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Paul Krugman has clarified the microeconomic underpinnings of both spatial economic agglomerations and regional imbalances at national and international levels. He has achieved this with a series of remarkably original papers and books that succeed in combining imperfect competition, increasing...
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impacts of transport costs on the spatial patterns of economic agglomeration. We first identify prototypes from the existing … models, and explain the mechanism of how transport costs influence the balance between economic forces of agglomeration and … dispersion. We then investigate the transformation of the agglomeration/dispersion patterns given gradually decreasing transport …
Persistent link: https://www.econbiz.de/10005371288
This paper presents an overview of recent development in the new economic geography (NEG), and discusses possible directions of its future development. Since there already exist several surveys on this topic, we focus on the selected features of the NEG which are important yet have attracted...
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This paper examines how the decline of communication costs between management and production facilities within firms and the decrease in trade costs of manufactured goods affect the spatial organization of a two-region economy with multi-unit-multi-plant firms. The development of information...
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This article presents a summary of our conversation on the past, present and future of the new economic geography, which took place with the help of an interlocutor in San Juan, Puerto Rico in November 2002. Following the intro-duction, we explain what the new economic geography is, and we...
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We address the fundamental question arising in economic geography: why do economic activities agglomerate in a small number of places? The main reasons for the formation of economic clusters involving firms and/or households are analysed: (i) externalities under perfect competition; (ii)...
Persistent link: https://www.econbiz.de/10005123960
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/10005498045