Trade and urbanization: evidence from Hungary?

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  • dc.contributor.author Nagy, David Krisztián
  • dc.date.accessioned 2025-10-17T12:54:35Z
  • dc.date.available 2025-10-17T12:54:35Z
  • dc.date.issued 2022
  • dc.date.updated 2025-10-17T12:54:35Z
  • dc.description.abstract I study how trade affects urbanization and real income. To this end, I exploit large-scale exogenous changes in trade stemming from the redrawing of Hungary's borders after the First World War. I show that urbanization in counties near the new border decreased significantly relative to counties farther away. I rationalize this reduced-form finding in a spatial model in which benefits from trading drive agglomeration around locations where trading activity takes place. Structurally estimating the model, I find a 15.55 percent decrease in Hungarian residents' average real income after the redrawing of borders, with the largest losses concentrated in border regions.
  • dc.format.mimetype application/pdf
  • dc.identifier.citation Nagy DK. Trade and urbanization: evidence from Hungary?. Am Econ J Microecon. 2022;14(3):733-90. DOI: 10.1257/mic.20180270
  • dc.identifier.doi http://dx.doi.org/10.1257/mic.20180270
  • dc.identifier.issn 1945-7669
  • dc.identifier.uri http://hdl.handle.net/10230/71535
  • dc.language.iso eng
  • dc.publisher American Economic Association
  • dc.relation.ispartof American Economic Journal: Microeconomics. 2022;14(3):733-790
  • dc.rights © American Economic Association. Can be found at https://doi.org/10.1257/mic.20180270
  • dc.rights.accessRights info:eu-repo/semantics/openAccess
  • dc.subject.other Comerç internacional
  • dc.subject.other Desenvolupament urbà
  • dc.subject.other Hongria -- Condicions econòmiques
  • dc.title Trade and urbanization: evidence from Hungary?
  • dc.type info:eu-repo/semantics/article
  • dc.type.version info:eu-repo/semantics/publishedVersion