HAL will be down for maintenance from Friday, June 10 at 4pm through Monday, June 13 at 9am. More information
Skip to Main content Skip to Navigation
Journal articles

Rising trade costs? Agglomeration and trade with endogenous transaction costs

Abstract : While transport costs have fallen, the empirical evidence also points at rising total trade costs. In a model of industry location with endogenous transaction costs that seeks to replicate features from the machinery industry, we show how and under which conditions a decline in transport costs can lead to an increase in the total cost of trade. The subtle relationship between (endogenous) transport costs and the sensitivity of trade to distance is also explored.
Complete list of metadata

https://hal-sciencespo.archives-ouvertes.fr/hal-03415826
Contributor : Spire Sciences Po Institutional Repository Connect in order to contact the contributor
Submitted on : Friday, November 5, 2021 - 5:08:07 AM
Last modification on : Tuesday, March 1, 2022 - 11:28:03 AM

Identifiers

Collections

Citation

Gilles Duranton, Michael Storper. Rising trade costs? Agglomeration and trade with endogenous transaction costs. Canadian Journal of Economics / Revue Canadienne d'Économique, Wiley, 2008, 41 (1), pp.292 - 319. ⟨hal-03415826⟩

Share

Metrics

Record views

5