Showing 1 - 10 of 12
We study the impact of falling trade costs and falling national transport costs on the economic geography of countries involved in an integration process. Two regions between which labour is mobile form each country, but there is no international factor mobility. Commodities can be traded both...
Persistent link: https://www.econbiz.de/10005667127
We distill the main insights from recent trade models on firms' responses to globalisation. Our primary aim is to assess the economic impact and the welfare implications of the resulting reallocation of resources across firms and countries. In so doing, we bring theory into life through the...
Persistent link: https://www.econbiz.de/10005136703
This paper takes a modest step towards formalizing the theoretical interconnections among four post-Industrial-Revolution phenomena – the industrialization and growth take-off of rich ‘northern’ nations, massive global income divergence, and rapid trade expansion. Specifically, we present...
Persistent link: https://www.econbiz.de/10005498127
We extend the model by Krugman (1980) to a multi-country set-up and show that the ‘home-market effect’ highlighted with two countries does not readily extend to such a general setting. In particular, we prove that the most important result, namely the disproportionate causation from demand...
Persistent link: https://www.econbiz.de/10005114440
deregulation of the transport sector leads to more inefficient agglomeration. This latter change may, quite surprisingly, increase …
Persistent link: https://www.econbiz.de/10005791947
This paper analyses the effect of different types of regional subsidies to poor regions on industrial location, employment, income inequality - between and inside regions - and welfare. We show that the impact on location of such subsidies is stronger when trade costs are low. When firms are...
Persistent link: https://www.econbiz.de/10005791950
into large cities, because large cities select more productive entrepreneurs and firms, or because of agglomeration … between them. The model can replicate stylised facts about sorting, agglomeration, and selection in cities. It can also …
Persistent link: https://www.econbiz.de/10008554236
We review the theoretical links between growth and agglomeration. Growth, in the form of innovation, can be at the … origin of catastrophic spatial agglomeration in a cumulative process à la Myrdal. One of the surprising features of the … could lead to catastrophic agglomeration. The growth analog to this result is that the introduction of endogenous growth in …
Persistent link: https://www.econbiz.de/10005124278
transition period and in the long term, with and without agglomeration economies. Without agglomeration economies, income … country may trigger agglomeration in the rich integrated core. …
Persistent link: https://www.econbiz.de/10005497760
This chapter surveys recent developments in agglomeration theory within a unifying framework. We highlight how … locational fundamentals, agglomeration economies, the spatial sorting of heterogeneous agents, and selection effects affect the …
Persistent link: https://www.econbiz.de/10011084057