Agglomeration and the Adjustment of the Spatial Economy
We consider the literatures on urban systems and New Economic Geography to examine questions concerning agglomeration and how areas respond to shocks to the economic environment. We first propose a diagrammatic framework to compare the two approaches. We then use this framework to study a number of extensions and to consider several policy relevant issues.
May 2005 Paper Number CEPDP0689
This CEP discussion paper is published under the centre's Trade programme.