Economic Linkages Across Space

Anthony Venables, Patricia Rice and Henry Overman

No 6786, CEPR Discussion Papers from Centre for Economic Policy Research

Abstract: We develop a diagrammatic framework that can be used to study the economic linkages between regions or cities. Hitherto, such linkages have not been the primary focus of either the theoretical or empirical literatures. We use the framework to analyse the impact of shocks that occur in one region (eg productivity improvements or increases in housing supply) on other regions, highlighting the key adjustment mechanisms and their long run implications for incomes, the cost of living, and the spatial distribution of population. Our general approach provides a framework encompassing both the New Economic Geography and Urban Systems literatures. We link our approach to these literatures and review empirical studies that quantify the key mechanisms that we have identified.

Keywords: New economic geography; Spatial linkages; Urban and regional policy; Urban systems (search for similar items in EconPapers)
JEL-codes: R00 R58 (search for similar items in EconPapers)
Date: 2008-04
New Economics Papers: this item is included in nep-geo and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9)

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Related works:
Journal Article: Economic Linkages across Space (2010)
Working Paper: Economic linkages across space (2010)
Working Paper: Economic Linkages Across Space (2007)
Working Paper: Economic linkages across space (2007)
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