Lai, Fu-Chuan; Tsai, Jyh-Fa - In: Journal of Urban Economics 63 (2008) 2, pp. 536-543
One important but unrealistic assumption in the simplified Alonso-Mills-Muth (AMM(0)) model is that the composite good is ubiquitous and thus there is zero shopping cost for residents. This paper assumes that the composite good is only sold by a monopoly vendor inside the city and hence a...
