Interregional trade, industrial location and import infrastructure
The purpose of this study is to illustrate, with a simple two-region, two-good, two-factor model, how an improvement in one region fs import infrastructure can affect firms f location decisions and the nature of the trading equilibrium. It is shown that, through improvements in import infrastructure, one region might divert high-tech industries to another region. This effect reduces the incentive to improve import infrastructure.
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Volume (Year): 6 (2009)
Issue (Month): 4 (December)
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