SEGREGATION ACCORDING TO HOUSEHOLD SIZE IN A MONOCENTRIC CITY

Over the last two centuries, household size has decreased considerably. Within a theoretical model I investigate the relationship between household size and the structure and size of cities. Household utility is assumed to depend on household size, in addition to the consumption of housing and a numeraire good. This basic building block is combined with a Muth-type urban model. The model is used for examining the impact of household size on the sorting of households according to household size, the geographical extension of the city, household utility, forms of housing etc. These issues have previously received some attention in empirical studies, but I am not aware of theoretical examinations.