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Continuous Logit Polycentric City Model

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  • Wrede, Matthias
Abstract
This paper analyzes a closed linear polycentric city with homogenous households who probabilistically select their workplace and residence locations. The study utilizes a continuous logit model to describe household location choices. In contrast to the classic urban model with deterministic location choices, the continuous logit model predicts noticeable direct effects of more than one workplace on land rents, asymmetry of the land rent schedule around secondary business districts, incomplete segregation of citizens who work in different business centers and, therefore, cross commuting, and incomplete segregation of workers and farmers.

Suggested Citation

  • Wrede, Matthias, 2014. "Continuous Logit Polycentric City Model," VfS Annual Conference 2014 (Hamburg): Evidence-based Economic Policy 100488, Verein für Socialpolitik / German Economic Association.
    • Handle: RePEc:zbw:vfsc14:100488
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    References listed on IDEAS

    as
    1. Ng, Chen Feng, 2008. "Commuting distances in a household location choice model with amenities," Journal of Urban Economics, Elsevier, vol. 63(1), pages 116-129, January.
    2. Fujita,Masahisa, 1991. "Urban Economic Theory," Cambridge Books, Cambridge University Press, number 9780521396455.
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    10. Tscharaktschiew, Stefan & Hirte, Georg, 2010. "How does the household structure shape the urban economy?," Regional Science and Urban Economics, Elsevier, vol. 40(6), pages 498-516, November.
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    12. Robert E. Lucas & Esteban Rossi-Hansberg, 2002. "On the Internal Structure of Cities," Econometrica, Econometric Society, vol. 70(4), pages 1445-1476, July.
    13. Brueckner, Jan K., 1987. "The structure of urban equilibria: A unified treatment of the muth-mills model," Handbook of Regional and Urban Economics, in: E. S. Mills (ed.), Handbook of Regional and Urban Economics, edition 1, volume 2, chapter 20, pages 821-845, Elsevier.
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    Cited by:

    1. Vincent Viguié, 2015. "Cross-commuting and housing prices in a polycentric modeling of cities," Policy Papers 2015.03, FAERE - French Association of Environmental and Resource Economists.
    2. Wrede, Matthias, 2015. "A continuous logit hotelling model with endogenous locations of consumers," Economics Letters, Elsevier, vol. 126(C), pages 81-83.

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    More about this item

    JEL classification:

    • R13 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies
    • R14 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Land Use Patterns
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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