'agglomeration in a system of cities' in which both intra-city trade and inter-city trade are considered. Enriching both the …-agglomeration (fewer cities, which tend to be over-sized) and low welfare; ii) the higher the level of spatial (i.e. transport costs) and …

wage differentials between large metropoles and small cities. …

Firms are more productive on average in larger cities. Two main explanations have been offered: firm selection (larger … cities toughen competition, allowing only the most productive to survive) and agglomeration economies (larger cities promote … larger cities left-truncates the productivity distribution whereas stronger agglomeration right-shifts and dilates the …

interdependence of cities and the world economy in a climate policy context. Based on calibration data for 74 major OECD …