Papers of the Regional Science Association

, Volume 67, Issue 1, pp 1–11 | Cite as

Presidential address: Spatial interdependence and externalities

  • Noboru Sakashita


Pecuniary externalities in a two-region economy are examined from several aspects. The analysis includes fiscal externality, inefficiency of free migration, and inefficiency of autarky non-wage income sharing. Measures to restore the productive efficiency that is lacking in the multiregion economy with local public goods are discussed. Finally, a new aspect of the interregional allocation of residential activities is analyzed as the economics of multi-habitation.


Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.


  1. Boadway, R. and Flatters, F. 1982. Efficiency and equalization payments in a federal system of government: a synthesis and extension of recent results.Canadian Journal of Economics, 15, 4: 613–33.Google Scholar
  2. Hartwick, J. M. 1980. Externalities in space. InUrban dynamics and urban externalities, eds. T. Miyao and Y. Kanemoto, pp. 43–103. Chur, Switzerland: Harwood Academic Publishers.Google Scholar
  3. Sakashita, N. 1984. Market equilibrium and social optimum in a two-region economy. University of Tsukuba. Tsukuba: Institute of Socio-Economic Planning, Discussion Paper No. 242.Google Scholar
  4. Sakashita, N. 1989. Market equilibrium and optimum social welfare in a two-region economy. InDevelopments in Japanese economics, eds. R. Sato and T. Negishi, pp. 43–58. Tokyo: Harcourt Brace Jovanovich.Google Scholar
  5. Scitovsky, T. 1954. Two concepts of external economies.Journal of Political Economy, 17: 143–51.Google Scholar
  6. Wildasin, D. E. 1986.Urban public finance. New York: Harwood Academci Publishers.Google Scholar

Copyright information

© The Regional Science Association 1989

Authors and Affiliations

  • Noboru Sakashita
    • 1
  1. 1.Institute of Socio-Economic PlanningUniversity of TsukubaTsukuba, IbarakiJapan

Personalised recommendations