Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/297286 
Year of Publication: 
2024
Citation: 
[Editor:] Sauer, Robert M. [Title:] World Scientific Handbook of Global Migration, Volume 3: Types of Migrants and Economies: A Global Perspective [ISBN:] 978-981-124-793-4 [DOI/URN:] doi:10.1142/9789811248146 0009 [URL:] https://www.worldscientific.com/doi/10.1142/9789811248146_0009 [Publisher:] World Scientific [Place:] Singapore [Year:] 2024 [Pages:] 199-225
Publisher: 
World Scientific, Singapore
Abstract: 
We study a developing countries setting in which agglomeration efficiency of urban production attracts rural-to-urban migration, whereas urban pollution deters rural-to-urban migration. By means of a general equilibrium model we study the formation of policies aimed at striking a socially optimal balance between supporting efficient levels of urban agglomeration and mitigating urban pollution in the presence of endogenous rural-to-urban migration. We show that without government intervention, although rural-to-urban migration contributes to agglomeration economies, it does not improve social welfare because it also exacerbates environmental degradation. We also show that urban pollution problems cannot be resolved by means of environmental regulation alone: for example, an emissions tax aimed at curbing urban pollution can backfire as and when it increases the appeal of rural-to-urban migration. A policy of emissions tax in conjunction with a subsidy to rural individuals is an effective means of enhancing urban productivity while reducing urban pollution.
Subjects: 
Rural-to-urban migration
Industrial emissions
Polluting urban agglomeration
Environmental regulation
Policy formation
JEL: 
H23
J61
O15
R23
Persistent Identifier of the first edition: 
Document Type: 
Book Part
Document Version: 
Published Version
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