Agglomeration Economies in European and American Cities.

We consider two typed of cities. In the European one the amenities are located at the city-center ( like e.g. Paris or London) whereas in the American-type city the amenites are at the city-edge (like e.g. Detroit, Los Angeles). We first show that the unemploymed reside at the vicinity of the city-center in the American-type city while they locate at the outskirts of the city in the European one. We then establish conditions for the endogenous formation of monocentric European and American cities and compare them.