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Large Metropolises in the Third World: An Explanation

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  • Olga Alonso-Villar

    (Departamento de Economía Aplicada, Universidade de Vigo, Lagoas-Marcosende s/n, 36200 Vigo, Spain, ovillar@uvigo.es)

Abstract

In this paper, we have developed a model that sets out to explain the existence of megacities in developing countries, in the context of a Krugman-type core-periphery model. The paper also suggests that agglomeration can be fostered by manufacturers mainly serving the domestic market. However, the analysis goes further by emphasising that megacities are not only the result of protective trade policies, but also the consequence of the relative position of a country, in terms of industrialisation, with respect to the rest of the world.

Suggested Citation

  • Olga Alonso-Villar, 2001. "Large Metropolises in the Third World: An Explanation," Urban Studies, Urban Studies Journal Limited, vol. 38(8), pages 1359-1371, July.
    • Handle: RePEc:sae:urbstu:v:38:y:2001:i:8:p:1359-1371
    DOI: 10.1080/00420980120061070
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    References listed on IDEAS

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    1. Olga Alonso-Villar, 2001. "Metropolitan areas and public infrastructure," Investigaciones Economicas, Fundación SEPI, vol. 25(1), pages 139-169, January.
    2. Krugman, Paul & Elizondo, Raul Livas, 1996. "Trade policy and the Third World metropolis," Journal of Development Economics, Elsevier, vol. 49(1), pages 137-150, April.
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    8. Dixit, Avinash K & Stiglitz, Joseph E, 1977. "Monopolistic Competition and Optimum Product Diversity," American Economic Review, American Economic Association, vol. 67(3), pages 297-308, June.
    9. Olga Alonso-Villar, 2000. "Spatial Distribution of Production and Education," Documentos de trabajo - Analise Economica 0008, IDEGA - Instituto Universitario de Estudios e Desenvolvemento de Galicia.
    10. Hanson, Gordon H., 1996. "Economic integration, intraindustry trade, and frontier regions," European Economic Review, Elsevier, vol. 40(3-5), pages 941-949, April.
    11. Fujita, Masahisa, 1993. "Monopolistic competition and urban systems," European Economic Review, Elsevier, vol. 37(2-3), pages 308-315, April.
    12. Villar, Olga Alonso, 1999. "Spatial distribution of production and international trade: a note," Regional Science and Urban Economics, Elsevier, vol. 29(3), pages 371-380, May.
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    More about this item

    JEL classification:

    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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