the quality of the match between job and worker, trade liberalization may lead to industrial agglomeration and inter …-industry trade. The agglomeration force is the improvement in the quality of matches when firms recruit from a bigger pool of labour …. The forces against agglomeration are the existence of trade costs and monopoly power in the labour market. We show that …

and integrated markets; (ii) a forward-looking approach to the dynamics of migration in the process of agglomeration …The purpose of this paper is two-fold. First, we present a model of agglomeration and trade that displays the main … agglomeration of alternative pricing policies used in the space-economy, with a special focus on the distinction between segmented …

and workers immobility across regions creates a tendency for agglomeration of firms when transportation costs are low. The …

cluster together, turning location into a self-reinforcing process. Agglomeration raises the price of immobile local factors …

the agglomeration of increasing returns activities. When workers migrate towards locations with more firms and higher real … wages, this intensifies agglomeration. When workers do not move across regions, further reductions in transport costs make …