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Spatial Segregation, Redistribution and Welfare: a theoretical model

Gabrieli, T; (2016) Spatial Segregation, Redistribution and Welfare: a theoretical model. Urban Planning , 1 (1) 10.17645/up.v1i1.537. Green open access

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Abstract

This paper develops a theoretical model focusing on the effect that different neighborhood compositions can have on the formation of individual beliefs about economic opportunities. Specifically we highlight two effects that spatial segregation may have: (1) it can efficiently separate the individual effort choices of highly and low productive individuals, (2) it may imply that the median voter imposes a level of redistribution that is inefficient from the aggregate point of view. The trade-off implies that segregated and non-segregated cities may present very similar levels of aggregate welfare. We employ this framework to discuss how the structure of cities can play a role in the determination of US-type and Europe-type politico-economic equilibria and the implications for planning policies.

Type: Article
Title: Spatial Segregation, Redistribution and Welfare: a theoretical model
Location: Portugal
Open access status: An open access version is available from UCL Discovery
DOI: 10.17645/up.v1i1.537
Publisher version: http://dx.doi.org/10.17645/up.v1i1.537
Language: English
Additional information: © 2016 by the author; licensee Cogitatio (Lisbon, Portugal). This article is licensed under a Creative Commons Attribution 4.0 International License (CC BY). For further information see http://creativecommons.org/licenses/by/4.0/.
Keywords: Spatial Segregation; Redistribution; Median Voter; Welfare
UCL classification: UCL
UCL > Provost and Vice Provost Offices
UCL > Provost and Vice Provost Offices > UCL BEAMS
UCL > Provost and Vice Provost Offices > UCL BEAMS > Faculty of the Built Environment
UCL > Provost and Vice Provost Offices > UCL BEAMS > Faculty of the Built Environment > The Bartlett School of Planning
URI: https://discovery.ucl.ac.uk/id/eprint/1477031
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