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Variability and Location

A Camacho and Joseph Persky ()

Environment and Planning A, 1990, vol. 22, issue 1, 69-77

Abstract: In a world of constant variation, locational patterns of firms and industries affect the cost of required adaptations. The efficiency of a locational decision is influenced by the extent and character of the variation with which a firm must cope. Adaptation to change is defined here in the context of the theory of the division of labor. Labor must be allocated both to tasks and to locations. A set of stylized examples for multiplant firms demonstrate that the advantages of a geographically decentralized pattern depend on the extent and frequency of change. Spatial variation in the pattern of change also has important effects.

Date: 1990
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Persistent link: https://EconPapers.repec.org/RePEc:sae:envira:v:22:y:1990:i:1:p:69-77

DOI: 10.1068/a220069

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