Agglomeration of Low-productive Entrepreneurs to Large Regions: A Simple Model

Rikard Forslid and Toshihiro Okubo

Discussion papers from Research Institute of Economy, Trade and Industry (RIETI)

Abstract: This paper develops a simple model of spatial sorting where the least productive entrepreneurs are drawn to the large core region. This is an unusual feature. The literature on spatial sorting typically shows how the most productive individuals and firms agglomerate to the core. However, our model is consistent with data that reveals that large agglomerations also attract unproductive entrepreneurs.

Pages: 18 pages
Date: 2019-12
New Economics Papers: this item is included in nep-ent, nep-geo and nep-sbm
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.rieti.go.jp/jp/publications/dp/19e102.pdf (application/pdf)

Related works:
Journal Article: Agglomeration of low-productive entrepreneurs to large regions: a simple model (2021)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eti:dpaper:19102

Access Statistics for this paper

More papers in Discussion papers from Research Institute of Economy, Trade and Industry (RIETI) Contact information at EDIRC.
Bibliographic data for series maintained by TANIMOTO, Toko ().