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This paper uses a full-scale CGE-model - calibrated on 1992 data - to investigate the effects of European integration on the location of industrial production. Our results reveal large differences among individual industries. Industries with high scale elasticities typically display a...
Persistent link: https://www.econbiz.de/10005067664
’s economic-geography model in which demand linkages can generate agglomeration of manufacturing activity. Manufacturing labour is … assumed to be imperfectly mobile between countries. This constrains the forces of agglomeration within the region and suggests … that the model may be applicable to Europe. We show that trade liberalisation may lead initially to partial agglomeration …
Persistent link: https://www.econbiz.de/10005792031
agglomeration of production into a manufacturing core and agricultural periphery, creating regional income differentials. We examine … thus higher equilibrium taxes. Moreover, economic integration must increase taxes when the forces of agglomeration are the …
Persistent link: https://www.econbiz.de/10005124220
tax on capital and capture the positive externality that arise in the agglomeration. If industry is not concentrated …
Persistent link: https://www.econbiz.de/10005504508