Tempora Mutantur: In Search of a New Testament for NEG

25 Pages Posted: 21 Apr 2010

See all articles by Kristian Behrens

Kristian Behrens

University of Quebec at Montreal (UQAM) - Department of Economics

Frederic Robert-Nicoud

University of Geneva - Department of Political Economics; Centre for Economic Policy Research (CEPR)

Date Written: April 21, 2010

Abstract

The aim of this article is twofold. First, we present an integrative framework that encompasses a large share of existing neg models. This framework allows us to discuss the fundamental assumptions and the key results that hold throughout a broad class of models. We argue that progress within the straight-jacket of that framework, though potentially important, is unlikely to produce path-breaking new insights. Second, we suggest that there are potentially large payoffs to stepping outside of the established framework and to extend the neg approach into various directions that have to date received only scant attention. Heterogeneity, cities, transportation, and calibration are avenues along which neg needs to make progress in the future.

Keywords: New Economic Geography, core-periphery model

JEL Classification: R10, R12, R13, R23

Suggested Citation

Behrens, Kristian and Robert-Nicoud, Frederic L., Tempora Mutantur: In Search of a New Testament for NEG (April 21, 2010). Available at SSRN: https://ssrn.com/abstract=1593769 or http://dx.doi.org/10.2139/ssrn.1593769

Kristian Behrens

University of Quebec at Montreal (UQAM) - Department of Economics ( email )

P.O. Box 8888, Downtown Station
Montreal, Quebec H3C 3P8
Canada

Frederic L. Robert-Nicoud (Contact Author)

University of Geneva - Department of Political Economics ( email )

40, boulevard du Pont-d'Arve
Geneva 4, CH-1211
Switzerland
+41 22 379 8272 (Phone)
+41 22 379 8293 (Fax)

HOME PAGE: http://www.unige.ch/ses/ecopo/staff/robert/home.html

Centre for Economic Policy Research (CEPR)

London
United Kingdom

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