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Industry Cost Curves and the Spatial Organisation of Production

Author

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  • Parr, John B
  • Swales, J K

Abstract

The nature of production is examined for a particular class of economic activity at the level of the region. Average cost conditions at the plant level are specified, from which the long-run average cost curve of the regional industry is derived. Attention is then drawn to certain features of this curve, including the upward-sloping form over part of its length. Consideration is also given to different types of adjustment over various time horizons. Finally, for a regional industry under unified control, long-run equilibrium is specified for alternative forms of competition in the extraregional product market. Copyright 1996 by Scottish Economic Society.

Suggested Citation

  • Parr, John B & Swales, J K, 1996. "Industry Cost Curves and the Spatial Organisation of Production," Scottish Journal of Political Economy, Scottish Economic Society, vol. 43(3), pages 301-316, August.
    • Handle: RePEc:bla:scotjp:v:43:y:1996:i:3:p:301-16
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