The New Palgrave Dictionary of Economics

2018 Edition
| Editors: Macmillan Publishers Ltd

Regional Economics

  • Ronald J. Krumm
  • George S. Tolley
Reference work entry


The major problem of regional economics, which is to explain the location of production and population within a national economy, has often been approached as if it were not amenable to the usual tools of economic analysis. That regional economics is a distinct field can be seen by comparing the similarities and differences between a region and a nation. A region is like a nation in that goods are traded between it and the rest of the world. Locational differences in factor supplies lead to differences in goods produced among regions and hence to trade among regions, just as with nations. The similarities extend partly – but not wholly – to behaviour of the factors of production. Capital is a factor of production displaying mobility among nations and regions.

This is a preview of subscription content, log in to check access.


  1. Beckmann, M.J. 1958. City hierarchies and the distribution of city size. Economic Development and Cultural Change 6: 243–248.CrossRefGoogle Scholar
  2. Borts, G.H., and J.L. Stein. 1964. Economic growth in a free market. New York: Columbia University Press.Google Scholar
  3. Engle, R., and A. Hutchins. 1978. Some evidence on the sources of Metropolitan growth. San Deigo: University of California. Discussion Paper 78–16.Google Scholar
  4. Henderson, J.V. 1974. The sizes and types of cites. American Economic Review 64(4): 640–656.Google Scholar
  5. Henderson, J.V., and Y.M. Ioannides. 1981. Aspects of growth in a system of cities. Journal of Urban Economics 10(1): 117–139.CrossRefGoogle Scholar
  6. Hoover, E. 1937. Location theory and the shoe and leather industry. Cambridge, MA: Harvard University Press.CrossRefGoogle Scholar
  7. Hoover, E. 1948. The location of economic activity. New York: McGraw-Hill.Google Scholar
  8. Howland, M. 1979. The business cycle and long run regional growth. In Interregional movements and regional growth, ed. W. Wheaton. Washington, DC: Urban Institute.Google Scholar
  9. Isard, W. 1956. Location and space-economy. Cambridge, MA: MIT Press.Google Scholar
  10. Isard, W. 1957. The value of the regional approach in economic analysis. In Regional income: Studies in wealth and income, ed. W. Isard. Princeton: Princeton University Press.Google Scholar
  11. Isard, W. 1975. Introduction to regional science. Englewood Cliffs: Prentice-Hall.Google Scholar
  12. Krumm, R.J., and G. Tolley. 1983. On the regional labor supply relation. In The Urban economy and housing, ed. R. Grieson. Lexington: Lexington Books.Google Scholar
  13. Lösch, A. 1940. Die räumliche Ordnung der Wirtschaft. Jena: Gustav Fischer. Trans. W.H. Woglom as The Economics of Location. New Haven: Yale University Press, 1954.Google Scholar
  14. Mills, E., and M. Lav. 1964. A model of market areas with free entry. Journal of Political Economy 72: 278–288.CrossRefGoogle Scholar
  15. Moses, L. 1958. Location and the theory of production. Quarterly Journal of Economics 72: 259–272.CrossRefGoogle Scholar
  16. Muth, R.F. 1971. Migration: Chicken or egg? Southern Economic Journal 37(3): 295–306.CrossRefGoogle Scholar
  17. North, D.C. 1955. Location theory and regional economic growth. Journal of Political Economy 63: 243–258.CrossRefGoogle Scholar
  18. Schmenner, R. 1982. Making business location decisions. Englewood Cliffs: Prentice-Hall.Google Scholar
  19. Tolley, G. 1974. The welfare economics of city bigness. Journal of Urban Economics 1(3): 324–345.CrossRefGoogle Scholar
  20. Tolley, G., P. Graves, and J. Gardner. 1979. Urban growth policy in a market economy. New York: Academic Press.Google Scholar
  21. Upton, C. 1981. An equilibrium model of city size. Journal of Urban Economics 10(1): 15–36.CrossRefGoogle Scholar
  22. von Thünen, J.H. 1826. The Isolated State. Trans. C.M. Wartenburg. London: Pergamon Press, 1966.Google Scholar
  23. Weber, A. 1929. Theory of location of industries. Trans. C. Friedrich. Chicago: University of Chicago Press.Google Scholar

Copyright information

© Macmillan Publishers Ltd. 2018

Authors and Affiliations

  • Ronald J. Krumm
    • 1
  • George S. Tolley
  1. 1.