2006 | OriginalPaper | Buchkapitel
A Competitive Model of Economic Geography
verfasst von : Bryan Ellickson, William Zame
Erschienen in: Institutions, Equilibria and Efficiency
Verlag: Springer Berlin Heidelberg
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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.