Labor specialization, transport costs, and city size

Article Abstract:

A model of pre-industrial urbanization shows that specialization of labor is an inevitable outcome of moving from an agricultural economy to an industrial economy. This is due to the agglomeration observed as a result of increasing returns on labor specialization. This is regardless of the cities' size or industries. Dispersion occurs only when the city is such a size as to make transportation costs significant.

Economics, Research and Development in the Social Sciences and Humanities, Models, Economic development, Cities and towns, Industrial development, Industrialization

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Transport costs and rural development

Article Abstract:

An initially negative but definitely positive relationship between reductions in transport costs and rural development exists. A two-region general equilibrium model with firm and worker spatial mobility emphasizes the company and household location effects of costly transport-service utilized by both industry and agriculture in the light of scale economies and product differentiation.

Administration of Urban Planning and Community and Rural Development, Rural Development, Economic aspects, Rural transit

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