Kosfeld, Reinhold; Eckey, Hans-Friedrich - 2008
regional labour
4
markets, region-specific shocks may still spill over to surrounding regions. Moreover, geo-
referenced … manufactures to all regions. While goods are sold in the home region
for the mill price p
i
, transport costs incur in …, marginal labour requirement b and regional wages w
r
, they are the same for
all varieties in region r (cf. Fujita and Thisse …