Standard approaches to studying industrial agglomeration have been in terms of scalar measures of agglomeration within each industry. But such measures often fail to distinguish spatial scales of agglomeration. In a previous paper, Mori and Smith (2014) proposed a pair of quantitative measures...

This paper presents a multi-region model based on the NEG with transport costs of materials. Consumable goods are differentiated among firms, and materials are differentiated among regions. Results show that (i) economic activities increase agglomeration tendencies as the transport cost ratio...