Economic development in industrialized countries is characterized by rising per capita GDP, increasing life expectancy, and an ever larger share of the population living in cities. We explain this pattern within a regional innovation-driven economic growth model with labor mobility and a...

We analyse the impacts that infrastructure provision has on long run urban development. The topic is of major importance to policy-makers when deciding whether or not to invest in major infrastructure projects. The analysis helps policy-makers to understand the intended, and potentially...

We analyze the efficiency of urbanization patterns in a stylized dynamic model of urban growth with three sectors of production. Pollution, as a force that discourages agglomeration, is caused by domestic production. We show that cities are too large and too few in number in uncoordinated...