Communication among Firms, Traffic Congestion and Office Agglomeration
In this paper, we propose a model of office location which deals explicitly with the role of face-to-face contacts among firms. In the model, the frequency of contacts with other firms are endogenously determined. The trade-off between communication activity and routine work is described by introducing a time constraint on working hours. Through numerical simulations, the properties of office location are demonstrated. First, the impacts of changes in model parameters on the spatial distribution of office firms are analyzed. Second, by taking account of traffic congestion on the road network as agglomeration diseconomy, various patterns of office distribution are described.
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Volume (Year): 27 (1993)
Issue (Month): 1 ()
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