Article ID: | iaor199662 |
Country: | Greece |
Volume: | 3 |
Issue: | 1 |
Start Page Number: | 227 |
End Page Number: | 246 |
Publication Date: | Sep 1994 |
Journal: | Studies In Regional and Urban Planning |
Authors: | Thisse Jacques-Francois, Scotchmer Suzanne |
Keywords: | competition |
Incorporating space in economic models has two important consequences. First, the hypothesis of perfect competition becomes untenable, and second, the distinction between private and public goods becomes blurred. The authors review arguments that lead to these conclusions and summarize recent work pointing to other incentive systems that might lead to efficient location decisions and pricing policies.