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A competitive model of economic geography

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  • Bryan Ellickson
  • William Zame

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Abstract

Most of the literature argues that competitive analysis has nothing interesting to say about location. This paper argues, to the contrary, that a competitive model can have something interesting to say about location, provided that locations are not identical and transportation costs are not zero. To do this, it constructs a competitive intertemporal general equilibrium model and applies it to a suggestive example of migration. Copyright Springer-Verlag Berlin/Heidelberg 2005

Suggested Citation

  • Bryan Ellickson & William Zame, 2005. "A competitive model of economic geography," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 25(1), pages 89-103, January.
  • Handle: RePEc:spr:joecth:v:25:y:2005:i:1:p:89-103
    DOI: 10.1007/s00199-003-0466-0
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    Citations

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    Cited by:

    1. Josemari Aizpurua & Juan Miguel Benito & Javier Puértolas, 2003. "Market allocations of location choice: An example," Documentos de Trabajo - Lan Gaiak Departamento de Economía - Universidad Pública de Navarra 0304, Departamento de Economía - Universidad Pública de Navarra.
    2. Berliant, Marcus & Konishi, Hideo, 2000. "The endogenous formation of a city: population agglomeration and marketplaces in a location-specific production economy," Regional Science and Urban Economics, Elsevier, vol. 30(3), pages 289-324, May.
    3. Juan Alcácer & Cristian Dezső & Minyuan Zhao, 2015. "Location choices under strategic interactions," Strategic Management Journal, Wiley Blackwell, vol. 36(2), pages 197-215, February.
    4. Konishi, Hideo, 2000. "Formation of Hub Cities: Transportation Cost Advantage and Population Agglomeration," Journal of Urban Economics, Elsevier, vol. 48(1), pages 1-28, July.
    5. Peter Hammond & Jaume Sempere, 2009. "Migration with local public goods and the gains from changing places," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 41(3), pages 359-377, December.
    6. Mitsunori Noguchi & William R Zame, 2004. "Equilibrium Distributions With Externalities," UCLA Economics Working Papers 837, UCLA Department of Economics.
    7. Mark Guzman & Joseph Haslag & Pia Orrenius, 2008. "On the determinants of optimal border enforcement," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 34(2), pages 261-296, February.

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