Many modern trade and growth models are characterized by multiple equilibria. In theory the analysis of multiple equilibria is possible, but in practice it is difficult to test for the presence of multiple equilibria. Based on the methodology developed by Davis and Weinstein (2004) for the case...

Dutch cities which combine a favourable location in terms of distance to work with a variety of urban amenities appear to be the most attractive locations for people to live. Relatively safe cities, offering a variety of history and culture events, as well as good restaurants have significantly...

China's Hukou system poses severe restrictions on labor mobility. This paper assesses the consequences of relaxing these restrictions for China's internal economic geography. We base our analysis on a new economic geography model. First, we obtain estimates of the important model parameters on...

In explaining the uneven spatial distribution of economic activity, urban economics and new economic geography (NEG) dominate recent research in economics. A main difference between these two approaches is that NEG stresses the role of spatial linkages whereas urban economics does not do so. We...

Place names, or toponyms, provide insight into the initial geographical characteristics of settlements. We present a unique dataset of 3,705 German toponyms that includes the date of the first historical record mentioning the settlement and the date it was granted city rights. We show that the...

Using a rich data set on the EU regions, we analyze the relevance of two possible determinants of a region’s resilience to shocks, the degree of urbanization and specialization. We take the Great Recession, the economic and financial crisis that started in 2008, as our shock and then analyze...

Place names, or toponyms, provide insight into the initial geographical characteristics of settlements. We present a unique dataset of 3,705 German toponyms that includes the date of the first historical record mentioning the settlement and the date it was granted city rights. We show that the...

Using a detailed and large data set on cross-border merger and acquisitions we discuss the relationship between theory and observed empirical characteristics: (i) most FDI is in the form of M&As, (ii) firms engaged in M&As seem to be marketseeking', (iii) M&As come in waves (the most recent wave...

Applying the methodology developed by Duranton and Overman (2005, 2008), we analyze localization and dispersion of firms in China. Using a unique and detailed dataset on manufacturing firms in China, we are able to follow the changes in location patterns of firms between 2002 and 2008. Our...