ICES Experimental Economics Brown Bag Lecture

Losing Capital Status: Does It Matter for a City’s Development?

Friday, February 21, 2025 4:00 PM to 5:00 PM EST
Vernon Smith Hall (formerly Metropolitan Building), Room 5075

 

The Interdisciplinary Center for Economic Science (ICES) presents an ICES Brown Bag Lecture featuring:

Marta Korczak

European University Institute

Losing Capital Status: Does It Matter for a City’s Development?

 

 

Abstract

I examine the economic impact of losing regional capital status on cities following Poland’s 1999 administrative reform, which reduced the number of regions from 49 to 16. Using a novel dataset on Polish municipalities and a diff-in-diff approach, I analyze outcomes across multiple dimensions, including labor markets, municipal finance, healthcare, education, culture, real estate, and migration. Preliminary results show that losing capital status led to lower municipal revenues and negative migration balances. The findings contribute to decentralization and urban development research, highlighting the asymmetric costs of institutional change: between gaining and losing capital status.

 

For more information about the Brown Bag Lectures, please visit the Brown Bag Schedule homepage.

 

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