. Amien Makmuri, 2017. "Infrastructure and inequality: An empirical evidence from Indonesia," Economic Journal of Emerging Markets, Universitas Islam Indonesia, vol. 9(1), pages 29-39.
    10. Dulani Seneviratne & Ms. Yan M Sun, 2013. "Infrastructure and Income Distribution in ASEAN-5: What are the Links?," IMF Working Papers 2013/041, International Monetary Fund.
    11. E. Hooper & S. Peters & P. Pintus, 2017. "To What Extent Can Long-Term Investment in Infrastructure Reduce Inequality?," Working papers 624, Banque de France.
    12. repec:dgr:rugccs:200209 is not listed on IDEAS
    13. Guanpeng Dong & Richard Harris & Kelvyn Jones & Jianhui Yu, 2015. "Multilevel Modelling with Spatial Interaction Effects with Application to an Emerging Land Market in Beijing, China," PLOS ONE, Public Library of Science, vol. 10(6), pages 1-18, June.
    14. Chengete Chakamera & Paul Alagidede, 2017. "The Nexus between Infrastructure (Quantity and Quality) and Economic Growth," Working Papers 673, Economic Research Southern Africa.
    15. repec:dgr:rugsom:02c75 is not listed on IDEAS
    16. Bajar, Sumedha & Rajeev, Meenakshi, 2015. "Impact of infrastructure provisioning on inequality: Evidence from India," Working Papers 337, Institute for Social and Economic Change, Bangalore.
    17. Chiara DEL BO & Massimo FLORIO, 2008. "Infrastructure and growth in the European Union: an empirical analysis at the regional level in a spatial framework," Departmental Working Papers 2008-37, Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano.
    18. Amien Makmuri, 2017. "Infrastructure and inequality: An empirical evidence from Indonesia," Economic Journal of Emerging Markets, Universitas Islam Indonesia, vol. 9(1), pages 29-39, April.
    19. I.P. Ottaviano, Gianmarco, 2008. "Infrastructure and economic geography: An overview of theory and evidence," EIB Papers 6/2008, European Investment Bank, Economics Department.
    20. Arbués, Pelayo & Baños, José F. & Mayor, Matías, 2015. "The spatial productivity of transportation infrastructure," Transportation Research Part A: Policy and Practice, Elsevier, vol. 75(C), pages 166-177.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Bruno Emmanuel Ongo Nkoa & Honoré Tekam Oumbé & Georges Ngnouwal Eloundou & Thierry Asngar Mamadou, 2022. "Impact of access to electricity on internal conflicts in Africa: Does income inequality matter?," African Development Review, African Development Bank, vol. 34(3), pages 395-409, September.
    2. Medeiros, Victor & Ribeiro, Rafael Saulo Marques, 2020. "Power infrastructure and income inequality: Evidence from Brazilian state-level data using dynamic panel data models," Energy Policy, Elsevier, vol. 146(C).
    3. Bovick Wandja Yemba & Rafael S. M. Ribeiro & Victor Medeiros, 2020. "Infrastructure and manufacturing in Sub-Saharan Africa: An empirical analysis using dynamic panel data models," PSL Quarterly Review, Economia civile, vol. 73(294), pages 261-276.

