Measures of insularityy Anna M.Pinna and Vania Licio (University of Cagliari and CRENoS) (University of Cagliari and CRENoS) The Periphery and its Host Economy (Pemabo 2012) 4th Sept. Ísafjörður, Iceland p j , The background The background ‘The costs of insularity’: tender financed by g g ( ) Sardinian regional government (CRENoS) The project is focused on the case of Sardinia, Th j i f d h f S di i but it is our interest to study the issue in a larger scale. Project has several research lines. Insularity in an international context Problem of definition (choice): bl f d fi i i ( h i ) ‐ insularity vs remoteness unit of analysis (region/state/…continent) ‐ unit of analysis (region/state/…continent) ‐ dimensions to be used in order to measure insularity ‐ which other variables (objects) are we looking for? which other variables (objects) are we looking for? firms (income, wages)? residents id t as consumers? ? people’s movements? Objectives • C Consider id the th issue i off insularity i l it in i a comparative ti set‐ t up, at the international level. • Micro/macro issues where geography plays an important role (i.e. growth, trade). • Measuring insularity as a state of nature (exogeneity) with the aim of understanding its further interactions with economic variables. • Next step: test of our measures in the gravity model. Available geography dataset Available geography dataset • Source: Sedac‐PLACEII S S d PLACEII • Countries included: 228 Countries included: 228 • Variables included: 76 Variables included: 76 • Typology yp gy variables: morphological p g land characteristics along several dimensions – – – – Elevation; Climate zone; Climate zone; Biome class; Distance from coast. Characteristics of insularity Smallness (is it size the issue?) Remoteness (transport costs) =>> isolation (transport costs) isolation Vulnerability (exposition to shocks) Economic consequences of insularity (the BAD) Armstrong and Read (2004a, 2004b) A t d R d (2004 2004b) 1. the small size of the domestic market; 2. islands have to deal with a limited resource base; 3. a limited land area; 4. island and small states are often characterized by a strong migrating phenomenon; migrating phenomenon; 5. islands are characterized by a narrow domestic output, exports and import market; 6 islands are often vulnerable (Briguglio 1995; Atkins et al 2000); 6. islands are often vulnerable (Briguglio, 1995; Atkins et al., 2000); 7. the domestic sector in islands tend to be extremely small; 8. in islands, especially small ones, the consequences of trade and fiscal policies may be exacerbated. Economic consequences of insularity (the GOOD) Armstrong and Read (2004a, 2004b) A t d R d (2004 2004b) 1. islands' high degree of structural openness to trade and high dependence upon exports may lead to and high dependence upon exports may lead to export‐led growth strategies; 2. pursuing a niche sectoral p g ggrowth strategy, may lead to gy y high standards of living as well as soon as adequate policies take place (Armstrong and Read, 1995, 2002; Armstrong et al 1998); Armstrong et al., 1998); 3. being an island represents per se a factor of attraction for tourists;; 4. it is easier to build social capital. Data and sources about islands (1) Data and sources about islands (1) • It doesn’t exist, at the international level, a database that includes for each country ALL its islands. • However, there are four main websites that contain the largest and most extensive amount of information, data and statistics relating to the islands of the world. • These websites are the four recommended by IGU (International Geographical Union) Islands Commission. Data and sources about islands (2) Data and sources about islands (2) • • • • http://www.worldislandinfo.com/ http://islands.unep.ch/ p // p / http://www.worldatlas.com/ htt // http://www.globalislands.net/ l b li l d t/ We mainly used the first two, because they are the more detailed, detailed and the third one just for some elaborations. Data and sources about islands (3) Data and sources about islands (3) • http://www.worldislandinfo.com The web site is an attempt to provide the most accurate information on the world’s islands. Thousands of maps, reference works, books, web sites and articles i l have h i f informed d its i creation. i • http://islands.unep.ch/ // / The web site is developed by UNEP (United Nation Environment Program). Insularity dataset Worldislandinfo and Unep (1) • Putting together information from two islands databases allowed to build a single dataset formed by 165 nations. Î Information has been aggregated at the country level (starting from data on more than 2000 islands). islands) • Info from “Worldislandinfo”: Worldislandinfo : allowed us to built a dataset of 161 countries. Number of islands by country; y y; Total islands area by country; Percentage of country area represented by islands. Insularity dataset Worldislandinfo and Unep (2) • Info from “UNEP”: dataset composed by 144 countries. Variables which refer to important characteristics for each island: The same variables included in “Worldislandinfo”; Isolation Index; Coastal Index. • Diapositiva 14 • For all 165 countries we also constructed a dummy set of variables: Nation State Island (captures political geography) (i.e. UK and Japan); N ti St t I l d ( t liti l h ) (i UK d J ) Nation States which share an island (i.e. Borneo); Countries distributed in an archipelago. Since the purpose of the work is to study the costs of world countries insularity, by analyzing the flow of international trade that they hold, it was necessary to adjust this dataset with trade data and, therefore, the number of countries involved in the analysis was reduced to 151 because some nations have been merged into others. others Landlocked countries Landlocked countries • Using the information about landlocked countries, we assumed that the 34 landlocked countries in the geography dataset had insularity measures equal to 0 (3 landlocked countries had islands, they were, in fact, included in the islands databases). • Using the information about not landlocked countries, we analyzed their maps with the web site www.worldatlas.com e we founded that the 52 not landlocked countries in the geography dataset had no islands. So, as above, we attributed 0 to insularity indexes. • ? Insularity information Insularity information • Thanks to this assumptions we have insularity information about 237 countries: ‐ 142 info on both insularity and geography; ‐ 9 included just in insularity dataset; ‐ 52 + 34 landlocked countries. • Number of states included in the maps are 244. Number islands by country valori assoluti (119 135] (4) (119,135] (99,119] (2) (79,99] (1) (49,79] (3) (19,49] (18) (1,19] (76) [0,1] (126) No data (14) Nostre elaborazioni su dati Unep Issues of measurement: number of islands (?) number of islands (?) • 0 0 and 1 are really different cases, but this is not d1 ll diff t b t thi i t reflected in this simple measure • Insularity as a different condition depending on Insularity as a different condition depending on ‘geography’ Landlocked / coastal => having 1 island (2 3) Landlocked / coastal => having 1 island (2….3) • How to think BAD geography? Di Dispersion of territory... i f t it Landlocked Archipelago . l country isol_w if isl_3==1 & d_c_isl==1 country isol_w 15. 20. 23. 28. 49. Aruba Bahrain Barbados Bermuda Christmas island 18 13 46 91 79 50. 60. 64. 91. 100. Cocos (keeling) islands Cyprus Dominica Guam Iceland 103 27 41 86 65 151. 156. 165 165. 166. 186. Montserrat Nauru Ni Niue Norfolk island St. helena 39 97 97 101 113 188. 197. Saint lucia Singapore 41 3 Our indicator Our indicator Put together two information: 1. dispersion of territory in islands 2. share of territory on island # of islands in 95% land x share of island land Weighted Isolation index by country valori % (80.89,113] (22) (46,80.89] (21) (31 77 46] (24) (31.77,46] (15.21,31.77] (22) [3,15.21] (23) No data (132) Nostre elaborazioni su dati Unep Insularity and GDP: all countries Insularity and GDP: all countries Insularity and GDP: not landlocked Insularity and GDP: not landlocked Insularity and GDP: insularity index>=200 Insularity and GDP: insularity index>=200 for State Islands Isolation index and GDP: insularity index>=200 for State Islands Isolation index and GDP Isolation index and GDP Percent land area, within 100 km of the coast - by country valori % (80 100] (92) (80,100] (50,80] (18) (30,50] (23) (7,30] (44) [0,7] (46) ( ) No data (21) Nostre elaborazioni su dati Sedac - PLACEII
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