Quantum agglomeration formation during growth in a combined economic-gravity model

Article Abstract:

An effort is made to demonstrate how quantum reaction to growth can be studied and modeled by combining aspects of agglomeration theory. The model and economic 'story' are used only for expository reasons. It is suggested that multiple equilibria are more common than other models would indicate. A more powerful way of describing and calculating the group of multiple equilibria is therefore needed. The entrepreneur's role is both important and natural in developing this type of model as it relates to dynamics. Some agent will probably see possibilities for gain in taking direction toward another equilibrium, especially when the stable region of a current equilibrium is reduced. It might be valuable to establish a group of econometric methods that differ from those traditionally employed.

Research, Growth, Growth (Physiology), Metropolitan areas, Equilibrium (Economics)

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A note on Lee's model of intraurban employment location

Article Abstract:

Employing a two-stage model allows an analysis of a company's location choice within an urban setting, without some of the problems encountered by K.S. Lee in defining the bid-rent function in terms of a mathematical model. Lee's model is revised to include such economic variables as: manufacturing output of the industry to be located within the urban community, amount of land required to locate the business, and the profitability of the firm as it is affected by the site selected. Mathematical formulas describe input and output expenses related to Lee's model and the revised model.

Criticism and interpretation, Industrial development, Industrialization, Employment forecasting, Lee, K.S.

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Agglomeration economies and industrial decentralization: the wage-productivity trade-offs

Article Abstract:

The wage-productivity tradeoffs involved in locating a plant in the state of Sao Paulo, Brazil, were examined. A production function approach was used to to estimate spatial variations in productivity. The findings indicated that the agglomeration economies in the Sao Paulo metropolitan area improved plant productivity, but the firms had to deal with high wage payments and high land costs. Firms could obtain labor cost savings by locating plants in the outer regions of the city. A spontaneous decentralization of industry could occur as a result of market forces.

Wages, Wages and salaries, Industrial productivity, Industrial concentration, Sao Paulo, Brazil (City), Sao Paulo, Brazil

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