Economic Integration and Spatial Location of Production
University of Genoa Working Paper No. 12/2004
29 Pages Posted: 12 Jan 2005
Date Written: July 2004
Abstract
Where economic activity will locate in the future is one of the most important and challenging questions in economics. Progress in technology, changes in demand and moves towards a liberal economic policy and international economic integration create new challenges for theorists, policymakers and business executives. As a number of economic activities became 'footloose' and highly mobile, one of the most demanding and intricate questions in such a situation is where firms and industries would locate, re-locate or stay.
The paper is structured as follows. Section 2 outlines the basic theoretical strands, while the gains of economic integration are presented in section 3. Sections 4 and 5, respectively, discuss production geography with trade barriers and the situation when these barriers are reduced. Experiences and possible gains for the new European Union (EU) member countries are the subject matter of section 6. At the end, there are conclusions and policy implications.
Keywords: Location, local, multiple equilibria, integration, links
JEL Classification: F15, F23, R12
Suggested Citation: Suggested Citation
Do you have a job opening that you would like to promote on SSRN?
Recommended Papers
-
Spatial Location of Firms and Industries: An Overview of Theory
-
Eastern Enlargement of the EU: A Topsy-Turvy Endgame or Permanent Disillusionment
-
Monetary Geography Before the Industrial Revolution
By Marc Flandreau, Christophe Galimard, ...
-
Turkey in the European Union: Euthanasia or the Rejuvenation of Europe?