This paper extends the urban growth model of Duranton and Puga (2022) to explore the impact of cities on local firms and households and the aggregate economy of Germany. We adopt alternative micro-foundations for agglomeration economies and a non-linear specification of human capital...

This paper extends the urban growth model of Duranton and Puga (2022) to explore the impact of cities on local firms and households and the aggregate economy of Germany. We adopt alternative micro-foundations for agglomeration economies and a non-linear specification of human capital...

This paper presents a modified Helpman model (1998) with an added tradable agriculture good, and modifies the manufacturing production function according to Forslid and Ottaviano (2003) to identify all possible spatial configurations of a two-region economy. Moreover, the current work neatly...