Template-Type: ReDIF-Paper 1.0 Series: Tinbergen Institute Discussion Papers Creation-Date: 2001-12-06 Number: 01-117/3 Author-Name: Erik Verhoef Author-Email: everhoef@feweb.vu.nl Author-Workplace-Name: Vrije Universiteit Amsterdam Author-Name: Peter Nijkamp Author-Email: pnijkamp@feweb.vu.nl Author-Workplace-Name: Vrije Universiteit Amsterdam Author-Name: Joe Daniel Author-Workplace-Name: University of Delaware, USA Title: Urban Sustainability, Agglomeration Forces and the Technological Deus ex Machina Abstract: This paper aims to analyze and depict urban equilibrium from the perspective of acomplex force field between (positive) agglomeration economies and (negative) environmentalexternalities. Based on a simplified representation of a linear urban economy, anarchetypical model based on general equilibrium principles is designed and its propertiesare investigated by using numerical simulations. The model includes a spacious industrial centrein which agglomeration externalities are differentiated over space, and a residential area thatsuffers from pollution which too is differentiated over space. Environmental technology choiceby firms is endogenized. This model is able to generate interesting and sometimescounter-intuitive results for the city under consideration. File-Url: https://papers.tinbergen.nl/01117.pdf File-Format: application/pdf File-Size: 150098 bytes Handle: RePEc:tin:wpaper:20010117