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We formulate a simple model that captures two recent hypotheses: (i) that countries with an abundant absolute endowment of skilled labour will be net exporters in R&D-intensive industries; and (ii) that countries with a large domestic market will be net exporters in scale-intensive industries....
Persistent link: https://www.econbiz.de/10005792049
This Paper considers tax competition and tax harmonization in the presence of agglomeration forces and falling trade …
Persistent link: https://www.econbiz.de/10005136579
Paul Krugman has clarified the microeconomic underpinnings of both spatial economic agglomerations and regional imbalances at national and international levels. He has achieved this with a series of remarkably original papers and books that succeed in combining imperfect competition, increasing...
Persistent link: https://www.econbiz.de/10005497703
We address the fundamental question arising in economic geography: why do economic activities agglomerate in a small number of places? The main reasons for the formation of economic clusters involving firms and/or households are analysed: (i) externalities under perfect competition; (ii)...
Persistent link: https://www.econbiz.de/10005123960
The purpose of this paper is two-fold. First, we present a model of agglomeration and trade that displays the main … agglomeration of alternative pricing policies used in the space-economy, with a special focus on the distinction between segmented … and integrated markets; (ii) a forward-looking approach to the dynamics of migration in the process of agglomeration …
Persistent link: https://www.econbiz.de/10005661976