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A Note on the Geographic Interdependencies of Retail Market Areas

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  • David Mushinski
  • Stephen Weiler

Abstract

Central place theory describes an orderly hierarchy of places, with particular retail services developing for lower‐ordered places as they reach a threshold. Yet it is likely that nearby areas could serve simultaneously as a source of demand and a source of competing supply for retail stores in a place. This paper contributes to the understanding of local economic development by modeling and estimating the geographic interdependence between a place and its neighboring areas. The simultaneous equation Tobit results suggest that such geographical interdependence exists for most retail industries, with spatial competition on the supply side being particularly important.

Suggested Citation

  • David Mushinski & Stephen Weiler, 2002. "A Note on the Geographic Interdependencies of Retail Market Areas," Journal of Regional Science, Wiley Blackwell, vol. 42(1), pages 75-86, February.
    • Handle: RePEc:bla:jregsc:v:42:y:2002:i:1:p:75-86
    DOI: 10.1111/1467-9787.00250
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    Cited by:

    1. Martijn J. Burger & Evert J. Meijers & Marloes M. Hoogerbrugge & Jaume Masip Tresserra, 2015. "Borrowed Size, Agglomeration Shadows and Cultural Amenities in North-West Europe," European Planning Studies, Taylor & Francis Journals, vol. 23(6), pages 1090-1109, June.
    2. Hong, Junpyo & Fannin, James Matthew, 2007. "New Estimation Strategies for Demand Threshold Models in the Southern United States," 2007 Annual Meeting, February 4-7, 2007, Mobile, Alabama 34869, Southern Agricultural Economics Association.
    3. Tessa Conroy & Stephan Weiler, 2016. "Does gender matter for job creation? Business ownership and employment growth," Small Business Economics, Springer, vol. 47(2), pages 397-419, August.
    4. Anders Van Sandt & Craig Wesley Carpenter & Rebekka Dudensing & Scott Loveridge, 2021. "Estimating determinants of healthcare establishment locations with restricted federal administrative data," Health Economics, John Wiley & Sons, Ltd., vol. 30(6), pages 1328-1346, June.
    5. Kalyan Chakraborty, 2012. "Estimation of Minimum Market Threshold for Retail Commercial Sectors," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 18(3), pages 271-286, August.
    6. Carpenter, Craig Wesley & Fannin, J. Matthew, 2021. "Back to the Future: Re-Incorporation of `Metropolitan Character' in U.S. Core-Based Statistical Area Delineations," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 51(2), August.
    7. David Mushinski & Stephan Weiler & Benjamin Widner, 2014. "The impact of retail establishments in hinterlands on the export role of retail establishments in rural places," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 52(2), pages 469-487, March.
    8. Nalle, Darek J. & Arthur, Jeffrey L. & Montgomery, Claire A., 2005. "Economic impacts of adjacency and green-up constraints on timber production at a landscape scale," Journal of Forest Economics, Elsevier, vol. 10(4), pages 189-205, February.
    9. Gordon Mulligan & Randall Jackson & Amanda Krugh, 2013. "Economic base multipliers: a comparison of ACDS and IMPLAN," Regional Science Policy & Practice, Wiley Blackwell, vol. 5(3), pages 289-303, August.
    10. Blair, John P. & Traynor, Thomas & Duan, Manjiang, 2004. "Retail Development in Rural Counties: Evidence from the Upper Midwest," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 34(1), pages 1-16.

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