DP7307 The Empirics of New Economic Geography

Author(s):	Stephen J. Redding
Publication Date:	May 2009
Keyword(s):	Industrial Location, Market Access, Multiple Equilibria, New Economic Geography
JEL(s):	F12, F14, O10
Programme Areas:	International Trade and Regional Economics
Link to this Page:	cepr.org/active/publications/discussion_papers/dp.php?dpno=7307

Although a rich and extensive body of theoretical research on new economic geography has emerged, empirical research remains comparatively less well developed. This paper reviews the existing empirical literature on the predictions of new economic geography models for the distribution of income and production across space. The discussion highlights connections with other research in regional and urban economics, identification issues, potential alternative explanations and possible areas for further research.