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Persistent link: https://www.econbiz.de/10012151236
economy with an urban location and a rural one. Agglomeration economies make urban dwellers benefit from a larger population …, congestion costs associated with a too large population size limit the process of urban-rural transformation. Firms in the urban … equilibrium the urban location is inefficiently small because households fail to internalize the agglomeration economies and the …
Persistent link: https://www.econbiz.de/10011476364
Does a location's growth benefit or suffer from being geographically close to large economic centers? Spatial proximity may lead to competition and hurt growth, but it may also improve market access and enhance growth. Using data on U.S. counties and metro areas for the period 1840-2017, we...
Persistent link: https://www.econbiz.de/10012482691
The present paper describes the modelling of regional labour markets in the newly developed dynamic spatial general equilibrium model RHOMOLO, where the labour market equilibrium is determined by firms' labour demand, a wage-curve determining unemployment, and interregional labour migration. The...
Persistent link: https://www.econbiz.de/10011581448