Alternative Spatial Models

Stefano Colombo ()
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Stefano Colombo: Università Cattolica del Sacro Cuore

Chapter Chapter 4 in Spatial Economic Modelling, 2025, pp 63-92 from Springer

Abstract: Abstract In this chapter, I consider several variations of the basic Hotelling model. In particular, I consider the case of a circular instead of linear distribution of the consumers (Salop circle). I also consider the case where the consumers are agglomerated in two or more cities (barbell model), or they are distributed along spokes (spokes model), or along a triangle (triangular Hotelling model). I discuss a model combining the linear and the Hotelling model (quasi-linear city model), and I introduce a model where the cost of moving depends on the direction (unidirectional Hotelling model). Finally, I show that spatial models can also be used to analyse vertical differentiation between firms.

Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-3-031-82787-7_4

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DOI: 10.1007/978-3-031-82787-7_4

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