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Shifts in Economic Geography and their Causes

Author

Listed:
  • Anthony J. Venables
Abstract
This paper analyses some of the forces that are changing the spatial distribution of activity in the world economy. It draws on the 'new economic geography' literature to argue the importance of increasing returns to scale and cumulative causation processes in shaping the productivity and comparative advantage of different regions. In the presence of such increasing returns there may be persistent spatial disparities in productivity. Economic development will tend to be 'lumpy', with some regions (countries, or smaller areas such as cities) experiencing rapid growth and others being left behind.

Suggested Citation

  • Anthony J. Venables, 2006. "Shifts in Economic Geography and their Causes," CEP Discussion Papers dp0767, Centre for Economic Performance, LSE.
  • Handle: RePEc:cep:cepdps:dp0767
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    economic geography; urbanisation; world economy; productivity;
    All these keywords.

    JEL classification:

    • F1 - International Economics - - Trade
    • R1 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics

    NEP fields

    This paper has been announced in the following NEP Reports:

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