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Location of firms with input transactions

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Author Info
M Fujita
Abstract

The locations of two firms with input - output linkages are studied. First, from a study of the equilibrium locations it is shown that there are generally an infinite number of equilibrium locational patterns for such a system, and it is argued that the actual equilibrium locations can only be determined by considering the dynamic process of the equilibrium. Then, the optimal locations are obtained, and compared with equilibrium locations. A mechanical model and a programming model are proposed to obtain the optimal locations and the equilibrium locations, respectively.

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Publisher Info
Article provided by Pion Ltd, London in its journal Environment and Planning A.

Volume (Year): 13 (1981)
Issue (Month): 11 (November)
Pages: 1401-1414
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Handle: RePEc:pio:envira:v:13:y:1981:i:11:p:1401-1414

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  1. José Pedro Pontes, 2006. "Agglomeration and comparative advantage in vertically-related firms," Working Papers 2006/17, Department of Economics at the School of Economics and Management (ISEG), Technical University of Lisbon.. [Downloadable!]
  2. Jose Pedro Pontes, 2002. "Exchange of intermediate goods and the agglomeration of firms," Economics Bulletin, Economics Bulletin, vol. 3(27), pages 1-7. [Downloadable!]
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