This paper analyses the effect on agglomeration tendencies of allowing firms to become multi-region firms in a standard …-periphery (CP) model developed by Krugman (1991). The introduction of horizontal multi-region firms dampens the strong agglomeration …, agglomeration tendencies are strengthened. Second, actual production tends to be more spread out, and, in this sense, they are …

solve analytically. We use the modified model to analyse the tendencies for geographical agglomeration of manufacturing … manufacturing tends to agglomerate for low trade costs. In the physical capital case, on the contrary, agglomeration will not occur …

This paper analyses industrial policy in a high wage open economy hosting an agglomeration consisting of vertically … setting. However the restriction that the agglomeration should be sustained may restrict the otherwise welfare maximising …

This paper analyses the effect on agglomeration tendencies of allowing firms to become multi-region firms in a standard …-periphery (CP) model developed by Krugman (1991). The introduction of horizontal multi-region firms dampens the strong agglomeration …, agglomeration tendencies are strengthened. Second, actual production tends to be more spread out, and, in this sense, they are …