International trade and retailing: Diversity versus accessibility and the creation of retail deserts
AbstractThe retail sectors in many industrialized countries have experienced a large increase in concentration and the appearance of so-called \retail deserts\, areas of low retail provision. This study addresses the role of international trade in this process. The analysis shows that by raising product diversity, international trade also raises the costs of provision in retailing and leads to a consolidation in this industry. As a consequence, surviving retailers have larger catchment areas and consumers have to travel longer distances for their errands. These adjustments in retailing create a trade-off between diversity and accessibility, and international trade is not unambiguously welfare improving. --
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by University of Goettingen, Department of Economics in its series Center for European, Governance and Economic Development Research Discussion Papers with number 66.
Date of creation: 2007
Date of revision:
international trade; retailing; diversity; accessibility; retail deserts;
Find related papers by JEL classification:
- F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
- L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
- L81 - Industrial Organization - - Industry Studies: Services - - - Retail and Wholesale Trade; e-Commerce
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Timothy J. Richards & Stephen F. Hamilton, 2006. "Rivalry in Price and Variety among Supermarket Retailers," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, Agricultural and Applied Economics Association, vol. 88(3), pages 710-726.
- Christian Broda & David E. Weinstein, 2004.
"Globalization and the Gains from Variety,"
NBER Working Papers
10314, National Bureau of Economic Research, Inc.
- David Weinstein & Christian Broda, 2004. "Globalization and the Gains from Variety," Econometric Society 2004 North American Summer Meetings, Econometric Society 508, Econometric Society.
- David Weinstein & Christian Broda, 2004. "Globalization and the Gains from Variety," 2004 Meeting Papers, Society for Economic Dynamics 530, Society for Economic Dynamics.
- David E. Weinstein & Christian Broda, 2004. "Globalization And The Gains From Variety," Econometric Society 2004 Latin American Meetings, Econometric Society 327, Econometric Society.
- Christian Broda & David Weinstein, 2004. "Globalization and the gains from variety," Staff Reports, Federal Reserve Bank of New York 180, Federal Reserve Bank of New York.
- Ellickson, Paul, 2005. "Does Sutton Apply to Supermarkets?," Working Papers, Duke University, Department of Economics 05-05, Duke University, Department of Economics.
- Neil Wrigley & Daniel Warm & Barrie Margetts, 2003. "Deprivation, diet, and food-retail access: findings from the Leeds 'food deserts' study," Environment and Planning A, Pion Ltd, London, vol. 35(1), pages 151-188, January.
- Paul Dobson & Michael Waterson, 1999. "Retailer power: recent developments and policy implications," Economic Policy, CEPR;CES;MSH, CEPR;CES;MSH, vol. 14(28), pages 133-164, 04.
- Paul W. Dobson & Michael Waterson & Stephen W. Davies, 2003. "The Patterns and Implications of Increasing Concentration in European Food Retailing," Journal of Agricultural Economics, Wiley Blackwell, Wiley Blackwell, vol. 54(1), pages 111-125.
- Paul Dobson & Roger Clarke & Stephen Davies & Michael Waterson, 2001. "Buyer Power and its Impact on Competition in the Food Retail Distribution Sector of the European Union," Journal of Industry, Competition and Trade, Springer, Springer, vol. 1(3), pages 247-281, September.
- Ellickson, Paul, 2005. "Supermarkets as a Natural Oligopoly," Working Papers, Duke University, Department of Economics 05-04, Duke University, Department of Economics.
- Howard Smith, 2004. "Supermarket Choice and Supermarket Competition in Market Equilibrium," Review of Economic Studies, Oxford University Press, vol. 71(1), pages 235-263.
- Christoph R. Weiss & Antje Wittkopp, 2005. "Retailer concentration and product innovation in food manufacturing," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 32(2), pages 219-244, June.
- Krugman, Paul R., 1979. "Increasing returns, monopolistic competition, and international trade," Journal of International Economics, Elsevier, Elsevier, vol. 9(4), pages 469-479, November.
- Sullivan, Mary W, 1997. "Slotting Allowances and the Market for New Products," Journal of Law and Economics, University of Chicago Press, University of Chicago Press, vol. 40(2), pages 461-93, October.
- repec:ccp:journl:v:1:y:2001:i:3:p:247-281 is not listed on IDEAS
- Howard Smith, 2004. "Supermarket Choice and Supermarket Competition in Market�Equilibrium," Review of Economic Studies, Wiley Blackwell, Wiley Blackwell, vol. 71(1), pages 235-263, 01.
- Steven C. Salop, 1979. "Monopolistic Competition with Outside Goods," Bell Journal of Economics, The RAND Corporation, The RAND Corporation, vol. 10(1), pages 141-156, Spring.
- Michaela Draganska & Dipak C. Jain, 2005. "Product-Line Length as a Competitive Tool," Journal of Economics & Management Strategy, Wiley Blackwell, Wiley Blackwell, vol. 14(1), pages 1-28, 03.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (ZBW - German National Library of Economics).
If references are entirely missing, you can add them using this form.