Agglomeration processes in aging societies

Theresa Grafeneder-Weissteiner () and Klaus Prettner

No 131, Department of Economics Working Paper Series from WU Vienna University of Economics and Business

Abstract: This article investigates agglomeration processes in aging societies by introducing an overlapping generation structure into a New Economic Geography model. Whether higher economic integration leads to spatial concentration of economic activity crucially hinges on the economies' demographic properties. While population aging as represented by declining birth rates strengthens agglomeration processes, declining mortality rates weaken them. This is due to the fact that we allow for nonconstant population size. In particular, we show that population growth acts as an important dispersion force that augments the distributional effects on agglomeration processes resulting from the turnover of generations. (author's abstract)

Keywords: agglomeration; population aging; population growth; Bevölkerung; Alter; Agglomeration; Bevölkerungswachstum; Industrie; Standortfaktor (search for similar items in EconPapers)
Date: 2010
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Working Paper: Agglomeration processes in ageing societies (2010)
Working Paper: Agglomeration processes in aging societies (2010)
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