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  • 标题:Regional inequality and product variety
  • 本地全文:下载
  • 作者:Kristian, BEHRENS, Jacques-François, THISSE
  • 期刊名称:Discussion Paper / Département des Sciences Économiques de l'Université Catholique de Louvain
  • 印刷版ISSN:1379-244X
  • 出版年度:2005
  • 卷号:1
  • 出版社:Université catholique de Louvain
  • 摘要:We investigate how differences in set-up costs of various types affect the trade-off between global efficiency and spatial equity and show that the standard assumption of symmetry in fixed costs masks the existence of an interesting effect : the range of available varieties varies depends on the spatial distribution of firms. In such a setting, even when the market outcome leads to excessive agglomeration under symmetric fixed costs, a planner opts for asymmetric fixed costs and more agglomeration. The reason is that the losses induced by more agglomeration are offset by the gains due to additional product variety.
  • 关键词:fixed costs; set-up costs; market size; international trade; homemarket effect
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