This paper analyses and compares the dynamics of agglomeration in Portuguese and Irish manufacturing industries between 1985 and 1998 implementing Dumais, Ellison and Glaeser (2002) methodology. Using comparable and exhaustive micro-level data sets, we find that s industries tend to be subject...

We develop a two-region population growth model of economic geography and show that a process of urbanization has a substantial impact on the evolution of manufacturing real wages. Whereas real wages decline as the population increases when the spatial structure of the economy is fixed, they...

We investigate in how far foreign multinationals have fostered local indigenous development in Ireland. Specifically, we examine whether foreign presence has induced indigenous net plant entry within the same regions and in bordering regions. To this end we employ an entry rate model on an...

In this paper we build a quality-augmented version of an economic geography model where consumers have heterogenous tastes for a set of manufacturing varieties. We discuss a footloose capital model and a footloose entrepreneur model. We show that firms selling the goods with higher values select...

We study how political boundaries and tax competition among jurisdictions interact with the labor and land markets to determine the economic structure and performance of metropolitan areas. Contrary to general belief, institutional fragmentation and cross-border commuting need not be...

This paper considers the racetrack economic approach, where manufacturing activities are distributed continuously. We seek constant-access equilibria and show that smooth equilibrium distributions are always unstable for almost all transport cost functions, whereas agglomeration in 1 or 2 atomic...

We analyze a model of a vertically differentiated duopoly with two regions. These two locations differ for the market size or for the distribution of the willingness to pay for quality of their consumers. Firms sequentially choose to settle in one region and then simultaneously compete in...