Infrastructure and Structural Change in the Horn of Africa

Access to infrastructure supports economic development through both capital accumulation and structural transformation. This paper investigates the links between investments in electricity, Internet, and road infrastructure, in isolation and bundle...

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Main Authors: Herrera Dappe, Matias, Lebrand, Mathilde
Format: Working Paper
Language:English
Published: World Bank, Washington, DC 2021
Subjects:
Online Access:http://documents.worldbank.org/curated/undefined/243731638286142370/Infrastructure-and-Structural-Change-in-the-Horn-of-Africa
http://hdl.handle.net/10986/36646
id okr-10986-36646
recordtype oai_dc
spelling okr-10986-366462021-12-04T05:10:43Z Infrastructure and Structural Change in the Horn of Africa Herrera Dappe, Matias Lebrand, Mathilde INFRASTRUCTURE TRANSPORT CORRIDOR STRUCTURAL TRANSFORMATION GENERAL EQUILIBRIUM MODEL INFRASTRUCTURE INVESTMENT ELECTRICITY INTERNET ACCESS ROAD INFRASTRUCTURE Access to infrastructure supports economic development through both capital accumulation and structural transformation. This paper investigates the links between investments in electricity, Internet, and road infrastructure, in isolation and bundled, and economic development in the Horn of Africa, a region that includes countries with different levels of infrastructure and economic development. Using data on the expansion of the road, electricity, and Internet networks over the past two decades, it provides reduced-form estimates of the impacts of infrastructure investments on the sectoral composition of employment. Bundled infrastructure investments cause different patterns of structural transformation than isolated infrastructure investments. The impact of bundled road and electricity investments on reducing the sectoral employment share in agriculture is found to be 2.5 times larger than the impact of roads alone. The paper then uses a spatial general equilibrium model to quantify the impacts of future regional transport investments, bundled with electricity and trade facilitation measures, on economic development in countries in the Horn of Africa. 2021-12-03T15:10:06Z 2021-12-03T15:10:06Z 2021-11 Working Paper http://documents.worldbank.org/curated/undefined/243731638286142370/Infrastructure-and-Structural-Change-in-the-Horn-of-Africa http://hdl.handle.net/10986/36646 English Policy Research Working Paper;No. 9870 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Africa Africa Eastern and Southern (AFE)
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic INFRASTRUCTURE
TRANSPORT CORRIDOR
STRUCTURAL TRANSFORMATION
GENERAL EQUILIBRIUM MODEL
INFRASTRUCTURE INVESTMENT
ELECTRICITY
INTERNET ACCESS
ROAD INFRASTRUCTURE
spellingShingle INFRASTRUCTURE
TRANSPORT CORRIDOR
STRUCTURAL TRANSFORMATION
GENERAL EQUILIBRIUM MODEL
INFRASTRUCTURE INVESTMENT
ELECTRICITY
INTERNET ACCESS
ROAD INFRASTRUCTURE
Herrera Dappe, Matias
Lebrand, Mathilde
Infrastructure and Structural Change in the Horn of Africa
geographic_facet Africa
Africa Eastern and Southern (AFE)
relation Policy Research Working Paper;No. 9870
description Access to infrastructure supports economic development through both capital accumulation and structural transformation. This paper investigates the links between investments in electricity, Internet, and road infrastructure, in isolation and bundled, and economic development in the Horn of Africa, a region that includes countries with different levels of infrastructure and economic development. Using data on the expansion of the road, electricity, and Internet networks over the past two decades, it provides reduced-form estimates of the impacts of infrastructure investments on the sectoral composition of employment. Bundled infrastructure investments cause different patterns of structural transformation than isolated infrastructure investments. The impact of bundled road and electricity investments on reducing the sectoral employment share in agriculture is found to be 2.5 times larger than the impact of roads alone. The paper then uses a spatial general equilibrium model to quantify the impacts of future regional transport investments, bundled with electricity and trade facilitation measures, on economic development in countries in the Horn of Africa.
format Working Paper
author Herrera Dappe, Matias
Lebrand, Mathilde
author_facet Herrera Dappe, Matias
Lebrand, Mathilde
author_sort Herrera Dappe, Matias
title Infrastructure and Structural Change in the Horn of Africa
title_short Infrastructure and Structural Change in the Horn of Africa
title_full Infrastructure and Structural Change in the Horn of Africa
title_fullStr Infrastructure and Structural Change in the Horn of Africa
title_full_unstemmed Infrastructure and Structural Change in the Horn of Africa
title_sort infrastructure and structural change in the horn of africa
publisher World Bank, Washington, DC
publishDate 2021
url http://documents.worldbank.org/curated/undefined/243731638286142370/Infrastructure-and-Structural-Change-in-the-Horn-of-Africa
http://hdl.handle.net/10986/36646
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