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Space and Competition: A Puzzle

Author

Listed:
  • Scotchmer, Suzanne
  • Thisse, Jacques-Francois

Abstract

The authors review the argument that incorporating space in economic models has two important consequences: first, the hypothesis of perfect competition becomes untenable, and second, the distinction between private and public goods becomes blurred. They summarize recent work pointing to alternative incentive systems that might lead to efficient location decisions and pricing policies.

Suggested Citation

  • Scotchmer, Suzanne & Thisse, Jacques-Francois, 1992. "Space and Competition: A Puzzle," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 26(3), pages 269-286, September.
  • Handle: RePEc:spr:anresc:v:26:y:1992:i:3:p:269-86
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    Citations

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    Cited by:

    1. Gianmarco Ottaviano, 2003. "Regional Policy in the Global Economy: Insights from New Economic Geography," Regional Studies, Taylor & Francis Journals, vol. 37(6-7), pages 665-673.
    2. Junius, Karsten, 1997. "Economies of scale: A survey of the empirical literature," Kiel Working Papers 813, Kiel Institute for the World Economy (IfW).
    3. Puga, Diego, 1996. "Urbanisation patterns: European vs less developed countries," LSE Research Online Documents on Economics 20656, London School of Economics and Political Science, LSE Library.
    4. Diego Puga, 2002. "European regional policies in light of recent location theories," Journal of Economic Geography, Oxford University Press, vol. 2(4), pages 373-406, October.
    5. Breinlich, Holger & Ottaviano, Gianmarco I.P. & Temple, Jonathan R.W., 2014. "Regional Growth and Regional Decline," Handbook of Economic Growth,in: Handbook of Economic Growth, edition 1, volume 2, chapter 4, pages 683-779 Elsevier.
    6. Caterina Marchionni, 2006. "Contrastive explanation and unrealistic models: The case of the new economic geography," Journal of Economic Methodology, Taylor & Francis Journals, vol. 13(4), pages 425-446.
    7. Yannis M. Ioannides, 2010. "Neighborhood Effects and Housing," Discussion Papers Series, Department of Economics, Tufts University 0747, Department of Economics, Tufts University.
    8. repec:spo:wpecon:info:hdl:2441/9328 is not listed on IDEAS
    9. Torben Klarl, 2009. "Modelling the folk theorem of spatial economics: a heterogeneous regional growth model," Working Papers 071, Bavarian Graduate Program in Economics (BGPE).
    10. Stein Ostbye & Sylvain Barde, 2011. "Micro foundations for knowledge spillovers in spatial equilibrium models," ERSA conference papers ersa10p794, European Regional Science Association.
    11. Rosalba Rombaldoni, 2013. "Location models of European manufacturing industry: recent changes and perspectives," Working Papers 1307, University of Urbino Carlo Bo, Department of Economics, Society & Politics - Scientific Committee - L. Stefanini & G. Travaglini, revised 2013.
    12. Gianmarco I.P. Ottaviano, 2005. "National Disparities and Regional Allocation of Resources: A Positive Framework," IDB Publications (Working Papers) 2922, Inter-American Development Bank.
    13. Ottaviano, Gianmarco I. P. & Puga, Diego, 1997. "Agglomeration in a global economy: a survey," LSE Research Online Documents on Economics 20324, London School of Economics and Political Science, LSE Library.
    14. Philippe Martin, 2000. "The Role of Public Policy in the Process of Regional Convergence," Sciences Po publications info:hdl:2441/9328, Sciences Po.
    15. Agnès Arabeyre-Petiot, 1999. "Le rôle des liaisons interurbaines dans l’arbitrage métropole-système productif localisé. Cas de la sous-traitance aéronautique dans le Sud-Ouest de la France," Post-Print halshs-01357425, HAL.
    16. repec:esx:essedp:729 is not listed on IDEAS
    17. Diego Puga & Anthony J. Venables, 1997. "Agglomeration and Economic Development: Import Substitution versus Trade Liberalisation," CEP Discussion Papers dp0377, Centre for Economic Performance, LSE.

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