Disentangling urban network externalities: the juxtaposition of central place theory and central flow theory

Hongming Zhang and Tieshan Sun

Regional Studies, 2025, vol. 59, issue 1, 2461753

Abstract: This study proposes two types of urban network externalities under two types of external urban relations described by central place theory and central flow theory: CPT-UNE and CFT-UNE. We find that in CPT-UNE, the externalities of labour force are positive and stronger than those of capital stock, while those of knowledge are negative. In CFT-UNE, the externalities of knowledge are positive and stronger among central cities compared with those of capital stock and labour force. The asymmetric effects in CPT-UNE suggest the existence of agglomeration shadows. These findings offer guidance for policies promoting balanced regional development.

Date: 2025
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DOI: 10.1080/00343404.2025.2461753

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