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Discussion Paper Details
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Title: Productive cities: Sorting, selection and agglomeration
Author(s): Kristian Behrens, Gilles Duranton and Frédéric Robert-Nicoud
Publication Date: July 2010
Keyword(s): agglomeration, city size, selection, sorting, urban premium and Zipf's law
Programme Area(s): International Trade and Regional Economics
Abstract: Large cities produce more output per capita than small cities. This may occur because more talented individuals sort into large cities, because large cities select more productive entrepreneurs and firms, or because of agglomeration economies. We develop a model of systems of cities that combines all three elements and suggests interesting complementarities between them. The model can replicate stylised facts about sorting, agglomeration, and selection in cities. It can also generate Zipf's law for cities. Finally, it provides a useful framework within which to reinterpret existing empirical evidence.
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Bibliographic Reference
Behrens, K, Duranton, G and Robert-Nicoud, F. 2010. 'Productive cities: Sorting, selection and agglomeration'. London, Centre for Economic Policy Research. https://cepr.org/active/publications/discussion_papers/dp.php?dpno=7922