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Economic geography and endogenous determination of transportation technology

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  • TAKAHASHI, Takaaki

Abstract

This paper studies the interdependence of economic geography and transportation technology. A two-region model is used to obtain the conditions for the modern transportation technology to be adopted in an economy. In particular, the impact of economic geography upon the adoption of the modern technology is examined. Furthermore, I discuss what combination of economic geography (symmetric or coreperiphery pattern) and transportation technology (traditional or modern technology) is to be realized in an economy.

Suggested Citation

  • TAKAHASHI, Takaaki, 2005. "Economic geography and endogenous determination of transportation technology," CORE Discussion Papers 2005014, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  • Handle: RePEc:cor:louvco:2005014
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    File URL: https://uclouvain.be/en/research-institutes/immaq/core/dp-2005.html
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    References listed on IDEAS

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    1. Behrens, Kristian, 2007. "On the location and lock-in of cities: Geography vs transportation technology," Regional Science and Urban Economics, Elsevier, vol. 37(1), pages 22-45, January.
    2. Rikard Forslid & Gianmarco I.P. Ottaviano, 2003. "An analytically solvable core-periphery model," Journal of Economic Geography, Oxford University Press, vol. 3(3), pages 229-240, July.
    3. Murphy, Kevin M & Shleifer, Andrei & Vishny, Robert W, 1989. "Industrialization and the Big Push," Journal of Political Economy, University of Chicago Press, vol. 97(5), pages 1003-1026, October.
    4. Krugman, Paul, 1991. "Increasing Returns and Economic Geography," Journal of Political Economy, University of Chicago Press, vol. 99(3), pages 483-499, June.
    5. Gianmarco I. P. Ottaviano & Diego Puga, 1998. "Agglomeration in the Global Economy: A Survey of the 'New Economic Geography'," The World Economy, Wiley Blackwell, vol. 21(6), pages 707-731, August.
    6. Mori, Tomoya & Turrini, Alessandro, 2005. "Skills, agglomeration and segmentation," European Economic Review, Elsevier, vol. 49(1), pages 201-225, January.
    7. J.Peter Neary, 2001. "Of Hype and Hyperbolas: Introducing the New Economic Geography," Journal of Economic Literature, American Economic Association, vol. 39(2), pages 536-561, June.
    8. Mori, Tomoya & Nishikimi, Koji, 2002. "Economies of transport density and industrial agglomeration," Regional Science and Urban Economics, Elsevier, vol. 32(2), pages 167-200, March.
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    More about this item

    Keywords

    core-periphery pattern; lock-in-effect; modern transportation technology; symmetric pattern; traditional transportation technology; transportation cost;

    JEL classification:

    • F11 - International Economics - - Trade - - - Neoclassical Models of Trade
    • R13 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies

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