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Business Services In The Space Economy: A Model Of Spatial Interaction

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  • Adrian Esparza
  • Andrew J. Krmenec

Abstract

ABSTRACT Recent attempts to broaden the scope of spatial interaction models have focused on introducing elements of competitive market structure. These extensions advance our understanding of spatial markets, but fail to deal adequately with forms of impedance other than distance. These limitations are critical when dealing with different types of interaction. Business services, in particular, are less sensitive to distance as a source of impedance. In this paper, we introduce an approach to model the trade of business services that extends upon traditional models of spatial interaction. We propose a model of trade that defects competitive market stuctures and differentiates the traditional spatial source of impedance from an aspatial source. The model is evaluated with sales data obtained from a survey of business service firms in the Chicago metropolitan region.

Suggested Citation

  • Adrian Esparza & Andrew J. Krmenec, 1994. "Business Services In The Space Economy: A Model Of Spatial Interaction," Papers in Regional Science, Wiley Blackwell, vol. 73(1), pages 55-72, January.
    • Handle: RePEc:bla:presci:v:73:y:1994:i:1:p:55-72
    DOI: 10.1111/j.1435-5597.1994.tb01760.x
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    Cited by:

    1. Waldorf, Brigitte, 2002. "Spatial hazard models: limitations and applications," ERSA conference papers ersa02p497, European Regional Science Association.
    2. D Phillips & A D MacPherson & B Lentnek, 1998. "The Optimum Size of a Producer Service Firm Facing Uncertain Demand," Environment and Planning A, , vol. 30(1), pages 129-141, January.
    3. Breandán hUallacháin & Der-Shiuan Lee, 2014. "Urban centers and networks of co-invention in American biotechnology," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 52(3), pages 799-823, May.
    4. Brigitte Waldorf, 2003. "Spatial Patterns and Processes in a Longitudinal Framework," International Regional Science Review, , vol. 26(3), pages 269-288, July.
    5. Stephen F. Seninger, 2000. "Consumer Information and Market-area Competition for Health-care Services," Urban Studies, Urban Studies Journal Limited, vol. 37(3), pages 579-591, March.
    6. Taha H. Rashidi & Abolfazl (Kouros) Mohammadian, 2015. "Behavioral Housing Search Choice Set Formation," International Regional Science Review, , vol. 38(2), pages 151-170, April.
    7. Joseph J. Persky & Marc Doussard & Wim Wiewel, 2009. "Export Orientation and the Limits to Local Sovereignty," Urban Studies, Urban Studies Journal Limited, vol. 46(3), pages 519-536, March.

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