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Urban Growth and Subcenter Formation: A Trolley Ride from the Staples Center to Disneyland and the Rose Bowl

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Author Info

  • Marcus Berliant

    (Washington University in St. Louis)

  • Ping Wang

    (Washington University in St. Louis & NBER)

Abstract

There have been long-term trends of urbanization and sustained growth across developed and developing countries over the past two centuries. Not only have more cities formed, but the leading metropolises have grown larger, with a number of peripheral subcenters developing over time. Conventional models of urban growth are limited, in that commuting cost and congestion eventually result in decreasing returns in a monocentric city as population becomes very large. In our paper, we construct an endogenous growth model with dynamic interactions between spatial agglomeration and urban development. In contrast with the conventional endogenous urban growth framework, our paper models explicitly the underlying growth-driven mechanism, namely location- dependent knowledge spillovers. Our contribution allows endogenous development of subcenters to offset diminishing returns from urban congestion, thus permitting sustained city growth.

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Bibliographic Info

Paper provided by EconWPA in its series Urban/Regional with number 0511012.

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Length: 29 pages
Date of creation: 23 Nov 2005
Date of revision:
Handle: RePEc:wpa:wuwpur:0511012

Note: Type of Document - pdf; pages: 29
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Web page: http://128.118.178.162

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Keywords: Core-Periphery Urban Structure; Agglomerative Production Activity; Endogenous Formation of Cities;

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References

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  1. Esteban Rossi-Hansberg & Mark L. J. Wright, 2006. "Urban structure and growth," Staff Report 381, Federal Reserve Bank of Minneapolis.
  2. Lin, C.-C.Chu-Chia & Mai, Chao-Cheng & Wang, Ping, 2004. "Urban land policy and housing in an endogenously growing monocentric city," Regional Science and Urban Economics, Elsevier, vol. 34(3), pages 241-261, May.
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  8. Marcus Berliant & Robert R. Reed III & Ping Wang, 2005. "Knowledge Exchange, Matching, and Agglomeration," Urban/Regional 0506013, EconWPA, revised 07 Jul 2005.
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Citations

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Cited by:
  1. MOSSAY, Pascal & PICARD, Pierre M., 2009. "On spatial equilibria in a social interaction model," CORE Discussion Papers 2009063, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  2. Akamatsu, Takashi & Takayama, Yuki & Ikeda, Kiyohiro, 2012. "Spatial discounting, Fourier, and racetrack economy: A recipe for the analysis of spatial agglomeration models," Journal of Economic Dynamics and Control, Elsevier, vol. 36(11), pages 1729-1759.
  3. Ajay Agarwal & Genevieve Giuliano & Christian Redfearn, 2012. "Strangers in our midst: the usefulness of exploring polycentricity," The Annals of Regional Science, Springer, vol. 48(2), pages 433-450, April.
  4. Picard, Pierre M. & Tabuchi, Takatoshi, 2013. "On microfoundations of the city," Journal of Economic Theory, Elsevier, vol. 148(6), pages 2561-2582.
  5. Elena G. Irwin, 2010. "New Directions For Urban Economic Models Of Land Use Change: Incorporating Spatial Dynamics And Heterogeneity," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 65-91.
  6. Steven Craig & Janet Kohlhase & Adam Perdue, 2014. "Empirical Polycentricity: The Complex Relationship Between Employment Centers," Working Papers 2014-055-59, Department of Economics, University of Houston.
  7. Dominique Prunetti & Alexandre Muzy & Eric Innocenti & Xavier Pieri, 2014. "Utility-based Multi-agent System with Spatial Interactions: The Case of Virtual Estate Development," Computational Economics, Society for Computational Economics, vol. 43(3), pages 271-299, March.
  8. Wall, Howard J., 2013. "The employment cycles of neighboring cities," Regional Science and Urban Economics, Elsevier, vol. 43(1), pages 177-185.
  9. Jaume Masip Tresserra, 2012. "Identifying the Employment and Population Centers at regional and metropolitan scale: The Case of Catalonia and Barcelona," ERSA conference papers ersa12p70, European Regional Science Association.
  10. Jaume Masip Tresserra, 2012. "Does Employment Density death? Towards a new integrated methodology to identify and characterize Sub-Centres," ERSA conference papers ersa12p71, European Regional Science Association.

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