We examine "agglomeration shadows" that emerge around large cities, which discourage some economic activities in nearby areas. Identifying agglomeration shadows is complicated, however, by endogenous city formation and "wave interference" that we show in simulations. We use the locations of...

We examine “agglomeration shadows” that emerge around large cities, which discourage some economic activities in nearby areas. Identifying agglomeration shadows is complicated, however, by endogenous city formation and \wave interference" that we show in simulations. We use the locations of...

Chile is characterized as being a country with an extreme concentration of the economic activity around Santiago. In spite of this, and in contrast to what is found in many industrialized countries, income levels per inhabitant in the capital are below the country average and far from the levels...