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Transport development and the evolution of economic geography

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  • Masahisa Fujita

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  • Tomoya Mori

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Abstract

In this paper, based on the recent advances in the new economic geography (e.g., Fujita et al. [12]), we analyze impacts of transport costs on the spatial patterns of economic agglomeration. We first identify prototypes from the existing models, and explain the mechanism of how transport costs influence the balance between economic forces of agglomeration and dispersion. We then investigate the transformation of the agglomeration/dispersion patterns given gradually decreasing transport costs for different goods. Copyright Springer-Verlag Berlin/Heidelberg 2005

Suggested Citation

  • Masahisa Fujita & Tomoya Mori, 2005. "Transport development and the evolution of economic geography," Portuguese Economic Journal, Springer;Instituto Superior de Economia e Gestao, vol. 4(2), pages 129-156, August.
  • Handle: RePEc:spr:portec:v:4:y:2005:i:2:p:129-156 DOI: 10.1007/s10258-005-0042-6
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    References listed on IDEAS

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    1. Thomas J. Dohmen & Ben Kriechel & Gerard A. Pfann, 2004. "Monkey bars and ladders: The importance of lateral and vertical job mobility in internal labor market careers," Journal of Population Economics, Springer;European Society for Population Economics, vol. 17(2), pages 193-228, June.
    2. Bloemen, Hans G & Stancanelli, Elena G F, 2001. "Individual Wealth, Reservation Wages, and Transitions into Employment," Journal of Labor Economics, University of Chicago Press, vol. 19(2), pages 400-439, April.
    3. Kenneth Burdett & Tara Vishwanath, 1988. "Declining Reservation Wages and Learning," Review of Economic Studies, Oxford University Press, vol. 55(4), pages 655-665.
    4. Joseph G. Altonji & Charles R. Pierret, 2001. "Employer Learning and Statistical Discrimination," The Quarterly Journal of Economics, Oxford University Press, vol. 116(1), pages 313-350.
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    Cited by:

    1. Koji Nishikimi & Ikuo Kuroiwa, 2011. "Analytical Framework for East Asian Integration (1): Industrial Agglomeration and Concentrated Dispersion," Chapters,in: The Economics of East Asian Integration, chapter 2 Edward Elgar Publishing.
    2. Herrerias, M.J. & Ordoñez, J., 2012. "New evidence on the role of regional clusters and convergence in China (1952–2008)," China Economic Review, Elsevier, vol. 23(4), pages 1120-1133.
    3. Mori, Tomoya & Smith, Tony E., 2015. "On the spatial scale of industrial agglomerations," Journal of Urban Economics, Elsevier, vol. 89(C), pages 1-20.
    4. Gordon Mulligan & Mark Partridge & John Carruthers, 2012. "Central place theory and its reemergence in regional science," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 48(2), pages 405-431, April.
    5. Carl Gaigne & Kristian Behrens, 2006. "Density (dis)economies in transportation: revisiting the core-periphery model," Economics Bulletin, AccessEcon, vol. 18(5), pages 1-7.
    6. Tabuchi, Takatoshi & Thisse, Jacques-François, 2011. "A new economic geography model of central places," Journal of Urban Economics, Elsevier, pages 240-252.
    7. Gilles Duranton, 2007. "From cities to productivity and growth in developing countries," Working Papers tecipa-306, University of Toronto, Department of Economics.
    8. Olga Alonso-Villar, 2006. "A Reflection On The Effects Of Transport Costs Within The New Economic Geography," Working Papers 57, ECINEQ, Society for the Study of Economic Inequality.
    9. Van-Ilya, Andrei, 2012. "Spatial Allocation of Economy as a Fiber Bundle," MPRA Paper 40820, University Library of Munich, Germany.
    10. repec:ebl:ecbull:v:18:y:2006:i:5:p:1-7 is not listed on IDEAS

    More about this item

    Keywords

    New economic geography; Agglomeration; Dispersion; Transport costs;

    JEL classification:

    • 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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