On the Equilibrium Properties of Spatial Models

Treb Allen, Costas Arkolakis and Xiangliang Li

American Economic Review: Insights, 2024, vol. 6, issue 4, 472-89

Abstract: We consider a broad class of spatial models where there are many types of interactions across a large number of locations. We provide a new theorem that offers an iterative algorithm for calculating an equilibrium and sufficient and "globally necessary" conditions under which the equilibrium is unique. We show how this theorem enables the characterization of equilibrium properties for one important spatial system: an urban model with spillovers across a large number of different types of agents. An online appendix provides 12 additional examples of both spatial and nonspatial economic frameworks for which our theorem provides new equilibrium characterizations.

JEL-codes: C21 R15 R23 (search for similar items in EconPapers)
Date: 2024
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://www.aeaweb.org/doi/10.1257/aeri.20230495 (application/pdf)
https://doi.org/10.3886/E198745V1 (text/html)
https://www.aeaweb.org/doi/10.1257/aeri.20230495.appx (application/pdf)
https://www.aeaweb.org/doi/10.1257/aeri.20230495.ds (application/zip)
Access to full text is restricted to AEA members and institutional subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:aea:aerins:v:6:y:2024:i:4:p:472-89

Ordering information: This journal article can be ordered from
https://www.aeaweb.org/journals/subscriptions

DOI: 10.1257/aeri.20230495

Access Statistics for this article

American Economic Review: Insights is currently edited by Amy Finkelstein

More articles in American Economic Review: Insights from American Economic Association Contact information at EDIRC.
Bibliographic data for series maintained by Michael P. Albert ().