This paper examines the conditions allowing for the formation of aeropolitan areas as large industrial areas with a high concentration of commercial activities in the proximity of cargo airports. When firms deliver part of their production by plane, land competition takes place among service operators, firms and farmers. Service operators supply facilities that firms can take advantage of. Our framework allows selecting a stable land equilibrium: the spatial sequence Airport-Industrial Park-Rural Area (A-I-R). Aerotropolis-type configurations arise around cargo airports when there is an intense use of the airport by the firms and a sufficiently high level of facilities.
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Paper provided by Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC) in its series UFAE and IAE Working Papers with number
665.06.
Find related papers by JEL classification: L29 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Other L90 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - General R14 - Urban, Rural, and Regional Economics - - General Regional Economics - - - Land Use Patterns
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