English, Article, Journal or magazine article edition: The Geography of Multi-speed Europe Philippe Martin; Gianmarco Ottaviono

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Bookmark: http://trove.nla.gov.au/version/159254
Physical Description
  • preprint
Language
  • English

Edition details

Title
  • The Geography of Multi-speed Europe
Author
  • Philippe Martin
  • Gianmarco Ottaviono
Physical Description
  • preprint
Notes
  • Our paper looks at this question from the point of view of location of economic activities. Our objective is to use the tools of the new geography, in order to describe the possible impact of a multi-speed approach to integration on the location choice of industries and therefore on the long term geography of economic activities in Europe. We use a three-country model where two identical rich countries decide to integrate their economies and leave a third, poorer, country temporarily outside. The questions we ask are the following: if the concentration of economic activities in the core of Europe is a concern to policy makers, will a multi-speed approach help alleviate this problem or will it exacerbate it? Is the transition period, during which the poor country is excluded from the integrated area, necessary to avert massive relocation to the rich core until the income gap has sufficiently decreased? Or, on the contrary, will this transition period increase the risk of agglomeration in the rich countries of the core?
  • GEOGRAPHY; ECONOMIC INTEGRATION
  • RePEc:cii:cepidt:1995-10
Language
  • English
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