Industrial Economics: advances in economic geography
Jacques Thisse, CORE, Université catholique de Louvain
Where: CORE, 34 Voie du Roman Pays, Louvain la Neuve
When: 10, 17, 24 February; 2, 9, 16, 23 and 30 March 2004 from 10:45 to 12:45 a.m.
Program and reading list
General references
-Baldwin R., R. Forslid , Ph. Martin, G. Ottaviano and F. Robert-Nicoud (2003) Economic
Geography and Public Policy, Princeton (NJ), Princeton University Press.
-Fujita, M., P. Krugman and A.J. Venables (1999) The Spatial Economy. Cities, Regions and
International Trade, Cambridge (MA), The MIT Press.
-Fujita, M and J.-F. Thisse (2002) Economics of Agglomeration. Cities, Industrial Location
and Regional Growth, Cambridge, Cambridge University Press, 2002. Chapter 1.
-Krugman, P. (1991) Geography and Trade, Cambridge (MA), The MIT Press.
-Ottaviano, G. and J.-F. Thisse (2004) Agglomeration and economic geography, in J.V.
Henderson and J.-F. Thisse, eds., Handbook of Regional ad Urban Economics. Volume IV,
Amsterdam, North-Holland.
1. Do we observe economic agglomerations and why?
-Combes and H. Overman (2004) Spatial distribution of economic activities in the European
Union, in J.V. Henderson and J.-F. Thisse, eds., Handbook of Regional ad Urban Economics.
Volume IV, Amsterdam, North-Holland.
-Fujita and Thisse (2002), Chapter 1.
-Hohenberg (2004) Historical geography of Europe, in J.V. Henderson and J.-F. Thisse, eds.,
Handbook of Regional ad Urban Economics. Volume IV, Amsterdam, North-Holland.
-Holmes and J. Stevens (2004) Spatial distribution of economic activities in North America,
in J.V. Henderson and J.-F. Thisse, eds., Handbook of Regional ad Urban Economics. Volume
IV, Amsterdam, North-Holland.
2. The market structure problem in geographical economics and the Spatial
Impossibility Theorem
-Fujita and Thisse (2002), Chapter 2.
-Gabszewicz and Thisse (1986) Spatial competition and the location of firms, in: J.J.
Gabszewicz, J.-F. Thisse, M. Fujita and U. Schweizer, Location Theory, Chur, Harwood
Academic Publishers, 1-71.
-Koopmans and Beckmann (1957) Assignment problems and the location of economic
activities, Econometrica 25, 1401-1414.
-Ottaviano and Thisse (2004a) What about the ‘N’ in the so-called New Economic
Geography? CORE, memo.
-Starrett (1978) Market allocations of location choice in a model with free mobility, Journal
of Economic Theory 17, 21-37.
3. The home market effect
-Baldwin et al. (2003), Chapter 3.
-Head and Mayer (2004) The empirics of agglomeration and trade, in J.V. Henderson and J.F. Thisse, eds., Handbook of Regional ad Urban Economics. Volume IV, Amsterdam, NorthHolland.
-Helpman and Krugman (1985) Market Structure and Foreign Trade, Cambridge (MA), The
MIT Press. Chapter 10.
-Krugman (1980) Scale economies, product differentiation, and the pattern of trade, American
Economic Review 70, 950-959.
-Ottaviano and Thisse (2004).
4. The core-periphery structure
-Charlot, Gaigné, Robert-Nicoud and Thisse (2003) Agglomeration and welfare: the coreperiphery model in the light of Bentham, Kaldor, and Rawls, CORE Discussion Paper N°39.
-Fujita et al. (1999), Chapters 4 and 5.
-Fujita and Thisse (2002), Chapter 9.
-Head and Mayer (2004) The empirics of agglomeration and trade, in J.V. Henderson and J.F. Thisse, eds., Handbook of Regional ad Urban Economics. Volume IV, Amsterdam, NorthHolland.
-Krugman (1991) Increasing returns and economic geography, Journal of Political Economy
99, 483-499.
-Neary (2001) Of hype and hyperbolas: introducing the new economic geography, Journal of
Economic Literature 39, 536-561.
-Ottaviano, Tabuchi and Thisse (2002) Agglomeration and trade revisited, International
Economic Review 43, 409-436.
-Ottaviano and Thisse (2004).
5. Probabilistic migrations
-Anderson, de Palma and Thisse (1992) Discrete Choice Theory of Product Differentiation,
Cambridge (MA), The MIT Press. Chapters 2 and 5.
-Ginsburgh, Papageorgiou and Thisse (1985) On existence and stability of spatial equilibria
and steady-states, Regional Science and Urban Economics 15, 149-158.
-Murata (2003) Product diversity, taste heterogeneity, and geographic distribution of
economic activities: market vs. non-market interactions, Journal of Urban Economics 53,
126-144.
-Tabuchi and Thisse (2002) Taste heterogeneity, labor mobility and economic geography,
Journal of Development Economics 69, 155-177.
6. Agglomeration and Trade
-Ades and Glaeser (1995) Trade and circuses: explaining urban giants, Quarterly Journal of
Economics 110, 195-227.
-Behrens, Gaigné, Ottaviano and Thisse (2003) Interregional and international trade: Seventy
years after Ohlin, CEPR Discussion Paper.
-Krugman and Livas Elizondo (1996) Trade policy and the third world metropolis, Journal of
Development Economics 49, 137-150.
7. Urban costs
-Helpman (1998) The size of regions, in: D. Pines, E. Sadka and I. Zilcha, eds., Topics in
Public Economics. Theoretical and applied analysis, Cambridge, Cambridge University
Press, 33-54.
-Ottaviano et al. (2002).
-Tabuchi (1998) Agglomeration and dispersion: a synthesis of Alonso and Krugman, Journal
of Urban Economics 44, 333-351.
-Tabuchi and Thisse (2003) Regional specialization, urban hierarchy, and commuting costs,
CORE Discussion Paper N°60.