TY - UNPB

T1 - The development push of refugees

T2 - evidence from Tanzania

AU - Maystadt, Jean-Francois

AU - Duranton, Gilles

PY - 2014

Y1 - 2014

N2 - We exploit a 1991–2010 Tanzanian household panel to assess the effects of the temporary refugee inflows originating from Burundi (1993) and Rwanda (1994). We find that the refugee presence has had a persistent and positive impact on the welfare of the local population. We investigate the possible channels of transmission, underscoring the importance of a decrease in transport costs as a key driver of this persistent change in welfare. We interpret these findings as the ability of a temporary shock to induce a persistent shift in the equilibrium through subsequent investments rather than a switch to a new equilibrium in a multiple-equilibrium setting.

AB - We exploit a 1991–2010 Tanzanian household panel to assess the effects of the temporary refugee inflows originating from Burundi (1993) and Rwanda (1994). We find that the refugee presence has had a persistent and positive impact on the welfare of the local population. We investigate the possible channels of transmission, underscoring the importance of a decrease in transport costs as a key driver of this persistent change in welfare. We interpret these findings as the ability of a temporary shock to induce a persistent shift in the equilibrium through subsequent investments rather than a switch to a new equilibrium in a multiple-equilibrium setting.

KW - Refugees

KW - Tanzania

KW - Multiple equilibrium

KW - Roads

M3 - Working paper

T3 - Economics Working Paper Series

BT - The development push of refugees

PB - Lancaster University, Department of Economics

CY - Lancaster

ER -