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A typical implicit assumption on monopolistic competition models for trade and economic geography is that firms can produce and sell only at one place. This paper fallows endogenous determination of the number of plants in a new economic geography model and examine the stable outcomes of...
Persistent link: https://www.econbiz.de/10010547634
It is well know that transport charges are not symmetric: fronthaul and backhaul costs on a route may differ, because they are affected by the distribution of economic acitivities. This paper develops a two-regional general equilibrium model in which transport costs are determined endogenously...
Persistent link: https://www.econbiz.de/10010633405
this to models without density economies, we show that agglomeration of economic activities is more likely to emerge and … equilibrium and conclude that economies of density in transport flows can act as an agglomeration force. …
Persistent link: https://www.econbiz.de/10011167316
two regions, the decrease of these costs fosters the gradual agglomeration of plants in the core region accommodating the …
Persistent link: https://www.econbiz.de/10005222503
We examine changes in the location of economic activity in Cambodia between 1998 and 2008 in terms of employment growth. During this period, Cambodia joined ASEAN and increased trade with neighboring countries. Drawing on the predictions of the new economic geography, we focus on frontier...
Persistent link: https://www.econbiz.de/10010633808
agglomeration shadow become relatively bigger as medium industries spill over on them. This appears to be quite robust against a …
Persistent link: https://www.econbiz.de/10010562135
produces agglomeration externalities. This paper uses data on all the nonfarm establishments and enterprises in Cambodia to … estimate the impact of informal agglomeration on the regional economic performance of formal and informal firms. We develop a … dependence. We find a significantly positive effect of informal agglomeration, where informal firms gain more strongly than …
Persistent link: https://www.econbiz.de/10011184292
This paper explore how simulation results change with different choice of trade specification, and the strength of preference for traded variety by economic agent differs, utilizing two types of three-region, three-sector AGE model that includes the Armington-Krugman-Melitz Encompassing module...
Persistent link: https://www.econbiz.de/10011255361
In a strategic trade policy, it is assumed, in this paper, that a government changes disbursement or levy method so that the reaction function of home firm approaches infinitely close to that of foreign firm. In the framework of Bertrand-Nash equilibrium, Eaton and Grossman[1986] showed that...
Persistent link: https://www.econbiz.de/10009351427
To prepare an answer to the question of how a developing country can attract FDI, this paper explored the factors and policies that may help bring FDI into a developing country by utilizing an extended version of the knowledge-capital model. With a special focus on the effects of FTAs/EPAs...
Persistent link: https://www.econbiz.de/10011234995