The New Economic Geography: A Selective Survey

Masahisa Fujita and Jacques Thisse
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Masahisa Fujita: Kyoto University

Chapter 2 in Contemporary Economic Issues, 1998, pp 23-43 from Palgrave Macmillan

Abstract: Abstract ‘Nearly half the world’s population and three-quarters of all westerners live in cities’ (The Economist, 29 July 1995). This mere, crude fact can no longer be put aside. We are therefore led to raise the following, fundamental question: why do economic activities tend to agglomerate in a small number of places (typically cities)? More precisely, we want to explain why some particular economic activities choose to establish themselves in some particular places, and what is the resulting geographical organization of the economy.

Keywords: Transport Cost; Trade Cost; Economic Geography; Price Competition; Central Business District (search for similar items in EconPapers)
Date: 1998
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DOI: 10.1007/978-1-349-26084-3_2

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