Complexity in Environment and Space - Sensitivity on Model Specification

Pasquale Commendatore, Ingrid Kubin, Iryna Sushko

Publikation: Wissenschaftliche FachzeitschriftOriginalbeitrag in FachzeitschriftBegutachtung

Abstract

In this paper, we study the complex interaction between environmental damage and location in space of firms and entrepreneurial households. We use a New Economic Geography (NEG) framework, suitably extended to account for environmental damage and the two mobility processes. The resulting model is a two-dimensional piecewise smooth map with two constraints for each variable, and we use analytic and numerical tools to explore its long-run dynamics. We pay special attention to the different types of fixed points and the structure of the respective basins of attraction. Their complexity re-enforces a core theme of the NEG: History matters for the long run location in space of economic activity.

OriginalspracheEnglisch
Seiten (von - bis)231-260
Seitenumfang30
FachzeitschriftNonlinear Dynamics, Psychology, and Life Sciences
Jahrgang28
Ausgabenummer2
PublikationsstatusVeröffentlicht - 1 Apr. 2024

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