This paper studies the social desirability of agglomeration and the efficiency arguments for regional policy in a simple, analytically solvable ‘new economic geography’ model with two trade integrating regions. The location pattern emerging as market equilibrium is ?-shaped, featuring...

We address the effects of wages on employment growth on the basis of a theoretical model from which cost and demand effects can be derived. In the empirical analysis we take a highly disaggregated perspective and apply a newly developed shift-share regression technique on an exhaustive and very...

In times of high and persistent unemployment, it has become one of the most important policy tasks in many developed countries to trigger a process of sustained employment growth. An illustrative example is the policy of regional “growth-poles”, which assumes that a local concentration of a...

In this paper, a survey is presented of the recent developments in two empirical literatures at the crossroads of labour and urban economics: studies about localised human capital externalities (HCE) and about the urban wage premium (UWP). After surveying the methods and main results of each of...

The green transition will affect different places in diverse ways, as place specific and contextual factors, such as pre-existing industrial specialisations, shape how transitions unfold in various territories. In the absence of a place-sensitive approach to decarbonisation, regional disparities...