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Border effects and urban structure

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  • Dávid K. Nagy

Abstract

I propose a general model of economic geography to investigate the effect of border changes on the spatial distribution of population. I decompose the total effect into a standard "local effect" related to the change in distance from borders, and a novel "global effect" related to centrality before the border change. The global effect is especially strong in economies with a dominant central region that is home to a large fraction of the country's population. Conforming to this prediction, I show that the global effect played an important role in the population reallocation in Hungary after border changes in 1920.

Suggested Citation

  • Dávid K. Nagy, 2015. "Border effects and urban structure," CeFiG Working Papers 21, Center for Firms in the Global Economy, revised 15 Jul 2015.
    • Handle: RePEc:cfg:cfigwp:21
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    Cited by:

    1. Brülhart, Marius & Carrère, Céline & Robert-Nicoud, Frédéric, 2018. "Trade and towns: Heterogeneous adjustment to a border shock," Journal of Urban Economics, Elsevier, vol. 105(C), pages 162-175.
    2. Rueda, Valeria & A'Hearn, Brian, 2020. "Internal Borders and Population Geography in the Unification of Italy," CEPR Discussion Papers 14604, C.E.P.R. Discussion Papers.

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