Tharakan, J.; Tropeano, J.P. - Laboratoire d'Économie Appliquée de Grenoble, … - 2008
We propose a model where imperfect matching between firms and workers on local labor markets leads to incentives for spatial agglomeration. We show that the occurence of spatial agglomeration depends on initial size differences in terms of both number of workers and firms. Allowing for dynamics...