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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 …
Persistent link: https://www.econbiz.de/10005763719
first nature characteristics on industry location can be explained by a combination of sunk costs and agglomeration effects. …
Persistent link: https://www.econbiz.de/10010758483
This paper shows that subsidy competition may be efficiency enhancing. We model a subsidy game among two asymmetric regions in a new trade model, where capital can freely move among regions, but capital rewards are repatriated. We study subsidy competition, starting from an equilibrium where the...
Persistent link: https://www.econbiz.de/10005227721
characteristics on industry location can be explained by a combination of sunk costs and agglomeration effects. …
Persistent link: https://www.econbiz.de/10011083262
first nature characteristics on industry location can be explained by a combination of sunk costs and agglomeration effects. …
Persistent link: https://www.econbiz.de/10010692422
This paper provides a simple theory of geographical mobility which simultaneously explains people’s choice of residences in space and the location of industry. Residences are chosen on the basis of the utility which mobile households obtain across locations. The spatial pattern of industry is...
Persistent link: https://www.econbiz.de/10005762313