This paper analyzes the impact of skill heterogeneity on regional patterns of production and housing in the presence of pecuniary externalities within a general-equilibrium framework assuming monopolistic competition at intermediate good markets. It shows that the interplay of heterogeneous...

The paper studies indirect network effects in a market composed by two incompatible intermediaries that choose price (short-term issue) in addition to location (long-term issue). The paper first shows that (i) when the network externality is sufficiently weak, only maximum differentiation...

Conventional wisdom tells us that with no market failure and local non-satiation of preferences, the core is at least as large as the collection of competitive equilibrium allocations.We con.rm this for a standard model featuring land.Next we consider the public land ownership version of the...

Markets for complex, multi-faceted goods normally require a complex institutional framework to function properly, i.e., to lead to patterns of outcomes that are deemed acceptable by the individuals involved. This paper examines the institutional underpinnings of the market for urban land use...

In a multi-country general equilibrium economy with mobile capital and rigid-wage unemployment, countries may differ in capital endowments, production technologies and rigid wages. Governments tax capital at the source to maximize national welfare. They account for tax base responses to their...

The paper contributes to the debate on how to measure regions’ innovation performance. On the basis of the concept of regional innovation efficiency, we propose a new measure that eases the issue of choosing between industry-specific or global measures. We argue for the use of a robust...

Distance-based methods for measuring spatial concentration such as the Duranton-Overman index undergo an increasing popularity in the spatial econometrics community. However, a limiting factor for their usage is their computational complexity since both their memory requirements and running-time...

Collaboration over distance is difficult to maintain in innovation projects which require a great deal of regional collaboration. However, patent documents reveal that a number of inventor teams are able to overcome long distances. Earlier literature started to investigate factors, which...

We investigate company foundations in the German micro technology industry by means of a spatial-temporal micro-geographic analysis. In order to deal with our unusual detailed data, we develop a new distance-based framework for a logistic regression that is able to present results in a...