We study the effects of a decrease in inter-city transport costs on the spatial distribution of population in a multi … transport costs are reduced gradually from a very high level to a very low level, there is a first phase in which large cities … to vary as transport costs are reduced from large to small values, it first decreases and then increases …

stronger the market power of firms as well as the intensity of increasing returns to scale and the lower the trade costs. As …

-agglomeration (fewer cities, which tend to be over-sized) and low welfare; ii) the higher the level of spatial (i.e. transport costs) and …

-agglomeration (fewer cities, which tend to be over-sized) and low welfare; ii) the higher the level of spatial (i.e. transport costs) and …

So far the contribution of New Economic Geography (NEG) has been mainly positive. Normative analysis and policy …

of a new class of trade models: the New New Trade Theory which accounts for firm heterogeneity and market entry costs …

We develop a structural framework that allows us to quantify the evolution of aggregate bilateral trade costs and … costs have fallen by 3.1% per year on average, we find a strong negative correlation between observed trade cost and markup …