Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You or Your Team.

Learn More →

The footloose entrepreneur model with heterogeneous productivity firms

The footloose entrepreneur model with heterogeneous productivity firms This paper develops a footloose entrepreneur model with heterogeneous productivity in a country. In differing from von Ehrlich and Seidel (2013), our model shows that raising the heterogeneity of firms does not always foster industrial agglomeration, because the elasticity of substitution of products plays a dispersion role in industrial spatial distribution. When the elasticity of substitution is high, raising the heterogeneity of firms will tend to form a spatial symmetric distribution. On the other hand, when the elasticity of substitution is low, raising the heterogeneity of firms will tend to form a core-periphery distribution. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png The Annals of Regional Science Springer Journals

The footloose entrepreneur model with heterogeneous productivity firms

Lu, Po-Hao; Tsai, Jyh-Fa
The Annals of Regional Science , Volume OnlineFirst – Apr 13, 2023
Download PDF
20 pages

Loading next page...
 
/lp/springer-journals/the-footloose-entrepreneur-model-with-heterogeneous-productivity-firms-zB5MllFF60

References (26)

Publisher
Springer Journals
Copyright
Copyright © The Author(s), under exclusive licence to Springer-Verlag GmbH Germany, part of Springer Nature 2023. Springer Nature or its licensor (e.g. a society or other partner) holds exclusive rights to this article under a publishing agreement with the author(s) or other rightsholder(s); author self-archiving of the accepted manuscript version of this article is solely governed by the terms of such publishing agreement and applicable law.
ISSN
0570-1864
eISSN
1432-0592
DOI
10.1007/s00168-023-01216-3
Publisher site
See Article on Publisher Site

Abstract

This paper develops a footloose entrepreneur model with heterogeneous productivity in a country. In differing from von Ehrlich and Seidel (2013), our model shows that raising the heterogeneity of firms does not always foster industrial agglomeration, because the elasticity of substitution of products plays a dispersion role in industrial spatial distribution. When the elasticity of substitution is high, raising the heterogeneity of firms will tend to form a spatial symmetric distribution. On the other hand, when the elasticity of substitution is low, raising the heterogeneity of firms will tend to form a core-periphery distribution.

Journal

The Annals of Regional Science – Springer Journals

Published: Apr 13, 2023

Keywords: F12; F22; R12

There are no references for this article.