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Location of Firms with Input Transactions

Author

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  • M Fujita

    (Department of Regional Science, University of Pennsylvania, Philadelphia, Pa 19104, USA)

Abstract

The locations of two firms with input-output linkages are studied. First, from a study of the equilibrium locations it is shown that there are generally an infinite number of equilibrium locational patterns for such a system, and it is argued that the actual equilibrium locations can only be determined by considering the dynamic process of the equilibrium. Then, the optimal locations are obtained, and compared with equilibrium locations. A mechanical model and a programming model are proposed to obtain the optimal locations and the equilibrium locations, respectively.

Suggested Citation

  • M Fujita, 1981. "Location of Firms with Input Transactions," Environment and Planning A, , vol. 13(11), pages 1401-1414, November.
    • Handle: RePEc:sae:envira:v:13:y:1981:i:11:p:1401-1414
    DOI: 10.1068/a131401
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    Citations

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    Cited by:

    1. Norbert Schulz & Konrad Stahl, 1985. "Localisation des oligopoles et marchés du travail locaux," Revue Économique, Programme National Persée, vol. 36(1), pages 103-134.
    2. repec:ebl:ecbull:v:3:y:2002:i:27:p:1-7 is not listed on IDEAS
    3. José Pedro Pontes, 2006. "Agglomeration and comparative advantage in vertically-related firms," Working Papers Department of Economics 2006/17, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    4. Joana Pais & José Pedro Pontes, 2008. "Fragmentation And Clustering In Vertically Linked Industries," Journal of Regional Science, Wiley Blackwell, vol. 48(5), pages 991-1006, December.

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