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The Eludation of a Critic on the Core-Periphery Model - The analytic solution

Author

Listed:
  • Viorica Puscaciu

    (Danubius University, Galati, Romania)

  • Florin Dan Puscaciu

    (Dunarea de Jos University of Galati, Romania)

Abstract

One of the major critiques of Paul Krugman’s standard core-periphery model (1991), which model forms the bottom of so called ‘The New Economic Geography’, is the impossibility of his analytic solution, reason for which difficult digital simulations are enforced. Getting a function and an analytic solution enables a better description of the process of agglomeration and at the same time, the presentation of the authors, with title of novelty, of graphics on the logarithmic scale, which aligns as a complementary form to the traditional ones. The adaptation and the presentation of the model with a software help, as Maple computer program, permits also the complete understanding of the solvable analytic model.

Suggested Citation

  • Viorica Puscaciu & Florin Dan Puscaciu, 2005. "The Eludation of a Critic on the Core-Periphery Model - The analytic solution," Economics and Applied Informatics, "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration, issue 1, pages 21-26, JUNE.
    • Handle: RePEc:ddj:fseeai:y:2005:i:1:p:21-26
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    References listed on IDEAS

    as
    1. Krugman, Paul, 1991. "Increasing Returns and Economic Geography," Journal of Political Economy, University of Chicago Press, vol. 99(3), pages 483-499, June.
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