    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. Victor Medeiros & Rafael Saulo Marques Ribeiro & Pedro Vasconscelos Maia do Amaral, 2022. "Infrastructure and income inequality: An application to the Brazilian case using hierarchical spatial autoregressive models," Journal of Regional Science, Wiley Blackwell, vol. 62(5), pages 1467-1486, November.
    2. Medeiros, Victor & Ribeiro, Rafael Saulo Marques, 2020. "Power infrastructure and income inequality: Evidence from Brazilian state-level data using dynamic panel data models," Energy Policy, Elsevier, vol. 146(C).
    3. Medeiros, Victor & Ribeiro, Rafael Saulo Marques & Amaral, Pedro Vasconcelos Maia do, 2021. "Infrastructure and household poverty in Brazil: A regional approach using multilevel models," World Development, Elsevier, vol. 137(C).
    4. Zhenxiong Huang & Hangtian Xu & Jianming Li & Nengsheng Luo, 2020. "Has highway construction narrowed the urban–rural income gap? Evidence from Chinese cities," Papers in Regional Science, Wiley Blackwell, vol. 99(3), pages 705-723, June.
    5. repec:ilo:ilowps:488271 is not listed on IDEAS
    6. Bajar, Sumedha & Rajeev, Meenakshi, 2015. "Impact of infrastructure provisioning on inequality: Evidence from India," Working Papers 337, Institute for Social and Economic Change, Bangalore.
    7. Getachew, Yoseph Y. & Turnovsky, Stephen J., 2015. "Productive government spending and its consequences for the growth–inequality tradeoff," Research in Economics, Elsevier, vol. 69(4), pages 621-640.
    8. Calderon, Cesar & Serven, Luis, 2014. "Infrastructure, growth, and inequality : an overview," Policy Research Working Paper Series 7034, The World Bank.
    9. Bottasso, Anna & Conti, Maurizio & Ferrari, Claudio & Tei, Alessio, 2014. "Ports and regional development: A spatial analysis on a panel of European regions," Transportation Research Part A: Policy and Practice, Elsevier, vol. 65(C), pages 44-55.
    10. Bovick Wandja Yemba & Rafael S. M. Ribeiro & Victor Medeiros, 2020. "Infrastructure and manufacturing in Sub-Saharan Africa: An empirical analysis using dynamic panel data models," PSL Quarterly Review, Economia civile, vol. 73(294), pages 261-276.
    11. Dennis Gaus & Heike Link, 2020. "Economic Effects of Transportation Infrastructure Quantity and Quality: A Study of German Counties," Discussion Papers of DIW Berlin 1848, DIW Berlin, German Institute for Economic Research.
    12. Timilsina,Govinda R. & Hochman,Gal & Song,Ze, 2020. "Infrastructure, Economic Growth, and Poverty : A Review," Policy Research Working Paper Series 9258, The World Bank.
    13. Siti Rohima & Saadah Yuliana & Abdul Bashir & Nazirwan Hafiz, 2017. "Public Infrastructure Availability on Development Disparity," Business and Economic Research, Macrothink Institute, vol. 7(2), pages 375-391, December.
    14. Qi, Guanqiu & Shi, Wenming & Lin, Kun-Chin & Yuen, Kum Fai & Xiao, Yi, 2020. "Spatial spillover effects of logistics infrastructure on regional development: Evidence from China," Transportation Research Part A: Policy and Practice, Elsevier, vol. 135(C), pages 96-114.
    15. Marinos, Theocharis & Belegri-Roboli, Athena & Michaelides, Panayotis G. & Konstantakis, Konstantinos Ν., 2022. "The spatial spillover effect of transport infrastructures in the Greek economy (2000–2013): A panel data analysis," Research in Transportation Economics, Elsevier, vol. 94(C).
    16. Amien Makmuri, 2017. "Infrastructure and inequality: An empirical evidence from Indonesia," Economic Journal of Emerging Markets, Universitas Islam Indonesia, vol. 9(1), pages 29-39, April.
    17. Konno, Akio & Kato, Hironori & Takeuchi, Wataru & Kiguchi, Riku, 2021. "Global evidence on productivity effects of road infrastructure incorporating spatial spillover effects," Transport Policy, Elsevier, vol. 103(C), pages 167-182.
    18. Onesmus Mbaabu Mutiiria & Qingjiang Ju & Koffi Dumor, 2020. "Infrastructure and inclusive growth in sub-Saharan Africa: An empirical analysis," Progress in Development Studies, , vol. 20(3), pages 187-207, July.
    19. Orea, Luis & Álvarez, Inmaculada C., 2019. "Spatial Production Economics," Efficiency Series Papers 2019/06, University of Oviedo, Department of Economics, Oviedo Efficiency Group (OEG).
    20. Catalina Cantu, 2017. "Mexico’s economic infrastructure: international benchmark and its impact on growth," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 6(1), pages 1-26, December.
    21. Massimo Florio (ed.), 2011. "Public Investment, Growth and Fiscal Constraints," Books, Edward Elgar Publishing, number 14155.

    More about this item

    Keywords

    infrastructure; income inequality; Brazil; spatial econometrics; multilevel approach.;
    All these keywords.

    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:cdp:texdis:td608. 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: Gustavo Britto (email available below). General contact details of provider: https://edirc.repec.org/data/pufmgbr.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.