Some supply and demand considerations in urban spatial interaction models

Although attempts have been made recently to include supply considerations in urban spatial interaction models, these efforts have not been comprehensive. In this paper, demand-type models are first examined. Then it is demonstrated how spatial consumption patterns can be determined when potential supply exceeds actual demand or vice versa. In addition, supply and demand imbalances are treated simultaneously. Last, a model for handling steady state supply - demand equilibrium is developed, which includes the effects of delays between customers entering the housing or land markets and finally making a choice. The case of uniform steady state supply is distinguished from that where new supply occurs at discrete intervals.