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Agglomeration theory with heterogeneous agents

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  • Behrens, Kristian
  • Robert-Nicoud, Frédéric

Abstract

This chapter surveys recent developments in agglomeration theory within a unifying framework. We highlight how locational fundamentals, agglomeration economies, the spatial sorting of heterogeneous agents, and selection effects affect the size, productivity, composition, and inequality of cities, as well as their size distribution in the urban system.

Suggested Citation

  • Behrens, Kristian & Robert-Nicoud, Frédéric, 2014. "Agglomeration theory with heterogeneous agents," CEPR Discussion Papers 10184, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:10184
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    More about this item

    Keywords

    agglomeration; city-size distribution; heterogeneous agents; inequality; selection; sorting;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • 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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