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Agricultural sector and industrial agglomeration

Pierre Picard and Dao-Zhi Zeng ()

No 2003022, LIDAM Discussion Papers CORE from Université catholique de Louvain, Center for Operations Research and Econometrics (CORE)

Abstract: We investigate an economic geography model in which agricultural goods are costly to transport and in which manufactures hire labor from the local agricultural sector as unskilled labor. We show that agricultural transport costs and local-unskilled labor requirements in firms act as a dispersion force. Location equilibria are compared with the first and second best outcomes and we show that their structure crucially depend on the parameters of agricultural sector.

Keywords: agricultural sector; agglomeration; migration; labor market (search for similar items in EconPapers)
JEL-codes: O18 R12 R13 (search for similar items in EconPapers)
Date: 2003-03
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Citations: View citations in EconPapers (4)

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Related works:
Journal Article: Agricultural sector and industrial agglomeration (2005) Downloads
Working Paper: Agricultural sector and industrial agglomeration (2005)
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Persistent link: https://EconPapers.repec.org/RePEc:cor:louvco:2003022

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