A Chamberlinian Agglomeration Model with External Economies of Scale

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説明

We investigate the effects of a reduction in trade costs on industrial location and welfare in an economy with external economies of scale. We propose a Chamberlinian agglomeration model with footloose capital, which is analytically-solvable. With respect to industrial location, we demonstrate that a reduction in trade cost is likely to lead to agglomeration. With respect to welfare, we show that agglomeration makes a country with agglomeration better off, and the country without agglomeration better or worse off, depending on the degree of external economies of scale. We also prove that agglomeration makes the overall economy better off.

収録刊行物

  • Discussion Paper, Series A

    Discussion Paper, Series A 242 1-25, 2011-08

    Graduate School of Economics and Business Administration, Hokkaido University

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詳細情報 詳細情報について

  • CRID
    1050564288962784128
  • NII論文ID
    120003277550
  • HANDLE
    2115/46972
  • 本文言語コード
    en
  • 資料種別
    departmental bulletin paper
  • データソース種別
    • IRDB
    • CiNii Articles

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