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Regional Policy Analysis In A Simple General Equilibrium Model With Vertical Linkages

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  • Stein Østbye

Abstract

ABSTRACT The paper presents a simple three‐region, two‐sector general equilibrium model that is used for analyzing the effect of regional tax policies aimed at combat depopulation. The model includes exogenous asymmetry in terms of transport costs as well as a vertical industry structure that can account for endogenous location development in order to distinguish between the effects of “first nature” and “second nature” on the required subsidy for meeting the population policy target.

Suggested Citation

  • Stein Østbye, 2010. "Regional Policy Analysis In A Simple General Equilibrium Model With Vertical Linkages," Journal of Regional Science, Wiley Blackwell, vol. 50(3), pages 756-775, August.
  • Handle: RePEc:bla:jregsc:v:50:y:2010:i:3:p:756-775
    DOI: 10.1111/j.1467-9787.2010.00666.x
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    References listed on IDEAS

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    Cited by:

    1. Pasquale Commendatore & Ingrid Kubin & Pascal Mossay & Iryna Sushko, 2017. "The role of centrality and market size in a four-region asymmetric new economic geography model," Journal of Evolutionary Economics, Springer, vol. 27(5), pages 1095-1131, November.
    2. Anna Agliari & Pasquale Commendatore & Ilaria Foroni & Ingrid Kubin, 2011. "Border Collision Bifurcations in a Footloose Capital Model with First Nature Firms," Computational Economics, Springer;Society for Computational Economics, vol. 38(3), pages 349-366, October.

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