Voters dealing with jurisdictional merger decisions face a trade-off between economies of scale and preference costs. Larger jurisdictions may offer cost advantages, yet the downside is that policies in larger units may be less aligned to voter preferences. Our study is the first to provide...

This paper reviews the new economic geography literature, which accounts for the uneven distribution of economic activity across space in terms of a combination of love of variety preferences, increasing returns to scale and transport costs. After outlining the canonical core and periphery...

What factors underlie industry differences in research intensity and productivity growth? We develop a multi-sector endogenous growth model allowing for industry specific parameters in the production functions for output and knowledge, and in consumer preferences. We find that long run industry...