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City sizes and industry concentration

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  • Franco Neto, Afonso Arinos de Mello

Abstract

In a general equilibrium model of trade under transportation costs between two cities we show how the relative population sizes are simultaneously detemined with the degree of geographic concentration of industries characterized by different elasticities of scale of production. The effect on city size of the presence of nontraded goods is also analyzed.

Suggested Citation

  • Franco Neto, Afonso Arinos de Mello, 1995. "City sizes and industry concentration," FGV EPGE Economics Working Papers (Ensaios Economicos da EPGE) 263, EPGE Brazilian School of Economics and Finance - FGV EPGE (Brazil).
    • Handle: RePEc:fgv:epgewp:263
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    References listed on IDEAS

    as
    1. Krugman, Paul, 1980. "Scale Economies, Product Differentiation, and the Pattern of Trade," American Economic Review, American Economic Association, vol. 70(5), pages 950-959, December.
    2. Paul R. Krugman, 1991. "First Nature, Second Nature, and Metropolitan Location," NBER Working Papers 3740, National Bureau of Economic Research, Inc.
    3. Krugman, Paul, 1991. "Increasing Returns and Economic Geography," Journal of Political Economy, University of Chicago Press, vol. 99(3), pages 483-499, June.
    4. Krugman, Paul R., 1979. "Increasing returns, monopolistic competition, and international trade," Journal of International Economics, Elsevier, vol. 9(4), pages 469-479, November.
    5. Abdel-Rahman, H. M., 1988. "Product differentiation, monopolistic competition and city size," Regional Science and Urban Economics, Elsevier, vol. 18(1), pages 69-86, February.
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