This paper reconsiders a dynamic model of the telephone system developed by Artle and Averous, which for the first time introduces public goods in a dynamic framework. With a more restrictive set of assumptions, their proposition showing self-sustaining growth in the demand for telephones is...

A model of consumer behavior is developed in which, owing to a nonconvexity in the transportation cost of obtaining the desired commodity bundle, consumers are attracted to marketplaces offering a larger variety of commodities. Impacts on marketeers' equilibrium locations and pricing strategies...