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- W2907044075 abstract "The clustering of competitor outlets is a pervasive phenomenon in our cities. However, Hotelling’s principle of minimum differentiation is well-known not to hold. The attempts to modify Hotelling’s model are numerous in the literature on spatial competition, but mostly unsuccessful. We provide a new approach by endogenizing the transportation cost. In particular, we inherit a modeling technique from the literature of international trade. This is the iceberg formulation. With it, we are able to give a rationale to the agglomeration of firms in the middle of a Hotelling linear market." @default.
- W2907044075 created "2019-01-11" @default.
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- W2907044075 date "2018-09-01" @default.
- W2907044075 modified "2023-09-27" @default.
- W2907044075 title "Recovering the Principle of Minimum Differentiation. An Iceberg Approach" @default.
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