and city population. This paper embeds a “black box” agglomeration economy within a more neoclassical general equilibrium … and wages move in the same direction under neo-classical assumptions, agglomeration economies in production, congestion in … variables, although some of these effects are ambiguous in the production agglomeration model. If natural advantage and housing …

The core-periphery model by Krugman (1991) has two 'dramatic' implications: catastrophic agglomeration and locational … and easily reversible transition from symmetry to agglomeration. …

that industrial agglomeration improves the quality of the firm-worker matching process. Our method makes use of recent …

cities toughen competition, allowing only the most productive to survive) and agglomeration economies (larger cities promote … a generalised version of a tractable firm selection model and a standard model of agglomeration. Stronger selection in … larger cities left-truncates the productivity distribution whereas stronger agglomeration right-shifts and dilates the …

into account. Our analysis furthermore implies that market-size based agglomeration forces are too weak to overcome the … a low elasticity of substitution) is very strong. This suggests that further agglomeration forces have to be invoked to … explain the agglomeration of economic activity observed in the real world. …

competition models. The agglomeration rent which accrues to the mobile factor in the core region can be taxed. Moreover, a tax … addition to core-periphery equilibria, exhibits stable equilibria with partial agglomeration. We show that a tax differential … may arise as an equilibrium of the tax game even when there is only partial agglomeration and the mobile factor does not …