Electricity, Agglomeration, and Industrialisation in Ghana
How the spatial allocation of electricity outages affects firm performance and industrial agglomeration in Ghana.
Research project · Spatial economics · Ghana
Abstract
Electricity reliability varies substantially across space, and utilities may allocate scarce supply in response to local economic activity. We combine administrative electricity data, engineering records on outages, and a firm census to study how this allocation shapes firm performance and agglomeration in Ghana.
We use predicted outage exposure following supply shocks to estimate how firms respond to reliability, then embed the estimates in a dynamic spatial framework. Counterfactuals compare the observed allocation with reforms that eliminate outages or allocate them to reduce their economy-wide cost.
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