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Economic Effects of Clustering of Ethnically Similar Communities in Kenya: Application of Spatial Correlation Model

Author

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  • Nobuaki Hamaguchi

    (Research Institute for Economics & Business Administration (RIEB), Kobe University, Japan)

Abstract
Using regional data of Kenya, we found that income spillovers depend on ethnic similarity, which suggests the influence of ethnic bias. This result implies, for policy making, that the question of interregional transaction costs cannot be narrowly focused on problems of transportation infrastructure but it is also related with ethnic divisions in African context.

Suggested Citation

  • Nobuaki Hamaguchi, 2010. "Economic Effects of Clustering of Ethnically Similar Communities in Kenya: Application of Spatial Correlation Model," Discussion Paper Series DP2010-26, Research Institute for Economics & Business Administration, Kobe University.
    • Handle: RePEc:kob:dpaper:dp2010-26
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    File URL: https://www.rieb.kobe-u.ac.jp/academic/ra/dp/English/DP2010-26.pdf
    File Function: First version, 2010
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    Cited by:

    1. Robinson, Amanda Lea, 2016. "Internal Borders: Ethnic-Based Market Segmentation in Malawi," World Development, Elsevier, vol. 87(C), pages 371-384.

    More about this item

    Keywords

    Ethnic diversity; Transaction cost;

    JEL classification:

    • R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure

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