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agglomeration is the only stable outcome. When trade costs are high, skilled and unskilled labor migration reinforce each other … regions increases the agglomeration incentive of skilled labor. Depending on the level of unskilled labor mobility, the … leading to agglomeration of both types of labor in the same region. For lower levels of trade cost, unskilled labor returns to …
Persistent link: https://www.econbiz.de/10010294675
This paper studies the social desirability of agglomeration and the efficiency arguments for policy intervention in a … stable equilibria with partial agglomeration of firms in addition to core-periphery equilibria for intermediate levels of … trade costs. Our central finding is that the market equilibrium is characterised by over-agglomeration for high trade costs …
Persistent link: https://www.econbiz.de/10010262068
This paper studies the social desirability of agglomeration and the efficiency arguments for policy intervention in a … stable equilibria with partial agglomeration of firms in addition to core-periphery equilibria for intermediate levels of … trade costs. Our central finding is that the market equilibrium is characterised by over-agglomeration for high trade costs …
Persistent link: https://www.econbiz.de/10005700894
The core-periphery model by Krugman (1991) has two 'dramatic' implications: catastrophic agglomeration and locational … and easily reversible transition from symmetry to agglomeration. …
Persistent link: https://www.econbiz.de/10005822499
and even small relative concerns destabilize the full agglomeration equilibrium, which is stable in the Krugman model. …
Persistent link: https://www.econbiz.de/10011123979
This paper presents a simple Chamberlinian agglomeration model which, like the canonical core-periphery (CP) model … complete agglomeration predicted by the CP model. …
Persistent link: https://www.econbiz.de/10011438277
This paper focuses on tax competition and international migration in R&D sectors as agglomeration forces and trade …
Persistent link: https://www.econbiz.de/10010296580
This paper focuses on tax competition and international migration in R&D sectors as agglomeration forces and trade …
Persistent link: https://www.econbiz.de/10008534167
cluster together, turning location into a self-reinforcing process. Agglomeration raises the price of immobile local factors …
Persistent link: https://www.econbiz.de/10005662027
The paper analyzes the impact of skill-biased migration policies under the economics of agglomeration. It therefore … develops an agglomeration model with two types of mobile worker who are heterogeneous and differ both within and between skill … groups with respect to their migration propensity. On the one hand, the model reveals that the effectiveness of migration …
Persistent link: https://www.econbiz.de/10010294736