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It's a big world after all: on the economic impact of location and distance

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  • Steven Brakman
  • Charles van Marrewijk

Abstract

Thomas Friedman, a very influential and widely read journalist (author of The World is Flat), argues that distance is no longer a dominant characteristic of the world economy. Competition is thought to be a race to the bottom, with the lowest wage countries as the big winners. In contrast, using various methods and data sets, we show that many threats of global competition for the position of the traditionally developed (Organization for Economic Cooperation and Development) countries are unwarranted, that distance still dominates all aspects of international trade and that there is little evidence of income convergence. Copyright 2008, Oxford University Press.

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Bibliographic Info

Article provided by Cambridge Political Economy Society in its journal Cambridge Journal of Regions, Economy and Society.

Volume (Year): 1 (2008)
Issue (Month): 3 ()
Pages: 411-437

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Handle: RePEc:oup:cjrecs:v:1:y:2008:i:3:p:411-437

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Cited by:
  1. Emmanouil Tranos & Peter Nijkamp, 2012. "The Death of Distance Revisited: Cyberplace, Physical and Relational Proximities," Tinbergen Institute Discussion Papers 12-066/3, Tinbergen Institute.
  2. Steven Brakman & Robert Inklaar & Charles Van Marrewijk, 2013. "Structural change in OECD comparative advantage," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 22(6), pages 817-838, September.
  3. Christ, Julian P., 2010. "Geographic concentration and spatial inequality: Two decades of EPO patenting at the level of European micro regions," Violette Reihe Arbeitspapiere 32/2010, Promotionsschwerpunkt "Globalisierung und Beschaeftigung".

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