【发展经济学】access to markets and rural poverty

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1、AccesstoMarketsandHouseholdConsumption:EvidencefromRuralChinaM.ShaheEmran1DepartmentofEconomicsandESIAGeorgeWashingtonUniversityZhaoyangHouDepartmentofEconomicsGeorgeWashingtonUniversityAbstractThispaperpresentsevidenceonthee®ectsofaccesstodomesticandinternationalmarketsonpercapitaconsumptionofho

2、useholdsusingdatafromruralChina.Theeconometricanalysisusesalternativeidenti¯cationschemestoaddressthepotentialendogeneityofaccesstomarkets.Motivatedbythetransportengineeringliterature,weexploittopographyoftheothercountiesalongthelineardistancestothemarketsasthesourceofexogeneousvariations.Wealsou

3、seidenti¯cationthroughheteroskedasticitywhichdoesnotrelyonanyexclusionrestrictions.Theresultsfromalternativeidenti¯cationschemesshowthat(i)betteraccesstobothdomesticandinternationalmarketshaspositivee®ectsonpercapitaconsumption,(ii)thedomesticmarkete®ectissigni¯cantlylargerinmagnitudeand(iii)ther

4、eiscomplementaritybetweentheaccesstodomesticandinternationalmarkets.KeyWords:AccesstoMarkets,HouseholdConsumption,DomesticMarket,InternationalMarket,RuralPoverty,ChinaJELClassi¯cation:O12,O161WewouldliketothankArthurLewbel,MartinRavallion,DaniRodrik,AlbertPark,JohnGiles,AlandeBrauw,BryanBoulier,R

5、obertPhillips,DavidRibar,DonParsons,StephenSmith,BobTrost,TonyYezer,WallyMullin,MaggieChen,FranciscoFerreira,BobGoldfarb,Mush¯qMobarak,AtonuRabbani,ArifMamun,ForhadShilpi,MargrietCaswell,MichaelJerzmanowski,BichakaFayissa,DanielWestbrook,andtheparticipantsintheTradeandDevelopmentWorkshopatGeorgeW

6、ashingtonUniversity,NEUDCconference2006atCornell,MidwestEconomicAssociationAnnualConference,2006atChicagoforusefuldiscussionsand/orcommentsonearlierversionsofthepaper.WearegratefultoLorenBrandtforprovidinguswiththespatialcostoflivingindexinChina,toAlbertParkfordataoncountylevelcharacteristics,and

7、toUweDeichmannandHunjongYooforhelpwithcalculatingthedistancemeasuresusedinthispaper.Thestandarddisclaimersapply.Emailsforcorrespondence:shahe.emran@gmail.com(M.ShaheEmran)andhouz@gwu.edu(ZhaoyangHou).IntroductionImprov