In this paper, I explain Thünens pioneering work on industrial agglomeration. In my opinion, Thünens thinking on industrial agglomeration was not only amazingly advanced for his time, but in many respects remains novel even today. It is shown that if we unify Thünens well-known theory on...

The standard approach to studying industrial agglomeration is to construct summary measures of the degree of agglomerationʺ within each industry and to test for significant agglomeration with respect to some appropriate reference measures. But such summary measures often fail to distinguish...

The spatial structure of transport networks is subject to increasing returns in transportation, distance, and density economies. Transport costs between locations are thus, in general, endogenous, and are determined by the interaction between the spatial distribution of transport demand and...