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This paper estimates slum residents' willingness to pay for formalized land tenure in Pune, India. The results show that the legal assurance of slum residents' occupancy of their lands could benefit them. Previous studies have discussed the legal and non-legal factors that substantially influence the tenure security of residents in informal settlements; however, it remains unclear how and to what extent the assignment of legal property rights through the formalization of land tenure improves the tenure security of residents in informal settlements and living conditions, even in the presence of other legal and non-legal factors that also contribute to their tenure security. To address this question, this study focuses on the city of Pune, India, where government agencies have formalized slums by legally ensuring the occupancy of the residents under the "slum declaration." Applying a hedonic price model to an original household survey, this paper investigates how slum residents evaluate formalized land tenure. A spatial econometrics method is also applied to account for spatial dependence and spatially autocorrelated unobserved errors. The spatial hedonic analysis shows that the premium of slum declaration is worth 19.2% of the average housing rent in slums. The associated marginal willingness to pay is equivalent to 6.7% of the average household expenditure, although it is heterogeneous depending on a household's caste and other legal conditions. This finding suggests that the assurance of occupancy rights is a vital component of land-tenure formalization policy even if it does not directly provide full property rights.

This paper estimates slum residents willingness to pay for formalized land tenure in Pune, India. In so doing, it offers evidence that the legal assurance of slum residents occupancy of their lands could benefit them. Previous studies have discussed legal and non-legal factors that substantially influence the tenure security of residents in informal settlements. However, it remains unclear to what extent, and how, the assignment of legal property rights through the formalization of land tenure improves the tenure security of residents in informal settlements and living conditions, even in the presence of other legal and non-legal factors that also contribute to their tenure security. To address the question, this study focuses on the city of Pune, India, where government agencies have formalized slums by legally ensuring the occupancy of the residents under slum declaration. Applying a hedonic price model to an original household survey, this paper investigates how slum residents evaluate formalized land tenure. A spatial econometrics method is also applied to account for spatially autocorrelated unobserved errors. The spatial hedonic analysis finds that the premium of slum declaration is worth 19 percent of the average housing rent in slums. The associated marginal willingness to pay is equivalent to 6 percent of the average household expenditure, although it is heterogeneous depending on a households caste and other legal conditions. This finding suggests that the assurance of occupancy rights is a vital component of land-tenure formalization policy even if it does not directly provide full property rights.

AbstractThis paper examines spatial heterogeneity in the impacts of the early days of the COVID‐19 pandemic on urban household incomes in Ethiopia and Kinshasa, Democratic Republic of Congo. Combining new panel household surveys with spatial data, the fixed‐effects regression analysis for Ethiopia finds that households in large and densely populated towns were more likely to lose their labour incomes in the early phase of the pandemic and afterwards than other households. Disadvantaged groups, such as females, low‐skilled, self‐employed and poor, particularly suffered in those towns. In Kinshasa, labour income‐mobility elasticities are higher among workers—particularly female and low‐skilled workers—who live in areas that are located farther from the city core area. The between‐ and within‐city evidence from two Sub‐Saharan African countries points to the spatial heterogeneity of COVID‐19 impacts, implying the critical role of mobility and accessibility in urban agglomerations.

This paper examines spatial heterogeneity in the impacts of the early days of the COVID-19 pandemic on urban household incomes in Ethiopia and Kinshasa, Democratic Republic of Congo. Combining new panel household surveys with spatial data, the fixed-effects regression analysis for Ethiopia finds that households in large and densely populated towns were more likely to lose their labor incomes in the early phase of the pandemic, and their recovery was slower than other households. Disadvantaged groups, such as female, low-skilled, self-employed, and poor, particularly suffered in those towns. In Kinshasa, labor income-mobility elasticities are higher among workers—particularly female and/or low-skilled workers—who live in areas that are located farther from the city core area or highly dense and precarious neighborhoods. The between- and within-city evidence from two Sub-Saharan African countries points to the spatial heterogeneity of COVID-19 impacts, implying the critical role of mobility and accessibility in urban agglomerations.

Although several studies have examined why overall price levels are higher in richer countries, little is known about whether there is a similar relationship at the urban and city level across countries. This paper compares the price levels of cities in Sub-Saharan Africa with those of other regions by analyzing price information collected for the 2011 round of the International Comparison Program. Readjusting the calculated price levels from national to urban levels, the analysis indicates that African cities are relatively more expensive, despite having lower income levels. The price levels of goods and services consumed by households are up to 31percent higher in Sub-Saharan Africa than in other low- and middle-income countries, relative to their income levels. Food and non-alcoholic beverages are especially expensive, with price levels around 35 percent higher than in other countries. The paper also analyzes price information collected by the Economist Intelligence Unit's Worldwide Cost of Living Survey, and obtains a similar result, indicating higher prices of goods and services in African cities.

Cover -- Title -- Copyright -- Contents -- Acknowledgments -- Overview Africa's Cities: Opening Doors to the World -- The low development trap - Africa's urban economies are limited to nontradable goods and services -- Crowded, disconnected, and thus costly - Africa's cities are limited to nontradables by urban form -- Crowded cities -- Disconnected cities -- Costly cities -- Closed for business, out of service: The urgency of a new urban development path for Africa -- Cities are "closed for business" -- Cities are "out of service" -- Path dependence and interdependence -- Springing cities from the low development trap -- Formalize land markets, clarify property rights, and institute effective urban planning -- Make early and coordinated infrastructure investments - allowing for interdependence among sites, structures, and basic services -- Opening the doors -- Annex: African cities used in the analysis -- References -- Part I: Crowded and Disconnected African Cities -- Chapter 1 Crowded with people, not dense with capital -- Crowded with people -- Slums: Workers' only option when urban economic density is low but highly concentrated -- High population density at the city's core, rapid tapering on the outskirts -- Not dense with capital -- Not dense with buildings -- Not dense with amenities, not livable -- Case studies: Access to amenities in Dar es Salaam, Durban, and elsewhere in Africa -- Low human capital -- References -- Chapter 2 Disconnected land, people and jobs -- Disconnected land -- Collections of small and fragmented neighborhoods -- Spatial fragmentation -- People not connected to people: High fragmentation, low exposure, little potential for interaction -- People not connected to jobs -- Lack of transportation infrastructure -- Lack of money for transportation -- Inaccessible employment -- References