Introduction: Economic ties and trade blocs increase the flow of trade between participating countries and lead to different levels of economic and structural changes. Case description: This paper focuses on the structure of industrial value-added between China and Pakistan, as the two countries...

The rise in energy prices may result in long-lasting rise in costs of freight transports. Which effects do rising freight transport costs have for the development of urban systems? Such rise of transport costs in real terms has happened in Russia after price liberalisation in 1992. At the same...

We analyze the internal spatial wage and employment structures of the Czech Republic, Hungary, Poland, Slovenia and Slovakia, using regional data for 1996-2000. A new economic geography model predicts wage gradients and specialization patterns that are smoothly related to regions' relative...

This Paper analyses the interaction of economic integration and some typical regional policies in a new economic geography model with three regions of different size. The policies analysed are when the government controls the location of industry through location permits, infrastructure...

This Paper takes a broader look at how vertical linkages can trigger the spatial agglomeration of economic activity in a ‘new economic geography’ (NEG) set-up. First, it formally establishes the key positive features of a wide class of vertical-linkage models without resorting to numerical...

We generalize the model of Krugman (1991) to allow for asymmetric trade costs between regions and for (asymmetric) trade costs that are internal to the regions. We find that industrial activity, in a region, is enhanced by higher costs of importing and lower costs of exporting (more precisely,...

This paper sets up a two country monopolistic competition model with intra-industry trade to study the effects of an exogenous differential in wage and social policies on the location of industry. Two model scenarios are considered. In the traditional one with physical capital, such a...

This paper uses a two country trade and geography model of monopolistic competition to study the effects of wage policies and social policies on the location of industry. It is first shown that a union wage push in one of two otherwise identical countries induces a relocation of firms which...

The cities and towns of India constitute the world’s second largest urban system besides contributing over 50 per cent of the country’s Gross Domestic Product (GDP). This phenomenon has been neglected by the existing studies and writings on urban India. By considering 59 large cities in...

This paper explores the interactions between external trade and regional disparities in the Italian economy since unification. It argues that the advantage of the North was initially based on natural advantage (in particular the endowment of water, intensive in silk production). From 1880...