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DOI: 10.1080/00420989320081701 © 1993 Urban Studies Journal Limited Tinbergen-Bos Metricised Systems: Some Further ResultsDepartment of Theoretical Spatial Economics, Erasmus University Rotterdam, Postbus 1738, 3000 DR Rotterdam, The Netherlands
Department of Theoretical Spatial Economics, Erasmus University Rotterdam, Postbus 1738, 3000 DR Rotterdam, The Netherlands
Department of Theoretical Spatial Economics, Erasmus University Rotterdam, Postbus 1738, 3000 DR Rotterdam, The Netherlands The paper describes a spatial economic equilibrium in which each market shows an equilibrium and the location of all producers is determined in an optimal way. Being a very general model, in order to solve it a number of hypotheses had to be introduced. We used the hypothesis of Tinbergen and Bos. The system is optimised in such a way that total transport costs are minimised. Many optimal solutions are shown for different numbers of firms per sector. It appears that the optimal location for a sector having a very limited number of firms, would be the centre of the region; if the number of firms increases, optimal locations will be found in a circle around the centre. The impact of economic variables—such as the propensity to consume-on the optimal location pattern of all firms, is also demonstrated.
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