Agglomeration and trade : the case of Colombia

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Revista Ensayos Sobre Política Económica; Vol. 17. No. 33. Junio, 1998. Pág.: 85-123.

Date published

1998-06-01

Date

1998-06

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ISSN

0120-4483

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Document language

eng
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Las opiniones contenidas en el presente documento son responsabilidad exclusiva de los autores y no comprometen al Banco de la República ni a su Junta Directiva.

The opinions contained in this document are the sole responsibility of the author and do not commit Banco de la República or its Board of Directors.

Abstract

The purpose of this pape ris to analyze the relationship between trade and agglomeration in the case of cities located far from the coast. In a modified version of the Krugman and Elizondo model, trade should make industries move to the coast in order to reduce internal freight costs. However, empirical evidence suggest that this has not been the case of Colombia.

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