An Energy-centric Theory of Agglomeration

Juan Moreno-Cruz and M. Scott Taylor

No 22964, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: This paper sets out a simple spatial model of energy exploitation to ask how the location and productivity of energy resources affects the distribution of economic activity across geographic space. By combining elements from energy economics and economic geography we link the productivity of energy resources to the incentives for economic activity to agglomerate. We find a novel scaling law links the productivity of energy resources to population sizes, while rivers and roads effectively magnify productivity. We show how our theory's predictions concerning a single core, aggregate to predictions over regional landscapes and city size distributions at the country level.

JEL-codes: N0 Q0 R0 (search for similar items in EconPapers)
Date: 2016-12
New Economics Papers: this item is included in nep-ene and nep-ure
Note: EEE
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Published as Juan Moreno-Cruz & M. Scott Taylor, 2017. "An energy-centric theory of agglomeration," Journal of Environmental Economics and Management, vol 84, pages 153-172.

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Journal Article: An energy-centric theory of agglomeration (2017)
Working Paper: An Energy-centric Theory of Agglomeration (2017)
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