Urban structure of the municipality of Três Rios (RJ): an analysis of accessibility and the pattern of urban land use based on the Bid-rent model
Regional growth rates from financial variables
Financial instability from an agent-based simulation model
1 - Urban structure of the municipality of Três Rios (RJ): an analysis of accessibility and the pattern of urban land use from the Bid-rent model
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The form of organization and distribution of urban land, with regard to both the residential and the productive sectors, is directly linked to the economic efficiency and sustainability of a city. From a theoretical perspective, based on a relationship between urban land value and accessibility, the Bid-rent model lays the foundations for an efficiency analysis by providing a technical explanation for two facts observed in most urban agglomerations, namely: ( i) The price of land tends to fall at decreasing rates the greater the distance from the centre; and (ii) The average area occupied by families or firms tends to increase the greater the distance from the center. The preliminary observation of the city of Três Rios (RJ) suggests that its structure diverges to some extent from the observed facts mentioned above and, consequently, from the efficiency criteria indicated by the theoretical model. Therefore, it opens space for a more detailed investigation on the form of organization of the referred agglomeration from the collection and analysis of spatially located information, such as municipal taxes and fees, rent and sale prices, construction permits and reform among others. It is expected that, based on the research results, it will be possible to suggest policies that contribute to the mitigation of the main problems that affect contemporary urban agglomerations.
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2 - Regional growth rates based on financial variables
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Its objective is to develop a theoretical model for determining regional growth rates based on financial variables, with the respective empirical application. The theoretical model is based on the principle of Cumulative Circular Causation, initially proposed by Myrdal (1960) and later developed by Kaldor (1970). The mathematical formalization follows that proposed by Dixon & Thirwall (1975). However, unlike Verdoorn's Law, the proposal in question relies on regional variations in liquidity preference, which give rise to cumulative processes. The empirical approach is given by an econometric model for panel data (GMM), which seeks to estimate growth trajectories for regions with different degrees of development based on variables of the financial system.
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3 - Financial instability from an agent-based simulation model
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Its objective is the development of an artificial banking system based on theagent based simulation. In De Paula (2014), a portfolio composition model is presented in which a single large bank decides how to allocate its capital, choosing between investing in government bonds and granting credit to companies in the productive sector, the latter characterized by heterogeneity. In another work (De Paula, 2016) a methodology for analyzing bank balance sheets is proposed to identify elements of financial fragility. The present proposal seeks to reconcile these approaches by introducing bank competition and leverage processes in the initial simulation model. It is expected that the resulting model can be calibrated, based on parameters obtained empirically, in order to allow the identification of the set of factors that lead to financial fragility.
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