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Spatial frictions

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journal contribution
posted on 2023-06-09, 15:19 authored by Kristian Behrens, Giordano Mion, Yasusada Murata, Jens Suedekum
The world is replete with spatial frictions. Shipping goods across cities entails trade frictions. Commuting within cities causes urban frictions. How important are these frictions in shaping the spatial economy? We develop and quantify a multi-city general equilibrium model to address this question at three different levels: Do spatial frictions matter for the city-size distribution? Do they affect individual city sizes? Do they contribute to the productivity advantage of large cities and the toughness of competition in cities? The short answers are: no; yes; and it depends.

History

Publication status

  • Published

File Version

  • Accepted version

Journal

Journal of Urban Economics

ISSN

0094-1190

Publisher

Elsevier

Issue

1

Volume

97

Page range

40-70

Department affiliated with

  • Economics Publications

Full text available

  • Yes

Peer reviewed?

  • Yes

Legacy Posted Date

2018-10-05

First Open Access (FOA) Date

2018-11-01

First Compliant Deposit (FCD) Date

2018-10-02

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